Capable design or designing capabilities? An exploration of service design as an emerging organizational capability in Telenor – Martinkenaite

Journal Title: Journal of Entrepreneurship, Management and Innovation - Year 2017, Vol 13, Issue 1

Abstract

This empirical paper examines a process, starting with the managerial decision to make service design an organizational capability, and follows it as it unfolds over time within one organization. Service design has become an established business practice of how firms create new products and services to promote differentiation in an increasingly uncertain business landscape. Implicit in the literature on service design are assumptions about strategic implications of adopting the prescribed innovation methods and tools. However, little is known about how service design evolves into an organizational capability enabling firms to transform their existing businesses and sustain competitiveness. Through a longitudinal, exploratory case study of service design practices in one of the world’s largest telecommunications companies, we explicate mechanisms through which service design evolves into an organizational capability by exploring the research question: what are the mechanisms through which service design develops into an organizational capability? Our study reveals the effect of an initial introduction of service design tools, identification of boundaryspanning actors and co-alignment of dedicated resources between internal functions, as well as through co-creation with customers. Over time, these activities lead to the adoption of service design practices, and subsequently these practices spark incremental learning throughout the organization, alter managerial decisions and influence multiple paths for the development of new capabilities. Reporting on this process, we are able to describe how service design practices were disseminated and institutionalized within the organization we observed. This study thus contributes by informing how service design can evolve into an organizational capability, as well as by bridging the emerging literature on service design and design thinking with established strategy theory. Further research will have to be conducted to confirm if the same mechanisms are observable across contexts and in other firms, and several future research directions are identified. In addition, the study also has implications for practice as it demonstrates how service design methodology can be implemented and has strategic implications for organizations.

Authors and Affiliations

Ieva Martinkenaite, Karl Joachim Breunig, Annita Fjuk

Keywords

Related Articles

Leveraging Economy through MSMEs: Recent Trends and Challenges of Women’s Entrepreneurship in South India

The new millennium is seen as an epoch of entrepreneurship with entrepreneurs perceiving novel opportunities, organizing resources, undertaking risks to pursue their goals in establishing innovative ventures for scaling...

Characteristics of Intrapreneurs in Scale-Intensive Service Firms

This empirical paper explores the work of employees in charge of service innovation when firms develop and launch new scale-intensive services by addressing two re- search questions: i) How do employees responsible for s...

Friends doing business. An Explorative Longitudinal Case Study of Creativity and Innovation in an Italian Technology-Based Start-Up

With a process perspectve based on a framework derived from several disciplines, we theoretcally discuss how friendship dynamics in founding teams may affect a business. We develop a conceptual model that considers the di...

Strategic Management of Agribusiness: Determinants and Trends

Intense changes have arisen in global agriculture, yielding a new market reality that is more complex and competitive than before. To confront these changes, a renewed perspective on the practice of agribusiness manageme...

Spinning Them Off: Entrepreneuring Practices in Corporate Spin-Offs

This paper focuses on the practices between parent and child firms in corporate spinoffs. We uncover the enacted aspects of knowledge, called knowing, through theories from seven cases of incumbent-backed spin-offs and f...

Download PDF file
  • EP ID EP238394
  • DOI 10.7341/20171313
  • Views 176
  • Downloads 0

How To Cite

Ieva Martinkenaite, Karl Joachim Breunig, Annita Fjuk (2017). Capable design or designing capabilities? An exploration of service design as an emerging organizational capability in Telenor – Martinkenaite. Journal of Entrepreneurship, Management and Innovation, 13(1), 69-87. https://www.europub.co.uk/articles/-A-238394