Published in Proceeding 1st ICCE (International Conference on Character Education) “, 22-23 Agustus 2015. ISBN: 978-602-73043-0-7
Information Communication & Technology (ICT) plays an important role as a catalyst to enable and facilitate the implementation of the development, transfer, and utilization of knowledge, which subsequently may contribute to the improvement and innovation. This research intends to analyze how ICT competency directly influences knowledge management, how knowledge management directly influences innovation, and how ICT competency indirectly influences innovation through knowledge management. The research is limited to the case of the five sectors of the creative industries in the island of Batam, Indonesia. Those five sectors are television, radio, publishing, IT software and computer services, and architecture. The data are collected via questionnaire from a sample of 150 respondents. A structural equation model is established to study the interrelationship among those variables. At the end, the research concludes that ICT competency has positive effect on knowledge management, as well as on innovation via knowledge management, and knowledge management mediates the relationship between ICT competency and innovation.
Keywords: creative industries, information and communication technology, knowledge management, innovation