Abstract
BACKGROUND:
Information technology creates supremacies by using or exploiting human resources or business which already exist. The use of modern information technology is form of merging between information technology and substantial complementary resources in order to acquire better performance. In this sense, the escalation of information technology can also influence the organizational culture related to quality of human resources in internal environment of organization. Thus, it is important that the influence of IT infrastructure and organizational culture being carried out in order to understand the relationship between both variables.
OBJECTIVE:
The objectives of this study are to examine and explain the influence of IT resources on knowledge management capabilities mediated by organizational culture. Also, this study seeks to unfold how these variables are crucial to the existence of higher education institution (e.g. Universities) in Indonesia, particularly those who are listed as active institutional member of the Association of Indonesia School of Business Administration (AIABI). Thus, providing an empirical finding on the context of knowledge management and organizational culture in the higher education context is beneficial in the quest.
METHODS:
This research is quantitative in nature, by employing the use of survey method as means of inquiry. Further, this research involves 315 samples derived from a total of 63 Indonesian Universities which actively are listed members of the AIABI. For the purpose of hypotheses testing, inferential statistical analysis was utilised in the form of path analysis.
RESULTS:
This study indicated that IT human resource does not influence Knowledge Management Capabilities. This suggest that that the existence of a good and qualified IT infrastructure in Indonesia does not easily assure the running of knowledge management even in Universities which knowledge is regarded as the foundation of their business process. Further, it assumes that culture plays an important role, to which they have tendency to follow top-down direction, affected by surrounding environment rather than initiating to exploit one’s own capability.
CONCLUSIONS:
IT Infrastructure Resource positively and significantly influences organizational culture in universities. IT Human Resource has positive and significant influence on organizational culture in universities. IT infrastructure does not give positive and significant influence on Knowledge Management Capabilities. Organizational Culture of Universities has positive and significant influence on the culture of Knowledge Management Capabilities. Future research should explore how organizational culture acts as a moderating variable since there is an assumption from other research that organizational culture can act as a variable that strengthens or weakens the relationship among human resource management variable and the performance of the companies.
Introduction
Information technology creates supremacies by using or exploiting human resources or business which already exist. The use of modern information technology is form of merging between information technology and substantial complementary resources in order to acquire better performance. The escalation of information technology can also influence the organizational culture related to quality of human resources in internal environment of organization.
Organizational culture is the perception of organization members (individual and group) and they constantly connect to daily occasions that happen in routine organizational environment and later affect the organizational behaviour of organization members which determine the organizational performances [1]. The routine technology tends to create rule-oriented culture with low trust and creativity levels. On contrary, dynamic and fluctuate technology leads to high level of open communication, trust, creativity, and personal responsibility to finish the task [2].
The utilization of this technology is one of requirement to improve organization management. The related factors are; supporting software, hardware and user resources (SDM). Those three factors cannot be separated. Technology cannot be applied without organization and organization will not be effective without the application of Information Technology. The innovation of technology will not only affect the technical competition on human resources but also to stimulate “technology knowledge” of human resources inside the organization. Knowledge Management Capabilities (KMP) is a management capacity to use intangible assets (knowledge) in order to achieve the desired final result [3]. Information technology such as Internet, intranet, extranet, browsers, data warehouses, data mining technical, and software agents can be used as systematization, improve and accelerate the Knowledge Management in intra and inter of large-scale company [4].
College organizations in Indonesia are similar in one way or another because they have the same root of government regulations. Management paradigm of Higher Education owns goal so that Higher Education in Indonesia always points to “continuous of quality improvement,” and this goal can only be achieved if all the directly involved parties in education can play their roles in sense of task responsibilities and clear authority.
Various studies related to IT Resources and KMP shows different results. Several researchers already determine the significant effect of IT on KMP, while some others researchers identify the non-significant connection between IT and KMP. For example, [5] and [6], assume that knowledge management can be improved by using some IT based-systems to achieve succeed. However, the others scientists, argue that IT is not effective for knowledge management, with excuse that technical problems are not significant compared to organizational problems and human in knowledge management [7].
This study aims to explain and analyse the influence of IT Infrastructure Resource on organizational culture, to analyse the influence of IT Human Resource on organizational culture, to analyse the influence of IT Infrastructure Resource on KMP, to analyse the influence of IT Human Resource on KMP, to analyse the influence of organizational culture on KMP in Public University and Private University which are registered as Indonesian Association of Business Administration (AIABI) members. The origin of this study is the addition of organizational culture variable as mediator variable to know the influences of information technology resources in IT Infrastructure and IT Human resources on knowledge management capabilities with organizational culture as mediator variable. The research gap of this research is the specification of IT resources which are IT Infrastructure and IT Human Resources along with their influences on KMP.
