Information technology, knowledge management and competitiveness: an empirical study in the South African hospitality context
Date
2012-06-29
Authors
Olsen, Karen
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Abstract
The current contribution of the hospitality industry to South Africa’s GDP is estimated at 8.7% and this is targeted to increase to 9.4% by 2015. Yet, hospitality organisations in South Africa are under increasing pressure to remain competitive. One emerging school of thought links knowledge to competitiveness. Knowledge management has been the focus of much recent research, but there are few studies that investigate the potential competitive gains of knowledge in combination with IT, and even fewer within the context of the hospitality industry. The purpose of this paper is to examine the joint and independent effects of knowledge content, knowledge processes, and IT resources on the competitiveness of hospitality organisations. A research model was developed following a review of the literature. To test the model, a structured questionnaire was developed and a survey was conducted in hospitality organisations across South Africa. 112 Hospitality organisations participated from a sample of 656. Knowledge and IT together significantly and positively influence the financial performance of hotels. Results indicated that the acquisition, conversion, protection and application knowledge processes, knowledge content, IT infrastructure quality and IT capabilities significantly and positively affect market, financial, employee and customer performance, while knowledge sharing significantly and positively affects market, financial and employee customer performance. The mediating role of knowledge application on the relationship between knowledge processes and competitiveness was confirmed. The resulting models had adjusted R2 of .210 for market performance, .226 for financial performance, .118 for employee performance and .117 for customer performance. The findings of this paper benefit the hospitality industry by providing guidance to managers of hotels in their decisions to invest in knowledge management and IT to improve market, financial, employee and customer performance.
An earlier version of this study’s research model and design was presented at the 12th annual Global Technology Management Association (GITMA) World Conference held in Las Vegas in June 2011. Citation: Cohen, J.F., Inward, K., Toleman, M. (2011). 'Knowledge Management, Information Technology Resources, and the Competitiveness of Hospitality Organisations' Twelfth Annual Global Information Technology Management (GITMA) World Conference, Las Vegas, USA, June 2011.
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Keywords
Hospitality industry, South Africa, Knowledge management, Information technology, Competition