IDEAS home Printed from https://ideas.repec.org/a/kap/jbuset/v148y2018i2d10.1007_s10551-017-3585-4.html
   My bibliography  Save this article

How Hybrids Manage Growth and Social–Business Tensions in Global Supply Chains: The Case of Impact Sourcing

Author

Listed:
  • Chacko G. Kannothra

    (University of Massachusetts Boston)

  • Stephan Manning

    (University of Massachusetts Boston)

  • Nardia Haigh

    (University of Massachusetts Boston)

Abstract

This study contributes to the growing interest in how hybrid organizations manage paradoxical social–business tensions. Our empirical case is “impact sourcing”—hybrids in global supply chains that hire staff from disadvantaged communities to provide services to business clients. We identify two major growth orientations—“community-focused” and “client-focused” growth—their inherent tensions and ways that hybrids manage them. The former favors slow growth and manages tensions through highly integrated client and community relations; the latter promotes faster growth and manages client and community relations separately. Both growth orientations address social–business tensions in particular ways, but also create latent constraints that manifest when entrepreneurial aspirations conflict with the current growth path. In presenting and discussing our findings, we introduce preempting management practices of tensions, and the importance of geographic embeddedness and distance to the paradox literature.

Suggested Citation

  • Chacko G. Kannothra & Stephan Manning & Nardia Haigh, 2018. "How Hybrids Manage Growth and Social–Business Tensions in Global Supply Chains: The Case of Impact Sourcing," Journal of Business Ethics, Springer, vol. 148(2), pages 271-290, March.
  • Handle: RePEc:kap:jbuset:v:148:y:2018:i:2:d:10.1007_s10551-017-3585-4
    DOI: 10.1007/s10551-017-3585-4
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10551-017-3585-4
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s10551-017-3585-4?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Stephan Manning & Marcus M Larsen & Pratyush Bharati, 2015. "Global delivery models: The role of talent, speed and time zones in the global outsourcing industry," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 46(7), pages 850-877, September.
    2. G. Lumpkin & Todd Moss & David Gras & Shoko Kato & Alejandro Amezcua, 2013. "Entrepreneurial processes in social contexts: how are they different, if at all?," Small Business Economics, Springer, vol. 40(3), pages 761-783, April.
    3. Manning, Stephan, 2013. "New Silicon Valleys or a new species? Commoditization of knowledge work and the rise of knowledge services clusters," Research Policy, Elsevier, vol. 42(2), pages 379-390.
    4. Arie Y Lewin & Silvia Massini & Carine Peeters, 2009. "Why are companies offshoring innovation? The emerging global race for talent," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(8), pages 1406-1406, October.
    5. London, Ted & Anupindi, Ravi & Sheth, Sateen, 2010. "Creating mutual value: Lessons learned from ventures serving base of the pyramid producers," Journal of Business Research, Elsevier, vol. 63(6), pages 582-594, June.
    6. Michael E. Porter, 2000. "Location, Competition, and Economic Development: Local Clusters in a Global Economy," Economic Development Quarterly, , vol. 14(1), pages 15-34, February.
    7. Arie Lewin & Silvia Massini & Carine Peeters, 2008. "Why are companies offshoring innovation ?the emerging global race for talent," Working Papers CEB 08-009, ULB -- Universite Libre de Bruxelles.
    8. Arie Lewin & Silvia Massini & Carine Peeters, 2009. "Why are companies offshoring innovation the emerging global race for talent (Journal of International Business Studies (2009) 40 (901-925) DOI:10.1057/jibs.2008.92)," ULB Institutional Repository 2013/205625, ULB -- Universite Libre de Bruxelles.
