Implementing knowledge management capability (KMC) effectively is becoming an important strategic issue for organizational success. However, our understanding about the underlying mechanism of KMC on firm performance is still limited. Based on the dynamic capabilities perspective, this study tries to explore how KMC (i.e., exploration KMC and exploitation KMC) affects firm performance through the mediating role of operational adjustment agility and market capitalizing agility. Survey data from 211 firms indicate that both operational adjustment agility and market capitalizing agility can fully mediate the influence of KMC on firm performance. In addition, the relationship intensions of these two KMC on organizational agility are distinguishing. We conclude with implications and limitations for future research.
Liu, Hefu; Song, Dandan; and Cai, Zhao, "KNOWLEDGE MANAGEMENT CAPABILITY AND FIRM PERFORMANCE: THE MEDIATING ROLE OF ORGANIZATIONAL AGILITY" (2014). PACIS 2014 Proceedings. 165.