The Impact of Openness on Value Co-creation in Production Networks

The increasing number and economic importance of production networks is one sign of the on-going paradigm shift from industrial production to value co-creation. This transformation can be described by using the notions of a value creation taxonomy, which is introduced in this paper and gives a structured overview of relevant aspects of the underlying conversion from top down to bottom up economics. In order to gain a deeper understanding of this transformation process, the specific design, characteristics and challenges of those networks will be investigated with regard to their time-dependence using a life cycle model.The present study contributes to a fundamental understanding of the importance of openness as a key success factor of value co-creation in production networks. It gives a systematic characterization of what is meant by “openness” concerning the value creation system, the value creation process and the value creation artifact. Furthermore, an adjusted life cycle model is presented, which may support both, assessment and configuration of openness within those networks by deriving adequate and phase-specific measures.