The relationship between knowledge management strategies and corporate social responsibility: Effects on innovation capabilities.

This study analyzes relationships between knowledge management (KM) strategies and company Corporate Social Responsibility (CSR). In particular, and based on knowledge-based and stakeholder theoretical perspectives, this paper focuses on specific connections between KM exploration and exploitation strategies and typical dimensions of a company's CSR performance -economic, social, and environmental. These connections suggest a different KM orientation of firms trying to take advantage of both long and short-term strategies based on either environmental, social, or economic goals for CSR. These relationships are reflected in different hypotheses that were tested by means of a structural equations model in a sample of Spanish firms from the renewable energy sector. The study findings show that KM exploration initiatives are closely related to social and environmental commitment to CSR, whereas KM exploitation initiatives are more related to economic CSR. Moreover, the social dimension of CSR is strongly associated to product innovation capabilities, while the economic dimension of CSR contributes in a greater extent to the development of process innovation capabilities. From these results, the study's discussion centers on how KM strategies and a firm's CSR orientation should be coherent in order to collect specific knowledge from stakeholders for the improvement of innovation capabilities. The study concludes by providing new insights about the relationship between KM and CSR dimensions as determinants of a firm's innovation capability development. • This study analyzes relationships between knowledge management (KM) strategies and corporate social responsibility (CSR). • KM exploration is highly related to environmental and social CSR. • Environmental and social CSR are positively related to the development of product innovation capabilities. • KM exploitation is highly related to economic CSR. • Economic CSR is positively related to the development of process innovation capabilities. [ABSTRACT FROM AUTHOR]