The result of this study is expected to give theoretical contribution in form of additional knowledge in research development from the previous research by adding organizational culture as mediator variable and the use of different location from the previous one which is in the educational field to enrich the study about KMP in IT, and practical contribution in form of advice to college organization related to the increasing of competitiveness in the university by giving attention to the related IT resources, the good organizational culture and the improvement of KMP.
Several previous studies have found partial relationship between variables as follow: (1) Infrastructure resource to organizational culture by [8–13], (2) Human resource to organizational culture by [14–19], (3) organizational culture to KMP by [20–25], (4) Infrastructure resource to KMP by [26–31], (5) Human resource to KMP by [32–37]. No previous stu dy has comprehensively studied The Influences of Information Technology Resources (It Resource) on Knowledge Management Capabilities: Organizational Culture as Mediator Variable in Indonesia.
Literature and Conceptual Framework
IT Resource
ITI Resource is foundation of technology from an organization to ensure accurate information, real time and comprehensive for communication. IT Infrastructure focuses on the use of hardware, software and telecommunication technology on cross business units [38]. Building and supporting infrastructure of information technology have to create the adjustments of information technology infrastructure, building the standards of technology, the practice of technology, understanding and communicating the value of information technology structure, and operating the assets of mentioned technology in order to improve the performances of information technology Rockartetal in [39].
Knowledge is the main resource that must be controlled by the whole organization so it will not fall behind in the rivalry of global market. ITI Resource is the foundation of technology from an organization to ensure accurate information, real time and comprehensive for communication. In line with the previous study, the researcher clarifies 3 kinds of IT resources which are; IT Infrastructure (ITI), IT Human Resources (ITH), and IT Relationship Resource (ITR). This study only used 2 kinds of IT resources which were ITI and ITH. This decision was made due to the differences of research location, thus IT Relationship Resource was not included in this study. This research was conducted in Higher Education sector, while the previous study was conducted in manufacturing industry to input the elements of Customer and Supplier.
The research location was on Higher Education sectors, so that only those 2 kinds of resources are the most relevant to apply. ITI Resources is the foundation of technology from an organization to ensure the accurate information, real time, and comprehensive for communication. ITH Resources is defined as IT skill in field of technical and managerial from an organization’s employees [40]. IT Human is a potential asset to create use value to achieve competitive advantage [41].
IT Infrastructure focuses on the use of hardware, software and communication technology in cross unit business [42]. Building and supporting the infrastructure have to create adjustments of information technology infrastructure, building standards of technology, the practice of technology, understanding and communicating the value of information technology infrastructure, and operating the assets of infrastructure in order to improve the performance of information technology Rockartetal in [43].
Knowledge Management Capabilities (KMP)
KMP is a management capacity to use intangible resources, namely knowledge, that aims to reach a desired result [44]. In this research, KMP is defined as process-based capabilities from an organisation to manage and to make use of the knowledge-based intangible resources to achieve competitive excellence ([45, 46]). Knowledge processes that are complete and support each other allow an organisation to obtain, transfer, and use knowledge efficiently [47]. Through this process, organisation can absorb external knowledge, make use of the knowledge to obtain new knowledge, and make it useful [48].
Organisational culture
Generally, organisational culture relates to organisation members’ perception (individuals and groups) and they regularly interact with the organisation about what happens in the internal surroundings that it, later, affects organisational behaviour and performance of organisation members that will give an impact to determination of organisation performance [49]. Dimensions of organisational culture consist of 9 categories: structure, individual responsibility, warmth, support, reward and punishment, conflict and tolerance, performance standard and expectation, organisational identity and group loyalty, and risk [50].
Conceptual framework and hypothesis
This research investigates the relation between IT resource and KMP. Based on the conceptual model, it can be seen that there is a relation between IT resource and KMP. IT resource is divided into 3 categories: IT Infrastructure Resource, IT Human Resource and IT Relationship Resource [51]. However, this research only focuses on 2 types of IT resources: IT Infrastructure Resource and IT Human Resource. This research contains a novelty if it is compared to the previous studies which was done in manufacturing sector at several China’s companies with the use of 3 IT resources. The hypothesis figure of this research is displayed in Fig. 1.

