The growing importance of inter-company collaboration

Guest editorial: This special issue has been drawn from papers that were published as part of the Second European Conference on Management of Technology (EuroMOT) which was held at Aston Business School (Birmingham, UK) 10-12 September 2006. This was the official European conference for the International Association for Management of Technology (IAMOT); the overall theme of the conference was “Technology and global integration.” There were many high-calibre papers submitted to the conference and published in the associated proceedings (Bennett et al., 2006). The streams of interest that emerged from these submissions were the importance of: technology strategy, innovation, process technologies, managing change, national policies and systems, research and development, supply chain technology, service and operational technology, education and training, small company incubation, technology transfer, virtual operations, technology in developing countries, partnership and alliance, and financing and investment. This special issue focuses upon the streams of interest that accentuate the importance of collaboration between different organisations. Such organisations vary greatly in character; for instance, they may be large or small, publicly or privately owned, and operate in manufacturing or service sectors. Despite these varying characteristics they all have something in common; they all stress the importance of inter-organisational collaboration as a critical success factor for their organisation. In today's global economy it is essential that organisations decide what their core competencies are what those of complementing organisations are. Core competences should be developed to become a bases of differentiation, leverage and competitive advantage, whilst those that are less mature should be outsourced to other organisations that can claim to have had more recognition and success in that particular core competence (Porter, 2001). This strategic trend can be observed throughout advanced economies and is growing strongly. If a posteriori reasoning is applied here it follows that organisations could continue to become more specialised in fewer areas whilst simultaneously becoming more dependent upon other organisations for critical parts of their operations. Such actions seem to fly in the face of rational business strategy and so the question must be asked: why are organisations developing this way? The answer could lie in the recent changes in endogenous and exogenous factors of the organisation; the former emphasising resource-based issues in the short-term, and strategic positioning in the long-term whilst the later emphasises transaction costs in the short-term and acquisition of new skills and knowledge in the long-term. For a harmonious balance of these forces to prevail requires organisations to firstly declare a shared meta-strategy, then to put some cross-organisational processes into place which have their routine operations automated as far as possible. A rolling business plan would review, assess and reposition each organisation within this meta-strategy according to how well they have contributed (Binder and Clegg, 2006). The important common issue here is that an increasing number of businesses today are gaining direct benefit from increasing their levels of inter-organisational collaboration. Such collaboration has largely been possible due to recent technological advances which can make organisational structures more agile (e.g. the extended or the virtual enterprise), organisational infra-structure more connected, and the sharing of real-time information an operational reality. This special issue consists of research papers that have explored the above phenomenon in some way. For instance, the role of government intervention, the use of internet-based technologies, the role of research and development organisations, the changing relationships between start-ups and established firms, the importance of cross-company communities of practice, the practice of networking, the front-loading of large-scale projects, innovation and the probabilistic uncertainties that organisations experience are explored in these papers. The cases cited in these papers are limited as they have a Eurocentric focus. However, it is hoped that readers of this special issue will gain a valuable insight into the increasing importance of collaborative practices via these studies.

Toward understanding inter-organizational knowledge transfer needs in SMEs:insight from a UK investigation

Purpose - External knowledge is generally believed to be of prime importance to small to medium-sized enterprises (SMEs). However, a review of the literature shows that no empirical research has looked at knowledge management issues at the inter-organizational level in SMEs. This paper seeks to report on an empirical investigation with UK SMEs in the service sector to identify their needs and practices regarding inter-organizational knowledge transfer, and thus provide empirical evidence to support the above belief. Design/methodology/approach - A two-tier methodology (i.e. using both questionnaire survey and interview approaches) is deployed to address the main research objectives. A questionnaire survey of SMEs is carried out to investigate their current inter-organizational knowledge transfer situation and managers' perception on various relevant issues. Then 12 face-to-face interviews with SME managers are conducted to further validate key findings drawn from the questionnaire survey. Findings - The empirical evidence collected from the survey and interviews confirms the general belief that external knowledge is of prime importance for SMEs, and demonstrates that SMEs have very strong needs for external knowledge and inter-organizational knowledge transfer. Research limitations/implications - The findings provide very strong underpinning for further theoretical research on inter-organizational knowledge transfer in SMEs. However, this study has certain limitations: its results may not be applicable to other industrial sectors or the same sector in other countries; or to micro or large companies; nor does it involve cross-cultural issues. Originality/value - By adopting a two-tier research methodology, this study provides more reliable understanding and knowledge on SMEs' inter-organizational knowledge transfer needs and practices, and fills the gap that exists in the empirical investigations on the subject. © Emerald Group Publishing Limited.

