Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Analysis of Knowledge Intensive Business Services

Diana Popa

Radu Dragan

Advanced Software Services, Faculty of Automatic Control and Computers

University Politehnica of Bucharest
Bucharest, Romania
diana.popa@stud.acs.upb.ro
radu.dragan@stud.acs.upb.ro

April 13, 2016

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

1 Introduction

2 Categorizing KIBS

3 Significance

4 Examples

5 Conclusions

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Definitions

Knowledge Intensive Services (KIS)

knowledge = the main production factor + the good they offer

Knowledge Intensive Business Services

subcategory of KIS
provide knowledge-intensive support for the business processes of other
organizations
intermediary firms which specialise in knowledge screening, assessment and
evaluation, and trade professional consultancy services
those services provided by businesses to other businesses or to the public
sector in which expertise plays an especially important role

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

The big picture

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Characteristics of KIBS

they rely on professional knowledge to a high extend

they either are themselves primary sources of information/knowledge or
they use knowledge to produce intermediate services for their clients
production processes
their employment structures are heavily weighted towards scientists,
engineers, and other experts
classified into KIBS I (T-KIBS) and KIBS II (P-KIBS)

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Categorizing KIBS

proposed by Miles in 1995

KIBS I Traditional Professional Services (P-KIBS)
marketing
advertising
design (other than that involving new technologies)
building services (e.g. architecture, surveying, construction engineering but
but excluding services involving new IT equipment)
accounting and bookkeeping
legal services
environmental services (not involving new technology environmental law)

KIBS II New Technology-Based KIBS (T-KIBS)

computer networks/telematics (e.g. VANs, on-line databases)
software
training in new technologies
design involving new technologies
building services (centrally involving new IT equipment:BMSs)

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Main sectors of KIBS

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Significance of KIBS Sector

Context:
rapidly changing technological environment
increasing complexity of science
Result:
inability to cope with challenges using own resources
KIBS benefits:
avoiding the cost of acquiring and maintaining professional knowledge
internally
specialization (focusing on their core competences)
dealing with competition: investing in intangible resources (abilities, skills,
knowledge) - hard to copy by competitors

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

KIBS and innovation

Production of services:
joint effort of service provider and client
quality of resulting service = the nature of the interaction
degree of innovativeness depends on client adaptation
KIBS:
bridges of knowledge or innovation bridges
point of fusion between more general scientific and technological
information and more local requirements of the client
catalyst between the generic knowledge and the tacit knowledge located in
the practices of companies

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Two way learning process

Client firms and KIBS providers work together to find solutions for
problems and challenges
Feedback from clients can shape innovations in service firms just as much
as service firms can influence their customers innovation
Clients knowledge base changes
KIBS providers gain experience towards the characteristics of a specific
industry
KIBS providers are enabled to learn about new business opportunities

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Bridges of innovation

Parties with various gaps in resources and in innovation capabilities

Intermediaries are employed to fill these gaps (bridge them)
Types of bridging:
expert consulting
experience-sharing
brokering
diagnosis
benchmarking
change agency

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

KIBS roles in innovation

1

Facilitator:
supports a client in its innovation process
the innovation does not originate from the KIBS firm, nor it is transferred
from other firms
e.g.: an engineering consulting firm supporting and oil company that
wanted to drill and explore in a protected area (new operational methods)
- reviewing existing practices, proposing new operation, training the
operators of the client firms

Carrier:
transferring existing innovations from one firm or industry to the client firm
or industry
e.g.: an IT firm implementing and customising advanced and innovative
ERP software in a client firm

Source:
KIBS firm plays a major role in initializing and developing innovations in
client firms, in close interaction with the client firm
e.g.: an advertising agency developing and implementing a completely new
campaign for a client

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Examples

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Examples (cont)

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB

Introduction

Categorizing KIBS

Significance

Examples

Conclusions

Conclusions and Questions

importance of the KIBS sector for the

development of the economy is growing
they significantly affect the formation and
spread of knowledge throughout the economy
play a role as co-producer of innovation in the
client firms they serve

Diana Popa, Radu Dragan

Analysis of Knowledge Intensive Business Services

UPB