A contingency model for knowledge management capability and innovation

Purpose – Based on theories of organizational learning and strategy, the purpose of this study is to develop a strategic contingency model to identify the interrelationships among knowledge characteristics, knowledge management (KM) strategy, knowledge integration, organizational learning, KM capability and innovation. Design/methodology/approach – This study was conducted using the survey method. A total of 800 survey questionnaires were sent to KM managers from the semiconductor, LED, precision machinery, communication, and biotech industries. ANOVA and LISREL were adopted to test 11 hypotheses as developed in this study. Findings – The research results concluded that: knowledge characteristics with higher modularity and explicitness could enhance organizational learning and knowledge integration; levels of organizational learning, knowledge integration, and KM capability had significant impact on a firm's innovation; the interaction effects of human oriented KM strategy and organizational learning, and system oriented KM strategy and knowledge integration were found to significantly impact KM capability. Research limitations/implications – To further confirm the results of this cross‐sectional research, more longitudinal research is suggested. To identify the scope of generalization of this study, future research may use the same questionnaire or an abbreviated one to conduct surveys across different industries or different international settings. Originality/value – The interrelationships among knowledge characteristics, KM capability and innovation have been evaluated extensively in previous studies. However, the interaction effects between organizational learning and KM strategy and between system oriented KM strategy and knowledge integration on KM capability have been largely ignored. The results of this study provide very important references for academics and practitioners to implement the effectiveness of KM.