Individuals' knowledge and effective management of their knowledge should lead to performance outcomes for organizations to realize value from these activities (Hult 2003). In addition to the effectiveness and efficiency with which people perform their tasks, organizations increasingly value the innovation and creativity of their employees (Hult 2003). Their innovativeness and creativity are aspects that enable them to solve new problems and generate value and, in turn, help their team and organization to become innovative and effective in generating value for customers (Hult 2003; Janz & Prasarnphanich 2003 ; Sabherwal & Becerra-Fernandez 2003) The development of both tacit and explicit knowledge has also been found to have a clear positive impact on performance (Argyris & Schon 1978; Becerra-Fernandez & Sabherwal 2001). Similarly, Cohen and Levinthal (1990) argue that an individual's skills are the foundation of organizational capacity. The implicit assumption in this type of conclusion is that the individual's skills and knowledge provide the performance outcomes that organizations value and help teams achieve their goal (Sabherwal & Becerra-Fernandez 2003). Table 2 1: KM activities identified in the literature.Author Knowledge management (KM) activitiesAlavi and Leider, 20011. Acquisition (knowledge creation and content development)2. Indexing3. Filtering4. Linking involves screening, classifying, cataloguing, integrating and interconnecting internal and external sources5. Distribute6. Application (using knowledge) Arthur Anderson and APQC, 1996 1. Share 2. Create 3. Identify 4. Collect 5. Adapt 6. Organize 7. Apply Leonard-Barton, 19951. Shared and creative problem solving2..... .. middle of paper...... finally, putting these ideas into practice. All KM activities conceptualized in this research, such as creating new knowledge, accessing what others know about the problem domain, and sharing one's knowledge, should contribute to the richness of one's ideas, relevant support from part of others and the implementation of those ideas. Being innovative means bringing all the activities involved into the staged model indicated above, although not necessarily in a discrete and sequential way (Scott, S. & Bruce 1994). Various knowledge management behaviors focus on enhancing an individual's knowledge which, in itself or enhanced knowledge, can contribute to how he or she engages in the full repertoire of behaviors involved in being innovative. This study will use the measurement of innovation based on Scott and Bruce's stage model of innovative behavior (1994)..