The Role of Knowledge Management in Developing Innovation in Knowledge- based SMEs

Today era is the era of wonderful changes and developments in technology. The era that its intellectual structure is based on deepening the information and participating the creative and knowledge- based labor instead of practical labor. Hence, aware management tries to use knowledge for confronting uncertainty factors, status conservation and creating innovation to expand its competitive arena. This implies that SMEs respect knowledge management and innovation management and use them as strategic need for pioneering in competitive arena in their plans. Nowadays the organizations, which apply the new and innovative thinks, can be successful and survive in competitive world. This article will discuss knowledge management, innovation and the role of KM in developing the knowledge – based SMEs