Module description Network Management
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1 Module description Network Management 17/11/2014 page 1/6 Module code Central theme W.MSCBA_NM01.08 SMEs and large corporations, being future fields of activity for Master study course in Business Administration graduates, are subjected to such driving forces as globalisation and an intensification of competition. In an environment such as this, corporate networks and associations appear to be the superior and most promising type of organisation. Due to the distribution of network structures across all business sectors, effectively designed business relationships become a precondition for corporate success. This module deals with strategic management in a network context. Building on the strategic management process inside organisations, students will learn about the special characteristics of management in a networked context. They will find out about the development, maintenance and coordination of network relationships and about the exploration of synergies as a central task involved in network management. This involves analysing the blurring boundaries between the organisation, the network surrounding it and the markets, and dealing with opportunities and limitations regarding their design. Students will learn how the dissolution of traditional opposites such as cooperation and competition or market and hierarchy are a mutual characteristic of all types of networks, and will find out about legal control mechanisms and those supported by standards. This module deals with the functionality of a variety of vertical network types (such as supply chains) as well as virtual ones (e. g. two- or more sided markets), demonstrates specific instruments for analysis and design, and practises their implementation. In addition, students will be provided with an introduction to networked thinking as the basic precondition for establishing problems in a network context. One characteristic common to the contents of all module is the consideration of exclusively cross-organisational relationships. This perspective is also the central differentiating characteristic compared to the parallel Customer Relationship Management module, which primarily deals with internal organisational and crossfunctional relationships. Type of training Course of studies Module type Module level ECTS credits earned Business Administration Master C (core module) Advanced 6 Credits
2 page 2/6 Initial competences The following initial competences correspond to the teaching objectives and contents of general economic bachelor studies. Initial competences in the corporate environment/economic, social and political framework sector Students will understand the market in its different shapes and forms as the central field of corporate activities, and will be able to interpret the social limitations of the market mechanism. They are able to analyse and assess influencing factors and causal relationships in a direct economic and natural corporate environment. Students are able to balance different values and interests of a variety of different stakeholders in a corporate environment against each other, and to reflect on their own values. Initial competences in the strategic management sector Students have a basic understanding of the interaction between environment, market conditions and corporations. They are aware of basic management categories, concepts and instruments to control the relationship between corporation, environment and market. Initial competences in the organisational sector Students understand the theoretical principles of creating organisational structures and processes. They are able to create structural representations of an organisation and to assess their suitability to a certain situation. Follow-up modules W.MSCBA_CM Service Management 3 (Change Management) All Major Business Development and Promotion and Major Tourism modules, in particular Business Opportunity and Design as well as International Environment and Business Models Notes Final competences / Basic objectives Network management module graduates: 1. Have a clear understanding of the characteristics of business networks. 2. Identify, analyze and evaluate network influences on organisations in order to develop strategic plans for the management within and between business networks. 3. Critically evaluate network management strategies in order to assess their quality and applicability in improving the effective handling of network management problems. 4. Suggest procedures to set up a network-based business model. 5. Develop a network strategy for a small company in a real business network context.
3 page 3/6 Objectives Knowledge / area/s of expertise Professional expertise can differentiate different network types with the aid of different criteria for analysis recognise the vital importance of the integral and co-ordinated implementation of measures and instruments at different network management levels differentiate the steps required to prepare and implement outsourcing or insourcing decisions know the elements of a cooperation agreement between network partners Complex decision-making or partial competence Professional competence are able to propose and integrate instruments and measures at overall network level, relationship level and individual partner level in a manner suited to the situation when resolving network problems can prepare systematic recommendations for outsourcing or insourcing decisions can draw up cooperation agreements between network partners in selected network relationships (e. g. just in time relationships, technology partnerships) Methodic expertise appreciate systems thinking as a methodological approach which captures the complexity in business networks. understand the main game theoretical moves in a coopetition situation understand processes to analyse value creation in inter-organisational network relationships Methodic competence are able to define and analyse complex networkrelated problems with the aid of systems thinking methodology are able to analyse a coopetition situation between several corporations and derive e.g. a dominant strategy are able to establish the potential for improvement offered by interactive value creation with the aid of selected value chain analysis processes Communications and social relationship expertise are aware of the different roles of corporations inside networks can describe the potential intercultural communication challenges in cross-cultural networks understand that competitive and cooperative situations are not mutually exclusive can interpret the preconditions and dynamics of self-organisation Social-communicative competence make an active personal contribution to the implementation of cooperative learning agreements.
