Overcoming Institutional and Capability Barriers to Smart Services

Töytäri, Pekka; Turunen, Taija; Klein, Maximilian Michael Johann; Eloranta, Ville; Biehl, Sebastian; Rajala, Risto; Hakanen, Esko

doi:10.24251/hicss.2017.198

Cited by 17 publications

(13 citation statements)

References 28 publications

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“…Kane et al (2018) point out “competency traps” with employees being prisoners of their past successes. Toytari et al (2017) report difficulties with changing people's mindsets and beliefs, while Vogelsang et al (2019a) focus on people's IT capabilities. At the same time the literature review demonstrates that digital leaders with a vison supported by empowered, knowledgeable and collaborative employees are critical to DT success.…”

Section: Literature Reviewmentioning

confidence: 99%

Digital transformation at logistics service providers: barriers, success factors and leading practices

Cichosz

Wallenburg

Knemeyer

2020

IJLM

296

165

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PurposeThe rapid advancement of digital technologies has fundamentally changed the competitive dynamics of the logistics service industry and forced incumbent logistics service providers (LSPs) to digitalize. As many LSPs still struggle in advancing their digital transformation (DT), the purpose of this study is to discover barriers and identify organizational elements and associated leading practices for DT success at LSPs.Design/methodology/approachThis study utilizes a two-stage approach. Stage 1 is devoted to a literature review. Stage 2, based on multiple case studies, analyzes information collected across nine international and global LSPs.FindingsThis research derives a practice-based definition of DT in the logistics service industry, and it has identified five barriers, eight success factors and associated leading practices for DT. The main obstacles LSPs struggle with, are the complexity of the logistics network and lack of resources, while the main success factor is a leader having and executing a DT vision, and creating a supportive organizational culture.Practical implicationsThe results contribute to the emerging field of DT within the logistics and supply chain management literature and provide insights for practitioners regarding how to effectively implement it in a complex industry.Originality/valueThe authors analyze DT from the perspective of LSPs, traditionally not viewed as innovative companies. This study compares their DT with that of other companies.

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Section: Literature Reviewmentioning

confidence: 99%

Digital transformation at logistics service providers: barriers, success factors and leading practices

Cichosz

Wallenburg

Knemeyer

2020

IJLM

296

165

View full text Add to dashboard Cite

show abstract

“…Such challenges in the digital transformation process have not been studied comprehensively. Instead, studies have focused on the barriers and failures in ICT project implementation [5,50]. In addition, the literature is rich in studies on business model transformation [6,13,26].…”

Section: Introductionmentioning

confidence: 99%

Digital Transformation in Asset-intensive Businesses: Lessons Learned from the Metals and Mining Industry

Gao¹,

Hakanen²,

Töytäri³

et al. 2019

Proceedings of the Annual Hawaii International Conference on System Sciences

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Digital transformation shapes business operations across industries. The present study investigates the challenges of this transformation in asset-intensive businesses. Based on a qualitative case study in the metals and mining industry, the study explores the early attempts to implement digital technologyenabled changes in the inter-organizational exchange as part of firms' business models in their business ecosystems. In particular, the study identifies the challenges related to the ways firms in the metals and mining industry manage to seize the opportunities that digital technologies provide for their business operations. The challenges include firms' lack of capabilities to change, goal ambiguity, technological constraints and external constraints. The findings contribute to the discussion of digital transformation as a technology-enabled strategic change and provide suggestions for business practitioners about factors that can impede the realization of this transformation.

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“…We conclude that service engineering can be a fuzzy and complex endeavor that is subject to management decisions or other corporate and legal requirements occurring in the project's organizational environment. An organization that seeks to establish a smart service system must adopt a new institutional logic [43] and might undergo tremendous efforts to transform itself [7], since servitization is an ambidextrous change process [44]. Top-down decisions must be in line with organizational structures, norms, and culture, while employees must change their mindset and behavior to enable new service in day-to-day business.…”

Section: Missing Transformation Phasementioning

confidence: 99%

Establishing Smart Service Systems is a Challenge: A Case Study on Pitfalls and Implications

Wolf¹,

Franke²,

Bartelheimer³

et al. 2020

WI2020 Community Tracks

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The trend for 'servitization' reflects manufacturers' increasing efforts to offer services along with their physical goods. Organizations establish smart service systems with digitally networked products-e.g., cars, industrial machinery, or home appliances-as boundary objects that connect the organization with customers, offering them digital channels for communication and interaction. While anecdotal evidence indicates that many manufacturers fail to establish profitable services, few studies have traced the underlying causes for failure. We perform a revelatory case study at a global white-goods manufacturer to identify pitfalls and derive guidelines for establishing smart service systems. Based on interpreting qualitative data from interviews and additional organizational resources, we analyze how and why the manufacturer's efforts to establish pay-per-use services based on a smart laundry machine failed. While we provide insights that can guide management in establishing smart service systems, our findings also motivate updating concepts and methods currently discussed in service science.

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Overcoming Institutional and Capability Barriers to Smart Services

Abstract: Abstract

Cited by 17 publications

References 28 publications

Digital transformation at logistics service providers: barriers, success factors and leading practices

Digital transformation at logistics service providers: barriers, success factors and leading practices

Digital Transformation in Asset-intensive Businesses: Lessons Learned from the Metals and Mining Industry

Establishing Smart Service Systems is a Challenge: A Case Study on Pitfalls and Implications

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