The Role of Knowledge Management Process in Creating Dynamic Capabilities: An Exploration

Abstract

In the volatile, uncertain, complex and ambiguous (VUCA) business environment of today, Knowledge Management as Dynamic Capabilities have become the key for achieving and sustaining a Competitive Advantage. The two particular domains i.e. the role of dynamic capabilities, and the firm’s abilities for knowledge management have attracted the attention of researchers and practioners. In the anticipation of sustained competitiveness, intellectuals have extensively recognized the noteworthy role of dynamic-capability. Researchers highlight the promising role of KM in augmenting dynamic-capability and underlined its significance. This paper is based on a literature review focusing on key Knowledge Management processes and activities as well as the concept of Dynamic Capabilities. The synthesis is centred on knowledge management activities which then are compiled into dynamic capabilities. The aim of this study is to connect KM process and Dynamic Capability and explore the effect of various KM processes on dynamiccapability. The endeavour has been made to propose a theoretical framework based on theoretical insights which reconnoitre the proposed relationship and enlighten this under-explored arena of management domain. Based on findings, contribution of the study to emerging knowledgemanagement and Dynamic-Capability domain, managerial implications and conclusions are also discussed.