    9. Patibandla, Murali & Petersen, Bent, 2002. "Role of Transnational Corporations in the Evolution of a High-Tech Industry: The Case of India's Software Industry," World Development, Elsevier, vol. 30(9), pages 1561-1577, September.
    10. Miguel Rivera-Santos & Diane Holt & David Littlewood & Ans Kolk, 2015. "Social Entrepreneurship in Sub-Saharan Africa," Post-Print hal-02276715, HAL.
    11. Matthew Lee & Julie Battilana, 2013. "How the Zebra Got Its Stripes: Imprinting of Individuals and Hybrid Social Ventures," Harvard Business School Working Papers 14-005, Harvard Business School.
    12. Thomas Maak & Nicolas Stoetter, 2012. "Social Entrepreneurs as Responsible Leaders: ‘Fundación Paraguaya’ and the Case of Martin Burt," Journal of Business Ethics, Springer, vol. 111(3), pages 413-430, December.
    13. Kevin André & Anne-Claire Pache, 2016. "From Caring Entrepreneur to Caring Enterprise: Addressing the Ethical Challenges of Scaling up Social Enterprises," Journal of Business Ethics, Springer, vol. 133(4), pages 659-675, February.
    14. Yeung, Henry Wai-chung & Liu, Weidong & Dicken, Peter, 2006. "Transnational corporations and network effects of a local manufacturing cluster in mobile telecommunications equipment in China," World Development, Elsevier, vol. 34(3), pages 520-540, March.
    15. Reddy, Prasada, 1997. "New trends in globalization of corporate R&D and implications for innovation capability in host countries: A survey from India," World Development, Elsevier, vol. 25(11), pages 1821-1837, November.
    16. A. Montgomery & Peter Dacin & M. Dacin, 2012. "Collective Social Entrepreneurship: Collaboratively Shaping Social Good," Journal of Business Ethics, Springer, vol. 111(3), pages 375-388, December.
    17. Tobias Hahn & Jonatan Pinkse & Lutz Preuss & Frank Figge, 2015. "Tensions in Corporate Sustainability: Towards an Integrative Framework," Journal of Business Ethics, Springer, vol. 127(2), pages 297-316, March.
    18. Silvia Massini & Marcela Miozzo, 2012. "Outsourcing and Offshoring of Business Services: Challenges to Theory, Management and Geography of Innovation," Regional Studies, Taylor & Francis Journals, vol. 46(9), pages 1219-1242, October.
    19. Manning, Stephan & Boons, Frank & von Hagen, Oliver & Reinecke, Juliane, 2012. "National contexts matter: The co-evolution of sustainability standards in global value chains," Ecological Economics, Elsevier, vol. 83(C), pages 197-209.
    20. Smith, Wendy K. & Gonin, Michael & Besharov, Marya L., 2013. "Managing Social-Business Tensions: A Review and Research Agenda for Social Enterprise," Business Ethics Quarterly, Cambridge University Press, vol. 23(3), pages 407-442, July.
    21. Geoffrey M. Kistruck & Paul W. Beamish, 2010. "The Interplay of Form, Structure, and Embeddedness in Social Intrapreneurship," Entrepreneurship Theory and Practice, , vol. 34(4), pages 735-761, July.
    22. Ram Mudambi, 2008. "Location, control and innovation in knowledge-intensive industries," Journal of Economic Geography, Oxford University Press, vol. 8(5), pages 699-725, September.
    23. Kolk, Ans, 2005. "Corporate Social Responsibility in the Coffee Sector:: The Dynamics of MNC Responses and Code Development," European Management Journal, Elsevier, vol. 23(2), pages 228-236, April.
    24. John Humphrey & Hubert Schmitz, 2002. "How does insertion in global value chains affect upgrading in industrial clusters?," Regional Studies, Taylor & Francis Journals, vol. 36(9), pages 1017-1027.
    25. Miguel Rivera-Santos & Diane Holt & David Littlewood & Ans Kolk, 2015. "Social Entrepreneurship in Sub-Saharan Africa," Post-Print hal-02311966, HAL.
    26. Weerawardena, Jay & Mort, Gillian Sullivan, 2006. "Investigating social entrepreneurship: A multidimensional model," Journal of World Business, Elsevier, vol. 41(1), pages 21-35, February.
