Nalue Network Evolution: The Effects of Disruptive Innovations in Established Networks
Garza, Fernando (2015)
2015
Master's Degree Programme in Business and Technology
Talouden ja rakentamisen tiedekunta - Faculty of Business and Built Environment
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Hyväksymispäivämäärä
2015-12-09
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:tty-201511111709
https://urn.fi/URN:NBN:fi:tty-201511111709
Tiivistelmä
A value network refers to a group of mutually dependent firms that contribute to the creation of value within a business eco-system. These networks are formed by components and sub-systems that come together to form a holistic system. Over time, the value created by the network is enhanced as specialized firms continuously improve the performance of their focal technologies.
The goal of the study is to provide companies located in established networks better means on how to identify the elements that enable or constrain value network development when trying to introduce potentially disruptive technologies. The objective of this thesis was approached by using conceptual analysis. A structured literature review was performed in order to understand the drivers and inhibitors of value network development by determining the actors and factors that enable and constrain the creation of value. The literature review also provided the foundation on how to identify disruptive potential of technical systems of higher complexity. Two illustrative case studies were performed in order to verify the findings of the literature review and assess the drivers and inhibitors of value network development. The case studies were conducted in two Finnish companies from the process machinery and pulp & paper industries that have constantly dealt with the introduction new technologies in established value networks.
The results of the study suggest that the development trajectory of the value network is reliant on key network members which coordinate tangible and non-tangible transactions, influence major decisions, and at the same time employ their authority to influence solutions to customer requirements. Additionally, the study also discusses how collaborative agility and modularization are key drivers of network development; and how network complexity, lack of coordination, the incapacity of a member of the network and factors external to the network can act as inhibitors of network development. As an outcome, this thesis proposes a disruption conceptual model which is suitable for technical systems with higher complexity and builds managerial implications when facing disruptive change upon the study findings.
The goal of the study is to provide companies located in established networks better means on how to identify the elements that enable or constrain value network development when trying to introduce potentially disruptive technologies. The objective of this thesis was approached by using conceptual analysis. A structured literature review was performed in order to understand the drivers and inhibitors of value network development by determining the actors and factors that enable and constrain the creation of value. The literature review also provided the foundation on how to identify disruptive potential of technical systems of higher complexity. Two illustrative case studies were performed in order to verify the findings of the literature review and assess the drivers and inhibitors of value network development. The case studies were conducted in two Finnish companies from the process machinery and pulp & paper industries that have constantly dealt with the introduction new technologies in established value networks.
The results of the study suggest that the development trajectory of the value network is reliant on key network members which coordinate tangible and non-tangible transactions, influence major decisions, and at the same time employ their authority to influence solutions to customer requirements. Additionally, the study also discusses how collaborative agility and modularization are key drivers of network development; and how network complexity, lack of coordination, the incapacity of a member of the network and factors external to the network can act as inhibitors of network development. As an outcome, this thesis proposes a disruption conceptual model which is suitable for technical systems with higher complexity and builds managerial implications when facing disruptive change upon the study findings.