Inter-organizational co-operation, conflict and change

Relationships between organizations can be characterized by cooperation, conflict, and change. In this dissertation we study cooperation between organizations by investigating how norms in relationships can enhance innovativeness and subsequently impact relationship performance. We do so by incorporating both beneficial aspects of long term relationships as well as “dark side” factors that may decrease innovativeness. This provides a balanced assessment of the factors increasing and decreasing the performance of relationships. Next, we study conflict between organizations by taking a network view on conflict which helps explain why organizations react to conflict. We find stakeholders to have an effect on channel conflict responsiveness. Finally we study change by means of an organization’s ability to successfully add an Internet channel to their distribution system in order to sell its products or services directly to the end-user. We find that an Internet channel is best implemented by organizations that are flexible and we identify several circumstances under which this flexibility is highest.

Overcoming network overload and redundancy in inter-organizational networks:the roles of potential and latent ties

This paper builds on Granovetter's distinction between strong and weak ties [Granovetter, M. S. 1973. The strength of weak ties. Amer. J. Sociol. 78(6) 1360–1380] in order to respond to recent calls for a more dynamic and processual understanding of networks. The concepts of potential and latent tie are deductively identified, and their implications for understanding how and why networks emerge, evolve, and change are explored. A longitudinal empirical study conducted with companies operating in the European motorsport industry reveals that firms take strategic actions to search for potential ties and reactivate latent ties in order to solve problems of network redundancy and overload. Examples are given, and their characteristics are examined to provide theoretical elaboration of the relationship between the types of tie and network evolution. These conceptual and empirical insights move understanding of the managerial challenge of building effective networks beyond static structural contingency models of optimal network forms to highlight the processes and capabilities of dynamic relationship building and network development. In so doing, this paper highlights the interrelationship between search and redundancy and the scope for strategic action alongside path dependence and structural influences on network processes.

Information systems, inter-functional collaboration and innovation in Taiwanese high-tech manufacturing firms

This article investigates whether (1) cross-functional integration within a firm and the use of information systems (IS) that support information sharing with external parties can enhance integration across the supply chain and wider networks and (2) whether collaboration with customers, suppliers and other external parties leads to increased supply chain performance in terms of new product development and introduction of new processes. Data from a high-quality survey carried out in Taiwan in 2009 were used, and appropriate econometric models were applied. Results show that the adoption of IS that enhance information sharing is vital not only for the effective communication with suppliers and with wider network members, but their adoption also has a direct effect across a firm's innovative effort. Cross-functional integration appears to matter only for the introduction of an innovative process. Collaboration with customers and suppliers affected a product's design and its overall features and functionality, respectively. © 2013 Copyright Taylor and Francis Group, LLC.

An actor-network theory study of public sector inter-organisational collaboration

EMBARGOED The literature on inter-organisational collaboration, although wide-ranging, offers little guidance on collaboration as process. It focuses in the main on human attributes like leadership, trust and agency, but gives little consideration to the role of objects in the development of inter-organisational collaborations. A central aim of this thesis is to understand the interaction of objects and humans in the development of a particular health and social care partnership in the North East of England. This socio-material perspective was achieved through actor-network theory (ANT) as a methodology, in which the researcher is equally sensitised to the role of human and non-human entities in the development of a network. The case study is that of the North East Lincolnshire Care Trust Plus (CTP). This was a unique health and social care collaboration arrangement between North East Lincolnshire Council and North East Lincolnshire Primary Care Trust, setup to address heath inequalities in the region. The CTP was conceived and developed at a local level by the respective organisation’s decision makers in the face of considerable opposition from regional policy makers and national regulators. However, despite this opposition, the directors eventually achieved their goal and the CTP became operational on 1st September 2007. This study seeks to understand how the CTP was conceived and developed, in the face of this opposition. The thesis makes a number of original contributions. Firstly, it adds to the current body of literature on collaboration by identifying how objects can help problematize issues and cement inter-organisational collaborations. Secondly it provides a novel account describing how two public sector organisations created a unique collaboration, despite pressing resistance from the regulatory authorities; and thirdly it extends Callon’s (1996) notion of problematization to examine how, what is rather vaguely described as ‘context’ in the literature, becomes enmeshed in decisions to collaborate. UNTIL 03/02/2016 THIS THESIS IS ONLY AVAILABLE FOR CONSULTATION AT ASTON UNIVERSITY LIBRARY WITH PRIOR ARRANGEMENT

