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Paper info: Seeking for Competitiveness - New Service Development in Networks


Seeking for Competitiveness - New Service Development in Networks


Helena Rusanen
Turku School of Economics and Business Administration
Helena Rusanen

Place of Publication

The paper was published at the 25th IMP-conference in Marseille, France in 2009.


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The purpose of this paper is to give an insight into possibilities offered by the network approach in new service development as a source to increase service providers' competitiveness. The article is based on the existing literature on this topic. The empirical part is based on ARA framework which is first described in the article. The empirical part is a study of resources and activities included in the new service development projects in networks.Main findings: Competitiveness is today widely believed to be directly connected to innovativeness. Innovation process is argued to succeed only if a wide variety of relevant knowledge will be accumulated and developed, which requires inter-organizational collaboration in the development process. Relationship orientation seems to affect positively not only innovating process but also the overall performance of firms. Network must however be able to adapt to various phases during the new service development process. Flexibility needed for the successful new service development can be acquired through loose contracts between parties and by creating limited projects with limited number of representatives from partner organizations. Trust can be supported by shared learning opportunities. Important players in development projects include top managers, project managers, product champions, product sponsors, team members, customers, suppliers, competitors and actors from various industries, as well as third parties. Customers are nowadays in a central position when developing new services. However, including customers is not enough, but a network must include various actors who can offer essential resources for the service development process.