A Model for the relationship between knowledge management and integrated innovation philosophy, and its impact on the financial performance of the firm - Exploratory Study

Due to the current challenges the business environment faces nowadays, it became dynamic rapidly changing and unstable. Firms operating in the modern business environment seek achieving a competitive advantage in order to survive and stay in the market. Firms apply the integrated innovation philosophy which relates to innovation in three aspects, technology, business, and social. This makes it possible to conclude that there are three types of innovation, technological innovation, business innovation, and social innovation. The firm seeking to adopt the integrated innovation philosophy needs the availability of knowledge in order to integrate the three aspects. For that knowledge to be available the firm should manage it, by providing some procedures, which are represented in availability of sources to gain data, storing this data, processing it in order to convert it and turn it into information which is appropriate with the process of decision making, and distributing this information on the users in the firm, to benefit from, when adopting the integrated innovation philosophy.This research focuses on clarifying   the concept of the integrated innovation philosophy, with its three aspects, and the role of the integrated innovation philosophy in facing current challenges in the modern business environment, and discussing the role of knowledge management in suporting the integrated innovation philosophy, and its impact on the financial performance of the firm. So the purpose of the research is studying the relation between knowledge management and integrated innovation philosophy through studying how successful adopting the integrated innovation philosophy in the presence of procedures to manage knowledge in the firm. In addition to studying how effective applying the integrated innovation philosophy is on improving the financial performance of the firm. The study reached a model to clarify the relation between the impact of applying the procedures of knowledge management, and the increased impact of applying the integrated innovation philosophy on the financial performance of the firm, through an exploratory study on a sample of CMA students who work in the Egyptian business environment.