An empirical study to explore the relationship between AI adoption and digital knowledge management performance

Purpose This study aims to investigate the relationship between artificial intelligence (AI) adoption and digital knowledge management (DKM) performance through the mediating role of digital knowledge capability. Additionally, it examines the moderation of digital culture on the association between digital knowledge capacity and DKM performance, as well as the moderation of AI familiarity on the association between AI adoption and digital knowledge capability. Design/methodology/approach Using a quantitative study design with a time-lag approach, data were gathered in two waves. Finally, 378 senior managers of palm oil-producing firms in Malaysia responded. Findings The findings show that AI adoption positively relates to DKM performance through the mediating role of digital knowledge capability. Furthermore, the association between digital knowledge competency and AI adoption is strengthened by AI familiarity. Additionally, the link between digital knowledge competency and DKM performance is considerably moderated by digital culture. Practical implications In this contemporary digital era, managers in the palm oil sector may benefit from the findings of this study by achieving greater digital knowledge capability and DKM performance while using advanced digital technologies. Originality/value The current research extends the existing knowledge-based view (KBV) theory regarding the effects of organizational knowledge and the adoption of AI. The study also enhances the dynamic capability theory by analyzing the role of knowledge processes induced by AI in organizational pervasiveness and agility in using digital knowledge assets.