The Network Challenge: Strategy, Profit, and Risk in an Interlinked World

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Pearson Prentice Hall, 2009 - Business & Economics - 559 pages
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Networks and the Enterprise: Breakthrough Thinking and
Actionable Strategies


“This book presents an amazing collection of insights on underlying forces and ways to thrive in our post-Coaseian age–an age in which the centralized firm is changing into an agile and resilient network of participants. A must read for a world where unpredictability reigns supreme.”

–John Seely Brown, Independent Co-Chair of the Deloitte Center for Edge Innovation, and Senior Fellow at the Annenberg Center for Communication at the University of Southern California


“I couldn’t wait to get my hands on this research…I have already begun to put the ideas into practice in designing next-generation open innovation networks…the diversity of ideas and perspectives is truly amazing and will be a terrific resource to anyone seeking to move to new business models based on the power of networks for innovation, marketing, and creating and leveraging big ideas. Job well done!”

–Larry Huston, Creator of the “Connect and Develop” program for Procter & Gamble, and Managing Director of 4iNNO, a major Open Innovation consulting practice


“In our borderless world, every manager needs to understand the strategic implications of networks. For the first time,The Network Challengebrings together thought leaders from many fields–a team of experts as broad as the network challenge itself.”

–Kenichi Ohmae, author of more than 100 books, including the seminal work,The Mind of the Strategist, advisor on global strategy to foreign governments and scores of multinational corporations, selected byThe Economistas one of five management gurus in the world.


Networks define modern business.Networks introduce new risks (as seen by the rapid spread of contagion in global financial markets) and opportunities (as seen in the rapid rise of network-based businesses).
While managers typically view business through the lens of a single firm, this book
challenges readers to take a broader view of their enterprises and opportunities.


This book’s 28 original essays include

CK Prahaladon networks as the new locus of competitive advantage

Russell E. Palmeron leadership in a networked global environment

Dawn IacobucciandJames M. Salter IIon the business implications of social networking

Franklin AllenandAna Babuson contagion in financial markets

Steven O. Kimbroughon artificial intelligence, evolutionary computation,
and networks

Satish NambisanandMohan Sawhneyon tapping the “global brain” for innovation

Manuel E. Sosaon coordination networks in product development

Christophe Van den BulteandStefan Wuytson customer networks

Christoph ZottandRaphael Amiton using business models to drive network-based strategies

Yoram (Jerry) Wind,Victor Fung, andWilliam Fungon network orchestration

Valery YakubovichandRyan Burgon network-based HR strategy

Howard Kunreutheron risk management strategies for an interdependent world

Paul R. KleindorferandIlias D. Visvikison integrating financial and physical networks in global logistics

Witold J. Heniszon network-based political and social risk management

Boaz Ganoron terrorism networks


And much more...



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Paul R. Kleindorferis the Paul Dubrule Professor of Sustainable Development and Distinguished Research Professor at INSEAD, Fontainebleau, and the Anheuser Busch Professor of Management Science (Emeritus) at the Wharton School of the University of Pennsylvania. Dr. Kleindorfer graduated with distinction from the U. S. Naval Academy in 1961. He studied on a Fulbright Fellowship in Mathematics at the University of Tübingen, Germany (1964/65), followed by doctoral studies in the Graduate School of Industrial Administration at Carnegie Mellon University (PhD,1970). Before joining INSEAD in 2006, Dr. Kleindorfer held university appointments at Carnegie Mellon University (l968/9), Massachusetts Institute of Technology (1969/72), and The Wharton School (1973—2006). Dr. Kleindorfer’s research has focused on risk management, ranging from major accident prevention to hedging and trading to mitigate supply and demand coordination risks. His current research is on sustainable operations for energy-intensive companies and carbon-leveraged investments arising from legislation and regulations to mitigate presumed consequences of industrial activity on the biosphere and climate.


Yoram (Jerry) Windis The Lauder Professor and Professor of Marketing at the Wharton School of the University of Pennsylvania. He joined the Wharton faculty in 1967, with a doctorate from Stanford University. He is founding director of The SEI Center for Advanced Studies in Management, the founding academic director of The Wharton Fellows Program, and was the founding editor of Wharton School Publishing. From 1995 to 1997 he led the development of the Wharton globalization strategy. Dr. Wind led the reinvention of the Wharton MBA curriculum (1991-93) and the creation of the Wharton Executive MBA Program (1974). Dr. Wind was founding director of the Joseph H. Lauder Institute (1983-1988) and the Wharton International Forum (1987). He has served in editorial positions for many top marketing journals. He has published more than 250 papers and articles and more than 20 books. Dr. Wind is a member of the advisory boards for various entrepreneurial ventures and a trustee of the Philadelphia Museum of Art. Dr. Wind’s major marketing awards include The Buck Weaver Award (2007), The Charles Coolidge Parlin Award (1985), AMA/Irwin Distinguished Educator Award (1993), the Paul D. Converse Award (1996), and the Elsevier Science Distinguished Scholar Award of the Society of Marketing Advances (2003). Dr. Wind is the former Chancellor of the International Academy of Management. He is co-founder of the Interdisciplinary Center, Herzliya (IDC) and chair of its academic council and university appointment and promotion committee. He received a PhD from Stanford University.


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