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Service Innovation In The Cloud: Implications For Strategy Development, Robert R. Harmon, Enrique G. Castro-Leon

Engineering and Technology Management Faculty Publications and Presentations

Cloud enterprises have shifted from linear to networked business models through a value transformation process centered on the development of multisided service platforms. These platforms facilitate service exchange and value cocreation by enabling three essential transitions: 1. from control to orchestration of enterprise resources, 2. from internal optimization to external interactions, and 3. from customer value to ecosystem value. Innovative service transformation is most in evidence with enterprises that are native cloud companies or companies that have more rapidly and effectively adopted ecosystem-based service platforms such as Netflix, Google, Facebook, Uber and Airbnb. Service ecosystems enable the critical processes for …