Papers by Jens K Roehrich
This paper explores the dynamic interplay of formal/informal governance mechanisms, in terms of f... more This paper explores the dynamic interplay of formal/informal governance mechanisms, in terms of functional and dysfunctional consequences for both sides of the dyad, in long-term inter-organizational relationships. Using two longitudinal cases of UK defence sector procurement (warship commissioning) we move beyond notions of complementarity and substitution in governance towards a more nuanced view where the governance mix of inter-organizational relationships can be convergent or divergent. Our findings, showing that relationships can exhibit functional and dysfunctional behavior simultaneously, lead us to conclude that mismatches in governance mechanisms can be positive as well as negative. In building a context dependent understanding of governance we both summarize the (dys)functions associated with formal and informal governance mechanisms, and explore their impact on relationship exchange performance over time.
Performance-based contracting emphasises outcomes and results when procuring products, aligning b... more Performance-based contracting emphasises outcomes and results when procuring products, aligning buyer and supplier incentives
Public-private collaborations, or hybrid organizational forms, are often difficult to organize be... more Public-private collaborations, or hybrid organizational forms, are often difficult to organize because of disparate goals, incentives, and management practices. Some of this misalignment is addressed structurally or contractually, but not the management processes and practices. In this study, we examine how the coordination of these social and work relationships, or relational coordination, affects task performance and the creation of social value. We employ a dyad perspective on two long-term relationships that are part of a wider ecosystem. We illustrate the social value creation process, identifying mutual knowledge and goal alignment, as necessary to create relational coordination. We find that the degree of professional embeddedness moderates the link between coordination and task performance, and explore the role that organizational and ecosystem experiences play. We develop a model of how relational coordination influences social value creation in hybrids. The findings have implications for social value creation, hybrid collaborations, and organizational design.
Purpose - This research examines the relationship between organizational ambidexterity, the abili... more Purpose - This research examines the relationship between organizational ambidexterity, the ability of companies to explore new and to exploit existing processes simultaneously, and manufacturing performance as represented by the sand cone model. Moreover, the paper analyses the impact of stable and dynamic environments on this relationship.
Design/methodology/approach – A set of research questions are tested using structural equation modelling (SEM) on a sample of 231 Spanish manufacturing companies.
Findings - Results illustrate a significant relationship between ambidexterity as the basis and enabler for manufacturing performance improvements, building on the sand cone model and its dimensions of quality, delivery, cost, and flexibility. This relationship is further emphasized when companies work in a dynamic environment.
Practical implications – The study contributes to practice by investigating the important and yet under-explored relationships of ambidexterity, the sand cone model, performance, and a company’s wider market environment. Findings suggest a positive relationship between the sand cone model and ambidexterity capability.
Originality/value - This study adds to the limited theoretical and empirical understanding of the relationships between ambidexterity, the sand cone model, environmental dynamism, and performance. It also contributes through a set of empirical data derived from Spanish manufacturing companies.
Purpose – This paper applies self-determination theory (SDT) to green supply chain management (GS... more Purpose – This paper applies self-determination theory (SDT) to green supply chain management (GSCM) and explores how green supplier selection (GSS) drives GSCM performance and how realisation of improved GSCM performance is contingent upon SDT mechanisms of autonomy, competence and relatedness.
Design/methodology/approach – This study draws on 18 semi-structured interviews and secondary data from a Germany-based first-tier aircraft interior manufacturer and its six key suppliers. The focal company was selected because it is recognised as having achieved high GSCM standards in the aerospace industry.
Findings – The study draws out the importance of green supplier selection, distinguishing between new and legacy suppliers, and offers significant insights into how suppliers’ motivation and downstream GSCM criteria can be internalised at second-tier suppliers to drive GSCM performance.
Practical implications – Green supplier selection should be considered not only for new suppliers but also at an ongoing basis for legacy suppliers. Focal companies must realise the importance of motivating supply chain (SC) partners to realise GSCM practices and need to first build-up autonomy before focusing on competence and relatedness sub-dimensions.
