This study investigates the mediating significant role of OL in the relationship between KnowledgeManagement (KM) and Organizational Performance (OP). It intends to explore the significant role of KM inachieving superior OP. It analyzes how KM creates OL and how OL contributes to OP.

KM and OL should join forces and develop a unified discipline. KM needs OL and its expanding body of goodresearch. OL needs base of practitioners of KM and its abiding interest in problems and practice.

KM and OP are believed to be essential for the success in business. Organizations and researchers have turnedtheir attention to KM recently. Despite the growing interest and investment of resources in KM, there are fewempirical studies to demonstrate the relationship between KM and OP. Understanding these relationships isessential for managers if they hope to improve OP through KM. The purpose of this research is to fill theabovementioned gap by testing the relationships between KM and their impact on OP.

This study was conducted on the Egyptian commercial banks. Of the 382 questionnaires that were distributed,310 usable questionnaires were returned, a response rate of 81%. This survey-type research is descriptive interms of the data collection.

The finding reveals that KM affects OP through OL. Accordingly, the study provided a set of recommendationsincluding the necessity to pay more attention to KM as a key source for organizations to enhance thecompetitive advantage which is of prime significance for OP through OL.