Abstract:
The purpose of this study was to investigate the relationship between Knowledge Management (KM), Total Quality Management (TQM) and innovation and its impact on Islamic banks in Bahrain & Sudan. Based on the theoretical framework, four main hypotheses were developed, and statistically tested. The study used both survey & interview cross-sectional methodology.A convenient sampling technique was adopted for senior managers, data was collected via self-administered close ended 250 questionnaires & open-ended interviews. The hypotheses were tested by applyingmultivariate statistical data analyses.Factor analyses and Structural Equation Model (SEM) were conducted to determine the validity, reliability and to investigate the relationships among the three variables in general and their relationships through mediation. Confirmatory Factor Analysis (CFA) was conducted to identify a variable factor structure of independent variables, dependent variables, and mediators. Results indicate that knowledge management in the basic principles of TQM practices among the employees in Bahrain Islamic banks is higher in contrast to the relative knowledge of Sudan’s Islamic Banks. The study suggests a future direction which needs to be implemented within Sudanese& Bahraini Islamic banks to improve the process quality and productivity.
