Sarah Diamond, Nick Drury, Anthony Lipp, Anthony Marshall, Shanker Ramamurthy and Likhit Wagle
To better understand where the banking industry is heading and how it can thrive in the new environment of converged industries and competition, the IBM Institute for Business…
Abstract
Purpose
To better understand where the banking industry is heading and how it can thrive in the new environment of converged industries and competition, the IBM Institute for Business Value, in collaboration with Oxford Economics, surveyed 850 banking and financial markets executives across all major geographies and a variety of C-suite roles.
Design/methodology/approach
The survey sought answers to three key questions: What impacts are the changing currents around ecosystems, business models and business economics having on banking and other financial services organizations? What strategies are likely to be most successful for banks to adopt over the next few years? What steps can banking leaders adopt today to accelerate their progress toward obtaining a leading competitive position?
Findings
Most senior executives surveyed – 72 percent – agree that platform business models – and the ecosystems that underpin them – are disruptive for the banking industry: 70 percent of executives say that platform business models are driving changes in traditional value chains across the industry. 69 percent acknowledge that platforms are disrupting their organization’s own business and operating models.
Practical implications
As many as 79 percent of banking executives globally say that adoption of platform business models will help them achieve sustainable differentiation and competitive advantage with benefits across multiple dimensions. They identify profitability, innovation and access to markets as the top-three areas where platform models can drive advantage.
Originality/value
Visionary banks believe engagement with partners across platforms should increase their commitment to innovation, especially relating to the search for new and more valuable product and service combinations. They realize that radical transformation is required across business and operating models and in the way resources, business processes and technologies are assembled to create value.
To ascertain whether the choices CEOs were making about particular types of innovation and key enablers had any correlation with financial performance, IBM looked at a subset of…
Abstract
Purpose
To ascertain whether the choices CEOs were making about particular types of innovation and key enablers had any correlation with financial performance, IBM looked at a subset of our sample where publicly reported financial information was available.
Design/methodology/approach
The findings in this report are based on in‐depth, consultative interviews on the topic of innovation with 765 CEOs, business executives and public sector leaders from around the world.
Findings
For a subset, the authors compared their financial performance to that of an industry‐accepted list of their nearest competitors (up to ten companies with similar revenue and publicly available information). Some of their competitors were CEO study participants, but most were not. By taking a five‐year view, the researchers were able to identify which companies outperformed and under‐performed the average revenue growth, operating margin growth and historical operating margins of their closest competitors.
Research limitations/implications
Throughout the analysis, IBM used these top‐half and bottom‐half groupings to look for notable financial correlations. In this report, the term outperformers refers to the study participants that are in the top 50 percent based on this competitive comparison, and under‐performers are those that fall in the bottom 50 percent.
Practical implications
The authors report on how business leaders are seeking and finding new ways to adapt their business models to remain competitive in their current industry – or to seek growth by entering new industries.
Originality/value
Companies focusing on business model innovation have enjoyed significant operating margin growth, while those using products/services/markets and operational innovation have sustained their margins over time.
Details
Keywords
Liang Ma, Xin Zhang, Gaoshan Wang and Ge Zhang
The purpose of the present study is to build a research model to study how the use of different enterprise social media platforms affects employees' relationship capital, and the…
Abstract
Purpose
The purpose of the present study is to build a research model to study how the use of different enterprise social media platforms affects employees' relationship capital, and the moderating role of innovation culture is also examined.
Design/methodology/approach
Structural equation modeling was performed to test the research model and hypotheses. Surveys were conducted in an electronic commerce company in China that uses different social media platforms, generating 301 valid responses for analysis.
Findings
First, private social media used for work-related purposes can contribute to employees' relationship capital, and public social media QQ used for work-related purposes can contribute to employees' communication quality. WeChat used for social-related purposes has a positive effect on employees' information exchange. Second, innovation culture acts as a positive moderator between work-related media use and employees' information exchange, while innovation culture acts as a negative moderator between social-related WeChat use and employees' information exchange. Third, innovation culture acts as a positive moderator between work-related QQ use and employees' trust, while innovation culture acts as a negative moderator between social-related QQ use and employees' trust.
Originality/value
First, this paper contributes to the information system (IS) social media literature by studying the effect of the use of different enterprise social media platforms used for different purposes on employees' relationship capital. Second, the authors contribute to relationship capital theory by clarifying that use of public and private social media platforms for social- and work-related purposes is an important driver of the formation of employees' relational capital. Third, the present study also contributes to enterprise social media literature by confirming that innovation culture acts as a different moderator between use of different enterprise social media platforms and employees' relationship capital.
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Keywords
Jiang Wu, Xiao Huang and Bin Wang
To better understand the success of an open source software (OSS) project, this study aims to examine the role of social dependency networks (i.e. social and technical…
Abstract
Purpose
To better understand the success of an open source software (OSS) project, this study aims to examine the role of social dependency networks (i.e. social and technical dependencies) in online communities.
Design/methodology/approach
This study focuses on dependencies using three network metrics – degree centrality, betweenness centrality and closeness centrality – in developer and module networks. A longitudinal analysis from the projects hosted at Sourceforge.net is conducted to examine the effects of social and technical networks on the success of OSS projects. To address our research questions, we have constructed research models to investigate the social network effects in developer networks, the technical network effects in module networks, and the social-technical network effects in both types of networks.
Findings
The results reveal nonlinear relationships between degree centrality in both social and technical networks and OSS success, highlighting the importance of a moderate level of degree centrality in team structure and software architecture. Meanwhile, a moderate level of betweenness centrality and a lower level of closeness centrality between developers lead to a higher chance of OSS project success.
Originality/value
This study is the first attempt to consider the network metrics in both module networks of the technical sub-system and developer networks of the social sub-system to better understand their influences on project success.
Details
Keywords
Chen Liu, Baofeng Huo, Shulin Liu and Xiande Zhao
The purpose of this paper is to test how integrative mechanisms, including information sharing and process coordination, influence logistics outsourcing, and how logistics…
Abstract
Purpose
The purpose of this paper is to test how integrative mechanisms, including information sharing and process coordination, influence logistics outsourcing, and how logistics outsourcing influence performance from an extended RBV perspective.
Design/methodology/approach
The structural equation modeling (SEM) method is used to examine the proposed model, based on data collected from 361 companies in greater China.
Findings
Integrative mechanisms are helpful for logistics outsourcing (basic, customized, and advanced outsourcing). Specially, information sharing contributes to customized and advanced outsourcing, but has no significant effect on basic outsourcing. In contrast, process coordination improves basic and advanced outsourcing, but insignificantly influences customized outsourcing. Besides, each type of logistics outsourcing has differently effects on 3PL users’ performance. This study contributes to 3PL theories and practices.
Originality/value
This study empirically examines the antecedents and the outcomes of logistics outsourcing, contributing to 3PL literature and practices.