Communications of the Association for Information Systems (2024)
Augmented Reality Immersive Experience: A Study on The Effects of Individuals' Big Five Personality Traits
Arman Ghafoori, Mohammad I. Merhi, Arjun Kadian, Manjul Gupta, Yifeng Ruan
This study investigates how an individual's personality, based on the Big Five model, impacts their immersive experience with augmented reality (AR). The researchers conducted a survey with 331 participants and used statistical modeling (SEM) to analyze the relationship between different personality traits and various dimensions of the AR experience.
Problem
Augmented reality technologies are becoming increasingly common, especially on social media platforms, creating highly personalized user experiences. However, there is a gap in understanding how fundamental individual differences, such as stable personality traits, affect how users perceive and engage with these immersive AR environments.
Outcome
- Agreeableness and Openness positively influence all four dimensions of the AR immersive experience (education, entertainment, escapism, and aesthetics). - Conscientiousness has a negative impact on the education and escapism dimensions of the AR experience. - Extraversion and Neuroticism were not found to have a significant impact on the AR immersive experience.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. In a world saturated with technology, we often wonder why some digital experiences delight us while others fall flat. Today, we're diving into a fascinating new study that connects our innermost personality to how we interact with technology.
Host: The study is titled "Augmented Reality Immersive Experience: A Study on The Effects of Individuals' Big Five Personality Traits". It investigates how our core personality traits impact our experience with augmented reality, or AR. Here to help us unpack it is our analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Thanks for having me, Anna.
Host: So, let's start with the big picture. AR technology, like the filters we use on Instagram or apps that let us see furniture in our living room, is becoming a massive industry. But it feels like a one-size-fits-all approach. What’s the real problem this study is trying to solve?
Expert: Exactly. Companies are investing billions in AR to create these highly personalized experiences. But as the study highlights, there's a huge gap in understanding how our fundamental, stable personality traits affect how we engage with them. We know AR is personal, but we don't know *why* it clicks for one person and not another. It’s about moving from generic personalization to truly psychological personalization.
Host: That makes sense. It’s the difference between an app knowing your name and knowing your nature. How did the researchers go about connecting personality to the AR experience?
Expert: They took a really structured approach. They surveyed 331 people, first assessing their personality using the well-established "Big Five" model. That’s Openness, Conscientiousness, Extraversion, Agreeableness, and Neuroticism.
Expert: Then, they had these participants rate their AR experience across four key dimensions: education, or how much they learned; entertainment, how fun it was; aesthetics, its visual appeal; and escapism, the feeling of being transported to another world. Finally, they used statistical models to connect the dots between the personality traits and these four experiences.
Host: Alright, let's get to the results. What did they find? Which personality traits were the big drivers for a positive AR experience?
Expert: The clearest finding was for two traits: Agreeableness and Openness. People who are agreeable—meaning they're generally cooperative and trusting—and people who are open to new experiences consistently had a more positive reaction across all four dimensions. They found AR more educational, more entertaining, more visually beautiful, and a better form of escape.
Host: So, open-minded and agreeable people are essentially the ideal audience for AR right now. Were there any surprising findings for the other traits?
Expert: Yes, and this is where it gets really interesting for businesses. Conscientiousness—the trait associated with being organized, diligent, and responsible—actually had a negative impact on the education and escapism dimensions.
Host: Negative? Why would that be?
Expert: Well, the study suggests that highly conscientious individuals are very goal-oriented. They might view AR filters as unproductive or a frivolous distraction from their duties. So, the idea of "escaping" reality doesn't appeal to them, and they may not see playing with a filter as a valuable educational tool. It's simply not an efficient use of their time.
Host: That’s a crucial insight. So for that user, it’s not about fun, it’s about function. What about extraversion and neuroticism?
Expert: Surprisingly, the study found that neither of these traits had a significant impact on the AR experience. You might expect extroverts to love the social nature of AR, but the findings suggest that the technology, in its current form, might not be engaging enough to really capture their attention.
