Edinburgh Napier University

  The concept of coopetition was introduced by Brandenburger and Nalebu in 1996 and is defined as a combination of cooperation and competition between multiple organisations. Since then, the number of articles on coopetition has constantly increased. As part of this process, the literature introduced the paradigm of forced coopetition. This recently developed paradigm describes a situation in which a client organisation forces multiple external suppliers to cooperate, even though the suppliers are competitors on an inter-organisational level. Hence, forced coopetition is an integral part of IT multi-sourcing projects with multiple IT supplier organisations.

This research project focuses on an evaluation of factors that
influence the success of forced coopetition relations in IT multi-sourcing projects. Due to the simultaneous coexistence of cooperation and competition, the client organisation experiences
tensions, which may cause the multi-sourcing project to fail. As a result, the awareness of factors that are critical for the success of such relationships is crucial for a client organisation. This is particularly important because supplier organisations
play an increasing role in the success of the client organisation. Despite the increased importance of coopetition management, only a limited body of research has examined which factors and control mechanisms have an impact on successful forced coopetition relations. This research project is first attempt to bridge this research gap.

The study applied an explanatory sequential mixed method design, with priority placed on quantitative methods. First, the study conducts a quantitative survey to identify the critical success factors of a forced coopetition relation in IT a multi-sourcing project. Finally, explanatory semi-structured interviews are conducted within the study to discuss the quantitative findings in more detail while integrating the literature. Ultimately the study identified a set of factors which are considered as critical for forced coopetition relations.

The study makes two main contributions. First, the study provides a framework of critical success factors in forced coopetition relations. Second, it offers guidance to managers of IT multi-sourcing projects as to which factors needs to be taken into account in order to successfully manage IT multi-sourcing projects with competing
suppliers.