Relationship between km and marketing

relationship between km and marketing

verify relationships among KM, organizational performance, and organizational . measures and non-financial measures (e.g. market share and sale growth.). Placement of knowledge management and customer relationship International Conference on Economics, Business and Marketing Management. knowledge based and relationship marketing tools, such as customer relationship . glance, CKM may appear to be just another name for KM and CRM, but.

The rate of reaction when the enzyme is saturated with substrate is the maximum rate of reaction, Vmax. The relationship between rate of reaction and concentration of substrate depends on the affinity of the enzyme for its substrate. This is usually expressed as the Km Michaelis constant of the enzyme, an inverse measure of affinity. For practical purposes, Km is the concentration of substrate which permits the enzyme to achieve half Vmax.

An enzyme with a high Km has a low affinity for its substrate, and requires a greater concentration of substrate to achieve Vmax. An enzyme with a low Km relative to the physiological concentration of substrate, as shown above, is normally saturated with substrate, and will act at a more or less constant rate, regardless of variations in the concentration of substrate within the physiological range.

An enzyme with a high Km relative to the physiological concentration of substrate, as shown above, is not normally saturated with substrate, and its activity will vary as the concentration of substrate varies, so that the rate of formation of product will depend on the availability of substrate. If two enzymes, in different pathways, compete for the same substrate, then knowing the values of Km and Vmax for both enzymes permits prediction of the metabolic fate of the substrate and the relative amount that will flow through each pathway under various conditions.

In order to determine the amount of an enzyme present in a sample of tissue, it is obviously essential to ensure that the limiting factor is the activity of the enzyme itself, and not the amount of substrate available.

relationship between km and marketing

Marketplace knowledge inputs lead to an increase in sales 3. Marketplace knowledge inputs lead to an increase in customer satisfaction 4. Marketplace knowledge inputs lead to an increase in profits 5.

Marketplace knowledge inputs lead to an increase in brand awareness These hypotheses can be tested for a biotechnology organization by designing experiments to study the influence of any of the marketplace variables and measuring marketing objectives such as market share, brand awareness, sales, and customer satisfaction.

Knowledge-based marketing What is knowledge-based marketing? It is marketing which makes use of the macro- and micro-environmental knowledge that is available to the marketing functional unit in an organization. When marketing theory such as the importance of continuously scanning the environment and looking for trends is not put into practice it can result in product failures.

Tupperware markets air-tight, easy-to-use plastic food storage containers using the party concept method of distribution according to Grossmann. In the s and s company sales were doubling every five years.

However, the environment started changing in the s when the incidence of divorce and women entering the work force increased. Rubbermaid adapted to the changes in the environment and used the new knowledge to market similar products in grocery and discount stores, while Tupperware did not respond to these environmental changes. Tupperware markets household consumer products not engineering or biotechnology products. However, this example has been mentioned to stress the importance of scanning any marketplace environment rather than restrict it to the biotechnology or engineering environment.

Many organizations, large or small are practicing knowledge-based marketing. Kotler and Keller have described the practices in a knowledge-based organization. Its goals are to gain knowledge of consumers, sustain long-term brand equity, to use local market expertise and establish retail partnership. It also has a Corporate CMK group whose functions are to manage a proprietary research methods department, to use expert application of and acquire cross-business learning from core research competencies, share services and infrastructure, leveraging traditional research basics e.

On the other hand, a small organization such as Okmulgee Plumbing Oklahoma practices knowledge-based marketing in a less sophisticated but yet effective way. They make a deliberate attempt to capture and maintain knowledge about every customer they serve. They do this with knowledge exchanges with their target market.

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This involves analyzing customer databases, listening to customers, conducting market research including surveys and studying the micro- and macro-environmental trends which includes the competitors.

A Knowledge Management System is vital in any organization that intends to practice knowledge-based marketing and the model of the Knowledge Management System KMS described above can be applied to any industry including the engineering and biotechnology industries. However, the understanding of the concept of knowledge management by different individuals within the same organization may be incoherent. This very much depends on the functional unit to which the individual is attached in the organization.

