Knowledge Management and Competitive Advantage for Private Universities
Having the right knowledge both about your business, market, and competitors and managing that knowledge key factor to the success of business organizations in all their activities. It is very important for any business to keenly utilize this data about the organization so as to gain a competitive advantage over their fierce competitors. One key factor that the business should consider in their operation is knowledge management (Von Krogh, 2009). (c3: 1). This is because knowledge management has been seen as one of the key driver in ensuring business performance and provision of quality services (Bousa and Venkitachalam, 2013) and it is among the important resources to ensure organizational survival (Teece, Pisano, & Shuen, 1997; Kamhawi, 2012).
Currently, there has been steady growth and increase in the number of private institution due to increased number of students in need of higher education and there exists equilibrium where majority of private universities are better educational services compared to public sector. (mohesr.2016). knowledge management refers to the process of sharing, utilizing and dealing with the information and data of both the institution as well as the market (Irma, 2003). The aim of having good knowledge in the private universities is to ensure that they provide quality services than their public counterparts hence making good profits in the educational sector. The management of knowledge has produced significant enthusiasm for business and administration circles because of its capacity to deliver to associations, vital outcomes especially related to institutional profits (Alavi et al, 2009).
Knowledge management assumes a key part in the accomplishment of an association’s exercises and methodologies. (Von Krogh, 2009). (c3: 1). It involves the students analyzing their performance both in academic activities as well as in other co-curricular activities. They get the chance to know where they need to improve on. This means that eventually, these private institutions produce quality graduates who are well equipped to work in the various work environments and be successful (Davenport ¬& Prusak 1998). This increases the institutional reputation, organizational culture, skills, reputation, intuition, and codified theory that influences human behavior and thought and makes many young students to join them and thus helps in ensuring that they outcompete their rivals in the public education sector (Hall & Andriani, 2003). (14 :2)
Furthermore, knowledge management through the use of management information system helps the institution to acquire data about their competitors, their weaknesses and identify opportunities in the market (Alavi et al, 2009). Then come up with ways of utilizing their competitor’s weaknesses and opportunities in the market to ensure that obtain a larger market share hence increased profits. furthermore, the improvements and continued developments has led to globalization and increased competition in the business world. The handling of knowledge is now part of the field of organizational studies, so it needs successful management in order to facilitate organization capability to attain its objectives.
Furthermore, knowledge management is very key to meeting the organizational objectives and strategies (Hall et al, 2003). This is because it stipulates what each member of the institution will perform in order to ensure that the overall goals are achieved. Effective coordination, effective communication about the institutional goals and planning of the organizational activities is also a key component in knowledge management and this lead to smooth running of the organization, exemplary performance and thus playing a key role in creating a competitive advantage over their rivals.
In conclusion due to tight competition in the education sector private universities have to have a strong strategy if they want to remain competitive, they must have a sustainable competitive advantage (Kotler,2001) so the problem can be formulated as follows: Using knowledge management process in private universities can achieve the sustainable competitive advantage.
Therefore, the current study tries to assess the following:
- What is the level of knowledge management in the researched institutions?
- how sustainable competitive advantage is influenced by knowledge management?
- Is there statistically relevant association between the process of knowledge management and sustainable competitive advantage?
To reach this goal, a comprehensive KM model can be used as the basic model to get modified according to institutions requirements and specifications. One of these knowledge management models is the model proposed by the Karl wiig.