A framework for creating hybrid-open source software communities

Abstract The open source software (OSS) model is a fundamentally new and revolutionary way to develop software. The success of the OSS model is also setting the stage for a structural change in the software industry; it is beginning to transform software industry from manufacturing to a service industry. Despite the success of the OSS model, for‐profit organizations are having difficulty building a business model around the open source paradigm. Whereas there are some isolated empirical studies, little rigorous research has been done on how traditional organizations can implement and benefit from OSS practices. This research explores how organizations can foster an environment similar to OSS to manage their software development efforts to reap its numerous advantages. Drawing on organizational theory, we develop a framework that guides the creation and management of a hybrid‐OSS community within an organization. We discuss the implications of this framework and suggest areas for future research.