The impact of semantic knowledge management system on firms' innovation and competitiveness

Abstract

In the knowledge economy, knowledge is increasingly becoming the primary factor of production and foundational component of innovation. Firms must improve their capabilities of handling knowledge in line with its recent explosive growth to stay competitive. This research addresses the effects semantic technology-based knowledge management system (Semantic KMS) can have on firms’ performance. Based on existing literature, a conceptual model covering Semantic KMS, KM, innovation, and competitiveness was designed to test the validity of the hypotheses. A total of 640 survey questionnaires were sent to the companies that practice KM actively. 178 usable responses were received. Pearson’s correlation, exploratory and confirmatory factor analyses and structural equation modeling were used to analyze the data. The results indicate that Semantic KMS is positively related to the KM effectiveness. Organizational KM is positively linked to innovation and competitiveness directly. In the context of KM, innovation's effect on competitiveness is not convincing. Moreover, the study could not identify that KM has any strong relationship with organizational competitiveness mediated through innovation. Being one of the first significant studies of Semantic KMS and its impact, the study adds to the growing literature on the use of semantic technology in various fields. It develops a new theoretical model which has never been tested before. The study used data collected from single respondent of each firm in a snapshot and did not consider feedback effects. It examined Semantic KMS as a holistic system, but in many cases, companies only deploy certain KM related tools supported by semantic technology. A different research approach could investigate the impacts of those tools on relevant business processes. This study demonstrates that deployment of semantic technology is beneficial for companies and allows them to take advantage of the use of advanced technologies in their KM quest. It brings significant benefits to the firm thanks to improved capabilities of the new KMS in knowledge discovery, aggregation, use, and sharing. The study also confirms that for a successful KM initiative, KM processes need to be optimized and supported by KMS. Semantic technology is a set of advanced tools used lately in many information systems. This study is one of the first in-depth research about their impacts on KMS. It will guide KM managers in their decision-making process when they consider developing or integrating newKMS tools. For academics, this research highlights the importance of investigating KM from the new technology perspective. .