Abstract

By examining the co-evolution structure between two processes – accumulation and assimilation – of Express Rail Link Sdn Bhd's (ERL) system over the past decade, this paper explores the transformation of ERL of Malaysia; from a mere user of Siemens's technology, to Siemens's technology partner capable of attaining state-of-the-art operating systems for a high-speed rail (HSR) technological system. Both accumulation and assimilation processes of ERL are examined in detail to elucidate the dynamic process of the ‘multilateral model’ of a HSR system. The approaches have led ERL to witness convergence innovation between Siemens's technology and ERL's knowledge in operating systems. The convergence innovation between the two processes has enabled ERL to venture into engineering consulting services, exporting innovative operating solutions to other firms abroad. The strategic approaches discussed in this paper may thus provide policy lessons for other firms in developing countries aspiring to emulate the upgrading process of rail technology.

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