Governance architectures for inter-organisational R&D collaboration

Inter-organizational relationships are becoming an increasingly important source of competitive advantage and innovation. This study looks at these relationships in the context of inter-organizational R&D collaborations in the European automotive industry. Previous work led to the proposal of a competence-based portfolio framework that explains the design of the inter-organizational architecture and an indicative relationship strategy. This framework comprises four distinct types of governance architecture and relationship strategy. This paper reports on the first confirmatory transfer study, conducted at Jaguar Land Rover, in the UK. The study illustrates developmental paths and patterns in the evolution of inter-organizational relationships using empirical insights. Their configuration and dynamic evolution is contingent upon the ‘engageability’ of the partner companies’ competences based on their attractiveness, transferability and maturity. The study shows that the contingency framework is transferable and practically useful, as well as yielding further practical narrative about inter-organizational practice.

The organisation of innovation: collaboration, cooperation and multifunctional groups in UK and German manufacturing

Marked differences exist between the institutional and social context for innovation in the UK and Germany. The question addressed here is how these different contexts affect the objectives and organisation of innovation in UK and German manufacturing. In particular, the paper examines the extent to which UK and German plants engage in inter-plant collaboration and cooperation and multifunctional working as part of their innovative activity, and explores the reasons for differences in these patterns of involvement. The investigation is based on a large-scale, comparative survey of manufacturing plants in the two countries. In Germany, institutional and social norms are found to encourage collaborative inter-plant innovation, but aspects of the German skills training and industrial relations systems make the adoption of more flexible internal systems more difficult. In the UK, by contrast, the more adversarial nature of inter-firm relations makes it more difficult to establish external collaborations based on mutual trust, but less restrictive labour market structures make it easier for UK plants to adopt multifunctional working. This is linked to differences in attitudes to the property rights and transaction cost problems inherent in innovation.

Managing supply chain integration:contemporary approaches and scope for further research

The editorial section of the special issue of Production Planning & Control discusses contemporary approaches and scope for further research into the management of supply chain integration. Supply chain integration (SCI) is one of the major challenges in enhancing supply chain performance. Building and sustaining competitive advantage requires strategic collaboration between supply chain partners and synchronized management of intra- and inter-organizational practices and processes. The special issue attempts to address some of the fundamental SCI questions, which include but are not limited to the fields of organizational collaboration, information technology (IT) use, and risk and vulnerability management. The editorial first reviews a few key articles on SCI to provide information about the existing state of knowledge on SCI along with scope for further research.

Managing supply networks:organizational roles in network management

This paper describes research findings on the roles that organizations can adopt in managing supply networks. Drawing on extensive empirical data, it is demonstrated that organizations may be said to be able to manage supply networks, provided a broad view of ‘managing’ is adopted. Applying role theory, supply network management interventions were clustered into sets of linked activities and goals that constituted supply network management roles. Six supply network management roles were identified – innovation facilitator, co-ordinator, supply policy maker and implementer, advisor, information broker and supply network structuring agent. The findings are positioned in the wider context of debates about the meaning of management, the contribution of role theory to our understanding of management, and whether inter-organizational networks can be managed.

Managing boundary spanning elements:an introduction

The primary purpose of boundary spanning has been the information exchange between the organization and its task-environment. With complex, global organizational structures and increased emphasis on outsourcing, organizations today are susceptible to degenerate into ‘silos’ and in turn hampering the synergy and efficiency. Boundary spanning research becomes critical to answer some emerging questions in this area. Organization theorists have considered the boundary spanning construct an important one that explains the boundaries of an organization, inter organizational exchanges, dependence and in general, the concept of an organization. The research in this area seems to fall in two broad streams viz., Organization focused, dealing with issues pertaining to organization system, network, learning and collaboration and Individual focused, exploring issues of actors—and their attitudes, behavior—that traverse the boundaries of organization such as sales person, service workers and public servants. This chapter introduces nine interesting research studies presented in the following chapters of the book and attempt to put them in perspective in light of extant literature in the area of boundary spanning theory.

