Nigerian Journal of Banking and Financial Issues (NJBFI)

Knowledge Management Strategy And Performance Of Nigerian Small And Medium Enterprises

Abstract

The study examines the effect of knowledge management strategies on performance of firms in the small and medium scale sector in Nigeria. Previous researches have demonstrated growing concern on knowledge management and performance discourse but the benefits of knowledge management adoption are not fully exploited by small firms in emerging economies, particularly in Africa. For this reason, to explore our understanding in this area, the present study was conducted in the Nigerian small and medium scale enterprises sector. The data were collected through a survey of 798 registered firms in southwest geopolitical zone of the country. The data collected was subjected to editing and coding and was analysed using structural equation modeling method. The results of the study indicate a negative but statistically significant impact of knowledge management on the performance of SMEs. It is concluded that knowledge management elements do not have direct influence on the performance of firms in the small and medium sized enterprises sector.