Abstract
M.Comm.
The knowledge-based service industry consists of numerous professional practices. The
nature of the service is a function of the type of knowledge offered e.g. technical specialists,
artistic design specialists and legal specialists to name but a few. Providing a service instead
of a product to satisfy a need in the market requires special unique skills and approaches.
Since most professional practices are small, the total management task is the responsibility
of the partners or the board of directors. In an area of specialisation, such as engineering,
general management skills are also required. Knowledge of finance, marketing, personnel,
operations and general management aspects are important.
The study incorporates a broad set of issues from economic aspects to management
functions to determine what the critical success factors (CSFs) should be to ensure the
success of small professional knowledge-based organisations. Internal factors are
considered and related to how the firm operates. The study extends externally to examine
how clients perceive the services rendered. From a general point of view, managerial
competence is rated as the most important critical success factor. It influences the
relationship between the client and the professional providing the service. The role of the
client's opinion is important when providing an effective service. It is vital to know what the
client needs and how to satisfy the needs. Use is made of a service - quality rating model to
determine where customer expectations are not being met.
The study is concluded by recommending that the CSFs be actively used to focus the firm's
internal activities and resources on the external client requirements. In essence,
management must do more active work, in areas such as cost control, where clients feel they
are being neglected. More attention needs to be focused on the tangible aspects of service
delivery. To bring about success as well as attending to the listed CSFs, training was
deemed to be necessary with regards to quality management, financial management,
marketing management and personnel management. All action plans that could be
developed by the service provider need to be simple to implement on an ongoing basis.
Time and effort is to satisfy a client's needs. The results of this study indicate that
management should focus their efforts on the tasks of management. It does not suggest that
they actually do the work of transforming knowledge into tangible products. It does say that
management should actively influence those people who do the work of knowledge
transformation. The client should always be the centre of the firm's activities.