No Access

The Strategic Alignment between Knowledge Management and Information Systems Strategy: The Impact of Contextual and Cultural Factors

Jaflah Al-Ammary

College of IT, Department of Information Systems, University of Bahrain, Bahrain

https://doi.org/10.1142/S0219649214500063Cited by:8 (Source: Crossref)

Abstract

A knowledge asset has been increasingly recognised as the most valuable asset in organisations as it playing an enabling role in formulating a successful strategies and achieving a sustainable competitive advantage. However, to continuously capture, maintain and reuse the key information, and arbitrates the strategic knowledge assets, KM should be aligned with business process, organisations and IT. Therefore, the aim of the current study is to investigate the direct effect of the contextual factors such as IT infrastructure and skills, existence of CKO and knowledge sharing on the KM strategic alignment between KM and IS strategy (KMSA-IS) in the banking sector at Arabian Gulf countries. However, cultural factors such as openness to change, organisational structure and trust were examined to have indirect effect on KMSA-IS via the knowledge sharing. In addition, the impact of KMSA-IS on the organisational performance was examined. The results revealed that the contextual factors such as IT infrastructure and skills and existence of CKO as well as the knowledge sharing have shown a significant contribution on KMSA-IS. Organisational structure and trust however, revealed to have indirect impact on KMSA-IS via the knowledge sharing. Therefore, executive managers in the Arabian Gulf banking sectors should adopt new rules using flexible organisational culture, reforming and redesigning their organisational structure and incorporating an advanced IT in their operations for competitive advantage. Moreover, they need to establish an alignment between KM and IS strategy in order to move their KM systems in a direction that holds promise for long-lasting competitive advantage.

Keywords:

