Hyun-Soo Han

Analyzing the impact of a firm's capability on outsourcing success: A process perspective

We investigated the effect of a firms resource capabilities and interaction processes on the success of IT outsourcing. Grounded in available literature on outsourcing relationship and process theory as well as a resource-based view of the IT resource capability, a conceptual model was composed to examine the causal structure of capability, process, and relationship in IT outsourcing. We identified the firms resource capability factors and, based on the premise that relationship intensity should be affected by the IT outsourcing process, we developed a first-order factor analysis of resource capabilities in the interactions between the outsourcer and provider. Results of empirical testing using responses from 267 IT outsourcing project teams in Korea supported most of our hypotheses. The integration of corporate IT resource and capability theories with social exchange theory distinguishes our research from that of others, who have generally treated these theories separately.

Complementarity between client and vendor IT capabilities: An empirical investigation in IT outsourcing projects☆

Abstract This study investigates the direct and complementarity effects of client and vendor Information Technology (IT) capabilities on the success of IT outsourcing. Concretizing the concepts of client and vendor IT capabilities from the resource-based view, we emphasize the importance of complementarity in IT outsourcing. It was hypothesized that the complementarity between client and vendors IT capabilities adds value to outsourcing success beyond their individual effects. We also hypothesized that the increase rate of complementarity is higher when the IT capability levels of both parties are similar (i.e., either high or low) than when those of both parties differ. The proposed hypotheses were tested by using 267 client–vendor matched data, in which client IT capability was measured by members of vendor firms and vice versa. Results indicate that client and vendor IT capabilities are significant factors in outsourcing success and that the complementarity between client and vendor IT capabilities significantly influences outsourcing success. The increase rate of complementarity is higher when the IT capability levels of both parties are similar than when those of both parties differ. The results help deepen our understanding of the bilateral perspective of outsourcing success and support managers in making better outsourcing decisions in selecting clients and vendors.

Market acceptance for the satellite DMB (digital multimedia broadcasting) services in Korea

This study examines market acceptance for DMB services, one of the touted new business models in Koreas next-generation mobile communications service market, using diffusion of innovation as the theoretical framework. Market acceptance for DMB services was assessed by predicting the demand for the service using the Bass model. In our estimation of the Bass model, we derived the coefficient of innovation and coefficient of imitation, using actual diffusion data from the mobile telephone service market. The maximum number of subscribers was estimated based on the result of a survey on satellite DMB services. Following the obtained demand prediction models revealed that diffusion took place forming a classical S-curve. Meanwhile, satellite DMB services, reaching demand peak at 6.9 years after the launch, appeared likely to be diffused substantially faster than mobile phone service. This study, as an attempt to measure the market acceptance for the satellite DMB services, a leading next-generation mobile communications service product, using diffusion of innovation theories and based on the result of a survey conducted through one-to-one interviews. We believe that the theoretical framework elaborated in this study and its findings can be fruitfully reused in future attempts to predict demand for new mobile communications service products.

A BUSINESS MODEL ANALYSIS FOR THE SUPPLY CHAIN CONVERGENT OF SERVICES

In this paper, we explore the merging of supply chains between media and telecommunications as an example of business application of industry convergence. The goal of this study is to provide managerial insight into the various facets of convergence of supply chains so that companies can effectively exploit business opportunities presented by the accelerating process of digital convergence and related technological innovations. In this study, the focus is set on business models, rather than business strategies as such, since digital convergence is an emerging sector that deserves independent attention as a new business concept. We formulated a series of propositions, related to customer value, value network, and supply chain efficiency, using frameworks borrowed from the existing business model literature and value creation theories for Internet business. Managerial implications are discussed and applied to DMB (Digital Multimedia Broadcasting), a new telecom-broadcasting convergence business model, recently introduced in South Korea.

Commercial Aspects Of Converged Telecom-Broadcasting Service: Insights From The Satellite Dmb Service In Korea

One of the dominant trends in Koreas IT industry of late is digital convergence. Of all forms of digital convergence, the one between telecommunications and broadcasting in the form of satellite DMB (Digital Media Broadcasting) service is regarded as the most innovative, and it is eliciting interest from a technological and regulatory viewpoint, as well as from a business model perspective. In this paper, as an exemplary case study, we describe the distinctive characteristics of satellite DMB service, forecast market acceptance for satellite DMB service and provide quantified estimation results. The focus of the study is on gauging how successful is the market debut for this leading convergence service. The paper also examines other services of similar type, subject to the same regulations, for comparative purposes, and the estimation of the market acceptance for satellite DMB service which draws on theories of innovation diffusion. Satellite DMB service, being one of the culminations of the telecom-broadcasting convergence initiatives of recent times (the findings of this study, as has been confirmed by recent Korean experiences) can be useful for further research on similar digital convergence service products.