The governance of project-based production networks: Empirical analysis from the Indonesian shipbuilding industry

Minayora, Amore

Abstract

Complexity occurs when these resources are not provided by the yard, instead it often relies on the external network. This paper is based on the shipbuilding companies for various reasons: (1) the majority of the shipyards in Indonesia are small and medium size provide a percentage, (2) these specific types of yards are found to be competing yet cooperating, (3) inimitable element of trust and reputation contribute to the competitiveness. To remain competitive, small and medium yards are required to develop relationships with competitors, buyers, and other stakeholders. Therefore, it is interesting to find out how do firms use their local networks to compete. In Indonesia, government policies toward the shipbuilding industry encourage firms to formally develop network relationships with other firms and/or institutions. This paper identifies the theoretical gap in the literature, which focus on ‘formally developed’ production networks rather than ‘organically structured’ ones. The finding of the study illustrates the dynamics of firms’ interaction with their networks to complete, deliver, and compete in a segmented and volatile market.

• Presentation Conference Type: Conference Paper (unpublished)
• Conference Name: 23th Symposium on Theory and Practice of Shipbuilding (SORTA, 2018)
• Start Date: Sep 27, 2018
• End Date: Sep 29, 2018
• Deposit Date: Oct 4, 2022
• Keywords: Shipbuilding, competitiveness, production networks, value chains.
• Public URL: https://uwe-repository.worktribe.com/output/9942382
• Related Public URLs: http://sorta2018.fesb.unist.hr/