Originality/value – We make a significant contribution to the GSCM literature by conducting a study of first-tier – second-tier relationships, thus moving beyond the buyer-supplier relationships investigated in extant studies. Our results theoretically and empirically draw
out key factors in green supplier selection and supplier motivation in engaging with GSCM practices, thus driving GSCM performance.
The aim of this Special Issue is to advance the understanding of performance-based contracting (P... more The aim of this Special Issue is to advance the understanding of performance-based contracting (PBC) in business markets. PBC has the potential for aligning incentives among buyers and sellers and fostering innovation. This paper critically reflects on extant research developments in order to develop a systematic knowledge map of PBC research. On that basis four major research gaps are identified and addressed, drawing out specific avenues for further PBC research. The knowledge map is also used to illustrate the focus and main arguments of the articles featuring in this Special Issue.
The prominence of Performance Based Contracting in management practice is reflected in the eventu... more The prominence of Performance Based Contracting in management practice is reflected in the eventually bur-geoning academic literature on the topic, which is however rather fragmented across disciplines and application contexts. Scholars working on the topic may profit by ex-changing their understanding, perspectives, and objectives on the topic of PBC. This was the initial idea to organize the following workshop. The workshop aims at the following two aspects: First, we want to connect scholars who are working on PBC and related topics in order to establish an international research community. Up to now 24 participants are coming to this workshop and we are very happy that the idea of this workshop attracted such a positive response. Second, we want to create a platform for exchange of ideas and discussions taking an interdisciplinary perspective. We received a good number of papers for the work-shop and we are keen to discuss the topics of 9 presentations. We trust that these prese...
Performance-based contracting emphasises outcomes and results when procuring products, aligning b... more Performance-based contracting emphasises outcomes and results when procuring products, aligning buyer and supplier incentives
Academy of Management Proceedings, 2013
Contract studies claim that we need complex contract structures to handle complex organizational ... more Contract studies claim that we need complex contract structures to handle complex organizational settings; however they have not yet identified which rules are actually effective to deal with complexity. This study measures three types of contract rules in complex programs using analytic induction and fuzzy-set qualitative comparative analysis in twenty-three case studies, and shows which rules are actually effective to handle complexity in organizational settings. Our results make three distinct contributions. First, we offer one of the first comprehensive empirical examinations of the most effective contractual rules and propose a structure for an effective systemic contract. Secondly, we propose a suitable method based on analytic induction to analyse rich empirical datasets and measure the effectiveness of contract rules. Our theoretical contribution lies in the bridging of classic and relational contracting theories, which have not reached yet (although they have explicitly suggested the importance of) a middle-way contract that combines both approaches.
Processes of servitization will lead providers to change their service delivery structures but th... more Processes of servitization will lead providers to change their service delivery structures but they also need to transform broader organisational attributes including contractual and relational capabilities. Based on case studies in the European healthcare sector, we investigate the influence of increasing levels of service complexity on this transformation. Our findings are potentially counter-intuitive; suggesting that contractual capabilities do not increase with service complexity. Instead, we observed increased levels of relational capabilities; manifest in the visibility of the provider on the customer site, the number of ‘non-requested’ site visits and increasingly informal information exchange.
Governments around the world, but especially in Europe, have increasingly used private sector inv... more Governments around the world, but especially in Europe, have increasingly used private sector involvement in developing, financing and providing public health infrastructure and service delivery through public-private partnerships (PPPs). Reasons for this uptake are manifold ranging from rising expenditures for refurbishing, maintaining and operating public assets, and increasing constraints on government budgets stifle, seeking innovation through private sector acumen and aiming for better risk management. Although PPPs have attracted practitioner and academic interest over the last two decades, there has been no attempt to integrate the general and health management literatures to provide a holistic view of PPPs in healthcare delivery. This study analyzes over 1,400 publications from a wide range of disciplines over a 20-year time period. We find that despite the scale and significance of the phenomenon, there is relatively limited conceptualization and in-depth empirical investigation. Based on bibliographic and content analyses, we synthesize formerly dispersed research perspectives into a comprehensive multi-dimensional framework of public-private partnerships. In so doing, we provide new directions for further research and practice.
