IMPACT OF KNOWLEDGE MANAGEMENT PROCESS ON STRATEGIC COMPETENCE OF FINANCIAL COMPANIES IN BATTICALOA DISTRICT, SRI LANKA

Abstract

This study aims to examine the impact of knowledge management process on strategic competence of financial companies in Batticaloa district, Sri Lanka. It is generally accepted that due to globalization, competition is becoming more intense and as organizations are now able to or forced to open newer markets with different paradigms, conditions, operating methods and requirements. As a result, many organizations are finding it necessary to re-think their Strategic Competences in order to survive in this new global environment. Although Knowledge Management (KM) process has been around for some time, and has increasingly become an accepted management tool, it is yet to be seen by organizations as a necessary integral part of building Strategic Competences. This research study is based on a sample of the data collected from 194 respondents, drawn randomly from financial companies in Batticaloa. An structured-questionnaire was used to collect the data and analyzed using SPSS. Multiple regression analysis was done to test the hypotheses The results of the survey show that the KM processes have a significant impact on four selected factors of Strategic Competence (Shared Vision, Cooperation, Empowerment, and Innovation).