The Impact of Knowledge Management on The Competitiveness of Insurance Firms in Kenya

Abstract

The purpose of this chapter is to investigate and present the impact of knowledge management strategies on insurance firms in Kenya. The objectives of the study, that informs this chapter, were to examine the current knowledge management strategies used in insurance firms; analyse how the knowledge management strategies used have contributed to the competitiveness of the firms; determine the challenges insurance firms face while using knowledge management as a strategic tool for achieving competitive advantage; and to suggest possible solutions to the identified challenges. The study is a case study of UAP Insurance Company. Data were collected using interviews from 105 respondents selected through information-oriented purposive sampling. The data were analysed through descriptive statistics. The findings indicate that knowledge management strategies are being used as tools for gaining competitive advantage in the insurance industry in Kenya. The authors also reveal weaknesses in the management of knowledge in the insurance sector, and suggest that the industry should embrace structured knowledge management techniques. This will enhance their competitiveness and potential to remain relevant in the business world. The authors recommend that the insurance firms in Kenya should benchmark with other industries which already have established knowledge management systems to enhance their competitiveness.