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Orchestrating a global business services portfolio in a plural sourcing context: the mediating role of modularised business processes

Albert Plugge (Nyenrode Business University, Breukelen, The Netherlands)
Shahrokh Nikou (Åbo Akademi University, Turku, Finland) (Stockholm University, Stockholm, Sweden)
Henry Robben (Nyenrode Business University, Breukelen, The Netherlands)
Henk Kievit (Nyenrode Business University, Breukelen, The Netherlands)

Journal of Enterprise Information Management

ISSN: 1741-0398

Article publication date: 13 November 2023

Issue publication date: 21 February 2024

82

Abstract

Purpose

To co-create value through dynamic collaborations, enterprises and their suppliers need to orchestrate the integration of complementary resources when providing business services. As such enterprises' strategic decision to apply a plural sourcing strategy to establish dynamic collaborations with their suppliers implies that both in-house and outsourced business services should be bundled into a business services portfolio. However, the antecedents that affect a business services portfolio have rarely conceptually been identified.

Design/methodology/approach

Drawing on resource orchestration theory, the authors theoretically developed and empirically validated a business services portfolio conceptual model. The model aims at explaining the critical antecedents to a business services portfolio based on a unique data set, comprising 121 international enterprises with variation in the degree of outsourcing, size, geographies and maturity. Partial least squares structural equation modelling was used to examine the relationships among the antecedents and a business services portfolio.

Findings

The findings show that the antecedent, i.e. plural sourcing strategy, modularised business processes and customer orientation have a direct and significant effect on the enterprises' business services portfolio orchestration. The results of the mediation test indicate that modularised business processes fully mediate the relationships between three independent variables with the orchestration of business services portfolio.

Originality/value

This study is the first to analyse the impact of plural sourcing strategy, modularised business processes and customer orientation on the business services portfolio orchestration from a plural sourcing context. Additionally, it examines the mediating role of modularised business processes in the relationship between the antecedents and business services portfolio orchestration.

Keywords

Acknowledgements

Since submission of this article, the following author(s) have updated their affiliations: Shahrokh Nikou is at the Delft University of Technology, Delft, The Netherlands

Erratum: It has come to the attention of the publisher that the article, Albert Plugge, Shahrokh Nikou, Henry Robben and Henk Kievit “Orchestrating a global business services portfolio in a plural sourcing context: the mediating role of modularised business processes”, published in Journal of Enterprise Information Management, was published with incorrect affiliation information for Shahrokh Nikou. The correct affiliation is Åbo Akademi University, Turku, Finland and Stockholm University, Stockholm, Sweden. The error was introduced in the editorial process and has now been corrected in the online version. The publisher sincerely apologises for this error and for any inconvenience caused.

Citation

Plugge, A., Nikou, S., Robben, H. and Kievit, H. (2024), "Orchestrating a global business services portfolio in a plural sourcing context: the mediating role of modularised business processes", Journal of Enterprise Information Management, Vol. 37 No. 1, pp. 100-124. https://doi.org/10.1108/JEIM-04-2023-0217

Publisher

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Emerald Publishing Limited

Copyright © 2023, Emerald Publishing Limited

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