Orchestrating governance reconfiguration of inter-organizational project networks to address coordination failures

Abstract

The alignment of governance forms and coordination performance within inter-organizational project networks (IOPN) is increasingly studied in operations and supply chain management literature. Despite growing acknowledgement of the adaptive nature of network governance, the mechanisms and process by which governance form is reconfigured are less understood. This study addresses this gap through a longitudinal, ethnographic study of the UK Grand Challenges (UKGC) program, focusing on how a network orchestrator, as a central entity, dynamically reconfigured governance to reduce coordination failures. We found that the orchestrator employed both upward and downward influencing mechanisms to guide the reconfiguration from shared governance to lead-organization governance mode through a three-phased process: (1) explicit manifestation of dissatisfaction with existing governance form, (2) emergence of new governance form, and (3) promoting and operationalizing the new governance form. We further found that the orchestrator's actions in reconfiguring governance form contributed to improved coordination outcomes, particularly in complex, multi-stakeholder project networks. This study extends the understanding of the dynamic aspect of network governance and offers practical insights for managers aiming to enhance coordination of IOPN through intentional governance reconfiguration.