References

Al-Ammary, J (2008). Knowledge management strategic alignment in the banking sector at the Gulf Cooperation Council (GCC) countries. Ph.D. Dissertation, University of Murdoch, Perth, Australia . Google Scholar
J. Al-Ammary and C. C. Fung, Knowledge Management Integrated — Concepts and Practice, ed. Y. Cader (Heidelberg Press, Australia, 2007) pp. 187–211. Google Scholar
M. Alavi and D. Leidner, Communication of the Association of Information Systems 1(7), (1999). Google Scholar
J. A. Albert, Journal of Knowledge Management Practice 10(1), 1 (2009). Google Scholar
M. Al-Shammari, International Journal of Knowledge Management 4(3), 44 (2008), DOI: 10.4018/jkm.2008070104. Crossref, Web of Science, Google Scholar
R. Aman , M. Madjid and A. Ade , Factors that influence implementation of knowledge management and information technology infrastructure to support project performance in construction industries , International Business Management Conference ( Universiti Tenaga Nasional , 2004 ) . Google Scholar
American Productivity & Quality Center (APQC) (1996). Knowledge management: Consortium benchmarking study final report. Houston, TX: American Productivity & Quality Center . Google Scholar
Arab Human Development Report (AHDR) (2003), Building a knowledge society. Available at http://www.undp.org/rbar/ahdr/english2003 . Google Scholar
F. Belfo , The role of knowledge management in the strategic alignment of IT with business: An alternative and complementary view , Proceeding of the 11th European Conference on Knowledge Management ECKM ( 2010 ) . Google Scholar
J. M. Bloodgood and W. D. Salisbury, Decision Support Systems 31, 55 (2001), DOI: 10.1016/S0167-9236(00)00119-6. Crossref, Web of Science, Google Scholar
R. Blumentritt and R. Johnston, Technology Analysis and Strategic Management 11(3), 287 (1999), DOI: 10.1080/095373299107366. Crossref, Web of Science, Google Scholar
R. B. Carvalha and M. A. T. Ferreira, Information Research 7(1), (2001), http://www.informationr.net/ir/7-1/paper118.html. Google Scholar
Cedar (2003). How knowledge management, drives competitive advantage, Cedar white paper, released December, Maryland, USA . Google Scholar
Y. S. Choi, Journal of Academy of Business and Economics 11(1), 184 (2003). Google Scholar
E. Claver-Cortés, P. Zaragoza-Sáez and E. Pertusa-Ortega, Journal of Knowledge Management 11(4), 45 (2007). Crossref, Web of Science, Google Scholar
T. H. Davenport and L. Prusak , Working Knowledge, How Organizations Manage What they Know ( Harvard Business School Press , Boston, MA , 2000 ) . Google Scholar
F. Dignum and R. Eijk, Journal of Autonomous Agent and Multi Agent Systems 14(2), 119 (2007), DOI: 10.1007/s10458-006-0018-7. Crossref, Web of Science, Google Scholar
P. Drucker, Managing in the Next Society (St. Martin's Press, New York, 2002) p. 231. Google Scholar
M. J. Earl and I. A. Scott, Sloan Management Review 40(2), 29 (1999). Google Scholar
C. O. Egbu and K. Botterill, ICT for Knowledge Management in Construction 7, 125 (2002). Web of Science, Google Scholar
F. El-Kharouf, The Arab Bank Review 2(2), 30 (2000). Google Scholar
P. Gottschalk, Knowledge Management Research and Practices 4, 77 (2006). Google Scholar
Hassanali, F (2002). Critical success factor of knowledge management. Available at www.kmadvantage.com/docs/kmarticles/critical_success_factor_of_KM.pdf [Last accessed on 29 March 2012] . Google Scholar
H. Heizmann , Knowledge sharing through communities of practice: Exploring the cross cultural interface , Proceedings of International Conference on Organizational Learning, Knowledge and Capabilities (OLKC) ( the Netherlands , Amsterdam , 2009 ) . Google Scholar
V. Hlupic, A. Pouloudi and G. Rzevski, Knowledge and Process Management: The Journal of Corporate Transportation 9(2), 90 (2002), DOI: 10.1002/kpm.134. Crossref, Google Scholar
C. Holsapple and K. Joshi, The Journal of Strategic Information Systems 9(3), 235 (2000), DOI: 10.1016/S0963-8687(00)00046-9. Crossref, Web of Science, Google Scholar
M. M. Islam, Managerial Finance 29(3), 42 (2003), DOI: 10.1108/03074350310768689. Crossref, Google Scholar
A. Jashapara , Knowledge Management an Integrated Approach ( Prentice Hall , Essex, UK , 2004 ) . Google Scholar
Johannessen, JA, J Olaisen and B Olsen (2000). Mismanagement of tacit knowledge: Knowledge management, the danger of information technology, and what to do about it, SKIKT. Available at www.program.forskningsradet.no/skikt/johannessen.php3 . Google Scholar
B. Junnarkar and C. Brown, Journal of Knowledge Management 1(2), 142 (1997), DOI: 10.1108/EUM0000000004589. Crossref, Google Scholar
A. Kankanhalliet al., Communications of the ACM 46(9), 487 (2003), DOI: 10.1145/903893.903896. Google Scholar
M. Kassem and G. Habib , Strategic Management of Services in the Arab Gulf States, Company and Industry Cases ( Walter de Gruyter , Berlin , 1989 ) . Crossref, Google Scholar
A. Ladd and M. Ward, Journal of Knowledge Management Practice 3, (2002). Google Scholar
