Knowledge use for competitiveness in a South African pharmaceutical institute

Abstract

The pharmaceutical industry faces numerous challenges, including competition, technology transfers, and mergers in its effort to meet consumer demands. In the global knowledge economy, the effective use of knowledge is a critical factor in the success and competitiveness of pharmaceutical institutions. Therefore, these companies should recognize knowledge as a vital intangible asset, essential for driving innovation and guiding strategic decisions to thrive within an ever-changing, highly competitive environment. In this context, competitiveness refers to the ability to succeed in the market by leveraging the know-how and collective experience of employees, rather than relying solely on physical assets. However, research that demonstrates the importance of knowledge use for competitiveness within the South African pharmaceutical sector, is scarce. The aim of this study was to investigate the use of tacit and explicit knowledge for competitiveness in a South African pharmaceutical institute to develop a knowledge management framework. Karl Wiig's KM Model (1993) framed this postpositivist concurrent mixed-methods study. Data were collected from 11 managers and four executive team members with a web-based Google Form. Statistical and thematic analyses were employed. The study revealed that while executives and managers acknowledged the significant role of knowledge management for organizational competitiveness, they lacked clarity on the specific processes required to leverage this knowledge. This operational deficiency was attributed to the absence of a formal KM framework within the organization. The research contributes to the body of knowledge on KM, specifically within the pharmaceutical sector, by highlighting the necessity of a structured approach to managing knowledge to sustain firm competitiveness.