Host: This brings us to the most important question, Alex. Why does this matter for business? What are the practical takeaways for marketers, brand managers, and developers?
Expert: This is the billion-dollar question, and the study offers clear direction. The biggest takeaway is the opportunity for personality-driven marketing. Instead of just basic personalization, brands can now tailor AR experiences to specific psychological profiles.
Host: Can you give me an example?
Expert: Certainly. A social media platform could, as the study suggests, use machine learning to infer a user's personality from their public posts. For a user who appears high in Openness, it could recommend artistic, adventurous, or fantastical AR filters. For a brand, this means a travel company could create an immersive 'escapism' filter and target it specifically at users high in Openness and Agreeableness, knowing it will resonate deeply.
Host: And what about those conscientious users you mentioned, the ones who see AR as a distraction?
Expert: For them, the strategy has to be completely different. You don't market AR as a fun escape. Instead, you frame it as a productivity tool. Think of an AR app from a home improvement store that helps a conscientious user meticulously plan a room layout. It's not an escape from their goals; it’s a tool to help them achieve their goals more effectively. The key is to match the AR experience to the user’s inherent motivations.
Host: This has been incredibly insightful, Alex. So, to recap, our core personality traits are a powerful predictor of how we'll respond to augmented reality.
Host: People high in Agreeableness and Openness are the dream users for immersive, creative AR. But for the highly Conscientious, AR needs to be positioned as a practical, functional tool, not just a toy.
Host: The big takeaway for business is that the future of successful AR isn't just about fancier technology, but about deeper, personality-driven personalization.
Host: Alex Ian Sutherland, thank you for making this complex topic so clear.
Expert: My pleasure, Anna.
Host: And thank you to our listeners for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we continue to explore the intersection of business and technology.
Augmented Reality, Immersion, Immersive Technology, Personality Traits, AR Filters
Communications of the Association for Information Systems (2025)
The Strategic Analysis of Open-Source Software in Traditional Industries – A SWOT Analysis
Estelle Duparc, Barbara Steffen, Hendrik van der Valk, Boris Otto
This study analyzes the strategic use of open-source software (OSS) as a tool for digital transformation in traditional industries, such as logistics. It employs a two-phase research approach, combining a systematic literature review with a comprehensive interview study to identify and categorize the factors influencing OSS adoption using the TOE framework and a SWOT analysis.
Problem
Traditional industries struggle with digital transformation due to slow technology adoption, cultural barriers, and competition from the software sector. While open-source software offers significant potential for innovation and collaboration, research on its strategic application has been largely limited to the software industry, leaving its benefits untapped for asset-based industries.
Outcome
- Traditional firms' strengths for adopting OSS include deep industry knowledge and established networks, which makes experimenting with new business models less risky. - Key weaknesses hindering OSS adoption are a lack of skills in community management, rigid corporate cultures, and legal complexities related to licensing. - OSS presents major opportunities for achieving digital sovereignty, driving digital transformation, and fostering industry-wide collaboration and standardization. - The study concludes that barriers to OSS adoption in these sectors are more organizational and environmental than technological, and the opportunities significantly outweigh the risks.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge, the podcast where we distill complex research into actionable business intelligence. I’m your host, Anna Ivy Summers. Host: Today, we’re diving into a fascinating study titled "The Strategic Analysis of Open-Source Software in Traditional Industries – A SWOT Analysis." Host: In short, it explores how industries that work with physical assets, like logistics or manufacturing, can use open-source software as a strategic tool for their digital transformation. With me to unpack this is our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: Alex, let's start with the big picture. We hear a lot about digital transformation, but what specific problem does this study address for these more traditional, asset-based industries? Expert: The core problem is that these industries are struggling to keep up. They often face slow technology adoption, rigid corporate cultures, and sudden competition from agile software companies entering their space. Expert: While the software world has fully embraced open-source software, or OSS, this