Getting to Know What People Know

Keeping an inventory of nuts and bolts is a cinch. But it's not so easy to track the knowledge in people's heads. That's where Niku comes in. By Kourosh Karimkhany.

Let's suppose NASA decides tomorrow to send more astronauts to the moon. Could the space agency whip together another Saturn V rocket for the trip?

Probably not. NASA might have the blueprints, but the thousands of engineers who designed the 36-story rocket are long-retired or dead.

A new crop of engineers wouldn't do, because they probably couldn't replicate the clever improvisations and shortcuts the original engineers devised. NASA might just as well design a moon rocket from scratch.

Keeping an inventory of physical assets -- things like blueprints and schematics -- is a piece of cake. Keeping track of intellectual assets -- the improvisations and shortcuts that result in moon rockets -- is not.

That's where Farzad Dibachi comes in. The Iranian immigrant on Monday unveiled his second startup, Niku, a company that will attempt to keep track of knowledge stored in employees' heads.

Its flagship product is a sophisticated project-management program that stores each employee's résumé, skills, work history, performance ratings, and availability. A quick database search with Niku software will reveal which individuals working in a team would be best prepared to install, say, an email system, or design a new jumbo jet, or handle the privatization of a Latin American phone company.

"SAP, PeopleSoft, and the other enterprise software packages manage hard stuff" -- nuts and bolts in inventory, Dibachi said. "None of them manage the soft stuff, the stuff in people's heads. That's a very difficult thing to do."

Practically any business that relies on intellectual horsepower is a potential Niku customer, Dibachi said. But the first version of Niku's product will be tailored for information technology consultants, the folks who install complicated computer and software systems for a living.

Companies like General Motors could use Niku software internally to keep track of its IT staff. Or companies like Booz Allen could schedule the services of its consultants with Niku.

Either way, Niku could find huge demand for its product, analysts said.
"There's a tremendous requirement in IT services for some kind of software that manages workforce allocation," said Joshua Greenbaum, an analyst with Enterprise Application Consulting. "My impression is, a well-designed product really could spell lots of cost-savings."

Niku also plans to set up a Web site, iNiku, based on its technology. The idea is to set up a marketplace where freelance IT consultants can post their skills and availability for a subscription fee. Companies seeking help can search the site for candidates.

"It lets people buy services with the same kind of efficiency Amazon.com has made for books," said Joe Gillach, a Niku marketing director.

So far, Niku has lined up eight customers for its enterprise software. The Web component of its business is still being tested. For the quarter ending 31 March, Niku will have about US$1 million in revenue, Dibachi said.

Dibachi founded Niku in November 1997, shortly after he sold his previous startup, Diba, to Sun Microsystems. Diba designed electronics and software for information appliances like set-top boxes. Its technology became part of Sun's Jini effort.

Dibachi set up Niku with the money from the Diba sale. This time, he said, he plans to take Niku public, perhaps later this year.

Ultimately, Niku also might get acquired, Greenbaum said. Its products would fit in nicely with offerings from dominant business software publishers like SAP or PeopleSoft.

Said Greenbaum: "I would be surprised if PeopleSoft at some point didn't get involved in this."