Role of Knowledge Sharing in Sales Force Performance A Case Study of Sales Peoples in Financial Institutions in Somalia

Abstract

Organization’s face highly volatile and competitive business environments today. The ability to quickly sense and respond to market developments through knowledge gathered from the operating environment creates and sustains competitive advantage. Sales people constant interaction with the market beyond the bounds of organizational rigidity make them a source of market knowledge with least influence of group-think bias that inhibit innovation (Janis 1982). In the knowledge-based economy, an organization’s ability to create, transfer and adopt knowledge rather than allocating efficiency determines sustainability of its existence. (Prahalad and Hamel 1990). Knowledge sharing is part of the knowledge transfer component of knowledge management. The purpose of the study was to determine the effects of knowledge sharing that influence sales force performance in commercial banks. Within the context of knowledge management framework, knowledge sharing is seen as a way of exchanging knowledge internally and externally through organization channels with an aim of improving value (Lin, Wu, and Lu, 2012). Inter-personal, organizational and barriers to knowledge sharing factors affecting sales force performance was considered. There was negative and insignificant relationship between sales force learning and performance suggesting learning did not in fluence performance. Tacit knowledge gained from interaction of the salesperson with the business environment was seen to have developed with time and this experience could not be translated to explicit knowledge unless there was trust in the sales force. There was positive correlation between interpersonal skills and performance as the more time the sales force spends with building relationship with customer, the higher the performance. Teamwork had a positive and significant relationship between teamwork and sales force performance. This result suggests regular interaction between sales force teams and individuals intensify bonds and create a positive working environment where knowledge is easily shared, common understanding reached, implemented and feedback given without fear of repercussion or hoarding of knowledge. It was found current business environment for banks is challenging and knowledge from customers through the sales force drive value for institution and harness power of the client to drive results by placing customers at the center of what a bank does (M. Blanco and R. Langford, 2017). By sharing this knowledge within the sales force and integrate it to the organizational strategy and structure, there shall be overall organizational improvement in performance.