Marco Iansiti

A New Strategic Dynamic
The authors highlight the importance of these networks in the strategy creation process. Their discussion provides organizations with a roadmap that points out the importance and pitfalls of networks the tactics they will need to successfully navigate their futures.

Harvard Business School Professor Marco Iansiti and business leader Roy Levien employ the analogy of biological systems to describe the inner workings of business networks. Using 10 years of research and practical experience in a range of industries they identify three roles firms play within business systems:

1. Keystones. These companies improve system health and increase their own operational performance.
2. Landlords and Dominators. Firms with these operating strategies occupy a network hub.
3. Niche Players. Organizations that do not occupy a network hub.

Business networks and biological networks, the authors explain, are governed by a common fate. They base predictions on features that enable stability, longevity and productivity. The authors offer three predictions:

1. Expect more robustness in the face of external shocks. Although damage is accompanied by widespread collapse, most problems will be absorbed.
2. Expect networks to develop a capacity for creativity.
3. Expect a heterogeneous structure, with each individual organization playing a unique, dramatic role.

The authors view this evolving network as a renewal source, not an external threat.… (meer)