Knowledge Management, Effectuation And Innovation Performance

Researchers have linked the influence of tacit knowledge with its two dimensions, cognitive and technical, to innovation performance among individuals in firms. The current study aims at investigating the role of these two dimensions and introduces a novel one ¿ effectuation ¿ to determine whether the interplay of these three dimensions leads to positive outcomes in a firm¿s performance and innovative capability. This study uses structural equation modeling (SEM) as a statistical methodology where a number of hypotheses are tested. The results shift the effectuation concept from the entrepreneurial context ¿ where it was examined in previous studies ¿ to the employee level, with a special emphasis on its implications and inferences in an innovative context.