Paolo Aversa, Stefan Haefliger, Alessandro Rossi and Charles Baden-Fuller
The concept of modularity has gained considerable traction in technology studies as a way to conceive, describe, and innovate complex systems, such as product design or…
Abstract
The concept of modularity has gained considerable traction in technology studies as a way to conceive, describe, and innovate complex systems, such as product design or organizational structures. In the recent literature, technological modularity has often been intertwined with business model innovation, and scholarship has started investigating how modularity in technology affects changes in business models, both at the cognitive and activity system levels. Yet we still lack a theoretical definition of what modularity is in the business model domain. Business model innovation also encompasses different possibilities of modelling businesses, which are not clearly understood nor classified. We ask when, how, and if modularity theory can be extended to business models in order to enable effective and efficient modelling. We distinguish theoretically between modularity for technology and for business models, and investigate the key processes of modularization and manipulation. We introduce the basic operations of business modelling via modular operators adapted from the technological modularity domain, using iconic examples to develop an analogical reasoning between modularity in technology and in business models. Finally, we discuss opportunities for using modularity theory to foster the understanding of business models and modelling, and develop a challenging research agenda for future investigations.
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Joanne Jin Zhang, Yossi Lichtenstein and Jonathan Gander
Digital business models are often designed for rapid growth, and some relatively young companies have indeed achieved global scale. However, despite the visibility and importance…
Abstract
Digital business models are often designed for rapid growth, and some relatively young companies have indeed achieved global scale. However, despite the visibility and importance of this phenomenon, analysis of scale and scalability remains underdeveloped in management literature. When it is addressed, analysis of this phenomenon is often over-influenced by arguments about economies of scale in production and distribution. To redress this omission, this paper draws on economic, organization, and technology management literature to provide a detailed examination of the sources of scaling in digital businesses. We propose three mechanisms by which digital business models attempt to gain scale: engaging both non-paying users and paying customers; organizing customer engagement to allow self-customization; and orchestrating networked value chains, such as platforms or multi-sided business models. Scaling conditions are discussed, and propositions developed and illustrated with examples of big data entrepreneurial firms.
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Patricia Wolf, Sebastian Späth and Stefan Haefliger
Communities of practice (CoPs) have been found to support knowledge creation by enabling knowledge sharing among experts in firms. However, some perform better than others. This…
Abstract
Purpose
Communities of practice (CoPs) have been found to support knowledge creation by enabling knowledge sharing among experts in firms. However, some perform better than others. This paper seeks to explore what incentivizes employees to share knowledge in intra‐firm CoPs.
Design/methodology/approach
The paper presents a longitudinal case study in a large automotive company that introduced 82 cross‐functional CoPs into its engineering department. Using extensive qualitative data, two sets of communities: best and worst performing were analyzed.
Findings
It was found that perceived benefits and the employees' willingness to invest individual efforts into community work are stronger in better performing communities. Members of the better performing CoPs drew most benefits from participating in organizational decision processes, as they were able to influence the agenda and create relevant standards. The patterns observed relate to the efforts, benefits, and barriers of community work.
Research limitations/implications
The single case study design limits the generalizability of the results beyond the company studied. Furthermore, some of the data employed were perceptional and relied partly on self‐reporting of the community members.
Practical implications
The paper argues that management support for CoPs should aim at influencing the individual cost‐benefit calculus of community members. Respecting and implementing results from the communities' work is likely to provide the very basis for innovations to emerge at all.
Originality/value
Other than extant studies on CoP performance that focus on company benefits from deploying CoPs, this paper offers a new perspective by exploring the benefits and incentives available to community members.
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Florian Waldner, Marion K. Poetz, Christoph Grimpe and Markus Eurich
What makes firms innovate their business models? Why do they engage in innovating how they create, deliver, and capture value? And how does such innovation translate into…
Abstract
What makes firms innovate their business models? Why do they engage in innovating how they create, deliver, and capture value? And how does such innovation translate into innovation performance? Despite the importance of business model innovation for achieving competitive advantage, existing evidence seems to be confined to firm-level antecedents and pays little attention to the impact of industry structure. This study investigates how different stages of an industry’s life cycle and levels of industry competition affect firms’ business model innovation, and how such innovation translates into innovation performance. Based on a cross-industry sample of 1,242 Austrian firms, we introduce a unique measure for the degree of innovation in a firm’s business model. The results indicate that the degree of business model innovation is highest toward the beginning of an industry life cycle, that is, in the emergent stage. Competitive industry pressures turn out to be negatively related to the degree of business model innovation. Moreover, we find that the degree of a firm’s business model innovation, conditional on it having introduced a new product or process recently, positively influences innovation performance. Our findings contribute to the ongoing dialog on the role of industry structure in business model innovation, and provide implications for the management of business model innovation.