This study provides evidence of connections between sustainability policy goals included in publi... more This study provides evidence of connections between sustainability policy goals included in public
procurement tenders and offers and their achievement through contract award.
This study evaluates the relationships between management, measurement and performance of sustain... more This study evaluates the relationships between management, measurement and performance of sustainability in supply chains. We develop a framework, which explores these links through decoupling as articulated by institutional theory. We draw on a conceptual continuum of reactive-proactive sustainable supply chain practices, and identify clusters of companies along these dimensions. We evaluate the theoretical and managerial implications of this for sustainability performance.
Public and private organizations are transitioning from buying or selling products to procuring o... more Public and private organizations are transitioning from buying or selling products to procuring or selling complex, long-term integrated solutions consisting of bun-dles of interrelated products and services (Wise and Baumgartner, 1999; Davies et al., 2007). In response to an increasing demand for innovative solutions and a shortage of public funding, governments around the world are increasingly turning to public-private relationships as the principal method for delivering public sector infrastructure and associated services (Broadbent and Laughlin, 2005; Zheng et al., 2008). For instance, the UK has seen a sharp increase in so-called Public Private Partnerships (PPPs) and Private Finance Initiatives (PFIs) to deliver public sector infrastructure and associated services across sectors such as healthcare, transport and education (Ratcliffe, 2004).
This chapter reviews the European experience in delivering healthcare infrastructure and services... more This chapter reviews the European experience in delivering healthcare infrastructure and services through public-private partnerships (PPPs), a strategic alliance between public and private partners over extended time periods. We investigate the concepts of contracting and bundling public sector infrastructure and services and draw lessons learnt across European Union (EU) member states. If contracts could be “complete”, with all contingencies predictable, it would be easy to write a contract which maximized the benefits from the abilities of the respective public and private parties. In the real world, however, this condition is lacking. We explore payment to a private party for service provision, and sharing of risk with that private party, as conceptual features characterizing a public-private partnership. Both these features relate to the idea of “bundling” together capital asset development and output of various services. Bundling creates a particular profile of property rights, across time or services, and the effect is theoretically to internalize externalities. We explore whether more extensive bundling seems to be associated with improved outcomes – whether for example extensions beyond hospital accommodation to hospital medical services or additionally primary care services bring benefits. The policy recommendation to be drawn is that limited PPP models are inadequate to handle the dynamic quality and demand nature of health services, but there is no definitive answer as to whether extensive bundling models are optimal. Nevertheless, there is now a growing case for much greater roll-out of more encompassing models incorporating clinical services and franchises.
Purpose – This paper applies the logic of bounded rationality to corporate reputation management ... more Purpose – This paper applies the logic of bounded rationality to corporate reputation management and explores how constraints posed by bounded rationality impact on firms’ implementation of sustainable supply chain management (SSCM).
Design/methodology/approach – This study draws on primary and secondary data from twelve UK-based companies. We conducted 19 semi-structured interviews and analysed our data through an inductive methodology.
Findings – Reputational risk exposure is a central driver in a company’s decision to implement SSCM practices. However, managers face bounded rationality, in particular: (i) conflicting priorities; (ii) capabilities and resources; (iii) commitment; and iv) contextual setting, which in turn, means that companies do what they can to safeguard their reputation, but balance the extent to which they implement SSCM and the cost of doing so against the likelihood of exposure.
