Knowledge management practice among local commercial banks in Malaysia: A study of cause and effect

Knowledge Management (KM) practice is the beginning of the emergence of knowledge-based banking institutions.Local banks integrate KM practice as a tool for more competitive amid financial liberalization and the merging of local bank institutions era.The objectives of this study are to identify the causal factor and also the effect results of such practice among local commercial banks in Malaysia.A questionnaire survey was used as data collection technique. A population study on the Human Resource Manager in ten local commercial banks was adopted. Analysis of data affirmed that there is a relation between the cause and the effect of implementing KM practice. Findings also revealed that the increase in knowledge sharing, both horizontally and vertically, alongside with the increase in workers’ efficiency, seem to be the common effects resulting from adopting the practice.It is hoped that this study served as an opening to the local banks to maximize the benefits that KM could offer