The Role of Intellectual Capital and Knowledge Management in Enhancing FMCG Firm Performance
Abstract
Researchaims:ThisstudyaimstoanalyzetheroleofIntellectualCapital(IC) and Knowledge Management (KM) in influencing Firm Performance (FP) in companies within the Fast-Moving Consumer Goods (FMCG) sector.
Design/Methodology/Approach: A quantitative approach was employed using thePartialLeastSquaresStructuralEquationModeling(PLS-SEM)method.Data werecollectedthroughquestionnairesdistributedto104respondentsacrossvarious job levels.
Research findings: The results indicate that both IC and KM have a positive and significant impact on FP.Furthermore, KM was foundto partially mediate therelationship between IC and FP, implying that a firm’s success is not only determinedbyintellectualcapitalbutalsobyitsabilitytomanageandutilizeknowledge effectively.
Theoretical Contribution/Originality: This study contributes to the developmentofICandKMliteraturebyhighlightingthemediatingroleofKMinenhancing firm performance, particularly in the FMCG sector.
Practitioners/Policy Implications: The findings provide practical insights for managersindesigningandimplementingknowledge-basedstrategiesthatintegrate IC and KM to strengthen firm performance and build sustainable competitive advantage in dynamic markets.
ResearchLimitations/Implications:Thestudyislimitedbyitssamplesizeand focus on the FMCG sector. Future research may expand to other industries and employ longitudinal data to capture performance dynamics over time.
Keywords
Full Text:
PDFReferences
Akpinar, A. T., & Akdemir, A. (1999). Intellectual capital. In Third European C o nference (pp. 332– 340).
Alavi, M., & Leidner, D. E. (2001). Knowledge management and knowledge management systems: Conceptual foundations and research issues. MIS Quarterly, 25(1), 107–136.
Arief, I., Hasan, A., Putri, N. T., & Rahman, H. (2023). Literature reviews of RBV and KBV theories reimagined technological approach using text analysis and Power BI visualization. JOIV: International Journal on Informatics Visualization, 7(4), 2532–2542.
Ausat, A. M. A., Widayani, A., Rachmawati, I., Latifah, N., & Suherlan, S. (2022). The effect of intellectual capital and innovative work behavior on business p e r- formance. Journal of Economics, Business, & Accountancy Ventura, 24(3),363–378.
Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120.
Christofi, K., Chourides, P., & Papageorgiou, G. (2023). Revealing a non-linear relationship between knowledge assets and firm’s value. Electronic Journal of Knowledge Management, 21(1), 1–12.
Clarke, M., Seng, D., & Whiting, R. H. (2011). Intellectual capital and firm performance in Australia. Journal of Intellectual Capital, 12(4), 505–530.
Donate, M. J., & de Pablo, J. D. S. (2015). The role of knowledge-oriented leadership in knowledge management practices and innovation. Journal of Business Research, 68(2), 360–370.
Evangelista, P. (2010). The adoption of knowledge management systems in small firms. Electronic Journal of Knowledge Management, 8(1), 33–42.
Hair, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2017). A primer on partial least squares structural equation modeling (PLS-SEM) (2nd ed.). Sage Publications.
Hair Jr, J. F., Hult, G. T. M., Ringle, C. M., Sarstedt, M., Danks, N. P., & Ray, S. (2021). Evaluation of reflective measurement models. In Partial least squares structural equation modeling (PLS- SEM) using R: A workbook (pp. 75–90). Springer.
Hejazi, R., Ghanbari, M., & Alipour, M. (2016). Intellectual, human and structural capital effects on firm performance as measured by Tobin's Q. Knowledge and Process Management, 23(4), 259– 273.
Hesniati, H., Margaretha, F., & Kristaung, R. (2019). Intellectual capital, knowledge management, and firm performance in Indonesia. European Journal of Business and Management Research, 4(6).
Henseler, J., Ringle, C. M., & Sarstedt, M. (2015). A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of t h e Academy of Marketing Science, 43, 115–135.
Hsu, I., & Sabherwal, R. (2011). From intellectual capital to firm performance: The mediating role of knowledge management capabilities. IEEE Transactions on Engineering Management, 58(4), 626–642. https://doi.org/10.1109/TEM.2011.2111456