4 page 4/6 Self-knowledge recognise their personal abilities for multiperspective thinking and action reflect on their personal willingness to cooperate Self-competence introduce their own competences into social relationships for added synergy. Learning content Network structures and theories (30%, 15 CSS, 15 SSS, 20 ISS) - Introduction to networked thinking and network management - Types of network structures - Systems Thinking - Game Theory, - Organizational Economic Theories Strategic network management (40%, 18 CSS, 18 SSS, 25 ISS) - Solution management in value constellations/networks - Supply chain strategies - Strategies for two- or more-sided markets Selected operative network management issues (15%, 6 CSS, 5 SSS, 13 ISS) - Coordination and operation inside networks - Formal co-ordination instruments (e. g. cross-organisational project teams, incentive systems) - Cultural co-ordination instruments (e. g. culture of trust, network identity) Real-time network based case study project ( 15%, 4 CSS, 12 SSS, 30 ISS) - Group work on a company assignment including the presentation to company board members
5 page 5/6 Teaching method Teaching and learning forms Contact studies Self-study Specialist / problem-orientated Objectives and contents Classical forms of teaching such as teaching discussions, lectures Discussing concrete, current network-related problems from students corporations Resolution of network-related problems in the presence of experts in the practical field Simulating different corporate working structures during lessons (e. g. moderation techniques, role play, co-operative learning agreements, e.g. teaching company etc.) Literature studies, research, resolving case studies Study duration per semester ECTS Credits Contact studies (Lessons) Conact studies (Hours) Supervised selfstudies (Lessons) Supervised selfstudies (hours) Independent self-studies (hours) Total (hours) Scope Proportion 23.3% 27.8% 48.9% 100% Teaching language English and German Proof of Proficiency Mid-semester test (20%) Each student shall pass a 45 minute test comprising multiple choice questions and further short questions. The aim is to demonstrate the students knowledge and understanding of the basic network concepts and theories covered in class as well as in the pre-reading articles and book chapters. Learning team assignment: Real time network case study project (40%) Each student will be assigned to a group of 4 to 6 students. All groups will prepare a written report in which they develop a network strategy for a real time case study. The aim is to demonstrate the problem solving skills in a real business network context. Please refer to the separate briefing document for details. Final written exam (40%) The students shall pass a one hour, case-study based written exam. Bibliography Jarillo, Carlos (1988): On strategic networks, in: Strategic Management Journal, Vol. 9, pp Espejo, R., Gill, A. 1989: The viable system model as a framework for understanding organizations. Checkland, P. (1990): Systems Thinking, Systems Practice. Chichester etc.: Wiley, pp and
6 page 6/6 Oberholzer-Gee, F. and Dennis Yao (2007): Game Theory and Business Strategy. Harvard Business Review Paper Brandenburger, A. and Nalebuff, B. (1995): The right game: Use game theory to shape strategy, in: Harvard Business School, Vol. 73 Issue 4, pp Script: Transaction Cost Economics. Saam (2007). Asymmetry in information versus asymmetry in power: Implicit assumptions of agency theory? The Journal of Socio-Economics Vol. 36, pp Christopher, M. und Towill, D. (2001): An integrated model for the design of agile supply chains, in: International Journal of Physical Distribution & Logistics, Vol. 3, No. 4, S Brunn, P., Jensen, M. and Skovgaard, J. (2002): E-Marketplaces: crafting a winning strategy, in: European Journal of Management, Vol. 20, No. 3, pp Eisenmann, T. Parker, G. Alstyne, M. (2006): Strategies for Two-sided Markets, in: Harvard Business Review, pp Hofstede, G. (1998): Think locally, act globally Cultural constraints in personnel management, in: Management International Review, Special Issue, No. 2, pp Hostede, G. et al (2010): Cultures and Organizations Software of Mind: Intercultural Cooperation and Its Importance for Survival. Mcgraw-Hill, 3rd ed (pages tbc)
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