Research Hypothesis.
Based on Fig. 1, the description of the hypothesis is stated below: IT Infrastructure Resource has a positive and significant effect towards university organisation IT Human Resource has a positive and significant effect towards university organisational culture IT Infrastructure Resource has a positive and significant effect towards KMP IT Human Resource has a positive and significant effect towards KMP University organisational culture has a positive and significant effect towards KMP
The approach applied in this study is quantitative research. Quantitative research refers to an investigation of problems arising in individual or community life that is relied on the examination of theories consisting of several variables which are measured with numbers and analysed using a statistic, aiming to determine whether the applied theories that is used to predict are correct or incorrect [52]. This research employs survey method that explains causal relation between analysed variables by applying technique of path analysis.
The approach used in this research is quantitative and survey method that defines causal relation between analysed variables by using technique of path analysis. The research location determined in this study is universities consisting state universities and private universities that become members of Indonesian Association of Business Administration (AIABI). The population of this study is 63 universities that join AIABI around Indonesia that considered as active members. Moreover, purposive sampling technique is employed by selecting samples based on some criteria from total population, 63 AIABI active members. Questionnaires are distributed to Head of Departments, Secretary of Departments, and 3 academic staffs who can use IT. The total population is 5 people multiplied by 63 members of AIABI that is equal to 315 people. The reason of selecting samples purposively considers the aim of the research to choose academic staffs who can operate computers.
The total number of AIABI members is 188 universities. Out of 188 AIABI members, the members that are considered active are 63 universities. Among 63 active members, 36 universities responded the questionnaires while 27 others did not respond the questionnaires. The collected questionnaires consisting of Head of Departments, Secretary of Departments, and administration staffs’ responses were 75 questionnaires in total. The total number of AIABI members who became respondents were 36 while the total number of academic staffs were 39. The total distributed questionnaires were 315 which were spread to Head of Department, Secretary of Department, and 3 academic staffs of every selected university. Response rate of returned questionnaire is 23.8%.
Several used research variables are described as follows: IT Infrastructure resource (ITI) is a technological foundation of universities that become the members of AIABI. It is used to ascertain the accuracy of information, real time, and comprehensive for communication activities. ITI focuses on the data management services, network communication, application quality, and IT management services. Variables of ITI items cover data services, sufficient network quality, needed application, and efficient coordination between departments IT Human Resource (ITH) refers to IT skills of technician staffs and managerial staffs in universities that belongs to AIABI. Items of ITH variables cover staffs who have excellence IT skills, technician staffs who master their field, capability to solve IT problems, human resources who are able to do IT planning, and human resources who are able to evaluate IT projects. Organisational Culture relates to university staffs’ perception towards work environment that covers structure, standard, responsibility, work support, recognition and staffs’ commitment to the organisation. Indicators of organisational culture are structure, standard, individual responsibility, support, recognition and commitment. Knowledge Management Capability (KMP). KMP indicates a process-based capabilities of university organisations that become the members of AIABI to manage and make use of knowledge-based intangible resources in order to increase university competitiveness. Items of KMP indicators comprise periodic meetings, generating new ideas, knowledge distribution, existence of formal process in knowledge practice, providing easy access of knowledge for stakeholders, and developing new services.
Result analysis
Goodness of fit model
Goodness of fit model, Hypothesis model of this research is measured between coefficients of determination (R2) of both equations. The result of the model is displayed below:
The result of measurement of determination is 85.6%. It shows that the contribution of the model to explain structural relation of the five analysed variables is 85.6% while the others is 14.4%. The 14.4% is explained by the applied variables that are not included in this research model.
Model 1: ITI and ITH on organizational culture
1. The IT Infrastructure Resource Coefficient (ITIR) to Organizational Culture
The research hypothesis testing as follows: IT Infrastructure has a positive and significant impact on the organizational culture of higher education.
Table 19 shows that the effect of ITIR on organizational culture obtained beta coefficient value of 0.437 with t count 4,743 and significance level of 0.000 (p < 0.05). This test indicates that H0 is rejected. It means the hypothesis of ITIR variable has significant effect to Organization Culture variable (Y1) accepted.
2. The IT Human Resource Coefficient (ITHR) to Organizational Culture
The research hypothesis testing as follows: ITHR has a positive and significant impact on the organizational culture of higher education.
