The effect of contract completeness on knowledge leakages in collaborative construction projects: a moderated mediation study

Abstract

Purpose Organizational networking has been acclaimed as a useful tool for knowledge transfer. However, the demerit associated with knowledge transfer is the leakage of commercially valuable information/knowledge. The purpose of this paper is to empirically establish a useful framework for helping collaborative projects reduce potential knowledge leakages. Design/methodology/approach The study applies a hybrid methodology to collect data. Postulates are tested through SPSS 23 and Process Macro 3.0 model 7. Findings The study finds that knowledge leakage is negatively influenced by contract completeness. Contract completeness has a positive effect on trust and a negative effect on distrust. Partner’s learning intent moderates the relationship of contract completeness with trust and distrust. Trust and distrust negatively mediate the relationship between contract completeness and knowledge leakage. Research limitations/implications The study contributes to the theories of information processing and knowledge management by empirically stating how contract completeness, an organizational structure, supports knowledge management under the influence of partner’s opportunism. The study sees positivism in distrust and explains how practitioners maintain an observatory eye on partner’s opportunism by virtue of distrust ultimately adding value to the distrust literature. Originality/value The conceptual framework is novel because this is the first attempt to investigate the moderation effect of partner’s opportunism on the relationship of contract completeness and relational factors; and the mediation effects of trust and distrust between contract completeness and knowledge leakage.