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Process of Knowledge Transfer

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The research industry has been providing its services through universities and research-oriented companies; however, the contribution in conducting the research has been higher from the universities. After World War II, the research sector flourished in all the developing countries. From 1970 onwards, the need for research in the service sector increased and comprised around 10 percent of the overall research and development being carried out in the US. By 1998, the research in the service sector had increased to 13%. In 2002, the total R& D expenditure through universities rose to about 22 percent as applied research (Johnston and Clark, 2008).

In the United States, the universities account for almost half of the research and development in the service sector (Johnston and Clark, 2008). From 2002 onwards, the service industry’ s contribution towards funding academic research has been increasing and has grown around 900 percent. The contribution of academic research increased in services like transportation, logistics, and distribution to rapid changes in communication and computing technologies. The management of the service industry sector like distribution, logistics, etc. had to evolve according to the requirements from the manufacturing industries.

As more and more manufacturing companies adopted work-in-progress and inventories reduction through just-in-time, the management of these service sectors also had to find innovative methods and integrated transportation system in order to maintain the supply-chain management by managing materials and distribution (Johnston and Clark, 2008). Over time, the use and demand for integrated logistics and transportation service increased. This is why the providers of these services have become more sophisticated. Due to the increase in demand, the managers are now required to be equipped with the relevant knowledge regarding the technology and logistics innovation which has compelled both the service and academic managers to use the academic research and understand its procedure and depth.

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