study found its potential is largely untapped in traditional sectors. There's been a real knowledge gap on how a logistics or automotive firm can strategically use it, not just as a cheaper alternative, but as a competitive weapon. Host: So they’re leaving a powerful tool on the table. How did the researchers go about figuring out the best way for them to pick it up? Expert: They used a really solid two-phase approach. First, they conducted a massive review of all the existing academic literature on the topic. Then, to get a real-world perspective, they interviewed 20 senior experts from industries like logistics and automotive manufacturing. Expert: They then structured all these insights using a classic SWOT analysis—looking at the Strengths, Weaknesses, Opportunities, and Threats for these firms when it comes to adopting open-source. Host: A SWOT analysis is a language every business leader understands. So let's get into the findings. What strengths do these traditional companies already have? Expert: This is a key finding. Their greatest strength is their deep industry knowledge and their established networks. Unlike a software startup, a major logistics company already understands the market inside and out. Expert: This means experimenting with a new business model based on OSS is actually less risky for them. Their core business relies on physical assets, so a software initiative doesn't put the entire company on the line. Host: That’s a great point. On the flip side, what are the biggest weaknesses holding them back? Expert: The weaknesses are less about technology and more about people and processes. The study highlights a major lack of skills in community management, which is the lifeblood of any successful open-source project. Expert: There are also huge cultural barriers. These companies often have rigid, hierarchical structures, which clashes with the collaborative, transparent nature of open source. And finally, many are hesitant due to the perceived legal complexities of software licensing. Host: Culture and legal concerns—those are significant hurdles. But if they can overcome them, what are the big opportunities? Expert: The opportunities are transformative. The first is achieving what the study calls "digital sovereignty." This means breaking free from dependency on a few big proprietary software vendors and having more control over their own technological destiny. Expert: The second is driving industry-wide collaboration. Competitors can work together on shared, non-differentiating software—think of a common platform for tracking shipments. This lifts the entire industry and allows individual companies to focus their resources on what truly makes them unique. Host: That idea of collaborating with competitors is powerful. So, Alex, this is the most important question: why does this study matter for a business professional listening right now? What is the ultimate takeaway? Expert: The number one takeaway is that the barriers to open-source adoption are not primarily technical; they're organizational and cultural. The challenge isn't the code, it's changing mindsets and building new skills in collaboration. Expert: Secondly, the study concludes that the opportunities significantly outweigh the risks. The potential to innovate faster, set industry standards, and attract top tech talent is simply too big to ignore. For an industry that an interviewee called "totally unsexy" to IT workers, contributing to high-profile OSS projects can be a huge magnet for talent. Expert: The actionable advice here is for leaders to stop asking *if* they should use open source, and start asking *how*. A great place to start is by identifying those common, commodity-level challenges and building a coalition to solve them with an open-source approach. Host: Fantastic insights. So, to summarize: traditional industries can leverage their deep domain knowledge as a unique strength in the open-source world. The main hurdles are cultural, not technical, and the opportunities for innovation, digital independence, and industry-wide collaboration are immense. Host: Alex Ian Sutherland, thank you so much for breaking that down for us. Expert: My pleasure, Anna. Host: And thank you for tuning in to A.I.S. Insights, powered by Living Knowledge. We'll see you next time.
Open Source, Digital Transformation, SWOT Analysis, Strategic Analysis, Traditional Industries, Toe Framework
Communications of the Association for Information Systems (2025)
Exploring the Role of Third Parties in Digital Transformation Initiatives: A Problematized Assumptions Perspective
Jack O'Neill, David Pidoyma, Ciara Northridge, Shivani Pai, Stephen Treacy, and Andrew Brosnan
This study investigates the role and influence of external partners in corporate digital transformation projects. Using a 'problematized assumptions' approach, the research challenges the common view that transformation is a purely internal affair by analyzing existing literature and conducting 26 semi-structured interviews with both client organizations and third-party service providers.
