The present study aims at investigating the effect of knowledge management (KM) on lean production through the mediating role of employee performance in two factories situated in Fars’s Industrial Estate. Therefore, according to the study subject, the lean production method’s variables are specified as KM and employee performance. The study is an applied research in terms of the objectives and it is carried out based on a descriptive-correlation method. The study population included 120 individuals out of whom 92 individuals were selected as the study sample volume. Convergent-construct validity test was used to determine the validity of the questionnaires used in the current research paper and combined technique and Cronbach’s alpha test were applied to determine the reliability thereof. The study hypotheses were examined using structural equations model through adopting the partial least squares before which the goodness of fit was evaluated for the measurement model, structural model and the overall model. The obtained results signify that the proposed hypotheses are all confirmed.