    27. Erran Carmel & Mary C. Lacity & Andrew Doty, 2014. "The Impact of Impact Sourcing: Framing a Research Agenda," Progress in IS, in: Rudy Hirschheim & Armin Heinzl & Jens Dibbern (ed.), Information Systems Outsourcing, edition 4, pages 397-429, Springer.
    28. Wendy K. Smith & Michael L. Tushman, 2005. "Managing Strategic Contradictions: A Top Management Model for Managing Innovation Streams," Organization Science, INFORMS, vol. 16(5), pages 522-536, October.
    29. Johanna Mair & Julie Battilana & Julian Cardenas, 2012. "Organizing for Society: A Typology of Social Entrepreneuring Models," Journal of Business Ethics, Springer, vol. 111(3), pages 353-373, December.
    30. Jonathan P. Doh, 2005. "Offshore Outsourcing: Implications for International Business and Strategic Management Theory and Practice," Journal of Management Studies, Wiley Blackwell, vol. 42(3), pages 695-704, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Simona Fiandrino & Francesco Scarpa & Riccardo Torelli, 2022. "Fostering Social Impact Through Corporate Implementation of the SDGs: Transformative Mechanisms Towards Interconnectedness and Inclusiveness," Journal of Business Ethics, Springer, vol. 180(4), pages 959-973, November.
    2. Bob Doherty & Pichawadee Kittipanya-Ngam, 2021. "The Role of Social Enterprise Hybrid Business Models in Inclusive Value Chain Development," Sustainability, MDPI, vol. 13(2), pages 1-24, January.
    3. Pradeep Kumar Hota, 2023. "Tracing the Intellectual Evolution of Social Entrepreneurship Research: Past Advances, Current Trends, and Future Directions," Journal of Business Ethics, Springer, vol. 182(3), pages 637-659, January.
    4. Busch, Christian & Barkema, Harry, 2022. "Align or perish: social enterprise network orchestration in Sub-Saharan Africa," LSE Research Online Documents on Economics 115350, London School of Economics and Political Science, LSE Library.
    5. Malik, Ashish & Mahadevan, Jasmin & Sharma, Piyush & Nguyen, Tuyet-Mai, 2021. "Masking, claiming and preventing innovation in cross-border B2B relationships: Neo-colonial frameworks of power in global IT industry," Journal of Business Research, Elsevier, vol. 132(C), pages 327-339.
    6. Bacq, Sophie & Hertel, Christina & Lumpkin, G.T., 2022. "Communities at the nexus of entrepreneurship and societal impact: A cross-disciplinary literature review," Journal of Business Venturing, Elsevier, vol. 37(5).
    7. Melia, Elvis, 2020. "African jobs in the digital era: Export options with a focus on online labour," IDOS Discussion Papers 3/2020, German Institute of Development and Sustainability (IDOS).
    8. Tina C Ambos & Sebastian H Fuchs & Alexander Zimmermann, 2020. "Managing interrelated tensions in headquarters–subsidiary relationships: The case of a multinational hybrid organization," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(6), pages 906-932, August.
    9. Narula, Rajneesh & Van der Straaten, Khadija, 2019. "A comment on the multifaceted relationship between multinational enterprises and within-country inequality," MERIT Working Papers 2019-035, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    10. Kaushik, Vineet & Tewari, Shobha & Sahasranamam, Sreevas & Hota, Pradeep Kumar, 2023. "Towards a precise understanding of social entrepreneurship: An integrated bibliometric–machine learning based review and research agenda," Technological Forecasting and Social Change, Elsevier, vol. 191(C).
    11. Rajneesh Narula, 2019. "Enforcing higher labor standards within developing country value chains: Consequences for MNEs and informal actors in a dual economy," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(9), pages 1622-1635, December.
    12. Rohit Bhardwaj & Saurabh Srivastava & Sunali Bindra & Sumit Sangwan, 2023. "An ecosystem view of social entrepreneurship through the perspective of systems thinking," Systems Research and Behavioral Science, Wiley Blackwell, vol. 40(1), pages 250-265, January.
