Knowledge management and organizational sustainability performance: Dual mediating effects of knowledge auditing and supply chain learning

Drawing on the Knowledge-Based View (KBV), this study investigates how knowledge management (KM) processes drive organizational sustainability performance. Despite the recognized importance of KM, the specific mechanisms particularly the sequential roles of knowledge auditing and supply chain learning remain underexplored, especially in resource-constrained contexts like SMEs. Using PLS-SEM analysis of data from 206 manufacturing SMEs in Shanghai, this study tests a model where knowledge creation and acquisition influence sustainability performance through the dual mediating effects of knowledge auditing and supply chain learning. This “dual mediation” refers to a sequential pathway where knowledge auditing first assesses and organizes knowledge, which then enables targeted supply chain learning, ultimately enhancing organizational sustainability performance. Knowledge creation, but not acquisition, significantly fuels knowledge auditing. Knowledge auditing, in turn, is a vital catalyst for supply chain learning, which directly improves sustainability performance. The key finding is the validated sequential mediation: knowledge creation → knowledge auditing → supply chain learning → sustainability performance. This pathway provides an actionable model for SMEs to systematically convert knowledge into tangible sustainability gains, offering a clear theoretical extension of KBV into the sustainability domain and practical guidance for achieving Triple Bottom Line outcomes. This study makes three key contributions: (1) it expands KBV by empirically unveiling this specific dual-mediation pathway to sustainability; (2) it positions knowledge auditing as a critical, yet understudied, process that translates knowledge into actionable learning; and (3) it offers managers a clear blueprint: focus on internal knowledge creation and reinforce it with regular audits and supply chain learning initiatives.