This study examines how knowledge management affect efficiency by studying innovation capabilities in projects and how technological capabilities and top management support affect these relationships as well. It is essential for government organizations in developing countries to deliver projects, even if they are in complex institutional settings and constraints. Within the context, 283 employees of government organizations in the South Wollo zone of Ethiopia were surveyed using the knowledge-based, dynamic capabilities, and upper echelons theories. The PLSSEM analysis showed the extent to which KM is fundamental to the enhancement of both PIC and PE and positioned PIC as a partial mediator in the relationship between KM and PE. Furthermore, TMS enhances the PIC and PE relationship, while TC positively impacts the KM and PE relationship. The research asserts that strong PE within the public sector is due to strong KM dispositions, high PE results, and appropriate technological levels. This study expands on the transition of knowledge resources with innovation capabilities, performance, and contextual variables. It emphasizes the importance of leadership and technological investment, KM systems, and KM in public project performance for sustained improvement.
Mitiku Assefa Argaw (Wed,) studied this question.