Strategy in Industrial Networks: Experiences from IKEA Harvard Case Solution & Analysis

This article explains how IKEA manages complex network business relationships with suppliers and partners. An industrial network is the foundation for the strategy IKEA in terms of efficiency and development. From the analysis of IKEA experience in relations with its industrial network, the article discusses the many structural components and dynamic interaction network strategy. Three structural components: the determination of the relationship, the formation of the network structure, as well as assessment of compliance with the target network. Two dynamic interaction: interaction through inter-organizational processes to improve the efficiency targets and interacting through joint projects for development. Network strategies can not be used as shortcuts to compensate for severe weaknesses, but instead can only be carried out by firms that are competent enough, external organizational interfaces and network-oriented culture. "Hide
by Enrico Baraldi Source: California Management Review 29 pages. Publication Date: August 1, 2008. Prod. #: CMR405-PDF-ENG

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