Unprecedented global competition has made the manufacturers recognize the significance of innovating in products faster and commercializing them even faster as it is the only way for sustainable growth. Vast amounts of knowledge needed for innovation are spread across various sources, structured and unstructured, and the ability to acquire such knowledge becomes crucial. It is imperative for the companies, small or large, to understand that knowledge does not reside within the four walls of the company. Effective mechanisms are needed to acquire and share knowledge in this complex web of business world. Governments across the globe formulate policies aiming to encourage firms to equip themselves for long-term sustainability and competitiveness in the knowledge era. The Government of India conducts training and skill development programs through the Ministry of Micro, Small and Medium Enterprises and also through other partnering organizations. Not much literature is available in assessing the role of government from a knowledge management perspective. Hence, this study aims to analyze the various government initiatives and the extent of their usage by the firms from such a perspective.

India’s economy revolves around a crucial cog—the manufacturing sector. Indian manufacturing sector is robust with a contribution of around 15% to nation’s GDP and employs around 12% of the labor force. The sector contributes 66% of the country’s exports (2011-12). India is ranked at a commendable 4th position among 38 countries in Deloitte’s Global Index 2013 of the most competitive manufacturing nations. It is predicted that India will make it to the 2nd position in the next five years in global manufacturing competitiveness index, next only to China. Although the contribution of Indian manufacturing sector is quite encouraging, a deeper analysis reveals that the sector needs tremendous efforts for improvement at the global level. In India, the contribution of manufacturing sector to GDP was around 15.8% in 2010-11 as compared to 30% in China, 31% in Korea, 36% in Thailand,26% in Malaysia, 25% in Indonesia and 22% in Singapore. During 2012-13, the share of manufacturing sector in the GDP declined to 15.2%, compared to 15.7% in the previous financial year and was expected to fall below 15% in 2013-14 (PTI, May 12, 2013).

The astronomical growth in competition, turbulent business environment, changing consumer needs, boom of technology era, high mobility of employees, etc. pose a challenge to Indian manufacturing sector.

Knowledge Management Journal, Government of India (GoI), Knowledge Management (KM), Knowledge Acquisition, Government Initiatives, Knowledge Management Processes, Empirical Analysis .