Problem
Much of the existing research on digital transformation describes it as an initiative orchestrated primarily within an organization, which overlooks the significant and growing market for third-party consultants and services. This gap in understanding leads to problematic assumptions about how transformations are managed, creating risks and missed opportunities for businesses that increasingly rely on external expertise.
Outcome
- A fully outsourced digital transformation is infeasible, as core functions like culture and change management must be led internally. - Third parties play a critical role, far greater than literature suggests, by providing specialized expertise for strategy development and technical execution. - The most effective approach is a bimodal model, where the organization owns the high-level vision and mission, while collaborating with third parties on strategy and tactics. - Digital transformation should be viewed as a continuous process of socio-technical change and evolution, not a project with a defined endpoint. - Success is more practically measured by optimizing operational components (Vision, Mission, Objectives, Strategy, Tactics - VMOST) rather than solely focusing on a reconceptualization of value.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I'm your host, Anna Ivy Summers. Host: Today, we're diving into a fascinating study titled "Exploring the Role of Third Parties in Digital Transformation Initiatives: A Problematized Assumptions Perspective". Host: In short, it investigates the critical role external partners play in a company's digital transformation, challenging the common belief that it's a journey a company must take alone. Host: To help us unpack this is our expert analyst, Alex Ian Sutherland. Alex, welcome to the show. Expert: Great to be here, Anna. Host: So Alex, digital transformation is a huge topic, but we often think of it as an internal project. Why is it so important to focus on the role of external partners, or third parties? Expert: It’s critical because there’s a major disconnect between academic theory and business reality. Most research talks about transformation as if it’s orchestrated entirely inside a company's walls. Expert: But in the real world, the market for third-party consultants and digital service providers is enormous and growing. Businesses are relying on them more and more. Expert: This study highlights that by ignoring the role of these partners, we're operating on flawed assumptions. This creates a knowledge gap that can lead to significant risks, project failures, and missed opportunities. Host: So how did the researchers go about closing that gap? What was their approach? Expert: They used a really smart two-pronged approach. First, they reviewed over 200 existing studies to identify common, but often unproven, beliefs about digital transformation. Expert: Then, and this is the key part, they conducted 26 in-depth interviews with senior leaders from both sides of the fence—the companies undergoing transformation and the third-party firms providing the services. Host: That gives a really balanced perspective. So, what did they find? Let’s start with a big question: can a company just hire a firm to handle its entire digital transformation? Expert: The study's answer is a clear no. A fully outsourced transformation just isn't feasible. Interviewees consistently said that core internal functions, especially company culture and change management, have to be led from within. Expert: As one CIO put it, real change management is subtle and requires buy-in from internal leadership. You can't just outsource the human element. Host: That makes sense. But these third parties still play a vital role, correct? Expert: A massive one, and far greater than most literature suggests. They bring in crucial, specialized expertise for both developing the strategy and for the technical execution. Expert: They have experience from similar projects in other organizations, so they know the potential pitfalls and can provide a clear roadmap, which an internal team might struggle to create from scratch. Host: So if it’s not fully internal and not fully external, what’s the ideal model? Expert: The study points to what it calls a bimodal model. Think of it as a strategic partnership with a clear division of labor. Expert: The organization itself absolutely must own the high-level vision and mission. That's the 'why'. But it should collaborate closely with its external partners on the strategy and the day-to-day tactics—the 'how'. Host: A partnership model. I like that. Now, what about the finish line? Is transformation a project that eventually ends? Expert: That's another common myth the study busts. It shouldn't be viewed as a project with a defined endpoint. Instead, it’s a continuous process of socio-technical evolution. Expert: The market is always changing, and technology is always evolving, so the business must continuously adapt as well. The transformation becomes part of the company's DNA. Host: This is all incredibly insightful. Let's get to the most important part for our listeners. Alex, what are the key business takeaways? If I'm a leader, what do I need to do? Expert: There are three main takeaways. First, don't abdicate responsibility. You cannot outsource leadership. As a business leader, you must own the vision, drive the cultural shift, and champion the change. Your partner is there to enable you, not replace you. Expert: Second, be very deliberate about the partnership model. Clearly define who owns what. The study suggests a framework called VMOST—Vision, Mission, Objectives, Strategy, and Tactics. Your company owns the Vision and Mission. You collaborate on Objectives, and you can leverage your partner's expertise heavily for Strategy and Tactics. Expert: And third, treat it as a true partnership, not a simple transaction. Success relies on joint governance, shared goals, and constant communication. You're building something new together, and that requires deep alignment every step of the way. Host: That’s a fantastic summary, Alex. So to recap: digital transformation is a team sport. Leaders must own the vision and culture, collaborate with external experts in a bimodal partnership, and remember that it’s an ongoing journey, not a final destination. Host: Alex Ian Sutherland, thank you so much for breaking this down for us. Expert: My pleasure, Anna. Host: And thank you to our audience for tuning into A.I.S. Insights — powered by Living Knowledge. We’ll see you next time.
