Inderscience Publishers

The knowledge value chain: how intellectual capital impacts on business performance

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This theoretical paper explores the fundamental issue of how knowledge management initiatives impact business performance. Reflecting on the management literature in the fields of knowledge management and performance management enabled the deduction of four basic assumptions, representing the links of a conceptual cause-and-effect framework – the knowledge value chain. Drawing on the resource-based view and the competence-based view of the firm, the paper identifies strategic, managerial, and operational dimensions of knowledge management. The review of performance management frameworks discusses the role of knowledge management in those models. These reflections allow linking knowledge management with core competencies, strategic processes, business performance, and finally, with value creation.

Keywords: knowledge management, performance management, intellectual capital, intangible assets, value creation, knowledge assets, knowledge-based view, resource-based view, knowledge value chain

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