    13. Manning, Stephan, 2022. "From mainstream to niche: How value regimes shift in emerging economy upgrading," Research Policy, Elsevier, vol. 51(6).
    14. Hadjielias, Elias & Christofi, Michael & Vrontis, Demetris & Khan, Huda, 2022. "Social impact through family firms’ interorganizational relationships within a community and a cooperative: An embedded view of stewardship," Journal of Business Research, Elsevier, vol. 139(C), pages 584-601.
    15. Manning, Stephan & Vavilov, Stanislav, 2023. "Global development agenda meets local opportunities: The rise of development-focused entrepreneurship support," Research Policy, Elsevier, vol. 52(7).
    16. Jennifer E. Díaz-Correa & Miguel A. López-Navarro, 2018. "Managing Sustainable Hybrid Organisations: A Case Study in the Agricultural Sector," Sustainability, MDPI, vol. 10(9), pages 1-17, August.
    17. Francesca Ciulli & Ans Kolk & Siri Boe-Lillegraven, 2020. "Circularity Brokers: Digital Platform Organizations and Waste Recovery in Food Supply Chains," Journal of Business Ethics, Springer, vol. 167(2), pages 299-331, November.
    18. Thomas Bauwens & Benjamin Huybrechts & Frédéric Dufays, 2020. "Understanding the Diverse Scaling Strategies of Social Enterprises as Hybrid Organizations," Post-Print hal-02312322, HAL.
    19. Thuy Nguyen & Daniel Beimborn, 2022. "A Stakeholder-Specific View on Impact Sourcing—Systematic Literature Review and Recommendations for Future Research," Sustainability, MDPI, vol. 14(22), pages 1-22, November.
    20. Michele Bianchi & Michael J. Roy & Simon Teasdale, 2022. "Towards a Multi-Level Understanding of the Strategies Employed in Managing Hybridity: A Systematic Review," Sustainability, MDPI, vol. 15(1), pages 1-12, December.
    21. Alinaghian, Leila & Razmdoost, Kamran, 2021. "How do social enterprises manage business relationships? A review of the literature and directions for future research," Journal of Business Research, Elsevier, vol. 136(C), pages 488-498.
    22. Silvana Secinaro & Luigi Corvo & Valerio Brescia & Daniel Iannaci, 2019. "Hybrid Organizations: A Systematic Review of the Current Literature," International Business Research, Canadian Center of Science and Education, vol. 12(11), pages 1-21, November.
    23. Busch, Christian & Barkema, Harry, 2022. "Align or perish: Social enterprise network orchestration in Sub-Saharan Africa," Journal of Business Venturing, Elsevier, vol. 37(2).
    24. Marina Gigliotti & Andrea Runfola, 2022. "A stakeholder perspective on managing tensions in hybrid organizations: Analyzing fair trade for a sustainable development," Business Strategy and the Environment, Wiley Blackwell, vol. 31(7), pages 3198-3215, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Manning, Stephan, 2013. "New Silicon Valleys or a new species? Commoditization of knowledge work and the rise of knowledge services clusters," Research Policy, Elsevier, vol. 42(2), pages 379-390.
    2. Manning, Stephan & Ricart, Joan E. & Rosatti Rique, Maria Soledad & Lewin, Arie Y., 2010. "From blind spots to hotspots: How knowledge services clusters develop and attract foreign investment," Journal of International Management, Elsevier, vol. 16(4), pages 369-382, December.
    3. Rodgers, Peter & Khan, Zaheer & Tarba, Shlomo & Nurgabdeshov, Assylbek & Ahammad, Mohammad F., 2019. "Exploring the determinants of location choice decisions of offshored R&D projects," Journal of Business Research, Elsevier, vol. 103(C), pages 472-483.
    4. Lema, Rasmus & Quadros, Ruy & Schmitz, Hubert, 2012. "Shifts in Innovation Power to Brazil and India: Insights from the Auto and Software Industries," MPRA Paper 49591, University Library of Munich, Germany.