Digital Transformation, Third Parties, Managed Services, Problematization, Outsourcing, IT Strategy, Socio-technical Change
Communications of the Association for Information Systems (2025)
Unveiling Enablers to the Use of Generative AI Artefacts in Rural Educational Settings: A Socio-Technical Perspective
Pramod K. Patnaik, Kunal Rao, Gaurav Dixit
This study investigates the factors that enable the use of Generative AI (GenAI) tools in rural educational settings within developing countries. Using a mixed-method approach that combines in-depth interviews and the Grey DEMATEL decision-making method, the research identifies and analyzes these enablers through a socio-technical lens to understand their causal relationships.
Problem
Marginalized rural communities in developing countries face significant challenges in education, including a persistent digital divide that limits access to modern learning tools. This research addresses the gap in understanding how Generative AI can be practically leveraged to overcome these education-related challenges and improve learning quality in under-resourced regions.
Outcome
- The study identified fifteen key enablers for using Generative AI in rural education, grouped into social and technical categories. - 'Policy initiatives at the government level' was found to be the most critical enabler, directly influencing other key factors like GenAI training for teachers and students, community awareness, and school leadership commitment. - Six novel enablers were uncovered through interviews, including affordable internet data, affordable telecommunication networks, and the provision of subsidized devices for lower-income groups. - An empirical framework was developed to illustrate the causal relationships among the enablers, helping stakeholders prioritize interventions for effective GenAI adoption.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Today, we're looking at how Generative AI can transform education, not in Silicon Valley, but in some of the most under-resourced corners of the world.
Host: We're diving into a fascinating new study titled "Unveiling Enablers to the Use of Generative AI Artefacts in Rural Educational Settings: A Socio-Technical Perspective". It investigates the key factors that can help bring powerful AI tools to classrooms in developing countries. With me today is our expert analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Thanks for having me, Anna. It's a critical topic.
Host: Let's start with the big picture. What is the real-world problem this study is trying to solve?
Expert: The core problem is the digital divide. In many marginalized rural communities, especially in developing nations, students and teachers face huge educational challenges. We're talking about a lack of resources, infrastructure, and access to modern learning tools. While we see Generative AI changing industries in developed countries, there's a real risk these rural communities get left even further behind.
Host: So the question is, can GenAI be a bridge across that divide, instead of making it wider?
Expert: Exactly. The study specifically looks at how we can practically leverage these AI tools to overcome those long-standing challenges and actually improve the quality of education where it's needed most.
Host: So how did the researchers approach such a complex issue? It must be hard to study on the ground.
Expert: It is, and they used a really smart mixed-method approach. First, they went directly to the source, conducting in-depth interviews with teachers, government officials, and community members in rural India. This gave them rich, qualitative data—the real stories and challenges. Then, they took all the factors they identified and used a quantitative analysis to find the causal relationships between them.
