Knowledge Intensive Services' Suppliers and Clients

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KIBS Role Innovation in KIBS KIBS-related innovation in client
Facilitative
Turnkey
Managerial
KIBS may innovate in the service they
supply, and I the processes they use to
produce it. Thus training services
have extended the range of subjects
and types of skill they tackle, as well as
innovating both in the use of
multimedia and in face-to-face
instructional settings. Rapid
prototyping services are using
computer links to exchange designs
and results with clients, and new
equipment to construct their models
Innovation in the elements of systems
being combined together, and in the
applications to which these capabilities
may be applied. Opportunities to learn
from doing in concrete circumstances.
Specialisation on the service can allow
for learning from diverse applications,
for specialised innovative efforts.
Knowledge-intensive elements may
evolve out of relatively routine services
as more knowledge of strategic
application of services to client
functions, beyond the immediate
problem, is acquired.
Reduce risks of implementing
innovations by reducing need for
(or accelerating process of)
learning by doing. Opportunities to
learn from a wider knowledge base
than provided in-house, and
sometimes to experience solutions
tried out elsewhere.
As facilitative.
Reduces need for detailed
knowledge of service, freeing
resources to concentrate on core
competencies (though sufficient
knowledge to ensure
appropriateness of service
provision is still required).
Increases opportunities to benefit
from scale economies and KIBS’
innovation.
To elaborate on implications of this sort of approach for KIBS, Table 4 (from Miles,
forthcoming) sets out some of the implications of (a slightly different classification
of) distinct service functions for innovation, both in the KIBS firms and in their
clients. The distinct service roles may seem rather exaggerated, since many firms
supply a bundle of such services as a package – and there may be economies in so
doing, since the service interaction requires learning a great deal about the client, at
least where a non-standardised service is being supplied. But in some KIBS
branches – perhaps relating to the evolution of the market and of knowledge about
the problems it is addressing – the services are fairly well demarcated across
different suppliers.
Networks, constituencies, and communities
The bridging functions of KIBS also bring to mind the literature on social network
analysis and innovative networks.Key references include: Burt (1992) and
Granovetter (1985). Here a useful approach may be signalled by the ideas