Developing an enterprise simulator to support electronic supply chain for B2B electronic process

The application of any e-Solution promises significant returns. In particular, using internet technologies both within enterprises and across the supply (value) chain provides real opportunity, not only for operational improvement but also for innovative strategic positioning. However, significant questions obscure potential investment; how any value will actually be created and, importantly, how this value will be shared across the value chain is not clear. This paper will describe a programme of research that is developing an enterprise simulator that will provide a more fundamental understanding of the impact of e-Solutions across operational supply chains, in terms of both standard operational and financial measures of performance. An efficient supply chain reduces total costs of operations by sharing accurate real-time information and coordinating inter-organizational business processes. This form of electronic link between organizations is known as business-to-business (B2B) e-Business. The financial measures go beyond simple cost calculations to real bottom-line performance by modelling the financial transactions that business processes generate. The paper will show how this enterprise simulator allows for a complete supply chain to be modelled in this way across four key applications: control system design, virtual enterprises, pan-supply-chain performance metrics and supporting e-Supply-chain design methodology.

Institutional work at field-configuring events:shaping industry change within sustainable transitions

Adopting an institutional approach from organization studies, this paper explores the role of key actors on “purposeful governance for sustainability” (Smith, Voss et al. 2010: 444) through the case of smart metering in the UK. Institutions are enduring patterns in social life, reflected in identities, routines, rules, shared meanings and social relations, which enable, and constrain, the beliefs and behaviours of individual and collective actors within a field (Thornton and Ocasio 2008). Large-scale external initiatives designed to drive regime-level change prompt ‘institutional entrepreneurs’ to perform ‘institutional work’ – “purposive action aimed at creating, maintaining and disrupting institutions” (Lawrence and Suddaby, 2006). Organization scholars are giving increasing attention to ‘field-configuring events’ (FCEs) which provide social spaces for diverse organizational actors to come together to collectively shape socio-technical pathways (Lampel and Meyer 2008). Our starting point for this exploratory study is that FCEs can offer important insights to the dynamics, politics and governance of sustainability transitions. Methodologically, FCEs allow us to observe and “link field evolution at the macro-level with individual action at the micro-level” (Lampel and Meyer, 2008: 1025). We examine the work of actors during a series of smart metering industry forums over a three-year period (industry presentations [n= 77] and panel discussions [n= 16]). The findings reveal new insights about how institutional change unfolds, alongside technological transitions, in ways that are partial and aligned with the interests of powerful incumbents whose voices are frequently heard at FCEs. The paper offers three contributions. First, the study responds to calls for more research examining FCEs and the role they play in transforming institutional fields. Second, the emergent findings extend research on institutional work by advancing our understanding of a specific site of institutional work, namely a face-to-face inter-organizational arena. Finally, in line with the research agenda for innovation studies and sustainability transitions elaborated by Smith et al (2010), the paper illustrates how actors in a social system respond to, translate, and enact interventions designed to promote industrial transformation, ultimately shaping the sustainability transition pathway.

Reflecting on time, timing and timeliness in public sector supply networks

Despite recent research on time (e.g. Hedaa & Törnroos, 2001), consideration of the time dimension in data collection, analysis and interpretation in research in supply networks is, to date, still limited. Drawing on a body of literature from organization studies, and empirical findings from a six-year action research programme and a related study of network learning, we reflect on time, timing and timeliness in interorganizational networks. The empirical setting is supply networks in the English health sector wherein we identify and elaborate various issues of time, within the case and in terms of research process. Our analysis is wide-ranging and multi-level, from the global (e.g. identifying the notion of life cycles) to the particular (e.g. different cycle times in supply, such as daily for deliveries and yearly for contracts). We discuss the ‘speeding up’ of inter-organizational ‘e’ time and tensions with other time demands. In closing the paper, we relate our conclusions to the future conduct of the research programme and supply research more generally, and to the practice of managing supply (in) networks.