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Paper info: Supply Chain Strategies and New Emerging Business Models: Challenges for Firm in Converging Industries

Title


Supply Chain Strategies and New Emerging Business Models: Challenges for Firm in Converging Industries

Authors


Marlene Johansson
umeå university
Sweden
Marlene Johansson

Place of Publication


The paper was published at the 27th IMP-conference in Glasgow, Scotland in 2011.

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Abstract


Purpose of the paper and literature addressed. Our work-in-progress paper explore the
relation between a firm´s supply chain strategy and the business model towards services in the
context of industry convergence. We ask how firms are renewing their business model and the
challenges they encounter in managing their supply chain strategies when industries are
converging. Our empirical focus is on system integration projects of managed services within
IT and telecommunications. The paper contribute to the supply chain management literature
by exploring how firms are challenged to manage and uphold both the old supply-driven
business models and supply chain strategies, and the new customized system integration
model and of value creation and supply chain strategies.
Research method: We have conducted a case study of a system integration project of
managed service within IT and telecommunication industry. The data has been collected
through 30 semi-conducted interviews with boundary spanning persons during 2010, all
having strategic positions in top or middle management and were responsible for strategic
issues within their functions of R&D, product development, sourcing, supply and sales.
Research findings: The case study illuminates how the firms encounter a number of
challenges within a supply-side and demand-side driven convergence and has to transform
their business model and supply strategies to meet new requirements of customization. We
summarize our findings and conclusions in two main themes, firstly how firms manage
system integration (SI) driven business models and secondly how firms managing the
flexibility of supply chain roles to create and capture value when firms are cooperating and
competing simultaneously.
Key Words: business model, supply chain strategy, co-opetition, capabilities, IT and
telecommunication industry