Title: Knowledge-based value creation: grasping the intangibility of service operations in Finland

Authors: Harri Laihonen, Antti Lonnqvist

Addresses: Department of Business Information Management and Logistics, Tampere University of Technology, P.O. Box 541, 33101 Tampere, Finland. ' Department of Business Information Management and Logistics, Tampere University of Technology, P.O. Box 541, 33101 Tampere, Finland

Abstract: This study aims to provide insights on the mechanisms of knowledge-based value creation in the context of a modern service economy. A particular focus of this paper is the concept of intangibility and its role in service operations. Intangibility is a key characteristic of services. However, a lack of in-depth understanding of the issue persists. This paper explores the intangibility of services through the concepts and models developed by the intellectual capital research stream. The aim is to construct a framework to account for intangibility as a characteristic of service, using a literature review and case studies in ten Finnish organisations. As a result, this article provides new knowledge about the service provider|s and customer|s intangible resources, intangible output elements and the transformation of intangible resources into other resources and, finally, into customer value.

Keywords: services; service operations; intellectual capital; intangibility; intangible resources; knowledge-based resources; Finland; value creation; service economy; Finland; customer value.

DOI: 10.1504/IJKBD.2010.038042

International Journal of Knowledge-Based Development, 2010 Vol.1 No.4, pp.331 - 345

Published online: 13 Jan 2011 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article