Propostion 2: (Point to Point IOS & that contribute to the functionality and harmony of
Adoption) a relationship) and processes (means by which the Strategic process models can be generated in two stages of BPMN life cycle
if supply chain IOS is implemented on attributes are developed), which need to be present process documentation and process design
PTP basis, even if industry wide data in order to establish and maintain functional and
and process standards, may still not be harmonious interorganizational relationships.
adopted by all SC: members
Proposition3: If supply chain IOS is Team integration P Input Relevance Output
implemented on PTP basis, information Close cross-site integration vs loose inter-site 2 Q2 Normal
transparency problems are likely to stay coupling. More mature teams with well-established
3 Q1 Normal
unrevised development processes allow for more loosely
1 - Date(2017- Exception
coupled teams. Form teams around the structure of
12-31)
Proposition 4: if a supply chain IOS the system and architect the system according to
features and functionality. 4 Q3 Normal
uses a standards-based coordination hub
Pennysoft: communication on a daily basis, joint
architecture then it will be more likely
to solve supply chain information teams, close cross-site integration, requires more
transparency problem than if it uses a communication and needs to be closely managed
Semicon: teams consist of collocated members,
point to point architecture
managing extended teams is too complex, loose
Private Coordination Hubs coupling, bridge model does not appear during day-
to-day work
Intel gave options: RossetaNet, EDI, File
2. Organizational level implementation
transfer Protocol 4 web-based transactions
Implemented at managerial or operational software
(invoice, forecasts, advanced shipments
engineering + managerial level. The level of cross-
notification, purchase orders )
site integration seems to have direct impact on the
level at which it is implemented. Organizations with
Nettech standard but private hub built
extensive cross-site integration may implement the
Proposition 5: if a supply chain IOS is
bridge model at both levels, while loosely coupled
implemented as a private standards-based
teams may prefer to only implement at managerial
coordination hub, then t will face adoption
level. Then a project manager acts as a managerial
problems by smaller, remote, and peripheral
bridge between sites and inter-team communication
members of the extended supply chain
is kept to a minimum.
Data and process standards are necessary to enable transparent supply Pennysoft: closely integrated as extended teams,
chain information transparency in Interorganisational systems (IOS), but both managerial and software engineering level.
also standards that need to be complemented by hub-type IT architecture Irish manager delegates and manages other sites.
that is shared by organisations participating in a certain industry field. Low Ownership resides in the US. Teams leveraging the
adoption has hindered the effort of the abovementioned. most relevant skills available at different
MOSS case exemplifies that when a supply chains IOS is based on industry- locations. Valuable when establishing new offshore
wide data and process standards, minor and peripheral actors are more sourcing relationships because employees are
likely to adopt it as well. trained.
3. Site hierarchy The authors suggest that firms should engage in multi-sourcing in services
Hierarchical (one site is superior) includes in order to benefit from discovering new partners and their qualities. The
offshoring only mundane tasks, implementing the success of multi-sourcing however depends on a firms ability to devise a
bridge model at the operational software global sourcing process that addresses critical trade-offs. The crux lies
engineering level is feasible (and managed from the within the fact that sourcing engagements are fundamentally based on
superior site). When the sties are organized as trust, which may be at stake on both sides, as both supplier and client may
peers the bridge can delegate full responsibility be less committed to the sourcing process.
and this requires corresponding managerial skills.
Note that a sourcing process is a set of organisational practices that
Hierarchical appproach is helpful in training new
people, well-established teams can work independent facilitates discovering new supplier opportunities; evaluating suppliers;
and are more suitable for a peer-to-peer developing supplier relationships; coordinating across suppliers; changing
implementation. Long-term sustainability can suffer levels of supplier commitment.
if people on ofshore locations are not treated as Multi-sourcing is the disciplined provisioning and blending of business and IT
equal. Offshore locations can then try to bypass services from the optimal set of internal and external providers in the
the bridge location, and this makes the bridge pursuit of business goals. It is argued that rapid change in the global supply
unwilling to tranfer knowledge. market increases the value of a multi-sourcing strategy.
Pennysoft: teams comprise several locations but Main research question: how does a global sourcing process mitigate the
are driven by one site. Us delegates to Irish risks and increase the benefits of a multi-sourcing strategy?
managers who delegate to Irish and Indian sites. Three highlights
Irish site does complex design activities, Indian 1. Advantages of multiple provider strategy in rapidly changing
does quality assurance. Train new Indian recruits
global supply market
this way. But this can cause tension.
Semicon: teams at semicon are not perceived as 2. Important role of middle managers in enabling continuous
being a multiple level hierarchical structure. innovation in the supplier structure
Teams working on a project are seen as peers. 3. The importance of global sourcing process combining top-
Mature offshore teams down and bottom-up decision-making in multi-sourcing.
Overlapping time zones are useful, but it is not
clear whether the Irish bridge is sustainable in
In ITO BPO, firms tend to concentrate on a few strategic suppliers.
the future. Ireland is no longer a low-cost
offshoring location but a mature site, so the A key characteristic in a multi-sourcing strategy is the cooperation with
bridge should maintain and improve quality. Depth multiple providers each serving a different purpose.
of expertise and experience will be more important Middle management contributes to a multi-sourcing strategy by:
for future competitiveness. Also in India costs - Discovering new best-fit supplier opportunities
are rising, leading to offshoring to even cheaper - Making vendor-specific investments
countries such as China, Vietnam and Malaysia. - Reducing organisational resistance to changes associated
Two-stage offshoring will then lead to multistage with off-shoring
offshoring.
The first two bottom-up sourcing capabilities respond to rapid change in the
global supply market, for which multi-sourcing strategies are desired. The
third capability increased the benefit of the multi-sourcing strategy.