Inter-organizational knowledge transfer in Omani SMEs: influencing factors

Pages333-351
DOIhttps://doi.org/10.1108/VJIKMS-10-2017-0069
Published date13 August 2018
Date13 August 2018
AuthorHimyar Al-Jabri,Kamla Ali Al-Busaidi
Subject MatterInformation & knowledge management,Knowledge management,Knowledge management systems
Inter-organizational knowledge
transfer in Omani SMEs:
inuencing factors
Himyar Al-Jabri and Kamla Ali Al-Busaidi
Department of Information Systems,
Sultan Qaboos University, Muscat, Oman
Abstract
Purpose Inter-organizational knowledge transfer (IOKT) is important especially for small and medium
enterprises (SMEs). Organizations need external knowledge to improve learning capabilities and their own
competitiveness. SMEs are important for every nations economy. IOKT can enable SMEslearning and
innovationand consequently its contribution to the national economy.This study aims to examine the factors
that inuencethe IOKT process in Omani SMEs.
Design/methodology/approach This study uses qualitative methodology. Participants were ten
Omani SMEs from the informationand communications technology sector, a knowledge-intensivesector. The
study is based on face-to-facesemi-structured interviews and content analysis.
Findings The results conrmed that inter-organizational knowledge is considered to be important to
SMEs. This research also showed that IOKTis affected by many factors related to the donor organization,
recipientorganization, nature of the knowledge and inter-organizationaldynamics. The core factor to IOKT in
SMEs is risk and trust.
Originality/value Literature shows that there is an emphasis on the importance of studying
knowledge management in SMEs; however, there is little work that has been done. Such study is even
more important for Omani SMEs to improve their learning, innovation and contribution to a national
diversied economy. This study provides valuable insights to establish an effective foundation for
IOKT in Omani SMEs.
Keywords SMEs, Knowledge management, Knowledge transfer,
Inter-organizational knowledge transfer, Omani SMEs
Paper type Research paper
Introduction
Knowledge management (KM) is a source of competitive advantage (Bakar et al., 2015;
Loebbecke et al., 2016) and a way to improve organizational performance (Bakar et al.,
2015). Knowledge transfer (KT) is an area of study within KM that has also been given a
great deal of focus recently (Easterby-Smith et al., 2008). It is a determinant of the long-
term existence of organizations (Khamaksorn et al., 2017). Organizations need to
acquire information from different sources around them so it can help them build their
competitive advantage and become successful (Bakar et al., 2015;Easterby-Smith et al.,
2008). KT, either within or across boundaries, helps organizations improve their
innovation capabilities by leveraging the skills of others and is considered to be one of
the fundamental elements of creating innovative solutions in the economy (Kuli
nska et
al.,2015).
Inter-organizational knowledge transfer (IOKT) is an activity by which organizations can
acquire knowledge from other organizations ideally in a strategic alliance situation (Easterby-
Smith et al., 2008;Yih-Tong Sun and Scott, 2005), joint ventures (Fang et al., 2013), R&D
Knowledge
transfer in
Omani SMEs
333
Received1 November 2017
Revised17 February 2018
Accepted26 May 2018
VINEJournal of Information and
KnowledgeManagement Systems
Vol.48 No. 3, 2018
pp. 333-351
© Emerald Publishing Limited
2059-5891
DOI 10.1108/VJIKMS-10-2017-0069
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/2059-5891.htm
programs (Poorkavoos, 2013), mergers and acquisitions or in licensing agreements. IOKT is a
process by which knowledge is passed from one donor organization to another recipient
organization. A donor organization is a teacherorganization that provides knowledge to the
recipient studentorganization (Steensma et al., 2005). The KT process between organizations
has to be managed effectively so that it yields the intended results for which the initial
relationship was established (Fang et al., 2013;Rhodes et al., 2008). The establishment of the
relationship for KT is complex (Easterby-Smith et al., 2008), and many factors can contribute to
its success (Rhodes et al., 2008;Yih-Tong Sun and Scott, 2005). Management of that
relationship is not easy, and designing a framework that ts a specic organization has to take
into consideration all the factors that inuence its success. Because of their unique
characteristics, the difculties that small and medium enterprises (SMEs) encounter while
managing knowledge are bigger than those faced by large organizations (Cerchione et al., 2016;
Grandinetti, 2016); however, their ability to innovate is higher (Marri et al., 2016).
SMEs are the backbone of the national economy becauseof the contribution they make to
the countrys GDP (Bakar et al.,2015;Durst and Runar Edvardsson, 2012;ITC, 2015;Marri
et al.,2016). External sources of knowledge are very important to SMEs because they can
help them avoid mistakes. Examples of these external sources are customers, competitors,
suppliers and conferences (Chen, 2005). SMEs need IOKT (Chen et al.,2006) because of its
ability to improve their performance when effectively used (Szulanski, 1996). Literature
shows that there is an emphasis on the importance of studyingKM in the domain of SMEs;
however, there is little work that has been done (Cerchione and Esposito, 2017;Durst and
Runar Edvardsson, 2012;Ziebaet al.,2016),especially in the KT area and, specically, in the
information andcommunications technology (ICT) sector.
Consequently, the aim of this study is to assess the inuencingfactors of IOKT in SMEs
in Oman. In Oman, in IOKT, there is only one articleby Al-Salti (2011) that investigated KT,
but in IS outsourcing. Although there is support from theOmani government to encourage
entrepreneurship among Omanis,the SME sector is still not doing what it is supposed to be
doing in terms of the contribution to GDP and creation of job opportunities compared to
neighbor countries in the GCC. IOKT can enable learning, improved performance and
competitive advantage,innovation and growth for SMEs.
SMEscontributionto Omans 2015 GDP value is 14 per cent which is about 3.8bn OMR
compared to 33 per cent in Saudi Arabia (Jedda Economic Gateway, 2016). According to
Riyada (2017), SMEs contributeto about 30.2 per cent of total entrepreneurs in the Sultanate
of Oman. There are 5,064 small enterprises in Oman, which is about 25.8 per cent of the
whole population. There are 871 mediumenterprises, which is about 4.4 per cent of the total
population. The Omani government supports SMEs through severalinitiatives and bodies,
including National Business Center, The SME Development Fund, Al Raffd fund, Oman
Development Bank, SAS managed by Oman InformationTechnology Authority (ITA) and
Riyada. Thus, such investigationis needed to promote SME development in Oman.
Literature review
Inter-organizational knowledge transfer
IOKT is a process by which knowledge is passed from one donor organization to another
recipient organization. IOKT may include the process of movement, assimilation and
application of knowledge and involves at least two organizations (Easterby-Smith et al.,
2008). It is also a useful strategy for value creation or sustainable competitive advantage
(Lyles and Salk, 1996;Van Wijk et al.,2008) and improving business performance
(Szulanski, 1996). KT is a difcult process (Szulanski, 1996); it is complicated (Grant, 1996)
VJIKMS
48,3
334

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