D. Ladd , A. Darin and A. Heminger , An investigation of organizational culture factors that may influence knowledge transfer , Proceedings of the 36th Hawaii International Conference on System Sciences ( IEEE , 2003 ) . Google Scholar
J. Leibowitz, Research and Practice in Human Resource Management 10(2), 2 (2002). Google Scholar
J. Leitch and P. Rosen, The Manchester Review 6(3), 9 (2001). Google Scholar
J. Luftman, R. Papp and T. Brier, Communications of the Association for Information System 1(3), (1999). Google Scholar
R. Maier and U. Remus, Knowledge and Process Management 9(2), 103 (2002), DOI: 10.1002/kpm.136. Crossref, Web of Science, Google Scholar
B. Manasco, Knowledge Inc 1(6), 26 (1996). Google Scholar
D. Marchand, W. Kettinger and J. Rollins, Sloan Management Review 41(4), 69 (2000). Google Scholar
R. Morgan and C. A. Strong, Journal of Business Research 56(3), 163 (2003), DOI: 10.1016/S0148-2963(01)00218-1. Crossref, Web of Science, Google Scholar
V. Muijenet al., European Journal of Work and Organizational Psychology 8, 551 (1999). Crossref, Google Scholar
P. Murray, The Present and the Promise of Knowledge Management, eds. C. Despres and D. Chauvel (Butterworth–Heinemann, Boston, MA, 2000) pp. 171–194. Google Scholar
K. Nelson and M. Middleton, Knowledge Management Current Issues and Challenges, ed. E. Coakes (IGI Publishing, Hershey, PA, USA, 2003) pp. 104–115. Crossref, Google Scholar
N. Noor and J. Salim, International Journal of Computer Science Issues 8(4), (2011). Google Scholar
A. Okunoye, Annals of Cases on Information Technology (ACIT) 5, 168 (2003), DOI: 10.4018/978-1-59140-061-5.ch011. Google Scholar
Padova, A (2009). Concerns of CKO, Inside-knowledge. Inside Knowledge, 7(10). Available at: http://www.ikmagazine.com/xq/asp/sid.0/articleid.05D7BD9D-0E97-482F-8199-F0AD8E9C38D9/eTitle.Concerns_of_a_CKO_Capgemini/qx/display.htm [Last accessed on 01 December 2011] . Google Scholar
J. Rempel, J. Holmes and M. Zanna, Journal of Personality and Social Psychology 49, 95 (1985), DOI: 10.1037/0022-3514.49.1.95. Crossref, Web of Science, Google Scholar
Renzt, B (2006). Trust in management and knowledge sharing: The mediating effects of fear and knowledge documentation. Special Issue on Knowledge Management and Organizational Learning, 36(2), 206–220 . Google Scholar
R. Sabherwal and Y. Chan, Information Systems Research 12(1), 11 (2001), DOI: 10.1287/isre.12.1.11.9714. Crossref, Web of Science, Google Scholar
S. A. Sage and W. B. Rouse, Information Systems Frontiers 1(3), 205 (1999), DOI: 10.1023/A:1010046210832. Crossref, Google Scholar
L. Sinet al., Journal of Hospitality and Tourism Research 30, 407 (2006), DOI: 10.1177/1096348006287863. Crossref, Web of Science, Google Scholar
R. Snyman and C. J. Kruger, Journal of Knowledge Management 8(1), 5 (2004), DOI: 10.1108/13673270410523871. Crossref, Web of Science, Google Scholar
I. Spiegler, Information and Management 40(6), 533 (2003), DOI: 10.1016/S0378-7206(02)00069-1. Crossref, Web of Science, Google Scholar
K. A. Stewartet al., ACM SIGMIS Database 31(4), 41 (2000), DOI: 10.1145/506760.506764. Crossref, Google Scholar
D. Straub, K. Loch and C. Hill, Journal of Global Information Management 9(4), 6 (2001), DOI: 10.4018/jgim.2001100101. Crossref, Web of Science, Google Scholar
Suarez, L (2006). Enabling knowledge sharing — a matter of cultural and organizational changes? — The role of communities, Social computing evangelist . Google Scholar
D. Swain and S. Ekionea, Journal of Information and Knowledge Management 7(2), 113 (2008), DOI: 10.1142/S0219649208002019. Link, Web of Science, Google Scholar
S. Syed-Ikhsan and F. Rowland, Journal of Knowledge Management 8(2), 95 (2004), DOI: 10.1108/13673270410529145. Crossref, Google Scholar
A. Tiwana , The Knowledge Management Toolkit: Orchestrating IT, Strategy, and Knowledge Platforms ( Prentice Hall , Upper Saddle River, NJ , 2002 ) . Google Scholar
A. Usoro, M. Sharratt and E. Tsui, Computing and Information System 10(1), 25 (2006). Web of Science, Google Scholar
Y. Wang and J. Vassileva , Bayesian network trust model in peer-to-peer networks , Proceedings of Second International Workshop Peers and Peer-to-Peer Computing ( 2003 ) . Google Scholar
C. Whitfield-Jones, Managing Partner 1 (1999). Google Scholar
L. Willcockset al., Knowledge Management 7(2), (2003), http://www.ikmagazine.com/xq/asp/txtSearch.Knowledge+in+outsourcing%3A+The+missed+business+opportunity/exactphrase.1/sid.C2026E27-D534-4968-A853-3834F914D907/articleid.59EC4DB3-97A8-4D32-8264-7A92BE0772C1/qx/display.htm. Google Scholar
Williams, R (2008). Critical success factors when building knowledge management system, Share Point Magazine, December . Google Scholar
L. Yapet al., Communication of the IBIMA 2010, (2010), http://www.ibimapublishing.com/journals/CIBIMA/2010/834296/834296.pdf. Google Scholar
M. H. Zack, 2000 Handbook of Business Strategy (Faulkner and Gray, New York, 1999) pp. 81–88. Google Scholar
M. H. Zack , A strategic pretext for knowledge management , Proceedings of the Third European Conference on Organizational Knowledge, Learning and Capabilities ( 2002 ) . Google Scholar