A proposed model of value co-creation through multi-stakeholder collaboration in domestic product development
Abstract
This study illustrates the collaborative value co-creation process that involves multi-stakeholders in developing domestic products and services design in Indonesia. Although the value co-creation process performed effectively, the new product is still experiencing obstacles in term of commercialization and sustainability. The purpose of this research is to construct a model to encourage the process of value co-creation in the commercialization phase of domestic products. The qualitative method with a single case study approach is conducted in this research. Data collected with in-depth interviews, observations and archival. The informants are representatives of stakeholders that interact and participate in the IKKON program. Data analyzed with DART model (Dialogue, Access, Risk Assessment and Transparency) to examine the process of value co-creation in the IKKON program. This approach constructs an analysis that involves stakeholder’s experience during the value co-creation process as a basis for innovation. The results showed with collaboration; stakeholders could learn from each other to understand the needs. The collaboration with multi-stakeholder will increase the values of the product by combining local and public needs. The finding proposed a collaborative model to optimizing domestic product in terms of commercialization. This research enlarges a practical perspective in managing value co-creation and decision making.
Keyword : value co-creation, DART model, new product development, commercialization, multi-stakeholder collaboration, creative economy, IKKON Indonesia
How to Cite
Permatasari, A., Dhewanto, W., & Dellyana, D. (2021). A proposed model of value co-creation through multi-stakeholder collaboration in domestic product development. Business: Theory and Practice, 22(2), 414-425. https://doi.org/10.3846/btp.2021.12578
This work is licensed under a Creative Commons Attribution 4.0 International License.
References
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Allen, K. R. (2003). Bringing new technology to market. Upper Saddle River. https://doi.org/10.1145/941397.859356
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Creswell, J. W. (2013). Qualitative inquiry and research design: Choosing among five approaches. Sage.
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Edvardsson, B., & Tronvoll, B. (2013). A new conceptualization of service innovation grounded in S‐D logic and service systems. International Journal of Quality and Service Sciences, 5(1), 19−31. https://doi.org/10.1108/17566691311316220
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Maglio, P. P., & Spohrer, J. (2013). A service science perspective on business model innovation. Industrial Marketing Management, 42(5), 665−670. https://doi.org/10.1016/j.indmarman.2013.05.007
Mazur, J., & Zaborek, P. (2014). Validating DART model. International Journal of Management and Economics, 44(1), 106−125. https://doi.org/10.1515/ijme-2015-0012
Mele, C., Russo Spena, T., & Colurcio, M. (2010). Co‐creating value innovation through resource integration. International Journal of Quality and Service Sciences, 2(1), 60−78. https://doi.org/10.1108/17566691011026603
Mustajib, M. I., & Ilhamsah, H. A. (2016). Towards sustainable creative industries through system dynamics perspective: A conceptual model in Indonesia context. International Journal of Applied Engineering Research, 11(22), 10867−10869.
Navarro, S., Andreu, L., & Cervera, A. (2014). Value co-creation among hotels and disabled customers: An exploratory study. Journal of Business Research, 67(5), 813−818. https://doi.org/10.1016/j.jbusres.2013.11.050
Nenonen, S., & Storbacka, K. (2010). Business model design: conceptualizing networked value co‐creation. International Journal of Quality and Service Sciences, 2(1), 43−59. https://doi.org/10.1108/17566691011026595
Novani, S., & Kijima, K. (2012). Value co-creation by customerto-customer communication: Social media and face-to-face for case of airline service selection. Journal of Service Science and Management, 5(1). https://doi.org/10.4236/jssm.2012.51013
Novani, S., Putro, U. S., & Hermawan, P. (2014). An application of soft system methodology in batik industrial cluster solo by using service system science perspective. Procedia-Social and Behavioral Sciences, 115, 324−331. https://doi.org/10.1016/j.sbspro.2014.02.439
Novani, S., Putro, U. S., & Hermawan, P. (2015). Value orchestration platform: promoting tourism in batik industrial cluster solo. Procedia-Social and Behavioral Sciences, 169, 207−216. https://doi.org/10.1016/j.sbspro.2015.01.304
Prahalad, C. K., & Ramaswamy, V. (2004a). Co-creating unique value with customers. Strategy & Leadership, 32(3), 4−9. https://doi.org/10.1108/10878570410699249
Prahalad, C. K., & Ramaswamy, V. (2004b). Co-creation experiences: The next practice in value creation. Journal of Interactive Marketing, 18(3), 5−14. https://doi.org/10.1002/dir.20015
Romero, D., & Molina, A. (2011). Collaborative networked organisations and customer communities: value co-creation and co-innovation in the networking era. Production Planning & Control, 22(5−6), 447−472. https://doi.org/10.1080/09537287.2010.536619
Shortall, S. (2004). Social or economic goals, civic inclusion or exclusion? An analysis of rural development theory and practice. Sociologia Ruralis, 44(1), 109−123. https://doi.org/10.1111/j.1467-9523.2004.00265.x
Simatupang, T. M., Rustiadi, S., & Situmorang, D. B. M. (2012). Enhancing the competitiveness of the creative services sectors in Indonesia. Developing ASEAN Economic Community (AEC) into A Global Services Hub, 2011-1, 173–250.
