Unlocking Organizational Potential: The Synergy of Performance Management and Knowledge Management

Abstract

Knowledge Management (KM) is pivotal for ensuring access to essential information, expertise, and resources, enhancing organizational performance. It involves processes such as identifying, capturing, organizing, and sharing knowledge within an organization, leading to streamlined workflows, innovation, and problem-solving. KM initiatives often incorporate systems like document repositories and intranet portals. Moreover, KM is intertwined with performance management, where insights from evaluations inform knowledge creation and dissemination efforts. Effective KM strategy necessitates robust performance measurement systems aligning with organizational goals. Performance measurement in KM evaluates the effectiveness of knowledge processes, practices, and systems, assessing contributions to productivity, innovation, and time-to-market reduction. It identifies gaps and opportunities, optimizes resource allocation, and enables continuous improvement. Performance measurement in KM demonstrates its value to stakeholders, guiding decision-making and fostering a culture of learning and innovation. This study explores the relationship between performance management indicators and knowledge management within a construction company. Findings reveal a significant and positive correlation, emphasizing the importance of factors like goal alignment, employee development, process efficiency, and organizational culture in effective knowledge management. These insights underscore the need for integrating performance management with knowledge management to drive organizational success.