Networked Business Environment Research Articles

The role of visioning in business network strategizing

Visioning the future is an essential aspect of strategizing. However, how managers make sense of their networked business environment, future changes in it, and how this visioning informs their interaction and networking has hardly been explored. Drawing on organizational foresight and business network research, we enhance the visioning concept by conducting an abductive qualitative case study on its role in business network strategizing. By comparing forward-looking and backward-looking perspectives of managers in companies within a particular business network, the study reveals what managers can foresee, what limits their visioning, and to what extent visioning informs network strategizing. Our findings suggest that visioning helps managers to openly contemplate the future, to envisage structural changes, detect probable trends, and form strategic intentions, but individual cognitive frameworks and network constraints limit their visioning. The study contributes to the current sensemaking view of network strategizing by proposing a conceptual model where visioning forms an important step in between reflection and networking, and by showing how managers consciously prepare for the future.

Servitization in business ecosystem: a systematic review and implications for business-to-business servitization research

ABSTRACT Servitization has been a global trend in the manufacturing industry. Facing the increasingly networked business environment, implementing servitization in business ecosystem (SIBE) has significant implications for academics and practices. Considering the fragmented SIBE research, this paper aims to reveal a holistic landscape of this domain by a systematic literature review. After collecting 84 related articles in Scopus, descriptive and thematic analyses were applied to answer the predefined review questions. The paper illustrated the overall state of SIBE research, an emerging domain with an increasingly growing trend. Five major themes were identified as the critical pillars of SIBE research: the antecedents, organisational structure, key strategies, resources and capability, and possible outcomes for SIBE. A research agenda for SIBE was provided by discussing the underlying research opportunities. This study is one of the pioneering efforts to review the interface between servitization and business ecosystem, serving as the initial foundation for SIBE. Both theoretical and managerial implications are drawn for servitization research and practice.

Elucidation of big data analytics in banking: a four-stage Delphi study

PurposeIn today's networked business environment, a huge amount of data is being generated and processed in different industries, which banking is amongst the most important ones. The aim of this study is to understand and prioritize strategic applications, main drivers, and key challenges of implementing big data analytics in banks.Design/methodology/approachTo take advantage of experts' viewpoints, the authors designed and implemented a four-round Delphi study. Totally, 25 eligible experts have contributed to this survey in collecting and analyzing the data.FindingsThe results revealed that the most important applications of big data in banks are “fraud detection” and “credit risk analysis.” The main drivers to start big data endeavors are “decision-making enhancement” and “new product/service development,” and finally the focal challenge threatening the efforts and expected outputs is “information silos and unintegrated data.”Originality/valueIn addition to stepping forward in the literature, the findings advance our understanding of the main managerial issues of big data in a dynamic business environment, by proposing effective further actions for both scholars and decision-makers.

Personal branding of artists and art-designers: necessity or desire?

PurposePersonal branding becomes a new in-demand skill for all professionals today. To be well-known helps to achieve success in the networked business environment. Personal relationships and a good reputation in the reality of network economy help young artists and art designers move up the career ladder. This paper aims to discuss a problem of artists who often find it difficult to define their artistic and self-distinction identities. The concept of personal brand and branding seems quite irrelevant, especially in reference to their own selves. People usually associate branding with marketing, which in our minds is usually the same as “pushy” and aggressive sales practices. Their find problematic to promote themselves. The purpose of this paper is to highlight that, based on existing theories, artistic identity creation in connection with the skill of personal branding is crucial for personal success in the profession of today’s young artists and art designers.Design/methodology/approachThe study was conducted based on the data originally collected among artists, designers, architecture professionals and students. The data have been analyzed with the equal structural equation modeling method.FindingsThis paper presents empirical evidence that if artists view themselves as personal brands, it affects their personal performance in a positive way.Practical implicationsAuthors claim that a teaching curriculum for young adult artists should include a personal branding program, to help them find and support their artistic identity and express their personal values and self-brand distinction, and leverage them to build their professional career.Originality/valueThis is one of the first studies to quantify the self-brand performance of young art designers as a benefit of being self-brand oriented.

The effects of interplay between negotiation tactics and task complexity in software agent to human negotiations

Modern networked business environment enables design of flexible and effective mechanisms of exchange between economic parties. Online negotiations allow geographically and temporally separated participants to engage in exchange of offers in search for acceptable agreements. The digital medium enables development of software agents, which can assist with negotiation tasks while saving time and human effort. The current paper investigates the prospects of utilizing software agents in negotiations with the human counterparts. It presents the findings from experiment where human subjects acted as buyers negotiating with software agent sellers over a mobile phone plan. An electronic negotiation system incorporating software agents was used in the experiment. The agents employed various concession-making schedules while engaging in negotiation tasks involving one of two complexity levels. Negotiation task complexity was manipulated using different number of issues involved in the negotiations. Subjects were recruited among university students. Negotiations between the subjects and agents took place during a two-day period in an asynchronous mode through the web. The findings suggest that interaction between negotiation task complexity and negotiation tactic has significant effects on negotiation outcomes and subjective assessments by the human participants. In particular, task complexity had a higher impact on the agreement rate when agents employed a competitive tactic vs. when they used a conceding one.

