1 The Innovation Process of Knowledge Intensive Business Service Yan Tao National Institute for...

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The Innovation Process of The Innovation Process of Knowledge Intensive Knowledge Intensive Business ServiceBusiness Service

Yan TaoYan Tao

National Institute for Innovation Management,National Institute for Innovation Management,School of Management, Zhejiang University,School of Management, Zhejiang University,

Email: [email protected]: [email protected]

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Contents

Problems to be solvedProblems to be solved1

Innovation processInnovation process3

Primary results & discussionPrimary results & discussion5

The components of FTCThe components of FTC2 BackgroundBackground2

4 MethodologyMethodology

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1. Problems to be solved

1. What is service innovation?

2. How KIBS firm innovate?

3. Characteristics of KIBS’ innovation process?

Introduction

Literature Review

Case Study

Empirical Study

Discussion &Conclusion

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Contents






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Here are the facts… All national economies are shifting to services

major industrialized nations are >70% services, developing nations are close behind

To better study, manage, and engineer service systems, new skills are needed combination of business, organization,

technology skills Educational system is slowly shifting toward services

service management, operations, marketing, and engineering courses and programs exist

At national level, governments can draw investment toward service innovation.

Coming Age of Service

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What are Knowledge Intensive Business Service (KIBS)?

Concepts: Miles(1995) Hipp(1999) Muller and Zenker(2001) OECD(2001) ……

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What are Knowledge Intensive Business Service (KIBS)?

Financial service

ICT service

Business

service

Engineering & technical service

KIBS

Knowledge intensiveInnovativeConsultantIntermediaries…….

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Contents






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Let’s from technological innovation process1. The Technology Push Theory2. The Market Pull Theory3. The Coupling Innovation Process Theory4. The Functional Integration Innovation

Process Theory5. The Systems Integration and Networking

Innovation Process Theory

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On service innovation process

Bckground of the following three trends: 1. Increasing specialization in knowledge

production;

2. Increasing complexity in physical artifacts, and in the knowledge bases underpinning them;

3. The difficulties of matching technological opportunities with market needs and organizational practices (Pavitt, 2003)

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Service innovation

Barras （ 1980,1984 ）： RPC TheoryMiles （ 1993;1995 ）： Theory DevelopmentGallouj （ 1991;1994;1998 ）： Theory

DevelopmentSundbo （ 1994;1997;1998 ）： Theory

DevelopmentBuilderbeek （ 1998 ）： 4-dimension modelHauknes （ 1996 ）And Finland, Singapore ， Korea

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Service innovation process

Sundbo(1998) 1. Conception stage2. Development stage 3. Protection stage

Sundbo’s service innovation process model is particularly applicable to those enterprises that provide "modular" and "customer oriented" services.

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The model of new service development (NSD)

Scheuing and Johnson(1989) Bowers(1989)Martin and Horne(1995)Lee and Xon(1996)Edvardsson(1996)Zeithaml and Bitner(2000)

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Hertog and Bilderbeek’s Four dimension model

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Contents






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Methodology

1.Multi-case study (Yin, 2003)

Select typical cases from the each sub-sector of KIBS: finance service, ICT service, Business service Engineering and technical service.

Data collection was based on interviews with executive managers from the firms.

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Methodology

2. Service Innovation investigationWong(2002)—SingaporeTether(2002)—OECDHipp(2005)—GermanDrejer

Using questionnaire

The survey was performed in 2006-2007, Mainly covering the KIBS firms in districts of Beijing, Shanghai, Guangzhou

Distribute More than 2000 Now we have received about 700 questionnaires, of which

453 are valid.

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Contents






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1. The cooperator of KIBS’ innovation process

Client From Service

Client from M

Technology supplier

Supplier of M

GBusiness Service supplier

Research institute &Univ

Competitor

others

Financial Service

52.17 15.94 52.17 5.8 21.74 28.99 20.29 17.39 4.35

ICT Service 52.38 17.86 52.38 23.81 20.24 26.19 32.14 21.43 0

Engineering and technical

service25.71 31.43 40 25.71 20 28.57 45.71 8.57 2.86

Business Service

61.54 21.15 30.77 15.38 17.31 34.62 36.54 13.46 7.69

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The characteristics of KIBS’ innovation process

Highly Customer-oriented (Bilderbeek, Hertog, Marklund, Miles, 1998)

InteractionNetworkingCooperation in innovation…….

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Thanks for your attention!

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