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Modularity in KIBS: The Case of Third-Party Logistics Service Providers

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  • Anna Cabigiosu
  • Diego Campagnolo
  • Andrea Furlan
  • Giovanni Costa

Abstract

This paper investigates service modularity and inter-organizational coupling in knowledge-intensive business services (KIBS). While KIBS literature traditionally emphasizes tight client–provider interactions with service customization, modularity literature emphasizes inter-organizational decoupling with service standardization. We disentangle this tension by exploring how KIBS firms utilize service modularity and shape their client–provider relationships in terms of information and knowledge sharing. Conducting two in-depth case studies of third-party logistics (TPLs), we show that TPLs extensively rely on service modularity with standard procedures as their constitutive element. We also demonstrate that service modularity and inter-organizational decoupling are aligned for knowledge sharing but not for information sharing, which remains high regardless of the service architecture. Overall, we suggest that modularity in KIBS differs in many aspects from modularity in products and that these differences significantly impact the organizational design consequences of service modularity. Theoretical and managerial implications are drawn.

Suggested Citation

  • Anna Cabigiosu & Diego Campagnolo & Andrea Furlan & Giovanni Costa, 2015. "Modularity in KIBS: The Case of Third-Party Logistics Service Providers," Industry and Innovation, Taylor & Francis Journals, vol. 22(2), pages 126-146, February.
    • Handle: RePEc:taf:indinn:v:22:y:2015:i:2:p:126-146
    DOI: 10.1080/13662716.2015.1023012
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    Cited by:

    1. Liu, Yang & Liang, Xingkun & Shi, Yongjiang, 2018. "Brokerage and balance: Creating an effective organizational interface for product modularization in multinational R&D," Research Policy, Elsevier, vol. 47(6), pages 1133-1146.
    2. John N. Walsh & Jamie O’Brien, 2017. "A Knowledge-Based Framework for Service Management," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 16(04), pages 1-31, December.
    3. Lin, Yong & Chen, Anlan & Yin, Yanhai & Li, Qing & Zhu, Qiaoni & Luo, Jing, 2021. "A framework for sustainable management of the platform service supply chain: An empirical study of the logistics sector in China," International Journal of Production Economics, Elsevier, vol. 235(C).
    4. Anna Cabigiosu & Diego Campagnolo, 2016. "The economic performance of innovations in a collaborative setting: the case of KIBS firms," Working Papers 22, Venice School of Management - Department of Management, Università Ca' Foscari Venezia.

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