For example, information technologists would consider the information technology infrastructure of the organization as the most critical knowledge asset, whereas operations managers would consider continuous improvement and operational techniques as its most critical knowledge asset, while marketing professionals consider knowledge-based marketing as its most critical asset, and so on.

In the KMS model, the knowledge creating organization brings together the various components responsible for the productivity in an organization including the innovation of new products or services see figure 1.

As mentioned earlier, the knowledge creating organization has four important components: Organizational mission; Organizational outputs or objectives; Knowledge inputs marketing and other ; and Information systems, computing and telecommunication technology.

According to this model, the organizational mission of the knowledge creating organization must have a clear purpose which should be carefully crafted and successfully implemented. More importantly the organization must be faithful to the mission in every sense of the word.

relationship between km and marketing

As a consequence they are effectively leveraging knowledge to create wealth for their organization and value for their stakeholders. They are doing this more effectively than their competitors. Anything that an organization does is focused on achieving its outputs or objectives. Organizational objectives such as market share, knowledge-based innovative products or services, customer and stakeholder delight, knowledge that benefits human welfare, and profits, to name a few, are derived from the carefully crafted mission statement.

In the KMS model various marketplace knowledge inputs are required before the strategies are developed. As mentioned earlier these include macro- and micro-environmental knowledge, product or service knowledge, knowledge of competitors, knowledge of customers, and value chain knowledge, etc. Other non-marketplace knowledge includes research and development knowledge, knowledge of automation, knowledge of operational techniques, and contribution by knowledge workers, etc.

In the KMS model the core of any organization today is its information systems, computing and telecommunication technology resources.

These technologies enable the organization to capture, create and share knowledge. No organization will survive without this critical resource that would enable it to deal with a rapidly changing environment. All these knowledge components within an organization should be integrated and coordinated in order to achieve its overall objectives.

Customization and personalization Mass customization involves obtaining market knowledge and dynamically organizing resources leading to customization. This process enhancement creates a quality product and a body of architectural knowledge human, technological and processes. Burger King practices the concept of mass customization by giving the customer the option to choose the ingredients in a hamburger.

From the time a customer checks in to a Ritz Carlton Hotel, customer intelligence gathering begins in an unobtrusive way by the hotel employees, who store and disseminate the information using the networked knowledge management system.

The information is dynamically sent to a central production capability, which produces the customized product for shipment to the customer faster than its competitors as time is also considered an important element of mass customization. Although the above three examples are not from the engineering or biotechnology industry the same principles of knowledge management will apply to these two industries as well.

Knowledge management officers Apart from technology and processes, the human factor is one of the most important factors involved in implementing knowledge management. These three factors constitute what is called architectural knowledge. If the human factor is missing, then all you have is the information in databases. These databases alone do nothing for an organization unless the information contained within it is analysed and interpreted correctly by a knowledge worker and the knowledge produced is quickly shared within the organization.

Unfortunately when organizations started de-layering the organizational structure, many knowledge creating employees left, taking with them the important tacit knowledge which had not been captured by the organization.

relationship between km and marketing

Capturing and transferring knowledge It is important to capture the knowledge embedded in organizations. Ninety per cent of the knowledge in an organization is tacit knowledge according to the website Libsuite KM [16]. Nonaka and Takeuchi have described a good example of capturing tacit knowledge and successfully transferring this knowledge transfer to explicit knowledge and as a consequence leveraging it to make profits for an organization.

The Matsushita Electric Company is one of the largest corporations in the world and is well known for brand names such as Panasonic, National and Technics. Inthe product development team was developing a new home bread-making machine at their headquarters in Osaka. Then, the result acquired here finds support on the literature and strengthens the disagreements about the theme.