Snow, C. C., Fjeldstad, O. D., Lettl, C., & Miles, R. E. (2011). Organizing continuous product development and commercialization: the collaborative community of firms model. Journal of Product Innovation Management, 28(1), 3−16. https://doi.org/10.1111/j.1540-5885.2010.00777.x
Solakis, K., Pena-Vinces, J. C., & Lopez-Bonilla, J. M. (2017). DART model from a customer’s perspective: an exploratory study in the hospitality industry of Greece. Problems and Perspectives in Management, 15(2), 536−548. https://doi.org/10.21511/ppm.15(si).2017.07
Sudhiastiningsih, N. N. S. N. (2019). Experience journey: Mendesain Rangkaian Aktivitas Perjalanan Wisata Budaya. Journal of Indonesian Tourism and Policy Studies, 1(2), 97–111.
The Jakarta Post. (2018). Creative industries contribute Rp 1.12 quadrillion to GDP, says Bekraf. https://www.thejakartapost.com/news/2018/10/24/creative-industries-contribute-rp-1-12-quadrillion-to-gdp-says-bekraf.html
Wibowo, H. B. (2018). Kolaborasi Kreatif Dengan Prinsip Berbagi Manfaat Secara Etis Melalui Desain-Studi Kasus Program Inovatif dan Kreatif Melalui Kolaborasi Nusantara (IKKON) – Badan Ekonomi Kreatif. Seminar Nasional Desain & Arsitektur-SENADA 2018.
Yin, R. K. (2013). Validity and generalization in future case study evaluations. Evaluation, 19(3), 321−332. https://doi.org/10.1177/1356389013497081
Zemlickienė, V., & Maditinos, D. I. (2012). Marketing strategy formulation for innovative product development process. Business: Theory and Practice, 13(4), 365−374. https://doi.org/10.3846/btp.2012.38
Ahmad, W. A. Z. W., & Mukhtar, M. (2017). A social content management model based on the DART model. American Journal of Applied Science, 14(1), 25−33. https://doi.org/10.3844/ajassp.2017.25.33
Alamanda, D. T., Amani, H., Anggadwita, G., Prasetio, A. P., & Anwar, A. K. (2015). New value co-creation of zocha SME using the DART model. In The 7th Indonesia International Conference on Innovation, Entrepreneurship, and Small Business (IICIES 2015). IICIES. https://openlibrary.telkomuniversity.ac.id/home/catalog/id/105186/slug/new-value-co-creationof-zocha-sme-using-the-dart-model-iicies-2015.html
Aldianto, L., Novani, S., Anggadwita, G., Budi, A. A., & Wirawan, C. (2020). Soft system methodology approach: tourism conceptual model as the identity of Bandung, Indonesia. Business: Theory and Practice, 21(1), 282−292. https://doi.org/10.3846/btp.2020.11038
Allen, K. R. (2003). Bringing new technology to market. Upper Saddle River. https://doi.org/10.1145/941397.859356
Bracio, K., & Szarucki, M. (2019). Commercialization of innovations through internationalization: a systematic literature review. Business: Theory and Practice, 20, 417−431. https://doi.org/10.3846/btp.2019.39
Creswell, J. W. (2013). Qualitative inquiry and research design: Choosing among five approaches. Sage.
