Exploring the existence of network governance in the software as a service value network

The purpose of the study is to investigate the existence of network governance in the software as a service value network. The study analyzes the processes of Software as a Service (SaaS) solution implementation through case study methodology. The study analyzes how the existence of four conditions: uncertain demand with stable supply, customized exchange high in human asset specificity, complex task under intense time pressure and frequent exchange among parties, lead to the emergence of network governance. The study found that network governance enabled coordination, control and safeguarding through social mechanisms of restricted access, macrocultures, collective sanctions and reputation. The main contribution of the study is to empirically investigate the emergence of network governance in a real life context of the software as a service value network.