Effect of Knowledge Management on Organizational Performance: The Mediating Role of Organizational Learning in Amhara Region Agricultural Research Institute

Abstract

This paper attempted to examine how knowledge management affects organizational performance and the mediation role of organizational learning with a focus on the Amhara Region Agricultural Research Institute. That is aiming to contribute and allow managers and technical researchers to concentrate on the study's main effects. The study employed an explanatory research design. From the survey method, 216 responses were collected and analyzed using the structural equation model (SEM). Using Amos 23.0 software, confirmatory factor analysis was utilized to test the measurement model, and structural equation modeling
was employed to measure the conceptualized hypotheses. The direct and indirect effects of knowledge management on organizational performance were quantified through a quantitative approach. The results demonstrate that knowledge management has a direct effect that improves the Amhara Region Agricultural Research Institute in part through organizational
learning and organizational learning has also a significant direct effect on organizational performance. From the extension bootstrapped value, organizational learning has also a positively significant partial complementary mediation effect in the connection between knowledge management and organizational performance. The study has also contributed additional empirical evidence of the importance of improving organizational performance through valuable knowledge. Thus, future studies in the Amhara Region Agricultural Research Institute should adopt a knowledge management strategy and broaden competency-based management through Information Technology, looking into other likely mediating and moderating factors.