Practical implications – By engaging in collaborative relationships with their supply chain partners, focal firms who wish to implement SSCM can spread the cost of SSCM across supply chain partners, which helps decrease the extent to which firms face the conflicting priorities of financial targets and SSCM. A long-term commitment to SSCM can also help build capabilities and resources necessary for SSCM implementation.
Originality/value – We make a significant contribution to the literature by conducting a cross-sectional study of the decision-making process involved in sustainable supply chain management. Our results suggest that managers are facing a number of constraints, which leads to sub-optimal choices regarding the level of SSCM implementation.
Paper category - Research paper
Responsible supply chain management (RSCM) can help protect a firm’s corporate reputation by shie... more Responsible supply chain management (RSCM) can help protect a firm’s corporate reputation by shielding it from negative media attention and consumer boycotts. RSCM can also enhance a firm’s corporate reputation, which allows firms to secure business contracts and penetrate new market segments successfully. This study empirically examines: (i) the extent to which responsible supply chain management practices is driven by a desire to protect corporate reputation; and (ii) whether responsible supply chain management can enhance corporate reputation and thereby generate competitive advantage to the firm. We draw on primary and secondary datasets across seven firms, spanning the publishing, technology, beverage, tobacco, finance and home improvement sectors. We find compelling evidence to suggest that firms often engage in RSCM due to a desire to protect corporate reputation. Similarly, we find empirical evidence to suggest that responsible supply chain practices can enhance reputation and thereby create competitive benefits, although this link is not as profound as the relationship between RSCM and reputation protection and there are significant variations across industries These findings have significant implications for marketing theory and, in particular, industrial marketers, who are increasingly expected to implement responsible supply chain practices.
Prompted in part by constrained national budgets, European governments are increasingly partnerin... more Prompted in part by constrained national budgets, European governments are increasingly partnering with the private sector to underwrite the costs of constructing and operating public hospitals and other health care facilities and delivering services. Through such public-private partnerships, governments hope to avoid up-front capital expenditure and to harness private-sector efficiencies, while private-sector partners aim for a return on investment. Our research indicates that to date, experience with these partnerships has been mixed. Early models of these partnerships – for example, in which a private firm builds a hospital and carries out building maintenance, which we term an “accommodation-only” model – arguably have not met expectations for achieving greater efficiencies at lower costs. Newer models described in this article offer greater opportunities for efficiency gains, but are administratively harder to set up and manage. Given the shortages in public capital for new infrastructure, it seems likely that the attractiveness of these partnerships to European governments will grow.
Cite this article as:
Full reference: James Barlow, Jens Roehrich and Steve Wright (2013). Europe Sees Mixed Results From Public-Private Partnerships For Building And Managing Health Care Facilities And Services. Health Affairs, 32(1): 146-154.
Purpose – The paper analyzes how public buyers transition from procuring single products and serv... more Purpose – The paper analyzes how public buyers transition from procuring single products and services to procuring complex performance (PCP). The aim is to examine the change in the interactions between buyer and supplier, the emergence of value co-creation and the capability development during the transition process.
Design/methodology/approach – A multiple, longitudinal case study method is used to examine the transition towards procuring complex performance. The study deploys rich qualitative data sets by combining semi-structured interviews, focus group meetings and organizational reports and documents.
Findings – The transition towards PCP can be best described as a learning process which cumulates the knowledge and experience in the client-supplier interaction accompanied by changing contractual and relational capabilities. In public infrastructure this process is not initially motivated by the benefits of value co-creation.
Practical implications - The study proposes three generic transition stages towards increased performance and infrastructural complexity moderated by contract duration. These stages may help managers of public agencies to identify the current procurement level and the contractual and relational challenges they need to master when facing higher levels of performance and infrastructural complexity.
Originality/value – The study adds to the limited empirical and conceptual understanding on the nature of long-term public-private interactions in procuring complex performance. It contributes through a rare focus on a longitudinal perspective on these interactions in the transition towards procuring complex performance.
