• Investigating the co-creation of IT consulting service value: Empirical findings of a matched pair analysis

      Oesterle, Severin; Buchwald, Arne; Urbach, Nils (Electronic Markets, 2020)
      Digitalization is increasingly and broadly impacting on companies throughout all industries. To cope with digital transformation, organizations need specific IT skills and often face a bottleneck between required and existing capabilities. Thus, organizations revert to support from IT consultants. However, such collaborations need to create value so as to make client organizations future-proof in the long term. We therefore need a better understanding of how value is created in IT consulting projects. We build on service-dominant (S-D) logic as the theory base and evaluate our structural model, which explains IT consulting service value based on 77 matched pairs of IT consulting projects using structural equation modeling. We provide empirical support for the assumptions of S-D logic in the IT consulting industry and reveal determinants that significantly contribute to the overall IT consulting service value. Our results contribute to the ongoing discourse in the S-D logic literature and provide meaningful insights for practice.
    • Less complex than expected–What really drives IT consulting value

      Oesterle, Severin; Buchwald, Arne; Urbach, Nils (2019)
      Digitalization has a broad impact and the risk of external disruption is omnipresent throughout all industries which also applies to IT consulting firms. One response to this threat is to understand better the determinants of how value is created during the joint work on an IT project. Although previous literature offers valuable starting points for explaining value co-creation, no previous research synthesizes service provider and client perspective in a comprehensive model and empirically explains the co-creation of IT consulting service value. We build on the service-dominant (SD) logic as the fundamental meta-theory and evaluate our deductively derived structural model based on 113 collected responses from IT consulting projects using structural equation modeling. Our major finding is that IT consulting service value only seems to be determined by consultant capabilities. Our findings provide new insights for SD logic and service science literature and potential for future research.
    • To measure is to know: Development of an instrument for measuring consulting service value

      Oesterle, Severin; Buchwald, Arne; Urbach, Nils (2019)
      While their fundamental business model has not changed for many decades, consulting firms are currently faced with serious challenges putting the complete market at the risk of disruption. Given that situation, it is essential for consultancies to understand how value emerges in consulting projects in the eyes of their clients. Turning to the customer perspective, it is also important to understand how value emerges from the relationship with consultancies. While previous literature provides valuable but fragmented starting points to explain the joint value creation in IT consulting projects, we suggested a synthesized conceptual model drawing on the service-dominant logic in a previous article that integrates both the service provider and client perspectives. In this article, we now put forth a measurement instrument that we subjected to a preliminary empirical validation with which the important determinants in both spheres can be assessed to ultimately explain the value of the IT consulting service in a follow-up, large-scale quantitative-empirical validation.
    • Understanding the co-creation of value emerging from the collaboration between IT consulting firms and their customers

      Oesterle, Severin; Buchwald, Arne; Urbach, Nils (2016)
      Recent market developments such as increasing digitalization of services, professionalization of customers, and transparency about the specific value of IT services, are putting IT consulting firms as well as their customers under pressure. Thus, it is of high importance that IT consultancies and their customers are jointly working together to innovate new services and solve specific tasks which come along with the digitization of services. Although previous literature offers valuable starting points for explaining such collaborative value creation, we do not see specific approaches that comprehensively address this challenge. By drawing upon the service-dominant logic as the theoretical frame, we deductively develop a conceptual model that explains the emergence of cocreated value within IT consulting relationships. After a thorough empirical validation of our model, our ultimate contribution will be a theory that equips IT consulting firms and their customers with information to better understand the drivers of co-created value.