Global Networks : The Vodafone-Ericsson Journey to Globalization and the Inception of a Requisite Organization

Vodafone is one of the most successful global companies of the last 20 years, growing from a holder of one of the first two mobile communications licences in the UK to be a global brand. Whilst its leadership, mergers and acquisitions and marketing all are well documented, much less is known about how it really benefited from its mergers, and how it managed the transformational organizational journey from national to global. The author provides a unique longitudinal insight into the hidden globalization of Vodafone; with its mobile network infrastructure suppliers it created a social network of people that contributed to the deployment of a global network of technology that now serves over 170 million customers. Originally with Ericsson, and then with Nokia, Siemens and Nortel, Vodafone moved the industry to a global stage, sharing data and knowledge, but also negotiating commercial terms and operational excellence, for global advantage. This included an industry leading move to reverse electronic auctions. Managers within Vodafone and its suppliers cooperated as a virtual global network organization; an invisible structure that gave Vodafone a unique advantage. It is shown that this is a new requisite organizational type that has application to other global or multi-location companies undertaking similar transitions. Cover......Page 1 Contents......Page 8 List of Figures......Page 11 Abbreviations......Page 12 Acknowledgements......Page 14 Globalization......Page 16 Globalization and Organization......Page 17 Transformation......Page 18 Horizontal and Virtual Organizational Relationships......Page 19 Vodafone in the Wireless Telecommunication Industry......Page 21 Virtual Global Organization Models......Page 24 Strategic Interorganizational Relationships......Page 27 Organizational Culture and Leadership......Page 30 The Messages......Page 32 From Racal to Vodafone......Page 35 Telefonaktiebolaget LM Ericsson......Page 39 Merger and Acquisitions......Page 41 Creation of the Global Brand......Page 44 Manchester United, Cricket, and Ferrari......Page 45 Move to the Next-Generation 3G Technology......Page 46 The Telecom Industry Introduction of the Reverse eAuction......Page 51 Vodafone to March 31, 2006......Page 52 Vodafone......Page 54 Ericsson......Page 55 The Commencement of the Journey Toward a Global Network......Page 57 Summary of the Inaugural Global Forum and Outcomes......Page 63 Athens, Greece......Page 65 Amsterdam, Holland......Page 66 Nynashamn, Sweden......Page 68 Cairo, Egypt......Page 70 Sydney, Australia......Page 71 Lisbon, Portugal......Page 73 Bucharest, Romania......Page 74 eRelationship......Page 75 The Invisible Organization......Page 83 Persuasion and Leadership......Page 85 Leading Change......Page 90 The Emergent Global Network Culture and Requisite Organization......Page 92 The Ensuing Emergent Requisite Organizational Model......Page 98 Summary......Page 100 Moving the Requisite Global Organization On......Page 103 OpCos and Lead OpCos......Page 105 Organizational Transformation......Page 110 Multiple Global Suppliers and Adapting the Requisite Organizational Model......Page 111 Communities and Social Networks......Page 112 Communities and Trust: The Invisible Organization......Page 115 Formalization and Governance......Page 118 Engaging the International Suppliers Globally......Page 121 The Complexity of Interests and the Variation Across OpCos......Page 124 The Creation and Implementation of Network Infrastructure Reverse eAuctions......Page 127 The Actual Benefits of Globalization to Vodafone, to the Suppliers, and to the OpCos......Page 129 The Accumulated Social Capital......Page 132 Transformational Change......Page 134 One Vodafone......Page 135 Senior Management May Not Like What It Cannot Formalize......Page 148 Ineffective or Globally Inexperienced Management May Tend Toward Control......Page 149 Cooperation Versus Competition Always Involves Tension......Page 158 Centralization May Be Driven by Stereotypical Experience and a Conformist Culture......Page 160 Yet More Unfinished Vodafone Business Perhaps?......Page 162 Managing Distance and Time......Page 165 Control, Management, and Leadership......Page 166 Organizational and Interorganizational Structure......Page 168 Change and Leadership......Page 169 The Performing Invisible Organization......Page 171 Experiential Learning......Page 173 Management and Leadership Development......Page 174 The Benefits of Age and Experience......Page 178 Culture and Stereotypes......Page 180 Going Global Is a Transformational Journey......Page 183 Going Global Means Going Beyond International......Page 187 Going Global Means Working Together......Page 192 Going Global Involves Getting People Going......Page 195 Inception of a Requisite Organization......Page 198 Postscript......Page 205 Notes......Page 207 Index......Page 218 Introduction -- The Birth And Growth Of Vodafone And Wireless Telecomms -- The Journey To A Global Network Starting Positions -- Adapting The Requisite Organizational Model -- Resetting The Social Capital -- Building Global Relationships -- Conclusions. Christopher J. Ibbott. Includes Bibliographical References (p. 192-202) And Index. Provides an experiential view into the hidden globalization of Vodafone, in which was created a social network that was engaged in the acquisition and deployment of a global network of mobile technology. This book examines how Vodafone has led the industry to a global stage, sharing data and knowledge, and negotiating commercial terms This fascinating book provides a unique experiential view into the hidden globalization of Vodafone, in which was created a social network that was engaged in the acquisition and deployment of a global network of mobile technology that now serves a proportionate mobile customer base of more than 190 million. Christopher Ibbott examines how Vodafone has led the mobile communications industry to a global stage, sharing data and knowledge, negotiating commercial terms and operational excellence, all for significant global aggregation cost synergy advantage