Supply Chain Management in the Context of Economic Area

Abstract

This study introduces geographical viewpoints for supply chain management (SCM) focusing on the branch of information communication technology (ICT) in the case of city and region of Oulu. The City of Oulu is a remarkable planning and administration centre of ICT branch in Finland. In this study we - instead of using commonly used cluster or resource dependence theories - utilize SCM framework to describe the development and path-dependence of knowledge-intensive geographical area, which is specialized in high tech or actually ICT business. In the context of geographical analysis, or of geographical economics, SCM is less-used viewpoint. This case study shows that SCM, and especially strategic level SC endowment viewpoint (introduced initially in Rusko, Kylänen & Saari, 2009), is valuable and useful tool in analysing the geo-economic development and path-dependence of a high tech centre. As a result, we notice that the development of Oulu is based on the development of SC endowment connected with amounts of talents and also multi-dimensional coopetition. One essential result is the observed erosion in the SC endowment of high tech Oulu, which sets remarkable challenges for city planning.