Nevertheless, it is important to remark that, although these projects had certain items in common for measuring the results of the companies, it is not possible to affirm that the scales were the same due to differences such as the number of indicators and different indicators used in each one of them. Only the studies of Darroch were found to be in line with the results acquired here. This author analyzed specific aspects of the company's innovativeness and associated them to its results that contradict the literature, remarking that, howeverit is rational to understand that innovation skills are crucial for the survival of companies.

This demonstrated that, although the direct effects among the constructs have no statistical relevance, the total effects, which include the mediation of other constructs, are of great importance and statistically relevant, which emphasize the complexity of these relations. In this sense, the results from the total effects found justify the increased explanation power R2 among the constructs.

It was found that, although the Effective knowledge Management F11 has not produced a statistically relevant direct effect on Innovativeness F9when analyzed at an individual level, the total effect 0. This result converges with the results found by Darroche In this case, market orientation is the meaning given to the knowledge, that is, the focus on the customer and on the competition, which are constituents of market orientation.

This result disagrees with the thoughts of Christensenwho defends that efficiently managed companies oftentimes are not able to innovate due to its concerns about meeting the needs of the market.

Darroch's study concluded that knowledge requires a sense understood here as constituents of market orientation and a sense of application understood here as a sense of innovativeness so that it can produce results for the company, corroborating what has been found in this research.

Market Orientation F12 produced a total effect 0. This is equivalent to saying that Market Orientation F12 only produces important effects on the Results F10 when mediated by Innovativeness F9. This result is compatible with the results of the research carried out by Baker and Sinkula and Han et al. It is also important to mention the indirect relations between the construct Effective knowledge Management F11 and the first-order latent variables Market Orientation F6Competition Orientation F7 and Inter-functional Coordination F8of the Market Orientation construct.

The Effective Knowledge Management F11 shows a robust total effect 0. Although several studies have been carried out, the different measuring methods and constructs involved, as well as the different cultural contexts, have hindered the comparisons between certain results. However, some contributions were registered in this research. The model analyzed, which involved effective knowledge management, market orientation, innovativeness and the organizational outcomes showed a complex relation among the constructs, which appeared to be complementary and systemic.

relationship between km and marketing

The evidences that show that knowledge management is part of every relation studied here corroborate the statement that defends knowledge is the organizations' primary resource, because the impact of effective knowledge management on the other constructs led to the understanding of the fact that this resource boosts the activities related to the companies' value generation.

Despite the fact several authors defended this aspect, no discussions based on empirical evidences were found in the literature thus far. The effective knowledge management can also be perceived as the element that provides support, through its processes, for the development of a market-orientation and innovativeness culture; therefore, this is a relevant conclusion accomplished with this research.

This is due to the fact that, knowledge management is commonly pointed in the literature as dependant on an internal culture favorable to its implementation, and not as a culture builder. The positive contribution of knowledge management for the development of the companies' market orientation occurs due to the direct effects of the processes linked to knowledge management that facilitate the capture, creation, organization, dissemination, sharing and application of knowledge, all related to the aspects of the market, and that aim at improving the relationship with the customers, improving or developing new products and maintaining and reaching new markets.

The results pointed that innovativeness needs to be instigated through market orientation, which indicates a route for the applications that will generate value to the company and, therefore, influence its results. This result evidences the contradictory statements about the argument of important authors in the literature concerning innovation and innovativeness.

relationship between km and marketing

Similarly, the acquired results lead to the conclusion that, in order to be effective, knowledge management requires a logical alignment with the organizational goals, evidencing its strategic character.

Due to the fact that knowledge is perceived as a resource and identified as a booster of other resources, it is logical to reckon that several processes thereto related, such as capture, creation, sharing, dissemination, organization, application of knowledge among others, should have a differentiated treatment in the management of companies.

It is also logical to understand that the employees, who are knowledge bearers, receive the same treatment. The managerial contributions of the results found here can be analyzed through two perspectives: On the one hand, a more generic perspective that concerns the importance of implementing knowledge management, on the other, the method for applying the techniques associated to this management method.