Donato, H. C., Farina, M. C., Donaire, D., & Santos, I. C. D. (2017). Value co-creation and social network analysis on a network engagement platform. RAM. Revista de Administração Mackenzie, 18(5), 63−91. https://doi.org/10.1590/1678-69712017/administracao.v18n5p63-91
Edvardsson, B., & Tronvoll, B. (2013). A new conceptualization of service innovation grounded in S‐D logic and service systems. International Journal of Quality and Service Sciences, 5(1), 19−31. https://doi.org/10.1108/17566691311316220
Galvagno, M., & Dalli, D. (2014). Theory of value co-creation: a systematic literature review. Managing Service Quality, 24(6), 643–683. https://doi.org/10.1108/MSQ-09-2013-0187
Geotimes. (2017). Kearifan Lokal Yang Dilupakan. https://geotimes.co.id/opini/kearifan-lokal-yang-dilupakan/
Gronroos, C. (2011). Value co-creation in service logic: A critical analysis. Marketing Theory, 11(3), 279−301. https://doi.org/10.1177/1470593111408177
Gummerus, J. (2013). Value creation processes and value outcomes in marketing theory: strangers or siblings? Marketing Theory, 13(1), 19−46. https://doi.org/10.1177/1470593112467267
Gustafsson, J. (2017). Single case studies vs. multiple case studies: A comparative study (pp. 1−15). Academy of Business, Engineering and Science, Halmstad University Sweden.
Hoyer, W. D., Chandy, R., Dorotic, M., Krafft, M., & Singh, S. S. (2010). Consumer cocreation in new product development. Journal of Service Research, 13(3), 283−296. https://doi.org/10.1177/1094670510375604
Hsu, Y. (2011). Design innovation and marketing strategy in successful product competition. Journal of Business & Industrial Marketing, 26(4), 223–236. https://doi.org/10.1108/08858621111126974
IKKON Report. (2017). Program IKKON dalam Mendorong Pengembangan Produk Unggulan Berbasis Potensi dan Kearifan Lokal. Published by BEKRAF.
IKKON. (2019a). Ikkon Dinilai Efektif Kembangkan Ekraf Daerah. IKKON.
IKKON. (2019b). Bekraf Pacu Pengembangan Ekraf Daerah Lewat IKKON. IKKON.
Kembaren, P., Simatupang, T. M., Larso, D., & Wiyancoko, D. (2014). Design driven innovation practices in design-preneur led creative industry. Journal of Technology Management & Innovation, 9(3), 91−105. https://doi.org/10.4067/S0718-27242014000300007
Kosaka, M., Zhang, Q., Dong, W., & Wang, J. (2012). Service value co-creation model considering experience based on service field concept. In Icsssm12 (pp. 724−729). IEEE. https://doi.org/10.1109/ICSSSM.2012.6252335
Kotler, P. (2003). Marketing insights from A to Z: 80 concepts every manager needs to know. John Wiley & Sons.
Lusch, R. F., & Nambisan, S. (2015). Service innovation: A service-dominant logic perspective. MIS Quarterly, 39(1), 155–175. https://doi.org/10.25300/MISQ/2015/39.1.07
Maglio, P. P., & Spohrer, J. (2013). A service science perspective on business model innovation. Industrial Marketing Management, 42(5), 665−670. https://doi.org/10.1016/j.indmarman.2013.05.007
Mazur, J., & Zaborek, P. (2014). Validating DART model. International Journal of Management and Economics, 44(1), 106−125. https://doi.org/10.1515/ijme-2015-0012
Mele, C., Russo Spena, T., & Colurcio, M. (2010). Co‐creating value innovation through resource integration. International Journal of Quality and Service Sciences, 2(1), 60−78. https://doi.org/10.1108/17566691011026603
Mustajib, M. I., & Ilhamsah, H. A. (2016). Towards sustainable creative industries through system dynamics perspective: A conceptual model in Indonesia context. International Journal of Applied Engineering Research, 11(22), 10867−10869.
