Knowledge retention in Vietnam-based ManagementConsulting SMEs

Abstract: Aim: The overall aim of the thesis is to describe and understand how Vietnam-based management consulting SMEs retain organizational knowledge in cases of employees’ departure and further develop strategies for knowledge retention. Methodology: Qualitative research via semi-structured interviews in 2 Vietnam-based management consulting SMEs (1 medium-sized company and 1 small company) was conducted. Findings: Knowledge retention is still a rather new concept in the Vietnamese context, interestingly, however; some knowledge retention initiatives have been unconsciously implemented by Vietnam-based management consulting SMEs. Small-sized companies, which suffer more from resource scarcity in terms of human, finance, time, tend to be less active in knowledge retention than medium-size companies. More efforts have been put in retaining tacit knowledge by management consulting SMEs in Vietnam. Among the factors influencing knowledge retention, leadership is seen to be the key factor to decide the successful implementation of knowledge retention of Vietnam-based management consulting SMEs. Vietnamese culture is also found to have indirect impacts (either positive or negative) on knowledge retention through other factors (leadership, organizational culture, personal attitudes), however the effect of national culture on knowledge retention varies from firm to firm, largely depends on SMEs’ leadership. Practical implications: Considering the important roles of leaders in the implementation of knowledge retention, training on leadership skills is highly recommended. Furthermore, trainings on interpersonal skills and personal attitudes towards knowledge retention also need attention. On top of that, it is essential to build up an organizational culture that facilitates knowledge retention and provides appropriate organizational supports (affordable IT systems that suit SMEs’ needs, extrinsic together with intrinsic rewards). Last but not least, knowledge retention activities are recommended to be integrated into daily operations to cope with the issues related to time constraints faced by management consulting SMEs.