Knowledge Asset management support business performance
The management of knowledge asset impact business performance. And the business performance is equates to value generated for the key stakeholders of an organisation. The generated value is the result of an organisation's ability to manage its business processes. Which means the effectiveness and efficiency of performing organisational processes are based on organisational competencies. The management of knowledge asset enables an organisation to grow and develop the appropriate organisational competencies. Therefore, the fact that organisational competencies are based on the effective and efficient management of knowledge assets put it at the heart of business performance and value creation.
The effectiveness of knowledge asset management provides firms with an ability to constantly reconfigure accumulate and dispose of knowledge resources to meet the demands of a shiting market. The strategic management scholars refer this process as dynamic capability (Teece et al., 1997; Eisenhardt & Martin, 2000). Dynamic capability basic means the strategic routines wich firms use to achieve new resource configurations as markets emerge, collide, split, evolve and die. The dynamic capability is unique to individual firms, reflecting their specific path-dependencies and hence are considered the source of sustainable competitive advantage and long-term excellence performance.