Exploring how complex solution-based capabilities (CSC) are developed and integrated in engineering companies

Abstract

This paper explores how engineering companies develop and integrate solution-based capabilities for complex ‘one-off’ or small-batch production. Although there is extant literature on developing a stand-alone service, product and process capabilities, an integrated solution-based capability for effective execution of complex ‘design-build’ projects is currently underdeveloped. For such firms to be successful in delivering complex solutions, there is the need for organisational structured routines and processes which we conceptualise as complex solution-based capabilities (CSC). The study was based on a multiple case study using in-depth semi-structured interviews with managers and engineers. Primary data collected were complemented by documentary evidence, for triangulation and validity. The data were analysed using thematic analysis to develop a framework of CSC. The findings show that the case study companies have developed and integrated CSC through organisational routines and processes of make-to-concept approach, value creation and strategic coordination. Implications and future research are discussed.