Intellectual capital, knowledge management and social capital within the ICT sector in Jordan

Abstract

Purpose The purpose of this paper is to empirically investigate the mediating effect of social capital (SC) on knowledge management (KM) and intellectual capital (IC). Design/methodology/approach A conceptual model of the connections between IC, KM, and SC was developed and the posited hypotheses were tested using a survey data set of 281 questionnaires collected from knowledge workers working in 72 information and communications technology companies operating in Jordan. Findings The findings show that knowledge documentation and knowledge transfer emerged as having the strongest effects on IC, followed by knowledge acquisition and knowledge creation, while knowledge application was found to have an insignificant effect. Also, knowledge transfer and knowledge acquisition emerged as the only two significant processes for the development of SC. Moreover, SC was found to partially and significantly mediate the effects of all processes on IC. Practical implications To promote the development of IC, particularly, in a knowledge-intensive business service (KIBS) sector, documentation, transfer, acquisition, and creation of knowledge are especially effective processes. Furthermore, SC can be significantly enhanced through ensuring effective internal knowledge transfer and acquisition practices. Nurturing IC in a knowledge-intensive context can also be significantly enhanced through looking at the firm as a cooperative knowledge-sharing entity, i.e. investing in SC. Originality/value This is the first empirical study that has examined the links among KM processes, SC, and IC in a KIBS sector within an “oil-poor,” “human resource-rich” Arab developing country context.