Exiting and entering relationships: A framework for re-encounters in business networks

In the networked business environment, the same actors come together and part in various situations. Addressing this, existing research describes the lifecycle of business relationships and network participation: stages from relationship formation to termination and network exits have been covered. Less is known about the phases following a termination of relationships in networks. Especially, literature is relatively silent on those situations where the actors' paths cross again after a past exit. That is, re-encounters remain poorly understood.Building on existing literature and illustrative examples on business networks and relationships, this conceptual study suggests that a longitudinally integrated view connecting the exit and post-exit developments to later encounters is needed. This study points out that the crossing of paths may, or may not, give start to the re-establishment of business relations, depending on the re-encounter itself and the preceding steps. Moreover, it is suggested that these antecedents derive from individual, organizational, relationship, and network levels. Therefore a vertically integrated approach further explains the re-encounter outcomes. The aim is to capture dynamics behind re-encounter outcomes – categorized here as (1) refraining from future interaction, (2) retribution, (3) reactivation characterized by reframing, or (4) full reactivation of relationships and collaboration – to assist future research.

Typology on Leadership toward Creativity in Virtual Work

Aim/Purpose: This study aims to develop a descriptive typology to better identify leadership toward creativity in virtual work in different types of companies. Background: The study empirically explores how leadership toward creativity occurs in virtual work and uses the theoretical lenses of creativity-conducive leadership and heterarchy to generate a typology. Methodology : A multiple qualitative case study design, interpretivist approach, and abductive analysis are applied. Data is collected by interviewing 21 leaders and employees face-to-face in four companies in the ICT sector and one business advisor company. Contribution: The empirical evidence of this study enriches the understanding of leadership toward creativity in virtual work and contributes to the limited empirical knowledge on leadership that stimulates a virtual workforce to achieve creativity. Findings: The four different types of companies in the typology utilize various transitions toward leadership creativity in virtual work. The trend in leadership in the existing virtually networked business environment is toward the “collective mind” company, which is characterized by shared values, meaningful work, collective intelligence, conscious reflection, transparency, coaching, empowering leadership by example, effective multichannel interaction, and assertiveness. The findings empirically support applying a heterarchy perspective to lead a virtual workforce toward creativity and promote leaders who are genuinely interested in people, their development, collaboration, and technology. Recommendations for Practitioners: The typology helps professionals realize the need to develop leadership, communication, interaction, learning, and growth to foster creative interaction and improve productivity and competitiveness. Recommendation for Researchers: This study enables researchers to more rigorously and creatively conceptualize the conditions and relationships in leadership that facilitate creativity in virtual work. Impact on Society : The findings highlight humanistic values for developing leadership. The study strengthens the view that collective creativity in virtual work cannot emerge without virtual and physical interaction in appropriate spaces and caring for each other. Future Research: Future studies may focus on other fields, industries, networks, roles of materialities, and employees in fostering creativity and on theory development. Longitudinal studies are advisable.

Petri Net Simulator for Small-Medium Enterprises’ Business Process Management in a Network Business Environment

Strong companies have a significant impact on Gross Domestic Product (GDP) growth, and also on the impoverishment of large segments of population. To balance this inequity the government policies have to sustain Small-Medium Enterprises (SMEs) to form a digital professional ecosystem in order to represent a real competition for big companies. The digital environment dedicated to SMEs cooperation has to be based on distributed Information and Communications Technology (ICT) platforms. The article purpose is to test a dynamic economic model by simulating SMEs interactions in a Network Business Environment. SMEs interactions concern assets acquisitions through partnerships and developing commercial transitions. We used the Colored Petri Net (CPN) Tool for simulating SMEs interactions, based on Dining Philosopher problem. This simulation concerns a business ecosystem of SMEs and a single type asset. In our future research, one intelligent system engine should contain many other components able to answer to the business rules.

Interfunkční koordinace z pohledu podnikových funkcí

The primary aim of this paper is to investigate the evolution of interfunctional coordination theory from the marketing and logistics point of view. The paper also discusses the key attributes of interfunctional coordination from the above mentioned perspectives in present network business environment. Special added value of the paper is in examining the interfunctional coordination via exploratory research from quantitative and qualitative points of view. The principles of external business environment complexity and internal collaboration built up new barriers of interfunctional coordination implementation. The paper identified source and parts of internal and external barriers of interfunctional coordination implementation. Finally is formulated recommendation how to understand external surroundings in relation to internal requirements of interfunctional coordination. At the end of the article is presented solution how to eliminate barriers of interfunctional coordination via application one of the methodologies of enterprise engineering and integration.

