Knowledge Management as a Predictor of Survival of Small and Medium Scale Enterprises in Ogun State

Abstract

This study examined the role of knowledge management in enhancing organisational survival of small and medium scale businesses. It specifically investigated the significance of knowledge acquisition, transfer and application in enhancing the survival small and medium enterprises. The study adopted the exploratory survey research design and the population comprised all owners and managers of small and medium scale business firms in Ogun State. A total of 110 owners and managers of small and medium size businesses were randomly selected to form the sample. A questionnaire tagged Knowledge Management and Organisational Survival Questionnaire was used for data collection and a structural equation modeling (SEM) was adopted for data analysis. It was revealed that knowledge management factors – knowledge acquisition, knowledge transfer and knowledge application had significant positive contribution to organisational survival of small and medium enterprises. The study concludes that knowledge management practices will help small and medium firms to explore problems and create solutions, producing a structure for facilitating efficiency and effectiveness and organisational capability. It was recommended, among others, that SME should adopt, support, commit to, employ and integrate knowledge management practices into their strategic planning and management.