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Exploring the theoretical concept of collaborative dynamic capabilities, this book illustrates how service innovation can be achieved in an era of technological convergence. Focusing on e-healthcare systems within hospitals and private businesses, the author provides detailed case studies and answers topical questions about generating service innovation across different industries. Making a new and thought-provoking contribution to research on innovation and technology management, this useful book engages with theory and provides applicable solutions for practitioners to implement in the future.



1. Collaborative Dynamic Capabilities: The Dynamic Capabilities View

Chapter 1 presents an overview of the theoretical concept of “collaborative dynamic capabilities,” an important corporate capability within and between companies and industries aimed at building business ecosystems. As service innovations brought about through collaborative dynamic capabilities, this chapter discusses in detail the importance of “dynamic capabilities,” a key theory required for building a business ecosystem and growing it sustainably. The chapter also considers a theoretical framework for building dynamic capabilities to achieve service innovations through strategic collaboration with stakeholders such as corporate partners.
Mitsuru Kodama

2. Service Innovation Through Collaborative Dynamic Capabilities: A Systems Approach

Chapter 2 discusses the theory of capabilities congruence in and between companies and business ecosystems based on systems theory. It identifies four important insights for dynamically handling changing environments and building business ecosystems through service innovations. These insights cover: dynamic external congruence; capabilities congruence between managerial elements; the orchestration of co-specialized assets in and out of a company; capabilities congruence among stakeholders.
The chapter also presents: the concept of synchronization (synthesis) of the “strategic innovation loop” among partners in each of the domains of the Capabilities Map; the concept of “boundaries synchronization” from the perspective of micro strategy; and a framework for a co-creation and co-evolution model for achieving sustainable service innovations and business ecosystems.
Mitsuru Kodama

3. E-healthcare Service Innovations: In Depth Case Studies in Japan

Chapter 3 analyzes the microprocesses of collaborative dynamic capabilities to achieve service innovations in Japan through the strategic collaboration of diverse partners. The resultant business ecosystems are analyzed against the strategic innovation systems, capabilities congruence, and collaborative dynamic capabilities discussed in Chap. 2. Japanese mobile communications carrier NTT DOCOMO and Omron Healthcare, a manufacturer of healthcare and medical equipment, promote strategic collaborations linking smartphones to healthcare and medical equipment. Customers can now easily and conveniently record, store, and manage their health and lifestyle data to enjoy personalized health management and disease prevention support services.
Mitsuru Kodama

4. Quality Improvements and Cost Reductions in Healthcare: Accountable Care Organizations from the Perspective of Collaborative Dynamic Capabilities and Leadership

With the advances, diversification, complexity, and increasing costs of healthcare in developed countries, there are emerging needs to determine the appropriacy of duplicate examinations, selection of medicines, and treatments while hospitalized. Setting aside differences in the skills and capabilities of doctors, it can be said that in many countries doctors have traditionally made discretionary treatments that have been sometimes wasteful or have had no clear rationale.
Accountable Care Organizations (ACOs) are modern American strategic organizations aiming for healthcare quality improvements and cost reductions. Chapter 4 evaluates their current state, their effectiveness and the challenges they face. Then, from the perspective of collaborative dynamic capabilities and leadership, this chapter observes and analyzes ACOs as organizations that produce value-based care.
Toshiro Takahashi

5. Realization of a Health Support Ecosystem Through a Smart City Concept: A Collaborative Dynamic Capabilities Perspective

This chapter considers Fujisawa Sustainable Smart Town, an ongoing construction by major Japanese electronics manufacturer Panasonic on the former site of one of its factories in the town of Fujisawa, Kanagawa Prefecture. The chapter focuses on how value is created through collaboration among companies in different industries and verifies those processes. Fujisawa Sustainable Smart Town project has progressed as a result of the creation of new value through exchanging and merging the technologies and know-how of a variety of companies. The chapter describes this model of value co-creation and incorporates existing research on knowledge creation and dynamic capabilities theories.
Nobuyuki Tokoro

6. Business Model Changes Through Collaborative Dynamic Capabilities Through Insurance Company Use of IT (InsurTech) in the Medical and Health Sectors

In recent years, the use of information technology (IT) in the medical and healthcare sectors has been rising rapidly. Variously called “e-health,” “digital health (care),” “smart health (care),” and so forth, these concepts differ slightly conceptually, but are all having an impact on the health insurance industry. In e-health, described as “a mechanism for collecting information from organizations involved with medical and healthcare information including hospitals, and making it available to individuals and organizations that require it,” (Nikkei Business Online Edition 2010, p. 167) health insurance companies are positioned as one type of organization involved in medical and healthcare information that collect healthcare information from citizens and use healthcare information acquired from other organizations. In digital health, described as “represented by digitalization of healthcare and nursing systems,” (Japan Association of Corporate Executives 2015, p. 1) the expansion of private health insurance in conjunction with a review of the scope of application of health insurance systems is anticipated as a future issue. In addition, regarding smart healthcare, described as “approaches to link systems and services to acquire physiological data from people and process it through a network,” (IoT News) promotion of the penetration of private health insurance products interlocked with individuals’ health can be seen targeted in related Japanese industries (Next-Generation Healthcare Industry Council 2016, p. 16).
Therefore, this chapter organizes trends in the use of IT by insurance companies in the medical and healthcare sectors, and discusses two main points in that regard. First is the influence on insurance business models, and second are theoretical considerations from the perspective of collaborative dynamic capabilities.
Futoshi Okada

