Exploring the effects of human capital loss on relationships with clients in knowledge-intensive service firms and the moderating effect of knowledge management
by Nishant Kumar
International Journal of Globalisation and Small Business (IJGSB), Vol. 4, No. 3/4, 2012

Abstract: This study aims to examine the effects of human capital loss on relationships with clients in knowledge-intensive born global firms, and explain how firms address the challenges resulting from employee attrition. In so doing, this study applies a dynamic capability-based approach and suggests ways of minimising customers' concern about attrition. Relationship transparency is assumed to be a crucial factor for sustaining long-term relationships with customers and reaffirming service firms' ability to accomplish their commitment and client projects satisfactorily. The findings of this study suggest that development of knowledge retention and sharing capabilities enhances the transparency and reduces the relationship uncertainties resulting from human capital loss. In illustrating the theoretical assumption, the study draws on material derived from four case studies of Indian knowledge-intensive service firms. The findings contribute to the literature on business-to-business relationship marketing, and born global.

Online publication date: Fri, 28-Sep-2012

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