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Impediments for Knowledge Sharing in Professional Service Firms
Abstract
Professional service firms (PSFs), where professionals (consultants, lawyers, accountants, tax advisors, etc.) work, are interested in knowledge management because their businesses are heavily dependent on the knowledge of their employees. A core asset is their ability to solve complex problems through creative and innovative solutions, and the basis for this is their employees’ knowledge. The “product” that PSFs offer their clients is knowledge (Kay, 2002; Ofek & Sarvary, 2001; Chait, 1999). Sharing knowledge between colleagues improves the economical benefits a firm can realize from the knowledge of employees. This is especially true for PSFs (Huang, 1998; Quinn, Anderson, & Finkelstein, 1996), where broad ranges of knowledge must be kept to provide intellectual services, and real-life experiences with certain questions and situations are an important asset. The organizations and its members are spread over various offices across the country or the world. The necessity for sharing grows because the network of professionals in most cases can offer significantly better professional advice than any individual. “We sell knowledge… the most valuable thing we can offer is the collective, institutional knowledge of our firm” (Roger Siboni, KPMG executive, in Alavi, 1997, p. 1). Working together openly without holding back or protecting vital pieces of knowledge will result in more productivity and innovation than could be reached individually.
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