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Provide explanations to why firms subcontract.

Theoretical analysis based on current and specific conditions of the construction sector and empirical indicators.

Attributes potentially influencing the subcontracting decision are updated.

The paper will only focus on the make-or-buy decision of the main contractor and not the client.

Contributing to coming analysis on the subcontractor decision.

Updated transaction cost analysis on the construction industry.

Employing the notion of balanced growth postulated by competence-based literature, the present study submits that a firm’s growth strategy can be understood as its ability to manage the interplay of building and leveraging existing competence within the business context. The synergistic effects resulting from the creation of a self-reinforcing cycle of competence building and leveraging initiatives then drive the achievement of superior performance. To examine the validity and usefulness of this conception, we conduct a systematic investigation on the strategy-performance link of contract electronics manufacturers based in Taiwan, who have emerged as the competitive global supply base in electronics and computer industries. Empirical results based on a panel of business-level operating data show that while building product-related competence is essential to the contract manufacturer’s achievement of higher profitability, leveraging competence between subcontracting services and own-brand business will significantly enhance both profitability and sale growth. The implications of formulating a sustainable growth strategy for contract manufacturers in the context of horizontally configured industries, and suggestions for future research endeavors on competence-based management are discussed.

This paper examines the experiences of welfare clients on Temporary Assistance for Needy Families (TANF) and Indian immigrant information technology (IT) workers on the H-1B visa to analyze how public–private collaborations in the spirit and practice of outsourcing, i.e. systematic fragmentation and decentralization of both corporate and state activities, function as mechanisms for disciplining labor. Through an analysis of these groups’ parallel experiences with exploitative work and employers in the U.S., this paper identifies how outsourcing is not merely a business model for cross-border trade, but also a key principle, component, and outcome of policy-based neo-liberal economic restructuring.

Based on an in-depth case study in the French nuclear industry, this chapter describes what happens when law’s ambiguity meets organizational complexity. While regulation studies suggest that organizations assign managerial values (such as efficiency or flexibility) to their compliance structures, this research focuses on the mixed role of purchasing managers in these processes. Constituting the missing link when explaining the legal regulation of economic activities, these intermediaries defend a financial conception of the firm against a more technical performance oriented solution. This financial conception did not emerge from nowhere, but resulted from the institutionalization of a particular meaning of business regulation within the nuclear industry. However, if values guide organizational behavior, the behavior of the actors can under no circumstances be reduced to these values. Conflicts, misunderstandings, and mistakes are a constitutive part of these process, too.

The purpose of this document is to show the effects of globalization on the workers of the electronics cluster in the state of Jalisco. It begins with the assumption that the globalization has impacted the interests of the workers in their working conditions and created the precarization of workers. The text is divided in three sections: the first section presents the characteristics of the electronics cluster; the second section outlines a profile of the workers of this industry, and the last one presents the results of the precarization of work.

Intra-European labour migration has divergent labour market consequences across institutional settings and economic sectors. Some sectors experience increasing pressure on industrial relations and labour market segmentation while others do not experience such effects, and it remains unclear how to explain this variation. Based on empirical findings from a comparative study of four economic sectors in Denmark, this article discusses the role of labour market institutions and structural conditions in shaping the consequences of labour migration at a sectoral level.

By adopting relational practice theory on a case study of a Finnish software company, a solution provider for the public healthcare sector, this study examines how the nexus of practices, and their socio-historical premises, enable and constrain intentional strategizing in an organization about to survive the ten-year Death Valley phase. The strategy literature adopting a practice lens has been focused on the rationality of human actions or implicated that all practices are shaped by the historical socio-cultural background of the organization. As a consequence, the practice-based strategy literature tends to overemphasize the rationality of human action or reduces human agency to an extent where the autonomy of actors becomes problematized. These practice-based strategy views circumscribe relational agency as inherent in practice theory treating human agents as acting within a nexus of practices but also consider them as being free to make choices. Findings suggest that even during intentional strategizing, managers are not fully autonomous in their choices as practices constrain possibilities and set boundaries for strategic activities. Prior commitments determine the possible strategic themes to pursue. Within the boundaries of these strategic themes, strategic activities emerge where the strategic activities are shaped by a nexus of practices within and around the organizational boundaries. Depending on the complexity of mutually dependent entertwined strategic activities, they can be perceived as being beyond management control, or considered strategically irrelevant, which influences the strategic direction in the face of uncertainty.

The aim of this article is to analyse how different policies and actors have structured the current migrant labour regime in the Finnish construction sector and to discuss the consequences for migrants. Our study shows that a strong industrial relations system such as in Finland is able to curb the posting of workers regime (the most disadvantageous for migrant workers). The position of labour migrants has become more diverse in the segmented labour market, although it remains inferior compared to that of the natives. Consideration of the policy development revolving around the changing migrant labour regimes constitutes the first part of the analysis and is based on government and trade union officials’ accounts. The more substantial part of the study draws upon biographical interviews with Estonian construction workers and analyses the division of migrant labour according to their employment in four ‘patterns of firm ownership’ that range from the most unfavourable to most favourable position: workers posted by Estonian firms; workers employed by firms registered in Finland but operated by Estonians; self-employed/small business owners and workers employed by Finnish firms. The structuring of the regime according to the pattern of firm ownership can be interpreted as a manifestation of employers’ intentional strategies to adapt to or avoid national regulations and to some extent as also reflecting workers’ individual and collective agency.

The idea of implementing supply chain management (SCM) principles for the construction industry was embraced by construction stakeholders to enhance the sector's performance. The analysis from the literature revealed that the implementation of SCM in the construction industry enhances the industry's value in terms of cost-saving, time savings, material management, risk management and others. The construction supply chain (CSC) can be managed using the pull or push system. This chapter also discusses the origin and proliferation of SCM into the construction industry. The chapter revealed that the concept of SCM has passed through five different eras: the creation era, the use of ERP, globalisation stage, specialisation stage and electronic stage. The findings from the literature revealed that we are presently in the fourth industrial revolution (4IR) era. At this stage, the SCM witnesses the adoption of technologies and principles driven by the 4IR. This chapter also revealed that the practice of SCM in the construction industry is centred around integration, collaboration, communication and the structure of the supply chain (SC). The forms and challenges hindering the adoption of these practices were also discussed extensively in this chapter.

Using two nationally representative data sets, we examine the wages, benefits, and social insurance of contingent workers compared with standard employees in South Korea. In addition, we measure employers’ investments in their contingent workforce. Our results indicate that contingent workers have become the dominant form of labor in South Korea after the 1998 Asian financial crisis and are faced with working conditions that are discriminative compared with those of standard employees. We also find that employers’ investments in contingent workers as human resources, as well as the upward mobility of contingent workers, are limited in the Korean labor market. Overall, our findings provide a comprehensive understanding of the working poor, including the social exclusion of contingent workers in an advanced developing economy.