1,721,022 research outputs found
Configuring Capabilities for Integrated Solutions: Evidence from the IT Sector
This work aims to illustrate how environmental context and organizational structure influence firms strategic choices and how they lead to different capabilities configuration. Drawing upon the main assumption of contingency theory and resource-based view, this paper explores such issue in the specific context of integrated solutions in IT sectors. Integrated solution is an emerging business model that combines products and services; the integrated solutions context appears appropriate for such studies due to the novelty of the offer, the hi-tech characteristics and the big importance assumed by the development of adequate capabilities. The contributions of this paper are twofold: (a) the development of a preliminary taxonomy of capabilities required to offer integrated solutions in the IT sector and (b) analysis of the factors that lead to difference in capabilities configuration across firms
A Review of ‘‘Knowledge Work and Knowledge Intensive Firms’’ by Mats Alvesson, Oxford University Press, 2004
Capabilities for integrated solutions: empirical evidence from the IT sector
The literature about integrated solutions focuses on changes in capabilities and in organizational structure required to offer integrated. The phenomenon of integrated solutions can be analysed as a particular configuration of the product bundling strategy. This strategy consists in the practice of selling products and services together (Adams and Yellen, 1976). Because the product bundling represents the theory underpinning the offer of integrated solution, a complete understanding of the integrated solution is possible only if analyzed trough the theoretical lens of the product bundling. The purpose of this research is to obtain a deeper understanding of the capabilities and the changes in organization that underlie the offer of integrated solutions. The chief contributions of this paper are twofold: (i) analyse the rationales that push firms to offer integrated solution and (ii) investigate which kind of capabilities must be developed and managed by the firms. The IT sector has been chosen for this study because was the first sector that started the transition towards integrated solution
Does Distance Hinder Coordination? Identifying and Bridging Boundaries of Offshored Work
Faraway, so close. Division of labour, supplier relationships and industry architectures
Industry architecture is considered as the structure of relations among agents in an industry: by describing the division of labour and interactions among players, it sheds light on the question of how industries evolve and are transformed, identifying who does what, as well as who takes what. The traditional dichotomy market vs hierarchies do not perfectly describe the reality. The decisional process is more complex and, once the productive process is moved outside the firm’s boundaries, firms are called to define also typologies of the relation with the suppliers. Firms are called to define how close to be with its suppliers, how much knowledge, capabilities and sensitive information to share, how strategic will be the relation.
The empirical setting of the study is the solutions business model, where we assist to the elimination of the traditional division between service and manufacturing. Relying on an original dataset of 102 firms operating in the IT sector in Europe, our results identify a curvilinear U-shaped relation between the specificity of the assets required by the outsourced activities and the typology of relationship with the supplier. A strong relationship with the supplier (e.g., a joint venture or partnership) can be found in presence of both low and high levels of asset specificity: these results only partially confirm the previous understanding of how firms shapes their offering, shedding further light on the evolution of organizational and industry architecture in evolving context
Configuring Capabilities for Integrated Solutions: Evidence from the IT Sector
This paper investigates the way that firms’ environmental context and organizational structure influence their strategic choices and lead to different capabilities configurations. Drawing on contingency theory and the resource-based view, we explore integrated solutions—an emerging business model in which firms bundle products and services—in the IT sector, which is a particularly appropriate context due to its novelty, high-technology characteristics and implications for capabilities development. This study contributes to research and practice by identifying how organizational and environmental/market factors co-evolve with firms’ strategy and how firms’ distinct strategic decisions lead to differences in capabilities configurations
Enablers, Outcomes, and Effects of Product Bundling: Towards an Analytical Model
Product bundling consists of “the practice of package selling”. This practice, mostly studied by economists and marketing scholars, has significant implications for monopoly power, level of welfare and marketing strategies. In recent years, product bundling has gained in importance because, especially in the capital product industries, firms are moving towards the provision of integrated solutions that consist of services and products sold in a bundle and delivered as a unique solution. The objective of this paper is to shed further light on the implications for firm strategy of the practice of product bundling; this paper intends to build a theoretical framework that can be used to analyse firm behaviour in offering product bundling. The chief contributions of this paper are: (1) a critical examination of extant economic and marketing literature on product bundling, (2) the integration of insights gained from this literature into a comprehensive framework and single out implications for scholars and practitioners, (3) drawing some indications for further research
Solutions for Integrated Systems
Recent empirical evidences shows that in many sectors the provision of integrated bundles of products and services is increasing. An example is found in the information technology (IT) sector, in which ERP (Enterprise Resource Planning) systems comprising hardware, software, and technical support and assistance are increasingly offered as turnkey solutions. The IT clients do not buy single components from different firms. Instead, they purchase a complete ERP system from a single supplier that provides software and hardware as well as consultancy services, post-sales assistance, system customization, and hardware maintenance. In some situations it is also possible to outsource the management of the complete IT system to the external provider, that charges a fixed rate for the storage, management, and processing of data and information.
The chapter will explore the implications for operations that firms should face while providing the new offering. In fact, firms that offer solutions are required to provide services previously carried out by business users (for example, after-sales support, maintenance, training, operations, financing, consultancy, and service provision). They must also develop embedded service technologies required to support the provision of integrated solutions. These include maintenance-oriented control technologies (mainly based on digital electronics), remote diagnostics, system operations, and so on
Does Distance Hinder Coordination? Identifying and Bridging Boundaries of Offshored Work
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