The 2015 International Conference of Management Sciences ICoMS 2015, April 23, UMY, Indonesia | 191
motivation and opportunity. Properties of knowledge management context could impact an individual’s
ability
to create, retain, or transfer knowledge. Or the context could provide people with the
motives
and incentives to participate in the knowledge management
process. Or the context could provide an individual with the
opportunity
to create, retain, or transfer can knowledge. Properties of the knowledge management
context can operate through more than one causal mechanism.
Heisig 2009, found, that four categories were constructed for considering context factors which are
critical for the success of knowledge management: 1 Human-oriented factors: culture
– people – leadership. 2} Organisation: process and structure. 3 Technology:
infrastructure and applications and 4 Management process: strategy, goals and measurement.
The empirical research on knowledge management in the hospital not been much done. Most of research was
examine the knowledge management in the company or industries. Thus the research must be done to further
open the insights of knowledge management in the hospital. This research was conducted to know the
influence of internal marketing and organizational culture on knowledge management.
2. LITERATURE REVIEW
Knowledge Management Knowledge management provides a means to capture
and store an organization’s data while individuals and teams generate the knowledge for the organization
– the organizational intelligence. The merger of the
intelligence generating functions of teams with the knowledge capturing and distributive functions of
knowledge management systems becomes a powerful tool for organizational innovation Turner et al 2012.
Knowledge is an important organizational resource. Unlike other inert organizational resources, the
application of existing knowledge has the potential to generate new knowledge. Not only can knowledge be
replenished in use, it can also be combined and recombined to generate new knowledge. Once created,
knowledge can be articulated, shared, stored, and re- contextualized to yield options for the future.
Aktharsha 2011. The strategic management of organizational knowledge
is a key factor that can help organizations to sustain competitive advantage in volatile environments.
Organizations are turning to knowledge management initiatives and technologies to leverage their knowledge
resources. Knowledge management can be defined as a systemic and organizationally specified process for
acquiring, organizing, and communicating knowledge of employees so that other employees may make use of
it to be more effective and productive in their work Kankanhalli, Tan Wei, 2005.
Knowledge management
have three
prosesses: knwledge acquisition, knowledge creation, and
knowledge utilization and sharing Davenport dan Prusak, 1998; Gold et al. , 2001; Heisig, 2009.
Knowledge acquisition refers to the processes by which new knowledge is aquired from outside source,
knowledge creation is the process of transforming the newly acquired knowledge to the context of the
organization, and knowledge utilization and sharing is the process of continuously applying oe exploiting
the newly created knowledgw and sharing it from individual to individual or group Sun, 2010.
Internal marketing Kotler 2001 to foster teamwork among all
departments, the company must carry out internal marketing as well as external marketing.
External marketing
is marketing directed at people outside the company.
Internal ma rketing
is the task of hiring, training, and motivating able employees who want to
serve customers well. In fact, internal marketing must precede external marketing. It makes no sense to
promise excellent service before the company’s staff is ready to provide it.
According to the definition of internal marketing and from the perspective of promoting service culture,
Gronroos 1990 addressed seven kinds of models for internal marketing activities, including: training,
management
support and
mutual internal
communication, support for great quantities of internal communications
and information,
personnel administration tools and human resources management,
large quantities of external communication, market research, market dividers
.
Internal marketing, are the mutually integrates marketing concepts and human resources management
functions. With the needs of employees as its foundation, it properly makes use of management
concepts as well as effective skills for obtaining, developing, encouraging, and maintaining employees
with client awareness and autonomous initiative Lee dan Chen 2005.
In healthcare, internal marketing is primarily concerned with the ways in which the
organization’s management develops educational training, explicitly communicates
organizational perspectives, and creates reward systems that improve the nursing staff’s ability and satisfaction
with their work Tsai 2014.
Organizational Culture Organizational culture can be considered as a
source of knowledge because it allows members to create, acquire, share, and manage knowledge. Mondy
2005 states that organizational culture is a part of the
The 2015 International Conference of Management Sciences ICoMS 2015, April 23, UMY, Indonesia | 192
value system that is believed to be a habit and all members of the organization in interaction or
employment relationship as a result of behavioral norms. Robbins 2013 states that organizational
culture refers to a system of shared meaning held by members that distinguishes the organization from other
organizations. Seven primary characteristics seem to
capture the essence of an organization’s culture: 1.
Innovation and risk taking. The degree to which employees are encouraged to be innovative and
take risks. 2.
Attention to detail. The degree to which employees are expected to exhibit precision, analysis, and
attention to detail. 3.
Outcome orientation. The degree to which management focuses on results or outcomes rather
than on the techniques and processes used to achieve them.
4. People
orientation. The
degree to
which management decisions take into consideration the
effect of outcomes on people within the organization.
5. Team orientation. The degree to which work
activities are organized around teams rather than individuals.
6. Aggressiveness. The degree to which people are
aggressive and competitive rather than easygoing. 7.
Stability. The degree to which organizational activities emphasize maintaining the status quo to
growth. Internal Marketing and Knowledge Management
Internal marketing promotes the establishment of outstanding relations between management and
employees, and its goal is to increase employee satisfaction
as well
as innovative
customers satisfaction.
For internal
marketing with
a consciousness of organizational commitment and
identity, it can also encourage employees to make effective innovations, dissemination, and applications
of knowledge and also to take their internally stable knowledge and transform it into effective wisdom
about knowledge management, which is favorable to organizations
Lee Chen 2005. H1: Internal Marketing
has a significant influence on knowledge management. Organizational Culture and Knowledge Management
Recent studies have expressed considerable interest in knowledge management practices and
organizational culture. Organizational culture exerts a powerful influence on how companies manage
knowledge. This influence is manifested in many ways. First, culture shapes the assumptions about what
knowledge is considered valuable and hence suitable for managing and exchanging. Second, culture defines
the
relationships between
individuals and
organizational knowledge. Third, culture creates the context for social interaction and determines how
knowledge will be used in various given situations. Finally, culture shapes the processes by which new
knowledge is created, legitimized, and distributed throughout
organizations. The
influence of
organizational culture on the success of knowledge management is so strong that
‘‘shaping organizational culture is central for a firm’s ability to manage its
knowledge more effectively’’ Durmusoglu et al 2013.
Consistent with this literature, it is expected that H2: Organizational culture has a influence on knowledge
management. Internal Marketing dan Organizational Culture
Groonross 1990 suggest that internal marketing can change employees’ attitude and
behaviors, and establish the corporate culture with customer service and satisfaction. In this research it is
expected that H3: Internal marketing has a significant influence on organizational culture.
3. METHODS