Examining the Effect of Knowledge Management on Performance of Small Firms in Dare es Salaam: A Case Study of Garage Workshops in Temeke District, Dar es Salaam, Tanzania.

Despite knowledge management being an approach used to achieve organisational objectives by making the best use of knowledge, little has been done on identifying the effect of knowledge management in the Tanzanian context. This study was therefore undertaken to assess the impact of knowledge management on the performance of small firms in Tanzania. Three variables, knowledge creation, knowledge sharing, and knowledge utilisation were examined for their impact on the performance of garage workshops. The researcher used a random sampling technique in recruiting the sample size. Questionnaires and interviews were used in obtaining the data. Content analysis, descriptive statistics, and multiple regression analysis were used to analyse study data. The study found that knowledge creation and knowledge utilisation were positively and significantly related to the performance of garage workshops, while knowledge sharing was found to have a positive but insignificant impact on garage workshops performance. Management of small firms was recommended to hire experienced staff to encourage knowledge creation, create an organisational culture that encourages workers interaction, and arrange tasks in a way that workers are encouraged to utilise new knowledge