7. Telemedicine System Developments Through Strategic Collaboration Between Industry, Government and Academia

To revitalize local communities in the twenty-first century, a central issue is creating new value in and between communities through the formation of virtual communities, particularly in the areas of medical, welfare, and healthcare through the effective use of information and communication technology (ICT). Telemedicine, remote area healthcare support and home nursing support using ICT have enabled the creation of new health support ecosystems.
This chapter observes and analyzes telemedicine system development processes from the perspectives of the leadership of the main players of e-healthcare, through two cases. The first looks at leading physicians (innovative customers) at university hospitals with high levels of learning experience as main players. The second looks at project teams in leading telecommunications carriers as main players. As common knowledge acquired from these two cases, this chapter describes how strategic collaboration among stakeholders transcending industry, government, and academia drives the asset orchestration process to build new telemedicine systems through know-how acquired by practical learning in the healthcare workplace. The chapter also identifies the importance of forming strategic communities among collaborating partners so that stakeholders can demonstrate collaborative dynamic capabilities across industry, government, and academia.
Rumiko Azuma, Mitsuru Kodama

8. Pharmacy Service Innovation from the Standpoint of Collaborative Dynamic Capabilities

This chapter examines the service innovation required in order for Japanese pharmacies to adapt to the country’s aging society from a standpoint of collaborative dynamic capabilities. The Japanese healthcare system is transitioning to one of integrated community care. In order to participate in this system, pharmacies need to redefine their work content and the role of the pharmacist. Here, I examine whether the dynamic capabilities of pharmacies have an effect on innovation. In particular, I focus on the effect of dynamic capabilities on information sharing and on the regional relationships between pharmacies and their affiliated organizations.
Takuya Akikawa

9. Building Healthcare Ecosystems Through Strategic Collaboration Across Different Industries

In twenty-first-century society, platform development with the effective use of information and communication technology for health and medical care in the medical, welfare, and healthcare fields is crucial. This chapter presents case examples of building healthcare ecosystems through strategic collaboration across different industries. Specifically, the chapter presents cases of Japanese general trading companies (sogo shosha) as the main player, and the mechanism of building of new value chains and business models in the healthcare and medical fields of Japan and Asia from the perspective of dynamic capabilities and collaborative dynamic capabilities.
Here, the functioning of the asset orchestration process across dissimilar industries through the demonstration of dynamic capabilities by general trading companies is important. At the same time, this chapter presents how boundaries synchronization as context and practice synchronization between stakeholders making up the value chain (collaborating partners) promotes collaborative dynamic capabilities among stakeholders, and at the same time drives the asset orchestration process of the general trading company as the value chain co-ordinator.
The chapter discusses “asset orchestration architecture” as “asset architectural thinking” in executing this dynamic asset orchestration process, and illustrates the dynamics of the asset orchestration process of the general trading company on the Capabilities Map.
Mitsuru Kodama

10. Boundaries Synchronization and Capabilities Congruence: Discussion and Implications

In this chapter, I derive common theoretical and empirical knowledge through cross-case analysis of multiple in-depth case studies in Part 2, and at the same time present a new theoretical framework derived from case studies while verifying the propositions and hypotheses derived in Chaps. 1 and 2.
This chapter first discusses the characteristics of capabilities on knowledge boundaries between stakeholders. Then it discusses how synchronization of stakeholder activities on knowledge boundaries promotes synchronization of the dynamic capabilities (DC) of the various individual players involved, which brings about collaborative dynamic capabilities (C-DC) among players. The chapter shows the necessity of synchronizing pragmatic boundaries by forming strategic communities with the main player and partners. Moreover, pragmatic boundaries synchronization between main player(s) and partner(s) on the Capabilities Map brings about synchronization of the strategic innovation loop (boundaries synchronization).
This chapter also discusses the importance of optimized asset orchestration in companies, between companies and between industries, the formation of strategic communities within companies, between companies and between industries, and the acquisition of C-DC in companies, between companies and between industries for success in building ecosystems through service innovation, and clarifies the potential of these factors in bringing about the construction of health support ecosystems.
As an element of C-DC, the chapter also clarifies the importance of the concept of “capabilities congruence” among ecosystem partners in achieving capability synthesis to maximize capabilities in ecosystems. As requirements for the five capabilities elements of ecosystem partners, (1) strategy capabilities, (2) organizational capabilities, (3) technology capabilities, (4) operational capabilities, and (5) leadership capabilities, the chapter presents the concept of “congruence among capabilities elements” as well as new theoretical and practical implications.
Mitsuru Kodama

11. Conclusions and Issues for Future Research

This final chapter provides a conclusion to the book and describes a number of future research issues. These include perspectives and new research implications on “collaborative dynamic capabilities and capabilities congruence,” “autopoiesis and strategic innovation capabilities,” “assets orchestration processes and micro strategy processes,” “sensing through boundaries vision,” and “asset orchestration process through paradoxical management.”
Mitsuru Kodama


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