Knowledge management at SMEs: five peculiarities

TLDR

SMEs depend on organizational knowledge as a key resource, and success hinges on effectively leveraging it despite limited traditional assets and resource constraints that necessitate creative management approaches. The article investigates five peculiarities of knowledge management in SMEs, highlighting its critical role in leveraging their primary resource. The study is based on a nine‑month investigation of knowledge management practices in 25 SMEs. The study found that SMEs manage knowledge differently from larger firms, debunking the notion that their practices are merely scaled‑down versions of larger‑organization models, and highlighting unique peculiarities that warrant further research.

Abstract

Purpose Managing knowledge is a critical capability for small to medium‐sized enterprises (SMEs) to master because it helps them leverage their most critical resource. Organizational knowledge is the most salient resource at the disposal of SMEs in terms of availability, access, and depth. Successful SMEs are those who can leverage their knowledge in an effective and efficient manner, so as to make up for deficiencies in traditional resources, like land, labor, and capital. The purpose of this article to to discuss five peculiarities about knowledge management practices at SMEs. Design/methodology/approach The article draws findings from a nine‐month investigation of knowledge management practices at 25 SMEs. Findings The research discovered that SMEs do not manage knowledge the same way as larger organizations. Viewing SME knowledge management practices as scaled down versions of the practices found in larger organizations is incorrect. SMEs have understandable resource constraints, and hence have to be creative in working around these limitations in order to manage knowledge. Originality/value The paper sheds some light on peculiarities in SME knowledge management practices, which will hopefully entice scholars and practitioners to follow‐up with more detailed research undertakings.