    5. Stephan Manning & Silvia Massini & Carine Peeters & Arie Y. Lewin, 2018. "The changing rationale for governance choices: Early vs. late adopters of global services sourcing," Strategic Management Journal, Wiley Blackwell, vol. 39(8), pages 2303-2334, August.
    6. Gupta, Parul & Chauhan, Sumedha & Paul, Justin & Jaiswal, M.P., 2020. "Social entrepreneurship research: A review and future research agenda," Journal of Business Research, Elsevier, vol. 113(C), pages 209-229.
    7. Andrea Coveri & Antonello Zanfei, 2023. "Who wins the race for knowledge-based competitiveness? Comparing European and North American FDI patterns," The Journal of Technology Transfer, Springer, vol. 48(1), pages 292-330, February.
    8. Jensen, Peter D. Ørberg, 2012. "A passage to India: A dual case study of activities, processes and resources in offshore outsourcing of advanced services," Journal of World Business, Elsevier, vol. 47(2), pages 311-326.
    9. Verdu, Antonio J. & Gómez-Gras, José María & Martínez-Mateo, Jesús, 2012. "Value creation through production offshore–inshore strategies in a footwear industry cluster: A coevolutionary perspective," International Business Review, Elsevier, vol. 21(3), pages 342-356.
    10. Lema, Rasmus & Quadros, Ruy & Schmitz, Hubert, 2015. "Reorganising global value chains and building innovation capabilities in Brazil and India," Research Policy, Elsevier, vol. 44(7), pages 1376-1386.
    11. Luo, Yadong & Wang, Stephanie Lu & Jayaraman, Vaidyanathan & Zheng, Qinqin, 2013. "Governing business process offshoring: Properties, processes, and preferred modes," Journal of World Business, Elsevier, vol. 48(3), pages 407-419.
    12. Mark Lorenzen & Ram Mudambi & Andreas Schotter, 0. "International connectedness and local disconnectedness: MNE strategy, city-regions and disruption," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 0, pages 1-24.
    13. Martina Musteen & Mujtaba Ahsan & Taekyung Park, 2017. "SMEs, Intellectual Capital, and Offshoring of Service Activities: An Empirical Investigation," Management International Review, Springer, vol. 57(4), pages 603-630, August.
    14. Jeremiah, Rupin, 2017. "DO FIRMS INNOVATE ABROAD? - The Case of Swedish R&D in India," SSE Working Paper Series in Business Administration 2017:4, Stockholm School of Economics, revised 07 Dec 2017.
    15. Caniato, Federico & Elia, Stefano & Luzzini, Davide & Piscitello, Lucia & Ronchi, Stefano, 2015. "Location drivers, governance model and performance in service offshoring," International Journal of Production Economics, Elsevier, vol. 163(C), pages 189-199.
    16. Mashiho Mihalache & Oli R. Mihalache, 2020. "What is Offshoring Management Capability and How Do Organizations Develop It? A Study of Dutch IT Service Providers," Management International Review, Springer, vol. 60(1), pages 37-67, February.
    17. Wieland, Andreas & Bals, Lydia & Mol, Michael J. & Handfield, Robert B., 2020. "Overcoming blind spots in global sourcing research: Exploiting the cross-sections between supply chain management and international business," Journal of International Management, Elsevier, vol. 26(1).
    18. Lorena D’Agostino, 2015. "The neglected effects of R&D captive offshoring in emerging countries on the creation of knowledge at home," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 42(1), pages 61-91, March.
    19. Nidthida Lin, 2020. "Designing Global Sourcing Strategy for Cost Savings and Innovation: A Configurational Approach," Management International Review, Springer, vol. 60(5), pages 723-753, October.
    20. Adélie Ranville & Marcos Barros, 2022. "Towards Normative Theories of Social Entrepreneurship. A Review of the Top Publications of the Field," Journal of Business Ethics, Springer, vol. 180(2), pages 407-438, October.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:jbuset:v:148:y:2018:i:2:d:10.1007_s10551-017-3585-4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.