Sourcing strategies to keep up with competition: the case of SAP
This paper applies the Red Queen theory to explain how organizations utilize various sourcing arrangements in order to compete in an evolutionary arms race where only the strongest competitors will survive. The case study incorporates competition, and views sourcing strategies as a means to improve...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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UMinho Editora
2022-02-01
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| Series: | International Journal of Information Systems and Project Management |
| Subjects: | |
| Online Access: | https://revistas.uminho.pt/index.php/ijispm/article/view/3929 |
| _version_ | 1818568188551495680 |
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| author | Michelle Antero Jonas Hedman Stefan Henningsson |
| author_facet | Michelle Antero Jonas Hedman Stefan Henningsson |
| author_sort | Michelle Antero |
| collection | DOAJ |
| description |
This paper applies the Red Queen theory to explain how organizations utilize various sourcing arrangements in order to compete in an evolutionary arms race where only the strongest competitors will survive. The case study incorporates competition, and views sourcing strategies as a means to improve the firm’s viability to survive competition in the marketplace. The study begins by positioning the Red Queen theory within the sourcing literature. It subsequently applies the framework to a case study of SAP AG to illustrate how sourcing strategies have changed over time in response to the logic of competition. The case study reveals that (a) organizations are adaptive systems and capable of learning to make strategic changes pertaining to sourcing arrangements; (b) organizations select the terms on which they want to compete by developing certain capabilities within the firm; (c) organizations are reflexive and over time develop competitive hysteresis which allows them to become stronger competitors. In the case of SAP AG, various sourcing arrangements were selected over its 40-year history to respond to technological and market changes.
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| first_indexed | 2024-12-14T06:32:45Z |
| format | Article |
| id | doaj.art-0d040c7188bb4b38a3fc458d2516c6d4 |
| institution | Directory Open Access Journal |
| issn | 2182-7788 |
| language | English |
| last_indexed | 2024-12-14T06:32:45Z |
| publishDate | 2022-02-01 |
| publisher | UMinho Editora |
| record_format | Article |
| series | International Journal of Information Systems and Project Management |
| spelling | doaj.art-0d040c7188bb4b38a3fc458d2516c6d42022-12-21T23:13:28ZengUMinho EditoraInternational Journal of Information Systems and Project Management2182-77882022-02-0123Sourcing strategies to keep up with competition: the case of SAPMichelle Antero0Jonas Hedman1Stefan Henningsson2United Arab EmiratesCopenhagen Business SchoolCopenhagen Business School This paper applies the Red Queen theory to explain how organizations utilize various sourcing arrangements in order to compete in an evolutionary arms race where only the strongest competitors will survive. The case study incorporates competition, and views sourcing strategies as a means to improve the firm’s viability to survive competition in the marketplace. The study begins by positioning the Red Queen theory within the sourcing literature. It subsequently applies the framework to a case study of SAP AG to illustrate how sourcing strategies have changed over time in response to the logic of competition. The case study reveals that (a) organizations are adaptive systems and capable of learning to make strategic changes pertaining to sourcing arrangements; (b) organizations select the terms on which they want to compete by developing certain capabilities within the firm; (c) organizations are reflexive and over time develop competitive hysteresis which allows them to become stronger competitors. In the case of SAP AG, various sourcing arrangements were selected over its 40-year history to respond to technological and market changes. https://revistas.uminho.pt/index.php/ijispm/article/view/3929ERP vendorsourcing strategiesRed Queen TheorySAP |
| spellingShingle | Michelle Antero Jonas Hedman Stefan Henningsson Sourcing strategies to keep up with competition: the case of SAP International Journal of Information Systems and Project Management ERP vendor sourcing strategies Red Queen Theory SAP |
| title | Sourcing strategies to keep up with competition: the case of SAP |
| title_full | Sourcing strategies to keep up with competition: the case of SAP |
| title_fullStr | Sourcing strategies to keep up with competition: the case of SAP |
| title_full_unstemmed | Sourcing strategies to keep up with competition: the case of SAP |
| title_short | Sourcing strategies to keep up with competition: the case of SAP |
| title_sort | sourcing strategies to keep up with competition the case of sap |
| topic | ERP vendor sourcing strategies Red Queen Theory SAP |
| url | https://revistas.uminho.pt/index.php/ijispm/article/view/3929 |
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