"""
""Purpose – While previous studies explored the argument that allies the notion of complexity to ... more ""Purpose – While previous studies explored the argument that allies the notion of complexity to the complex product-service offerings being procured, this paper explores whether there is a corollary with exchange governance complexity. More specifically, the paper analyzes the relationship between systemic complexity and complexity of contractual and relational exchange governance in procuring complex performance (PCP) arrangements.
Design/methodology/approach - A multiple, longitudinal case study method is used to examine the relationship between systemic complexity and exchange governance complexity. The study deploys rich data sets by combining government and company reports with 43 semi-structured interviews.
Findings - Preliminary conclusions suggest that as a response to increasing systemic complexity, organizations respond with increasing contractual governance complexity. However, better performing PCP arrangements illustrate that the use of simplified contractual governance in form of working agreements in combination with relational governance such as inter-personal relationships may be more effective to counteract complexity.
Practical implications – The paper questions whether organizations should respond with increasing exchange governance complexity to counteract systemic complexity. Managers must consider the manageability and enforceability of complex contracts in combination with the formation of inter-personal relationships and simplified working agreements.
Originality/value – This study adds to the limited empirical understanding on the nature of long-term public-private interactions in procuring complex performance. It also contributes through a rare focus on the relationship between systemic complexity and exchange governance complexity in PCP arrangements.
""
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Papers by Jens K Roehrich
Design/methodology/approach – A set of research questions are tested using structural equation modelling (SEM) on a sample of 231 Spanish manufacturing companies.
Findings - Results illustrate a significant relationship between ambidexterity as the basis and enabler for manufacturing performance improvements, building on the sand cone model and its dimensions of quality, delivery, cost, and flexibility. This relationship is further emphasized when companies work in a dynamic environment.
Practical implications – The study contributes to practice by investigating the important and yet under-explored relationships of ambidexterity, the sand cone model, performance, and a company’s wider market environment. Findings suggest a positive relationship between the sand cone model and ambidexterity capability.
Originality/value - This study adds to the limited theoretical and empirical understanding of the relationships between ambidexterity, the sand cone model, environmental dynamism, and performance. It also contributes through a set of empirical data derived from Spanish manufacturing companies.
Design/methodology/approach – This study draws on 18 semi-structured interviews and secondary data from a Germany-based first-tier aircraft interior manufacturer and its six key suppliers. The focal company was selected because it is recognised as having achieved high GSCM standards in the aerospace industry.
Findings – The study draws out the importance of green supplier selection, distinguishing between new and legacy suppliers, and offers significant insights into how suppliers’ motivation and downstream GSCM criteria can be internalised at second-tier suppliers to drive GSCM performance.
Practical implications – Green supplier selection should be considered not only for new suppliers but also at an ongoing basis for legacy suppliers. Focal companies must realise the importance of motivating supply chain (SC) partners to realise GSCM practices and need to first build-up autonomy before focusing on competence and relatedness sub-dimensions.
Originality/value – We make a significant contribution to the GSCM literature by conducting a study of first-tier – second-tier relationships, thus moving beyond the buyer-supplier relationships investigated in extant studies. Our results theoretically and empirically draw
out key factors in green supplier selection and supplier motivation in engaging with GSCM practices, thus driving GSCM performance.
procurement tenders and offers and their achievement through contract award.
Design/methodology/approach – This study draws on primary and secondary data from twelve UK-based companies. We conducted 19 semi-structured interviews and analysed our data through an inductive methodology.
Findings – Reputational risk exposure is a central driver in a company’s decision to implement SSCM practices. However, managers face bounded rationality, in particular: (i) conflicting priorities; (ii) capabilities and resources; (iii) commitment; and iv) contextual setting, which in turn, means that companies do what they can to safeguard their reputation, but balance the extent to which they implement SSCM and the cost of doing so against the likelihood of exposure.