The table above shows that the effect of ITHR on organizational culture obtained beta coefficient value of 0.445 with t count 4,835 and significance level of 0.000 (p < 0.05). This test indicates that H0 is rejected. It means the hypothesis of ITHR variable has significant effect to organizational culture variable (Y1) accepted.
Model 1: ITI, ITH and organizational culture of KMP
The research hypothesis testing as follows: IT Infrastructure has a positive and significant impact on KMC
The table above shows that the effect of ITIR on KMC obtained beta coefficient value of 0.110 with t count 0.324 and the significance of 0.324 (p > 0.05). This test indicates that H0 is accepted. It means the hypothesis of ITIR (X1) variable has no significant effect on KMC Y2) rejected.
The research hypothesis testing as follows: IT Human Resource has a positive and significant effect on KMC
Table 20 shows that the effect of ITHR on KMC obtained beta coefficient value of 0.129 with t count of 1.162 and significance of 2,249 (p > 0.05). This test shows that H0 is accepted. It means the hypothesis of ITHR (X2) variable has no significant effect on KMC (Y2) rejected. Organizational Culture of higher education has a positive and significant impact on KMC
Table 2 shows that the effect of Organizational Culture on KMC obtained a beta coefficient value of 0.595 with t count of 4,822 and significance of 0.000 (p < 0.05). This test shows that H0 is rejected. Culture Organization variable (Y1) has significant effect on KMC (Y2) accepted.
Results of path analysis testing
Results of path analysis testing
Results of path analysis testing Model 2
This research produces path coefficient between variables. The following displays the image of the path analysis results as a whole. The ITIR variable coefficient on Organizational Culture is 0.631. The coefficient of ITIR variable to organizational culture variable is 0.445. The ITIR coefficient of KMP variable is 0.110. The coefficient of ITHR variable to KMP variable is 0.129. The coefficient of Organizational Culture to the KMP variable is 0.595. The path diagram model can be seen in Fig. 2.

Variable ITIR path model, ITHR, Organizational Culture and KMP.
The equation in the picture above as follows:
Substructure Y1 = 0.437 X1 + 0.445 X2
Substructure Y2 = 0.110 X1 + 0.129 X2 + 0.595 Y1
Hypothesis Testing of IT Infrastructure Resource to Organizational Culture of Higher Education. IT Infrastructure Resource (X1) consisting of adequate data services, good networking, application as needed, effective inter-departmental coordination and efficient inter-departmental coordination can affect Organizational Culture variables. This case indicates that IT Infrastructure Resource for higher education is very sophisticated and adequate therefore it supports the creation of a good organization culture.
The results of this study in accordance with the theory expressed by [53] which explains that the existence of good technology is the basis of the creation of a quality organization environment. [54] also explained that the existence of IT influence on organizational culture. Organizational culture has a link with the organizational culture because the creation of a good organizational culture enables the organization’s culture will also be good. On the other hand, Dorothy and Perry also highlight that the implementation of IT existence has strengthened the value of the organizational culture towards service orientation to its customers.
Hypothesis Testing of IT Human Resource to Organizational Culture of Higher Education. IT Human Resource (X2) consisting of adequate employee skills, high employee technical skills, the ability to provide solutions if there is a problem, the ability of human resources to develop IT planning, and the ability to evaluate a good IT project can affect Organizational Culture variables. This shows that IT Human Resource for higher education is very competent and adequate therefore it supports the creation of a good organizational culture.
IT Human Resource has strong links with Human Resource Management. Human Resource of a recent company will be considered good if mastering IT well. In this all-round IT era, the ability of IT is a capability that must be owned by a company’s Human Resource. The results of this study support Garry’s theory which states that Human Resource management has a link with the work culture of a company in improving organizational performance. The organizational culture is more subjective and will have different impacts on each individual but explained that the organizational culture will be good if a satisfaction of individuals is made up in working.
The testing of IT Infrastructure Resource Hypothesis towards Knowledge Management Capabilities. IT Infrastructure Resource (X1) that consists of an adequate data service, good network, application as needed, effective inter department coordination and efficient inter department coordination has nothing to do with Knowledge Management Capabilities (Y2). It shows that whether IT infrastructure in universities is good or not does not support the creation of KMP in universities.
The result of this research differs from the previous researches. In previous research conducted by Hongyi Mao [55], it is explained that IT infrastructure influences KMP, meanwhile this research found that IT infrastructure does not influence management capabilities. This may explain why the existence of a good IT infrastructure in Indonesia is not the major aspect in knowledge management. It may be related to the culture of people in this country, which tend to follow situation as well as condition and are more affected by the environment rather than having initiative to make use of facilities that have been provided.
