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Peer production phenomena such as open source software (OSS) have been posited as a viable alternative to traditional production models. However, community-based development often falls short of creating software "products" in the sense that consumers understand. Our research identifies an emerging business network archetype in the OSS sector, the open source service network (OSSN), which seeks to address the "productization" challenge. To do so, OSSNs must overcome the problems associated with exchanging resources between firms. We demonstrate that OSSNs overcome exchange problems by primarily relying on social, rather than legal, mechanisms; similar to the OSS communities from which they emerged. This is made possible because OSSNs use IT infrastructures that provide high visibility for primary value-creating activities. The research utilizes a multimethod theory-building approach, deriving a model from extant research, refining the model through qualitative case study analysis, and further refining the model through quantitative analysis of survey data. The paper reveals the manifestation of social mechanisms in OSSNs and how these are used for coordinating and safeguarding exchanges between firms. Specifically, we illustrate the primary importance of a shared macroculture (goals and norms) and collective sanctions for punishing firms who violate these goals/norms. Furthermore, our research highlights the interplay between digital and social networks within OSSNs, demonstrating that the use of social mechanisms is inherently dependent upon the underlying IT infrastructure.

Purpose -This paper aims to explore the ways in which firms utilise hierarchical relationships and the market system to supply and acquire intellectual property (IP) and/or innovation capabilities from sources external to the firm. Design/methodology/approach -The authors conduct a field study to explore emerging governance structures for open innovation, using multiple data sources including documents (e.g. white papers) and interviews published by the firms studied, analysis of the firms' web-based systems (where applicable), secondary content (e.g. news articles) and elite interviews with key personnel. Findings -The analysis of seven exemplars of open innovation reveals that inter-organisational relationships that facilitate open innovation can be categorised based on whether they are mediated or direct, and seek to exchange intellectual property or innovation capability. Using this categorisation, the authors present an analysis that reveals four governance structures along ten dimensions, and discuss the influence of knowledge dispersion, uncertainty and transaction costs on the emergence of such structures. The authors conclude that the appropriateness of hierarchical/market relationships or intermediaries to source IP and/or innovation capability is dependent on the information asymmetry in relation to the existence and availability of potential solutions/solvers; the suitability of potential innovation partners (solution providers and solvers); and the acquisition process for external innovations (including problem specification, solution evaluation, transfer, etc.).Research limitations/implications -The research is exploratory in nature, and designed to serve as a foundation for future research efforts. In particular, the work highlights the need for research that takes an inter-organisational perspective on facilitating open innovation. Practical implications -The research highlights the prominence of information asymmetry as a key issue in choosing and designing appropriate governance structures for open innovation. Originality/value -The paper presents an exploratory study of an emerging, and consequently under-researched phenomenon.

Abstract. Much of the assessment of OSS benefits and drawbacks has been based on anecdotal evidence appearing in practitioner publications, white papers, web articles etc. To a greater extent this research has tended to concentrate more on the technical benefits and drawbacks of OSS rather than their business counterparts. Furthermore, public administrations and companies operating within the primary software sector have traditionally been the focus for research on OSS benefits and drawbacks. Taking the viewpoint of IS/IT managers in 13 companies operating in the secondary software sector in Europe, this paper examines their experiences of the benefits/drawbacks of OSS.

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This paper demonstrates that information systems (IS) researchers and practitioners can make a significant contribution to the grand challenge of sustainability in light of global climate change. In doing so, the paper takes a novel perspective by going beyond the dominant emphasis in the Green IS literature on climate change mitigation to focus on climate change adaptation. To demonstrate how IS researchers and practitioners can engage with the grand challenge of sustainability, we report the findings of an investigation into the role of IS in climate change adaptation programmes of the government of New South Wales, Australia. Canonical action research, informed by activity theory, proved to be an appropriate methodology for this investigation by combining iterative collaborative engagement and rigorous scholarly reflection. Activity theory has previously been successfully used in IS research as a framework for inquiry and description but not for prediction. This raised questions, addressed in this study, about whether or not activity theory could be used to guide interventions and make sense of their impact. The findings reveal how activity theory provides an appropriate balance between scope and detail to accommodate the complex processes of planning and implementing climate change adaptation programmes. We conclude that while climate adaptation is complex, activity theory, specifically five dynamic dimensions for deep sense-making, can inform interventions in climate change adaptation projects. Most significantly, we demonstrate that IS experts can make a positive contribution to addressing one of the most important grand challenges of our time.

The emergence of open source software (OSS) as a form of peer production and innovation challenges theories of organisation and strategy due to its nonreliance on traditional governance mechanisms to organise production. OSS requires firms to rethink the processes that facilitate value creation and capture. The objective of this paper is to theorise how firms create and capture value from OSS. We derive a model from extant research and refine it through the study of three inter-organisational networks. The findings reveal how a firm's ability to access a value network of complementors is crucial for effective value creation and capture. Two types of networks are evident: a high-density network of familiar partners and a low-density network of multiple, often unfamiliar, partners. Leveraging these networks depends on the level of commitment, volume of knowledge exchange and the alignment of objectives among participant firms. Effective governance is revealed as critical for creating and capturing value within both types of network; and depends on both formal and informal mechanisms.