Practical implications – By engaging in collaborative relationships with their supply chain partners, focal firms who wish to implement SSCM can spread the cost of SSCM across supply chain partners, which helps decrease the extent to which firms face the conflicting priorities of financial targets and SSCM. A long-term commitment to SSCM can also help build capabilities and resources necessary for SSCM implementation.
Originality/value – We make a significant contribution to the literature by conducting a cross-sectional study of the decision-making process involved in sustainable supply chain management. Our results suggest that managers are facing a number of constraints, which leads to sub-optimal choices regarding the level of SSCM implementation.
Paper category - Research paper
Cite this article as:
Full reference: James Barlow, Jens Roehrich and Steve Wright (2013). Europe Sees Mixed Results From Public-Private Partnerships For Building And Managing Health Care Facilities And Services. Health Affairs, 32(1): 146-154.
Design/methodology/approach – A multiple, longitudinal case study method is used to examine the transition towards procuring complex performance. The study deploys rich qualitative data sets by combining semi-structured interviews, focus group meetings and organizational reports and documents.
Findings – The transition towards PCP can be best described as a learning process which cumulates the knowledge and experience in the client-supplier interaction accompanied by changing contractual and relational capabilities. In public infrastructure this process is not initially motivated by the benefits of value co-creation.
Practical implications - The study proposes three generic transition stages towards increased performance and infrastructural complexity moderated by contract duration. These stages may help managers of public agencies to identify the current procurement level and the contractual and relational challenges they need to master when facing higher levels of performance and infrastructural complexity.
Originality/value – The study adds to the limited empirical and conceptual understanding on the nature of long-term public-private interactions in procuring complex performance. It contributes through a rare focus on a longitudinal perspective on these interactions in the transition towards procuring complex performance.
"""
Design/methodology/approach - A multiple, longitudinal case study method is used to examine the relationship between systemic complexity and exchange governance complexity. The study deploys rich data sets by combining government and company reports with 43 semi-structured interviews.
Findings - Preliminary conclusions suggest that as a response to increasing systemic complexity, organizations respond with increasing contractual governance complexity. However, better performing PCP arrangements illustrate that the use of simplified contractual governance in form of working agreements in combination with relational governance such as inter-personal relationships may be more effective to counteract complexity.
Practical implications – The paper questions whether organizations should respond with increasing exchange governance complexity to counteract systemic complexity. Managers must consider the manageability and enforceability of complex contracts in combination with the formation of inter-personal relationships and simplified working agreements.
Originality/value – This study adds to the limited empirical understanding on the nature of long-term public-private interactions in procuring complex performance. It also contributes through a rare focus on the relationship between systemic complexity and exchange governance complexity in PCP arrangements.
""
Design/methodology/approach – A set of research questions are tested using structural equation modelling (SEM) on a sample of 231 Spanish manufacturing companies.
Findings - Results illustrate a significant relationship between ambidexterity as the basis and enabler for manufacturing performance improvements, building on the sand cone model and its dimensions of quality, delivery, cost, and flexibility. This relationship is further emphasized when companies work in a dynamic environment.
Practical implications – The study contributes to practice by investigating the important and yet under-explored relationships of ambidexterity, the sand cone model, performance, and a company’s wider market environment. Findings suggest a positive relationship between the sand cone model and ambidexterity capability.
Originality/value - This study adds to the limited theoretical and empirical understanding of the relationships between ambidexterity, the sand cone model, environmental dynamism, and performance. It also contributes through a set of empirical data derived from Spanish manufacturing companies.
Design/methodology/approach – This study draws on 18 semi-structured interviews and secondary data from a Germany-based first-tier aircraft interior manufacturer and its six key suppliers. The focal company was selected because it is recognised as having achieved high GSCM standards in the aerospace industry.
Findings – The study draws out the importance of green supplier selection, distinguishing between new and legacy suppliers, and offers significant insights into how suppliers’ motivation and downstream GSCM criteria can be internalised at second-tier suppliers to drive GSCM performance.