Furthermore, based on the field conditions, the majority of respondents are over 35 years old, they include the range of 35–40 years old consists of 15 respondents (20%), the range of 41–46 years old consists of 22 respondents (29,3%), the range of 47–52 years old consists of 11 respondents (14,7%), the range of 53–58 years old consists of 7 respondents, and the range of 59–64 years old consists of 3 respondents. According to Generation Theory, the majority of the respondents are classified as Baby boomers generation and Generation X that relatively lack of respond towards the advancement of IT; even more, programs used in universities are not only Microsoft office but also diverse IT-based information system such as academic information system, staffing information system, lecturer information system and many more. Provided program and information systems need users that are more adaptive towards technology. This field fact may be a factor that a good IT infrastructure will not be optimal if it is not supported by users’ adequate capability.
The testing of IT Human Resource Hypothesis towards Knowledge Management Capabilities. IT Human Resource (X2) that includes adequate skill of the employee, high technical ability of the employee, the ability to give solution if there are problems, the ability of human resource to arrange IT planning, and the ability to evaluate IT project is not related to Knowledge Management Capabilities (Y2). It shows that IT Human Resource in universities is highly competent and adequate that can support the creation of good KMP.
The result of this research is different from the previous researches. In the previous research, [56] reveals that IT Infrastructure Resource influences Knowledge Management Capabilities; meanwhile this research finds that IT Human Resource does not influence Knowledge Management Capabilities.
The result of this research differs from the previous researches. In the previous research, [57] explains that IT infrastructure resource influences KMP meanwhile this research finds that IT human resource does not influence KMP. This may be influenced by as well as explaining that the existence of a good and qualified IT infrastructure in Indonesia does not guarantee the running of knowledge management in universities in Indonesia. It may be related to the culture of people in this country, in which they have tendency to follow command, instruction, and are more affected by the environment rather than having initiative to exploit their capability.
Moreover, this matter seems possible to be linked since the culture of universities in Indonesia is different from other countries. In Indonesia, universities are the employee of the government agency so influences coming from within are lacking, on the other hand, environment and command from the superior are more influencing. It is different from private companies which resources will be competing hard and have initiative to do something innovative and competitive for the sake of maintaining their respective competitiveness.
The testing of Universities’ Organizational Culture Hypothesis towards Knowledge Management Capabilities. Organizational culture (Y1) that includes structure, standard, responsibility, work support, recognition and commitment of the employee towards organization can be affecting Knowledge Management Capabilities (Y2). It shows that organizational culture in universities is good and support the creation of Knowledge Management Capabilities.
Knowledge Management Capabilities in this research equals to the performance of a university or the capability of a university in implementing Knowledge Management. Therefore, it can be said that existing organizational culture affects the performance of an organization. The result of this research support the previous research written by [58] which explains that organizational culture has positive and significant influence on the performance of a company. It is as well as supporting the researcher’s statement that individuals have tendency to be influenced by environmental factors rather than by their consciousness.
Conclusion
Based on the research that has been conducted, it can be concluded that IT Infrastructure Resource positively and significantly influences organizational culture in universities. IT Human Resource has positive and significant influence on organizational culture in universities. IT infrastructure does not give positive and significant influence on Knowledge Management Capabilities. Organizational Culture of Universities has positive and significant influence on the culture of Knowledge Management Capabilities.
This research only focuses on IT infrastructure and IT Human Resource that likely have great contribution to the object of the research in universities. Based on the result of the research above, there are several points that need to be followed up because they are probably good for the next researcher’ knowledge development in either educational or institutional interest or there are the need to re-evaluate the influence of IT infrastructure towards Knowledge Management Capabilities since there is a difference of the result between the previous researcher and this research. Re-evaluating the influence of IT human resource towards Knowledge Management Capabilities is needed since there is a different result between the result of the previous research and the result of this research. Respondents in this research are universities, in the future it is expected that the respondents come from companies so further action can be made, whether cultural difference assumption between universities and companies in Indonesia are different or not. In this research, organizational culture is an intermediate variable. In the next research, the researcher can observe how organizational culture acts as a moderating variable since there is an assumption from other research that organizational culture can act as a variable that strengthen as well as weaken the relationship between human resource management variable and the performance of the companies. Knowledge management can be classified into two type namely explicit knowledge and tacit knowledge. In the future, the research can focus on the deeper analysis of both of that knowledge.
