Exploring the Impacts of Knowledge (Re)Use and Organizational Memory on the Effectiveness of Strategic Decisions: A Longitudinal Case Study

Two forces that dramatically affect the sustainability of firms’ competitive advantage in the new competitive landscape have been identified as globalization and information and communication technologies (ICTs), such as the Internet and intranets (e.g., Castells, 2000; Porter, 2001). Organizations often rely on acquired knowledge from past experiences to make higher quality decisions on business strategies for better future performance. In this context, Knowledge Management (KM) and Organizational Memory (OM) become a central issue to the effectiveness of strategic decision-making and organizational performance. This paper examines the relationship between the (re)use of knowledge/organizational memory (OM) and the effectiveness of strategic decision-making in devising corporate strategies. As part of an exploratory case study approach, a number of interviews are being conducted among top executives at a multi-national firm. As a framework, the components of the modified version of McLean’s IS Success Model by Jennex & Olfman (2002) are being used to examine for the