Practical implications – Green supplier selection should be considered not only for new suppliers but also at an ongoing basis for legacy suppliers. Focal companies must realise the importance of motivating supply chain (SC) partners to realise GSCM practices and need to first build-up autonomy before focusing on competence and relatedness sub-dimensions.
Originality/value – We make a significant contribution to the GSCM literature by conducting a study of first-tier – second-tier relationships, thus moving beyond the buyer-supplier relationships investigated in extant studies. Our results theoretically and empirically draw
out key factors in green supplier selection and supplier motivation in engaging with GSCM practices, thus driving GSCM performance.
procurement tenders and offers and their achievement through contract award.
Design/methodology/approach – This study draws on primary and secondary data from twelve UK-based companies. We conducted 19 semi-structured interviews and analysed our data through an inductive methodology.
Findings – Reputational risk exposure is a central driver in a company’s decision to implement SSCM practices. However, managers face bounded rationality, in particular: (i) conflicting priorities; (ii) capabilities and resources; (iii) commitment; and iv) contextual setting, which in turn, means that companies do what they can to safeguard their reputation, but balance the extent to which they implement SSCM and the cost of doing so against the likelihood of exposure.
Practical implications – By engaging in collaborative relationships with their supply chain partners, focal firms who wish to implement SSCM can spread the cost of SSCM across supply chain partners, which helps decrease the extent to which firms face the conflicting priorities of financial targets and SSCM. A long-term commitment to SSCM can also help build capabilities and resources necessary for SSCM implementation.
Originality/value – We make a significant contribution to the literature by conducting a cross-sectional study of the decision-making process involved in sustainable supply chain management. Our results suggest that managers are facing a number of constraints, which leads to sub-optimal choices regarding the level of SSCM implementation.
Paper category - Research paper
Cite this article as:
Full reference: James Barlow, Jens Roehrich and Steve Wright (2013). Europe Sees Mixed Results From Public-Private Partnerships For Building And Managing Health Care Facilities And Services. Health Affairs, 32(1): 146-154.
Design/methodology/approach – A multiple, longitudinal case study method is used to examine the transition towards procuring complex performance. The study deploys rich qualitative data sets by combining semi-structured interviews, focus group meetings and organizational reports and documents.
Findings – The transition towards PCP can be best described as a learning process which cumulates the knowledge and experience in the client-supplier interaction accompanied by changing contractual and relational capabilities. In public infrastructure this process is not initially motivated by the benefits of value co-creation.
Practical implications - The study proposes three generic transition stages towards increased performance and infrastructural complexity moderated by contract duration. These stages may help managers of public agencies to identify the current procurement level and the contractual and relational challenges they need to master when facing higher levels of performance and infrastructural complexity.
Originality/value – The study adds to the limited empirical and conceptual understanding on the nature of long-term public-private interactions in procuring complex performance. It contributes through a rare focus on a longitudinal perspective on these interactions in the transition towards procuring complex performance.
"""
Design/methodology/approach - A multiple, longitudinal case study method is used to examine the relationship between systemic complexity and exchange governance complexity. The study deploys rich data sets by combining government and company reports with 43 semi-structured interviews.
Findings - Preliminary conclusions suggest that as a response to increasing systemic complexity, organizations respond with increasing contractual governance complexity. However, better performing PCP arrangements illustrate that the use of simplified contractual governance in form of working agreements in combination with relational governance such as inter-personal relationships may be more effective to counteract complexity.
Practical implications – The paper questions whether organizations should respond with increasing exchange governance complexity to counteract systemic complexity. Managers must consider the manageability and enforceability of complex contracts in combination with the formation of inter-personal relationships and simplified working agreements.
Originality/value – This study adds to the limited empirical understanding on the nature of long-term public-private interactions in procuring complex performance. It also contributes through a rare focus on the relationship between systemic complexity and exchange governance complexity in PCP arrangements.
""