Competitive advantage

Developing Strategic Information Systems at Business System Transformation - A Case Study of SEIREN Co., Ltd. -

This paper analyzes product development and business growth as a result of changes in information systems (IS) during a period of business transformation. Since the 1990s, management of corporate IS being made by outsourcing has become a basic business strategy, against a backdrop of theoretical motivation explained by theory of core competence and transaction cost theory. Outsourcing service providers with technical expertice have continued to grow by enjoying economies of scale producted by replicability of IT related products.

 

However, existing theories that explain IS outsourcing might not be valid in the transition phase of business system (ie, business model). Instead, we think that there is a possibility in insourcing management to create strategic information system and to achieve more flexible and effective business system transition than outsourcing management.

 

The purpose of this research is to find clues that answer the question how these firms develop and maintain their IS that provide competitive advantages at business system transformation by case study. The exploratory case stud shows the effectiveness of developing IS in-house. It indicates that (1) the innovative vision of top management advances accumulating business knowledge deeply and widely in organization, and (2) using accumulated knowledge and skill through insourcing management enables the firm to develop unique and effective information systems.

 

In the view of capability-based approach, we conclude that Insourcing (Not Outsourcing) IS development that includes "IS-extensibility" make the business system transformation more flexible and effective.

Language of the paper: 
English
Abstract in the language of the paper: 

This paper analyzes product development and business growth as a result of changes in information systems (IS) during a period of business transformation. Since the 1990s, management of corporate IS being made by outsourcing has become a basic business strategy, against a backdrop of theoretical motivation explained by theory of core competence and transaction cost theory. Outsourcing service providers with technical expertice have continued to grow by enjoying economies of scale producted by replicability of IT related products.

 

However, existing theories that explain IS outsourcing might not be valid in the transition phase of business system (ie, business model). Instead, we think that there is a possibility in insourcing management to create strategic information system and to achieve more flexible and effective business system transition than outsourcing management.

 

The purpose of this research is to find clues that answer the question how these firms develop and maintain their IS that provide competitive advantages at business system transformation by case study. The exploratory case stud shows the effectiveness of developing IS in-house. It indicates that (1) the innovative vision of top management advances accumulating business knowledge deeply and widely in organization, and (2) using accumulated knowledge and skill through insourcing management enables the firm to develop unique and effective information systems.

 

In the view of capability-based approach, we conclude that Insourcing (Not Outsourcing) IS development that includes "IS-extensibility" make the business system transformation more flexible and effective.

Authors
Mr
YODA
Yuichi
University of Marketing and Distribution Sciences
Other
Mari
YOSHIDA
Ritsumeikan University
Professional Title 2: 
Associate Professor

Application of factorial analysis and regression models to the formation of marketing competitive advantages in local firms

In this work, the formation of competitive advantages from management resources in local
environments is analysed, using a factorial analysis. For this purpose, the principles governing
the resource and capability-based view in the formation of competitive advantages are
reviewed. On this theoretical ground, a sample of 85 local firms whose activity is linked to the
industrial sector and services connected to the agriculture in one of the main Spanish
production areas is taken to carry out the empirical research. Consequently, and to study the
relationship between the factors derived from the factorial analysis and the resources and
capabilities, a regression model has been developed for each identified factor. Finally, the
main conclusions of the analysis and its most immediate management implications are
pointed out.

Language of the paper: 
English
Authors
MARÍN CARRILLO
Gema
University of Almería
Cristina
SEGOVIA LÓPEZ
University of Almería
Juan Carlos
GÁZQUEZ ABAD
University of Almería