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Managing Intellectual Assets in Small Knowledge-Intensive Organizations
Abstract
The chapter focuses on how small KIBS (Knowledge-Intensive Business Service) firms manage their knowledge-based processes, or what are termed “intellectual assets.” It finds that approaches to the strategic management of intellectual assets varies significantly according the size and type of KIBS firm. Differences in these approaches impact on the development of effective innovation processes, with resource deficiencies in smaller firms constraining their innovation capability. New technology-based KIBS firms are less likely than traditional professional service KIBS firms to have effective formalised learning systems in place, and generally operate within a more ‘fluid’ working environment. Measures of absorptive capacity indicate that firms perceive gaps in their ability to assimilate and apply knowledge which they recognise to be of strategic importance. The authors conclude that small KIBS firms face particular challenges in managing the innovation process and establishing sustainable knowledge management practices, and may benefit from targeted policy intervention.
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