Dynamic stakeholder interaction analysis: Innovative smart living design cases

In order to become more innovative, companies that operate in the Smart Living domain increasingly initiate and participate in networked business environments that transcend industry boundaries. Inter-organizational collaboration is often characterized by conflicting strategic interests and incoherent operational business processes and procedures. Although many scholars and practitioners use stakeholder analysis to gain insight into the actors’ relationships and interactions, existing literature on stakeholder analysis focuses mainly on high-level strategic analysis, often limited to a conceptual and static understanding of stakeholder interests. In this paper, it is argued that a ‘true’ understanding of stakeholders can be achieved by looking at their interactions and interdependencies at a more detailed level. This study uses a conceptual framework from the service innovation and business model domain, the VIP framework, to extend stakeholder analysis by including an analysis of their dynamic interactions and processes. The qualitative evaluation of the framework’s application in illustrative design cases shows that this extension provides additional insights into stakeholders, and their potential operational conflicts and critical dependencies. By making these conflicts and interdependencies explicit, products and services are potentially easier to implement and commercialize.

Good Practices for Managing Process Safety in Major Hazard Installations and Their Networks

The aim of this article is to share good practices for process safety management in major hazard installations and to discuss new challenges in the changing business environment. Today, establishments are networking with an increasing number of stakeholders and service providers. As this networking is constantly on the increase in major hazard installations, and as traditional safety management systems and inspection practices seem to be lacking in the networked business environment, there is a real need to better understand the concept and to describe different networks and their safety challenges. The Finnish Safety and Chemicals Agency (Tukes) is responsible for supervising and inspecting process safety issues in Finnish major hazard installations. Tukes has implemented a systematic approach to inspect the functionality of process safety management in major hazard establishments. This article is based on Tukes’s inspection data and the results of two separate studies that were carried out firstly, to identify good practices for managing process safety and secondly, to investigate the effects of networking in major hazard installations. The data were collected from Finnish major hazard establishments, but the examples of good practices and recommendations for improvements can also be applied internationally in enhancing process safety.

The impact of early XBRL adoption on analysts’ forecast accuracy - empirical evidence from China

Developing common standards, such as eXtensible Business Reporting Language (XBRL), to smoothen information sharing in the value chain is considered the leading issue for releasing the potential of e-business. Data standards such as XBRL play a critical role in an increasingly networked environment. Despite promises of XBRL to improve data accuracy, few empirical studies have tested the impact of early XBRL adoption on the quality of information. Theories explaining information technology (IT) productivity paradox indicate that value realization from IT innovations may experience time lag due to the need for technology refinement and diffusion. This study examines the impact of early adoption of XBRL on analysts’ forecast accuracy with empirical data of Chinese firms. The uncertainty related to the unproven technology, such as information errors, has decreased analysts’ forecast accuracy during the early adoption period among firms in an economy with little public information on listed firms. Our findings have practical implications that will facilitate the quality improvement of financial information in a networked business environment. Our findings highlight the importance of quality assurance and policy enforcement for value realization from XBRL adoption to regulators, filers, information consumers, the accounting profession and other stakeholders.

TOWARDS AN OPTIMAL ARCHITECTURE FOR INFORMATION TECHNOLOGY GOVERNANCE IN PUERTO RICO

Information technology (IT) controls have become very critical in today’s information systems infrastructure as it affects the operations of all businesses and government agencies. IT has taken the additional responsibilities for business support and report generation. Due to their strategic nature within companies, information technology projects and information management are now complex and have higher budgets, schedules and associated risks. Everyone is aware of the importance of information security management in the current web-based highly networked business environment. What is still unclear is to what level the compliance evaluation programs must be implemented in the company, or government agency to assure precision, quality, efficiency, and effectiveness of operations. This paper examines the reporting standards and controls in companies and government agencies in Puerto Rico, the impact of implementing such controls, measurement of their results, as well as their level of knowledge of the accuracy of the application controls that are implemented in their companies. The main objective of this study is to develop and propose a centralized governance and compliance standard for Information Technology Departments of both small agencies and government agencies in Puerto Rico, improving upon the current Law 151 and Office of Management and Budget Operational Guidelines established by Letter 77-05 dated December 8, 2004.

