The Effect of Knowledge-Centered Culture and Social Interaction on Organizational Innovation: The Mediating Effect of Knowledge Management

Abstract

The effect of organizational resources in technological innovation has been widely studied. However, the effect of these resources in organizational innovation is a subject that still requires greater scrutiny. Relying on the resource-based view of the firm, we hypothesize that the knowledge-centered culture and the social interaction are factors (resources) that affect the organizational innovation, but that this effect is mediated by the knowledge management. Using a transversal study with a sample of Mexican public hospitals through its high and medium level managers perception we found support for the hypotheses. Results of the research confirm the importance of a knowledge-centered culture, social interaction, and knowledge management as predictors of organizational innovation. This study also buttresses the critical role of knowledge management as a mediating variable in the influence of a variety of factors on the development of organizational capabilities.

Keywords: organizational innovation, knowledge management, organizational resources

JEL Classification: M10