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Foteini Kravariti, Stefan Jooss, M. Claudia Tom Dieck, Paraskevi Fountoulaki and Farhad Hossain
The purpose of this paper is to examine the role of societal and organisational culture on talent management (TM) within the Greek hospitality and tourism (H&T) industry…
Abstract
Purpose
The purpose of this paper is to examine the role of societal and organisational culture on talent management (TM) within the Greek hospitality and tourism (H&T) industry. Specifically, this study tests societal culture’s effect on TM approaches and the mediating role of organisational culture.
Design/methodology/approach
In this quantitative study, the questionnaire sample included employees of all hierarchical levels from three hotels located in northern, central and southern Greece (n = 188). Data analyses were carried out by using the PROCESS Version 4 macro in SPSS.
Findings
The results show that neither societal nor organisational culture are decisive factors in impacting the perceived TM approach. This might be due to the organisations imitating other firms without pre-establishment of societal and organisational fit.
Practical implications
This study emphasises TM’s alignment with both societal and organisational culture. Given the context-specific nature of TM, achieving culture fit can enhance talent acquisition, retention and engagement, ultimately leading to improved talent and overall organisational performance.
Originality/value
This study integrates more centrally a cultural lens into the TM discourse. It provides empirical evidence of TM approaches in the Greek H&T industry, drawing on a multi-stakeholder sample including managers and talents.
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Anna Kadefors, Kirsi Aaltonen, Stefan Christoffer Gottlieb, Ole Jonny Klakegg, Pertti Lahdenperä, Nils O.E. Olsson, Lilly Rosander and Christian Thuesen
Relational contracting is increasingly being applied to complex and uncertain construction projects. However, it has proved hard to achieve stable performance and industry-level…
Abstract
Purpose
Relational contracting is increasingly being applied to complex and uncertain construction projects. However, it has proved hard to achieve stable performance and industry-level learning in this field. This paper employs an institutional perspective to analyze how legitimacy for relational contracting has been produced and challenged in Denmark, Finland, Norway and Sweden, including implications for dissemination and learning.
Design/methodology/approach
A collaborative case study design is used, where longitudinal accounts of the developments in relational contracting over more than 25 years in four Nordic countries were developed by scholars based in each country. The descriptions are underpinned by literature sources from research, practice and policy.
Findings
The countries share similar problem perceptions that have triggered the de-institutionalization of traditional contracting practices. Models and policies developed elsewhere are important sources of knowledge and legitimacy. Most countries have seen pendulum movements, where dissemination of relational contracting is followed by backlashes when projects fail to meet projected outcomes. Before long, however, relational contracting tends to re-emerge under new labels and in slightly new forms. Such a proliferation of concepts presents further obstacles to learning. Successful institutionalization is found to rely on realistic goals in combination with broad competence development at the organizational and industry levels.
Practical implications
In seeking inspiration from other countries, policymakers should go beyond contract models to also consider strategies to manage industry-level learning.
Originality/value
The paper provides a unique longitudinal cross-country perspective on the field of relational contracting. As such, it contributes to the small stream of literature on long-term institutional change in the construction sector.
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Marco Greco, Serena Strazzullo, Livio Cricelli, Michele Grimaldi and Benito Mignacca
Despite the multiple calls for research on the dark side of open innovation, very few studies have approached the topic so far. This study aims to analyse successful and…
Abstract
Purpose
Despite the multiple calls for research on the dark side of open innovation, very few studies have approached the topic so far. This study aims to analyse successful and unsuccessful open innovation projects.
Design/methodology/approach
This study uses thematic analysis to describe the factors determining their (un)success. The researchers interviewed 27 managers and owners in the manufacturing sector. Then, the respondents were asked to discuss one successful and one unsuccessful open innovation project to explore the differences in triggers and setbacks, focusing on the causes that determined the failures.
Findings
Findings show that many interviewees are reluctant to identify failure cases, which somewhat explains the paucity of studies on the topic, and others do so when the failure is recognised by a third party (such as a public institution not granting funds to the project). This study discussed how this phenomenon is linked with the paradoxical relation between innovation success and failure. It is also found that triggers and setbacks determining the project's (un)success are markedly differently based on the technological intensity of the firm. Implications for scholars and practitioners are also drawn.
Originality/value
This study provides a balanced view between open innovation successes and failures to offer informative recommendations to practitioners. Furthermore, it contributes to filling the scarcity of studies related to risks and failures of open innovation projects. This gap has been addressed by studying the factors that determine the success and unsuccess of an open innovation project.