Carolina Camén

To trust or not to trust?: Formal contracts and the building of long‐term relationships

Purpose – The purpose of this paper is to explore how contracts are used to build and develop long‐term relationships in contexts where trust cannot be expected in advance – i.e. there is a lack of initial trust.Design/methodology/approach – This paper is based on a qualitative approach, while the present study used a documentary study focusing on 21 formal contractual dyads between contractors and fulfillers within the public transport sector.Findings – The analysis of contracts in the public sector reveals the importance of formal contracts in relationship building, as a result of a number of factors that characterize this setting, including: the highly detailed specification of terms, legislation having an effect on the design of the contract, the bidding process, in situations where there is no negotiation process, no scope for further discussion after signing contracts, no learning processes, and contracts being used to conduct day‐to‐day business.Originality/value – This research acknowledges the fa...

Contractual governance for public service value networks

Purpose – The aim of this paper is to explore the links between contractual governance and performance measurement in a value network for public service business, in the context of public transport, by positing service‐dominant logic (S‐D logic) as an alternative paradigm to the conventional goods‐dominant logic (G‐D logic). The paper addresses the following research questions: how does S‐D logic influence contractual governance and performance measurement? How do these influences of S‐D logic on contractual governance and performance measurement affect the governance of public service businesses in a value network?Design/methodology/approach – The study adopts a qualitative approach, using case studies to undertake an analysis of the role of contractual governance and performance management in the Swedish public transport system.Findings – The paper demonstrates that the current model of contractual governance and performance measurement is focused on operand resources, and driven by G‐D logic, rather th...

Contractual governance for sustainable service

What is contractual governance in a scenario of performance management? When approached from a static viewpoint, contracting is largely connected with the securing of resources, thus acquiring a capacity focus. In this article, we focus on contractual governance as a part of performance management for a stakeholder network in a specific, government-controlled context: Public Transport. In order to contribute to more dynamic and sustainable public service, a more process-oriented approach to contractual governance is necessary. Public Transportation in Sweden has undergone an initial wave of development, the production paradigm, and is now undergoing what is more a second wave of service, the service paradigm. A third wave of development is approaching: sustainability. We argue that contractual governance creates a more dynamic contractual relationship as a key element of performance management leading to more sustainable public service. We also argue that a proactive approach during the mission will positively affect all the stakeholders involved.

Service quality on three management levels: A study of service quality in public tendering contracts

Service quality on three management levels : a study of service quality in public tendering contracts

Contracts as a Cornerstone in the Relationship Building

Purpose – The purpose of this paper is to investigate the significance of contracts in long‐term relationship building comparing public and private contexts. In order to investigate this, the paper addresses literature about relationship building, negotiation process and the role of contracts.Design/methodology/approach – This paper takes a qualitative approach and is based on comparative studies between the private and public sectors with the main focus on four companies within the public transport and paper industry. The unit of analysis is the enterprises use of contracts in relationships. The analysis is based on the empirical material received from interviews and contextual analysis of the actual contracts. Internal and external documents have also been used in the analysis. The paper has categorized the material into different areas in relation to the relationship building.Findings – In this paper the authors highlight the importance of contracts in the interaction between companies in different bu...

Quality and legal aspects in public care procurement

Purpose – The purpose of this paper is to assess the applicability of care quality concepts as contract award criteria for public procurement of health and social care, using the case of Sweden. Design/methodology/approach – Based on a literature review, European and Swedish legal texts, government regulations as well as 26 Swedish court review cases concerning care procurement have been analysed. Findings – Methods used for assessing care quality are seldom useful for predicting the quality to be delivered by a potential contractor. Legal principles of transparency and equal treatment of tenderers make it necessary to apply strict requirements for verification. Research limitations/implications – Results refer primarily to a Swedish context but could be applicable throughout the EU. Further studies of relations between award criteria and public/private collaborative practices for improving care quality during contractual periods are desirable. Practical implications – Local and regional procurement offic...

Service innovation as a political process

ABSTRACT Service innovation processes are driven by stakeholders in interaction and are understood and sketched as a value negotiation process that consists of an iterative process of securing potential value in service. While previous research has focused on service innovation as a harmonious closed system, our study explores service innovation as a political process in which stakeholders negotiate to create and secure future value. Data are collected through interviews and participant observations in four different case studies. Our study contributes to the field by illuminating service innovation as a political process and explaining how this is operationalized. The findings also contribute to an understanding of how stakeholder resources impact a chosen strategy; the resulting strategy’s impact on the service concept vis-à-vis its potential value; and how several involved stakeholders formulate, negotiate, and secure future potential value, which are the activities that drive a service innovation process.