Rights statement: This article is (c)2014 Emerald Group Publishing and permission has been granted for this version to appear here . Emerald does not grant permission for this article to be further copied/distributed or hosted elsewhere without the express permission from Emerald Group Publishing Limited.
Accepted author manuscript, 752 KB, PDF document
Available under license: CC BY-NC: Creative Commons Attribution-NonCommercial 4.0 International License
Final published version
Research output: Contribution to Journal/Magazine › Journal article › peer-review
Research output: Contribution to Journal/Magazine › Journal article › peer-review
}
TY - JOUR
T1 - Indirect capabilities and complex performance
T2 - implications for procurement and operations strategy
AU - Spring, Martin
AU - Araujo, Luis
N1 - This article is (c)2014 Emerald Group Publishing and permission has been granted for this version to appear here . Emerald does not grant permission for this article to be further copied/distributed or hosted elsewhere without the express permission from Emerald Group Publishing Limited.
PY - 2014
Y1 - 2014
N2 - Purpose – The paper argues that indirect capabilities – the ability to access other organizations’ capabilities – are an important and neglected part of firm strategy in PCP (Procuring Complex Performance) settings, and that this is especially so if these settings are treated as genuinely complex, rather than merely complicated. Elements of indirect capabilities are identified. Design/methodology – This is a theoretical paper, drawing on complexity notions and Penrose’s analysis of endogenous innovation to drive a disequilibrium-oriented discussion of the capabilities required by firms in a PCP setting. Findings – Six inter-related elements of indirect capabilities are proposed and discussed: IT infrastructure; boundary management practices; contracting; interface artefacts; valuing others’ capabilities and relating direct to indirect capabilities. These are important in PCP settings and in other operations and supply settings characterised by complexity. Originality/value – This paper reconsiders the way complexity has been treated in the PCP literature, and develops an extended discussion of the notion of indirect capabilities. It potentially provides the basis for an operations and supply strategy more attuned to the demands of shifting inter-organizational networks.
AB - Purpose – The paper argues that indirect capabilities – the ability to access other organizations’ capabilities – are an important and neglected part of firm strategy in PCP (Procuring Complex Performance) settings, and that this is especially so if these settings are treated as genuinely complex, rather than merely complicated. Elements of indirect capabilities are identified. Design/methodology – This is a theoretical paper, drawing on complexity notions and Penrose’s analysis of endogenous innovation to drive a disequilibrium-oriented discussion of the capabilities required by firms in a PCP setting. Findings – Six inter-related elements of indirect capabilities are proposed and discussed: IT infrastructure; boundary management practices; contracting; interface artefacts; valuing others’ capabilities and relating direct to indirect capabilities. These are important in PCP settings and in other operations and supply settings characterised by complexity. Originality/value – This paper reconsiders the way complexity has been treated in the PCP literature, and develops an extended discussion of the notion of indirect capabilities. It potentially provides the basis for an operations and supply strategy more attuned to the demands of shifting inter-organizational networks.
KW - complexity
KW - PCP
KW - indirect capabilities
KW - Penrose
KW - networks
U2 - 10.1108/IJOPM-01-2011-0034
DO - 10.1108/IJOPM-01-2011-0034
M3 - Journal article
VL - 34
SP - 150
EP - 173
JO - International Journal of Operations and Production Management
JF - International Journal of Operations and Production Management
SN - 0144-3577
IS - 2
ER -