Hussinki, H., Ritala, P., Vanhala, M., & Kianto, A. (2017). Intellectual capital, knowledge management practices and firm performance. Journal of Intellectual Capital,18(4), 904–922.
Inkinen, H. (2015). Review of empirical research on intellectual capital and firm performance. Journal of Intellectual Capital, 16(3), 518–565.
Inkinen, H. (2016). Knowledge management practices and intellectual capital in the context of corporate performance. Journal of Knowledge Management, 20(2), 278–300.
Karthik, T. T., & Prasad, T. R. (2020). SWOT (strength, weakness, opportunities and threats) analysis of fast moving consumer goods (FMCG) industries in India. Shanlax International Journal of Commerce, 8(1), 92–100.
Klein, D. A. (2009). The strategic management of intellectual capital. Routledge. Madhani, P. M. (2009). Resource based view (RBV): Concepts and practices.
Nickerson, J., & Zenger, T. (2004). A knowledge-based theory of governance choice: A problem- solving approach. Organization Science, 15(6), 617–632.
Nwabekee, U. S., Abdul-Azeez, O. Y., Agu, E. E., & Ignatius, T. (2024). Challenges and opportunities in implementing circular economy models in FMCG industries. International Journal of Frontline Research in Science and Technology, 3(2), 73– 91.
Sánchez, A. A., Marín, G. S., & Morales, A. M. (2015). The mediating effect of s t r a- tegic human resource practices on knowledge management and firm performance. Revista Europea de Dirección y Economía de la Empresa, 24(3), 138–148.
Shujahat, M., Sousa, M. J., Hussain, S., Nawaz, F., Wang, M., & Umer, M. (2020). Translating the impact of knowledge management processes into knowledge- based innovation: The neglected and mediating role of knowledge-worker p r oductivity. Journal of Business Research, 129, 652–663.
Subrahmanyam, S., Aishwaryalaxmi, N. S., Khalife, D., Shaikh, I. A. K., Faldu, R., & Asthana, N. (2024). Impact of knowledge management and big data analytics capabilities on firm performance. In Ninth International Conference on Science Technology Engineering and Mathematics (ICONSTEM) (pp. 1–5). IEEE.
Torre, C., Tommasetti, A., & Maione, G. (2021). Technology usage, intellectual capital, firm performance and employee satisfaction: The accountants' idea. The TQM Journal, 33(3), 545– 567.
Truong, B. T. T., Nguyen, P. V., & Vrontis, D. (2024b). Enhancing firm performance through innovation: The roles of intellectual capital, government support, knowledge sharing and knowledge management success. Journal of Intellectual Capital, 25(1), 188–209.
Truong, D., Van, L. T., & Le, T. H. (2024a). Knowledge management and its impact on business performance: An empirical study in the FMCG sector. International Journal of Business and Management, 25(3), 45–61.
Uhlaner, L., van Stel, A., Meijaard, J., & Folkeringa, M. (2007). The relationship b e t- ween knowledge management, innovation and firm performance: E v i d e n c e from Dutch SMEs. Scientific Analysis of Entrepreneurship and SMEs, 3(2), 1–26.
Wahyudi, W., Sulistyowati, P., Iriyanto, S., Poerbantor, H., & Sukamto, S. (2023). The effects of intellectual capital on organisational agility: The role of knowledge sharing as mediation. International Journal of Economics and Management Research, 2(1), 9–25.
Wang, Z., Wang, N., Cao, J., & Ye, X. (2016). The impact of intellectual capital– knowledge management strategy fit on firm performance. Management Decision, 54(8), 1861–1885.
Xu, J., & Li, J. (2022). The interrelationship between intellectual capital and firm p e r- formance: Evidence from China's manufacturing sector. Journal of Intellectual Capital, 23(2), 313–341.
Xu, J., & Liu, F. (2020). The impact of intellectual capital on firm performance: A modified and extended VAIC model. Journal of Competitiveness, 12(1), 161-176. https://doi.org/10.7441/joc.2020.01.10
DOI: http://dx.doi.org/10.22441/jimb.v12i1.36499
Refbacks
- There are currently no refbacks.
Copyright (c) 2026 Jurnal Ilmiah Manajemen dan Bisnis

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Jurnal Ilmiah Manajemen dan Bisnis
Fakultas Ekonomi dan Bisnis Universitas Mercu Buana
Jl. Raya Meruya Selatan, Kembangan, Jakarta 11650
Tlp./Fax: +62215871335
ISSN: 2460-8424
E-ISSN: 2655-7274
http://publikasi.mercubuana.ac.id/index.php/jimb
This journal is indexed by:

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.





.jpg)
_.jpg)
