Creating multi-vendor solutions: the resources and capabilities required

Abstract

Purpose– The purpose of this paper is to investigate the resources and capabilities required by manufacturers to develop and deliver multi-vendor solutions.Design/methodology/approach– A multi-case design comprising six UK-based manufacturers: two from each of the aerospace/defence, information technology and telecommunications sectors.Findings– Manufacturers can be characterized by their propensity to include products from other vendors in their solutions; single vendor solution providers (SVSPs) focus on solutions comprising their own products, while multi-vendor solution providers (MVSPs) fully embrace products from other manufacturers. Three capabilities were identified which distinguish MVSPs from SVSPs given the complexity of multi-vendor solutions (expertise specifying the solution, engineers trained in implementing/supporting the solution, partnerships with component suppliers of the solution). These capabilities are underpinned by both technical capability and impartiality in solution specification.Research limitations/implications– MVSPs need to be impartial when specifying customer solutions. They should be guided by the best interests of the customer rather than the interests of the product-based SBUs. Achieving impartiality can conflict with some manufacturers' product heritage. The research has focused on three sectors; further research is needed to test whether the findings are applicable beyond these sectors.Practical implications– Solutions are a valuable approach in creating market differentiation, although not all manufacturers will possess the resources/capabilities to be successful.Originality/value– A continuum of solution providers is proposed; SVSPs at one extreme and MVSPs at the other. The operant resource-based capability “impartiality” was identified as being particularly important to MVSPs in creating value for customers.