About the first perspective, as discussed in the literature, knowledge management is not about a fad. The empirical evidences hereof and those related to several other studies have shown that knowledge is a resource that can make the difference in the process of achieving corporate goals. Despite the fact it is not tangible or a measurable resource, one cannot deny that the impact of the management of processes that facilitate its capture and flow within the company including its application on products, services or even on improvements of the operational efficiency, it is relevant for achieving optimum results in the creation of value.

In this line though, since it is evident that knowledge is created and applied by experts, which are the employees and partners of the companies, trying to understand that knowledge is limited to the management of people, after the empirical evidences found here and within other researches, would be reductionism. This is due to the fact that people work according to processes defined by the companies and within an environment that could be somewhat suitable for the processes linked to the management of knowledge to develop efficiently and effectively, not to mention the material structure technology, mainly for that to occur.

Therefore, it is possible to affirm that the management of knowledge also handles the management of people, although not limited to this. Through the perspective regarding its implementation, given the complexity and the systemic form of the impact caused by knowledge management, as identified here, it is logical to assume that one-off actions, devoid of goals or of a strategy for the management of knowledge, tend to achieve controversial results.

In other words, knowledge management must be developed and applied on the basis of a strategic view. Although this result seems coherent, part of the literature analyzes the practice of knowledge management with basis in the application of one-off managerial practices, which, in view of the empirical results achieved here, makes little sense. As expected, once it is generically understood that this is its primary goal, it became evident that knowledge management contributes to the company's innovativeness and to the results, however, as long as oriented towards tangible goals.

This conclusion arouses important managerial implications, for, as mentioned previously, the one-off practices of managerial techniques related to knowledge management prevail among the companies. Ultimately, although it was not possible to positively identify the contribution of the company's innovativeness to the results, at an individual level, it was possible to understand that, jointly, knowledge management, market orientation and innovativeness are determining factors for the achievement of results in the organizations.

The sample and the quantity of respondents that provided the data figure among the primary limitations of this research, which reached the minimum limit required for the statistical analyses.

Furthermore, it is possible to cast doubt on the sample's representativeness with respect to the universe of Brazilian companies. On the other hand, except for the MKTOR scale, the other scales are still provided with substantial imperfections. These scales were developed to be applied to other cultures of other countries, which might have caused certain misinterpretations on the part of the respondents, despite the efforts for their adaptation.

Ultimately, some of the adjustment indexes achieved lay within the threshold of the acceptance levels or slightly below, as ascertained. This result might be a consequence of data non-normality, sample size, complexity of the model tested and suitability of some variables in the scales. All of these aspects also point to further research. Organizational Barriers to Market Orientation. Journal of Management Research, 3 2 An empirical study of the input of knowledge management on organizational performance.

Journal of Computer Information System. Fatores determinantes do grau de inovatividade das empresas: Retrieved December, 12, from http: Management Learning, Thousand Oaks.

Business Chemistry | Knowledge Management and Knowledge-based Marketing

The synergistic effect of market orientation and learning orientation on organizational performance. Academy of Marketing Science Journal, 27 4 Firm resources and sustained competitive advantage.

Journal of Management, 17 1 The resource-based view of the firm: Journal of Management, 27, edit. Knowledge management as a basis of sustained high performance. Journal of Management Studies, 44 1 Structural equation modeling with AMOS: Harvard Business School Press. A resource based theory of the firm: Organizational Science, 7 5 Developing a measure of knowledge management behaviors and practice.

Journal of Knowledge Management, 7 5 Improving knowledge work processes. Sloan Management Review, 37 4 Managing customer support knowledge. California Management Review, 40 3 A empresa orientada para o mercado: Journal of International Marketing, 7 4 Market-focused organizational transformation in China. Global Marketing in greater Chine.

Journal of Global Marketing, 14 Corporate culture, customer orientations, and innovativeness in Japanese firms: Journal of Marketing, 57 1 Knowledge management, response ability, and the agile enterprise.

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