Abstract: The concepts of knowledge creation and innovation
have a strong relationship but this relationship has not been examined
systematically. This study examines the utilization of knowledge
creation processes of the Theory of Knowledge Creation in Higher
Education Institutions. These processes consist of socialization,
externalization, combination and internalization. This study suggests
that the utilization of these processes will give impacts on innovation
in academic performance. A cross-sectional study was conducted
using survey questionnaires to collect data of the utilization of
knowledge creation processes and classroom-s innovation. The
samples are Business Management students of a Malaysian Higher
Education Institution. The results of this study could help Higher
Education Institutions to enrich the learning process of students
through knowledge creation and innovation.