Navarro, S., Andreu, L., & Cervera, A. (2014). Value co-creation among hotels and disabled customers: An exploratory study. Journal of Business Research, 67(5), 813−818. https://doi.org/10.1016/j.jbusres.2013.11.050
Nenonen, S., & Storbacka, K. (2010). Business model design: conceptualizing networked value co‐creation. International Journal of Quality and Service Sciences, 2(1), 43−59. https://doi.org/10.1108/17566691011026595
Novani, S., & Kijima, K. (2012). Value co-creation by customerto-customer communication: Social media and face-to-face for case of airline service selection. Journal of Service Science and Management, 5(1). https://doi.org/10.4236/jssm.2012.51013
Novani, S., Putro, U. S., & Hermawan, P. (2014). An application of soft system methodology in batik industrial cluster solo by using service system science perspective. Procedia-Social and Behavioral Sciences, 115, 324−331. https://doi.org/10.1016/j.sbspro.2014.02.439
Novani, S., Putro, U. S., & Hermawan, P. (2015). Value orchestration platform: promoting tourism in batik industrial cluster solo. Procedia-Social and Behavioral Sciences, 169, 207−216. https://doi.org/10.1016/j.sbspro.2015.01.304
Prahalad, C. K., & Ramaswamy, V. (2004a). Co-creating unique value with customers. Strategy & Leadership, 32(3), 4−9. https://doi.org/10.1108/10878570410699249
Prahalad, C. K., & Ramaswamy, V. (2004b). Co-creation experiences: The next practice in value creation. Journal of Interactive Marketing, 18(3), 5−14. https://doi.org/10.1002/dir.20015
Romero, D., & Molina, A. (2011). Collaborative networked organisations and customer communities: value co-creation and co-innovation in the networking era. Production Planning & Control, 22(5−6), 447−472. https://doi.org/10.1080/09537287.2010.536619
Shortall, S. (2004). Social or economic goals, civic inclusion or exclusion? An analysis of rural development theory and practice. Sociologia Ruralis, 44(1), 109−123. https://doi.org/10.1111/j.1467-9523.2004.00265.x
Simatupang, T. M., Rustiadi, S., & Situmorang, D. B. M. (2012). Enhancing the competitiveness of the creative services sectors in Indonesia. Developing ASEAN Economic Community (AEC) into A Global Services Hub, 2011-1, 173–250.
Snow, C. C., Fjeldstad, O. D., Lettl, C., & Miles, R. E. (2011). Organizing continuous product development and commercialization: the collaborative community of firms model. Journal of Product Innovation Management, 28(1), 3−16. https://doi.org/10.1111/j.1540-5885.2010.00777.x
Solakis, K., Pena-Vinces, J. C., & Lopez-Bonilla, J. M. (2017). DART model from a customer’s perspective: an exploratory study in the hospitality industry of Greece. Problems and Perspectives in Management, 15(2), 536−548. https://doi.org/10.21511/ppm.15(si).2017.07
Sudhiastiningsih, N. N. S. N. (2019). Experience journey: Mendesain Rangkaian Aktivitas Perjalanan Wisata Budaya. Journal of Indonesian Tourism and Policy Studies, 1(2), 97–111.
The Jakarta Post. (2018). Creative industries contribute Rp 1.12 quadrillion to GDP, says Bekraf. https://www.thejakartapost.com/news/2018/10/24/creative-industries-contribute-rp-1-12-quadrillion-to-gdp-says-bekraf.html
Wibowo, H. B. (2018). Kolaborasi Kreatif Dengan Prinsip Berbagi Manfaat Secara Etis Melalui Desain-Studi Kasus Program Inovatif dan Kreatif Melalui Kolaborasi Nusantara (IKKON) – Badan Ekonomi Kreatif. Seminar Nasional Desain & Arsitektur-SENADA 2018.
Yin, R. K. (2013). Validity and generalization in future case study evaluations. Evaluation, 19(3), 321−332. https://doi.org/10.1177/1356389013497081
Zemlickienė, V., & Maditinos, D. I. (2012). Marketing strategy formulation for innovative product development process. Business: Theory and Practice, 13(4), 365−374. https://doi.org/10.3846/btp.2012.38