Abstract:

The purpose of this paper is to assess the perceived importance of knowledge management in the Small & medium size industry of Pakistan. Moreover this paper makes a significant contribution to literature by analyzing the relationship between sustainable growth and knowledge management activities in Pakistan. The small and medium size industry, which is the backbone of Pakistan’s economy, is needed to be addressed in order to have more understanding about the factors that are contributing towards its growth. Data was collected through self administrated questionnaire and was analyzed by correlation & regression techniques in order to analyze the relation between knowledge management and the growth of SMEs in Pakistan. To achieve success in identifying the best value of their knowledge asset, the SME’s need to give equal attention towards the implementation of knowledge management strategies. Consequently this would help them to achieve higher competitiveness and performance in the domestic as well as in the international market. The findings are that, the awareness of knowledge management is positively related to the sustainable growth of a firm.
Furthermore, the SMEs in Pakistan are giving more emphasis on the human capital rather knowledge management practices.