Is knowledge management losing ground? Developments among Icelandic SMEs

Ingi Rúnar Eðvarðsson

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Knowledge Management and Sharing Innovation and Knowledge Management Management and Organizational Practices

Abstract

This paper presents findings from a survey on knowledge management (KM) in small and medium-sized firms (SMEs) in Iceland conducted in 2007 and was a follow-up of a similar survey from 2004. The paper analyses whether the extent, strategy and effects of KM in SMEs in Iceland has changed in the period. The main conclusion is that KM is not losing ground among SMEs in Iceland. Identical numbers of firms used KM in 2004 and 2007, and slightly more firms were examining the need in 2007 than 3 years earlier. It is, however, of great concern that many more firms have no KM strategy in 2007 than 2004. More managers in SMEs need to consider the strengths and weakness of KM, and to implement a formal KM strategy. Only 24% of Icelandic firms have a KM programme in place, and most of them have invested in simple information and communication technologies. The most common way of sharing tacit knowledge in Icelandic firms is encouraging face-to-face communication. The surveys indicate that benefits of KM programmes are quite positive even in SMEs. Accordingly, the research findings indicate that KM could improve organisational and managerial as well as financial aspects of SMEs. This research was carried out in only one country, and is based on a questionnaire. Its results should therefore be interpreted with care.

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References

1998Working knowledge: how organizations manage what they know 1999What's your strategy for managing knowledge?2005Knowledge Management 2001Toward a Theory of Knowledge Reuse: Types of Knowledge Reuse Situations and Factors in Reuse Success 2006Knowledge management at SMEs: five peculiarities 2001SME and large organisation perceptions of knowledge management: comparisons and contrasts 2000Knowledge management in small and medium‐sized companies: knowledge management for entrepreneurs 2006Knowledge management issues in knowledge‐intensive SMEs

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2015A literature review on knowledge management in SMEs 2019Efficiency and effectiveness of knowledge management systems in SMEs 2013The Benefits of Knowledge Management in Small and Medium-sized Enterprises 2018Knowledge Management, Knowledge Creation, and Open Innovation in Icelandic SMEs 2021Defining the Economic Role and Benefits of Micro, Small and Medium-sized Enterprises in the 21st Century with a Systematic Review of the Literature

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