Gaining Competitive Advantage through Marketing Strategies in Container Terminal: A Case Study on Shahid Rajaee Port in Iran

Shahid Rajaee port complex at Bandar Abbas is the country’s principal gateway for containerized cargo. It has emerged as a leading regional commercial center and a world class business environment. It has now become the logical place to do business in the Middle East, providing investors with a unique value added platform. Ports have a significant role in today’s networked business environment. They are being regarded as hubs that are part of various logistics systems. The very essence of seaport is to link maritime networks and land network. These networks for the port are means of analyzing its competitiveness. The objective of this study is to find out the main factors which impact on competitiveness of container port in Shaied Rajaee. Port and enable it to suggest and apply the profound marketing strategy to get the huge load in this port. Based on our findings by employing the factor analysis is to reveal the vital competitiveness of the port. It reveal that that port strategy and policy, port logistics, hinterland condition, availability, shipping maritime service, port Regional center, shipping agreement and port service and connectivity are determining factors in the shahid Rajee port in Iran.

Quality of data standards: framework and illustration using XBRL taxonomy and instances

The primary purpose of data standards is to improve the interoperability of data in an increasingly networked environment. Given the high cost of developing data standards, it is desirable to assess their quality. We develop a set of metrics and a framework for assessing data standard quality. The metrics include completeness, relevancy, and a combined measure. Standard quality can also be indirectly measured by assessing interoperability of data instances. We evaluate the framework on a data standard for financial reporting in United States, the Generally Accepted Accounting Principles (GAAP) Taxonomy encoded in eXtensible Business Reporting Language (XBRL), and the financial statements created using the standard by public companies. The results show that the data standard quality framework is useful and effective. Our analysis also reveals quality issues of the US GAAP XBRL taxonomy and provides useful feedback to taxonomy users. The Securities and Exchange Commission has mandated that all publicly listed companies must submit their filings using XBRL. Our findings are timely and have practical implications that will ultimately help improve the quality of financial data and the efficiency of the data supply chain in a networked business environment.

Project business as a research field

PurposeThe purpose of this paper is to introduce project business as a research field. The project business view in this paper puts focus on the management of firms and their businesses, and this way the paper complements the existing project‐centric view of the role of projects and their management in various business contexts.Design/methodology/approachThe paper proposes a conceptual framework for project business and identify relevant research areas and themes. These research areas and themes are derived by using the knowledge and experience obtained from scientific project business research conducted in Finland since the early 1990s.FindingsThis paper describes project business as a research field by introducing a project business framework and the four major research areas inherent in the framework: management of a project, management of a project‐based firm, management of a project network, and management of a business network. It also suggests specific research areas and themes within the framework that are relevant and contribute to new knowledge in the project business field.Practical/implicationsThe project business framework described in this paper, including the suggested research areas and themes, is important in focusing research and for development of practical application of project‐based business activities in firms and in public organizations.Originality/valueThe paper reveals avenues that lead towards the development of a new body of knowledge for project business that focuses on managing both firms and projects effectively in their networked business environments.

The Emergence and Success Factors of Fast Internationalizers

SUMMARY This paper aims to study the internationalization process of Estonian fast internationalizers and the reasons why they succeeded in entering several markets not only in Europe, but also in Asia and/or America. It starts with a review of the existing traditional internationalization, born global, foreign direct investment and network literature and brings out the differences between traditional (slowly, gradually internationalizing) and fast internationalizers (including born globals). Based on the literature review, it develops a conceptual framework, demonstrating the role of network relationships, business environment and companies' unique resources and capabilities on the emergence and further development of such enterprises. Then, after a methodology section, four cases (three from biotechnology, one from IT/publishing) are introduced. After the discussion of the results, some managerial and research implications are drawn.

Modeling an intelligent continuous authentication system to protect financial information resources

This paper examines fundamental principles of continuous authentication (CA) and proposes a four-tier CA architecture to secure financial information systems. We define CA as a process that verifies the identity of an information systems user continuously for the entire duration of an authorized session. While organizations can, in theory, strengthen the security of their financial information systems through CA, several challenges need to be addressed in designing a CA architecture. A primary challenge involves the constantly changing user profiles in globally networked business environments. Profile content may include user knowledge and characteristics, access location, job characteristics, and transaction attributes. We propose swarm intelligence, which has the capacity to handle complex profile changes, as a technology for implementing CA in a dynamic, distributed network environment where user profiles are constantly changing. The paper explores model implementation challenges and discusses opportunities for future research.

A framework for innovation decision making in the internet age

This paper aims to advance our understanding of innovation decision making among organisations in the Internet Age. By identifying an asymmetry existing between outward driving forces and inward shaping forces of innovation, it develops a framework for integrating the two driving forces and supporting innovation decision making in the changing world. By means of incorporating the changes of innovation environment, innovation practices and innovation paradigm, the framework provides us with a useful tool for dealing with innovation issues in a networked business environment.

Supply Chains in Network Economy

A supply chain can be shown as a set of units interconnected by material, financial, information and decision flows from initial suppliers to ultimate customers. Supply chain management is more and more affected by network business environment and by information and communication technologies. The paper analyzes a combination of non-cooperative and cooperative decision making of supply chains in network economy.