The Impact of Knowledge Management Through Organizational Learning on Digital Innovation in Refah Bank

Document Type : Original Article

Authors

1 Associate Professor, Department of Management, Faculty of Social and Economic Sciences, Al-Zahra University, Tehran, Iran

2 Master's degree, Department of Management, Faculty of Social and Economic Sciences, Al-Zahra University, Tehran, Iran

Abstract

Purpose: In service-oriented organizations such as banks, learning, knowledge management, and digital innovation enhance the efficient utilization of the organization's available time, resources, and capabilities. The need to generate new knowledge using information technology is one of the challenges that managers face today. In the new paradigm, characterized by a competitive and knowledge-oriented environment, organizations should view innovation as an essential strategy to maintain competitiveness. Through digital innovation, new opportunities to access markets and gain competitive advantages at the national and international levels will be created. One of the challenges that organizations face today is the need to develop new knowledge based on information technology due to changes in the environment. Therefore, this research aims to determine the impact of knowledge management through organizational learning on digital innovation in Refah Bank.
Method: This research is quantitative. A cross-sectional and hierarchical fuzzy logic approach was conducted with a sample size of 2022. The research population consisted of 9063 managers and employees from Refah Bank across the country. A simple random sampling method was used, with a sample size of 368 people. An electronic questionnaire, which incorporates the Lawson Knowledge Management Questionnaire, the short form of the Sange Organizational Learning Questionnaire, and the Kane and Ho Digital Innovation Questionnaire, draws on digital knowledge from research literature. Its validity and reliability have been confirmed, and it is utilized for data collection. Data analysis is conducted using Smart PLS 2 software, and the research's conceptual model is tested using the partial least squares technique. Partial Least Squares (PLS) method is utilized to validate and fit the research model.
Findings: The study confirms the mediating effect of organizational learning on the relationship between the dimensions of knowledge management and digital innovation. Knowledge management variables have an impact on organizational learning. Organizational learning has a significant impact on digital innovation.
Conclusion: According to the research findings, the acquisition, creation, sharing, and maintenance of knowledge, as well as digital knowledge, have an impact on digital innovation through organizational learning. The research results indicate that organizational learning plays a crucial role in connecting knowledge management and digital innovation. In previous research, little attention has been given to organizational learning in the context of knowledge management's impact on digital innovation. Therefore, the current research aims to address this gap. The qualitative research conducted by Di Vaio et al. in 2021 on the content of articles related to knowledge management and digital innovation indicates that there has been no research on the impact of knowledge management and digital innovation. Furthermore, there has been no governance framework to measure the impact of digital transformation and knowledge management on each other. Knowledge management, like a system, is considered an important input, with organizational learning as a key process, and digital innovation as a vital output for today's organizations. Banks can enhance their organization's digital innovations by implementing knowledge management and organizational learning systems. It is essential for the management to understand the concept of knowledge management and to support the knowledge management program through resource allocation and revising the priorities of Refah Bank. Digital innovation tools should align with the expected processes of knowledge management and organizational learning. Careful planning is essential in this case. It is suggested to establish a knowledge creation working group to reduce the influence of individual biases. It is important to prioritize the role of human resources in advancing knowledge management and to make decisions that facilitate the production, storage, and dissemination of knowledge within the organization. Banks can share knowledge by updating electronic archives of documents and through the organizational portal, software groups, proposal management systems, and thus improve employee efficiency and document knowledge. This also allows for the utilization of valuable hidden employee knowledge in future work. As a result, they achieve organizational innovation, which is considered a crucial outcome for organizations today. Other mediating variables, such as industry type, management style, organizational culture, and other factors influencing digital innovation, should be considered in future research.
 

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