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Creating value from a commodity process : a case study of a call center

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Huang, Jimmy C., Newell, Susan, Poulson, Bradley and Galliers, Robert (2007) Creating value from a commodity process : a case study of a call center. Journal of Enterprise Information Management, Volume 20 (Number 4). pp. 396-413. doi:10.1108/17410390710772687 ISSN 1741-0398.

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Official URL: http://dx.doi.org/10.1108/17410390710772687

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Abstract

Purpose

– The purpose of this paper is to conceptualize the unique value that can be created by performing a commodity process, in this case call handling at a call center, as a means of challenging the prevalent assumption that an organization should differentiate between the management of a core competence and a commodity process.

Design/methodology/approach

– An inductive case study is conducted to examine the strategic planning and management of a call center in one of the largest retailers headquartered in the UK. Semi‐structured interviews, informal dialogue, on‐site observation and documentation were the four data collection methods that we used.

Findings

– Based on the findings derived from the study, this study proposes the notion of a “differentiated commodity” to illustrate that a commodity process, such as handling customers' complaints and enquiries using standard call center technologies, can be significantly beneficial to the business, if differentiation was embedded into the architecture and management of the business process.

Originality/value

– The distinction between core competencies and commodity processes has become one of the key aspects in shaping a manager's decision making. The findings are vital not only in challenging such an assumption, but also in providing an explanation as to how strategic value can be generated by performing commodity processes, which is often under‐estimated.

Item Type: Journal Article
Subjects: H Social Sciences > HD Industries. Land use. Labor
Divisions: Faculty of Social Sciences > Warwick Business School
Library of Congress Subject Headings (LCSH): Call centers, Value added
Journal or Publication Title: Journal of Enterprise Information Management
Publisher: Emerald Group Publishing Ltd.
ISSN: 1741-0398
Official Date: 2007
Dates:
DateEvent
2007Published
Volume: Volume 20
Number: Number 4
Number of Pages: 19
Page Range: pp. 396-413
DOI: 10.1108/17410390710772687
Status: Peer Reviewed
Publication Status: Published
Access rights to Published version: Restricted or Subscription Access

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