KNOWLEDGE MANAGEMENT: A NECESSITY FOR ENHANCING ORGANISATIONAL PERFORMANCE

Abstract

The aim of this paper is to investigate knowledge management as a necessity for enhancing

organizational performance. The concept of knowledge management and its dimensions were

reviewed and the concept of organizational performance and its measured were also reviewed.

This paper is anchored on Becker’s (1962) Human Capital Theory of Earnings. Becker’s Human

Capital Theory of Earnings explains that organizations increases their productive capacity

through their employees attaining more education and skill trainings. The study concluded that

knowledge creation improves the performance of an organization. This paper concluded that

knowledge storage enhances organizational performance by boosting its market share. It was

also recommended that Organizations should embrace knowledge management processes such

as knowledge creation, storage, sharing and application as well as adopting technologies that will

support programs which will in turn bring about financial performance such as return on

investment, sales costs and growth on the other hand and operational performance such as

product quality, customer satisfactory,

timeliness of delivery, productivity, efficiency, market

share, strategic goal accomplishment.