Host: So it’s not just a list of problems, but a map of how one factor influences another?
Expert: Precisely. It allows them to say, 'If you want to achieve X, you first need to solve for Y'. It creates a clear roadmap for intervention.
Host: That sounds powerful. What were the key findings? What are the biggest levers we can pull?
Expert: The study identified fifteen key 'enablers', which are the critical ingredients for success. But the single most important finding, the one that drives almost everything else, is 'Policy initiatives at the government level'.
Host: That's surprising. I would have guessed something more technical, like internet access.
Expert: And that's crucial, but the study shows that strong government policy is the 'cause' factor. It directly enables other key things like funding, GenAI training for teachers and students, creating community awareness, and getting school leadership on board. Without that top-down strategic support, everything else struggles.
Host: What other enablers stood out?
Expert: The interviews uncovered some really practical, foundational needs that go beyond just theory. Things we might take for granted, like affordable internet data plans, reliable telecommunication networks, and providing subsidized devices like laptops or tablets for lower-income families. It highlights that access isn't just about availability; it’s about affordability.
Host: This is the most important question for our listeners, Alex. This research is clearly vital for educators and policymakers, but why should business professionals pay attention? What are the takeaways for them?
Expert: I see three major opportunities here. First, this study is essentially a market-entry roadmap for a massive, untapped audience. For EdTech companies, telecoms, and hardware manufacturers, it lays out exactly what is needed to succeed in these emerging markets. It points directly to opportunities for public-private partnerships to provide those subsidized devices and affordable data plans we just talked about.
Host: So it’s a blueprint for doing business in these regions.
Expert: Absolutely. Second, it's a guide for product development. The study found that 'ease of use' and 'localized language support' are critical enablers. This tells tech companies that you can't just parachute in a complex, English-only product. Your user interface needs to be simple, intuitive, and available in local languages to gain any traction. That’s a direct mandate for product and design teams.
Host: That makes perfect sense. What’s the third opportunity?
Expert: It redefines effective Corporate Social Responsibility, or CSR. Instead of just one-off donations, a company can use this framework to make strategic investments. They could fund teacher training programs or develop technical support hubs in rural areas. This creates sustainable, long-term impact, builds immense brand loyalty, and helps develop the very ecosystem their business will depend on in the future.
Host: So to sum it up: Generative AI holds incredible promise for bridging the educational divide in rural communities, but technology alone isn't the answer.
Expert: That's right. Success hinges on a foundation of supportive government policy, which then enables crucial factors like training, awareness, and true affordability.
Host: And for businesses, this isn't just a social issue—it’s a clear roadmap for market opportunity, product design, and creating strategic, high-impact investments. Alex, thank you so much for breaking this down for us.
Expert: My pleasure, Anna.
Host: And thank you for tuning in to A.I.S. Insights — powered by Living Knowledge. Join us next time as we continue to explore the intersection of business, technology, and groundbreaking research.
Generative AI, Rural, Education, Digital Divide, Interviews, Socio-technical Theory
Communications of the Association for Information Systems (2025)
Enhancing Healthcare with Artificial Intelligence: A Configurational Integration of Complementary Technologies and Stakeholder Needs
Digvijay S. Bizalwan, Rahul Kumar, Ajay Kumar, Yeming Yale Gong
This study analyzes over 11,000 research articles to understand how to best implement Artificial Intelligence (AI) in healthcare. Using topic modeling and qualitative comparative analysis, it identifies the essential complementary technologies and strategic combinations required for successful AI adoption from a multi-stakeholder perspective.
Problem
Healthcare organizations recognize the potential of AI but often lack a clear roadmap for its successful implementation. There is a research gap in identifying which complementary technologies are needed to support AI and how these technologies must be combined to create value while satisfying the diverse needs of various stakeholders, such as patients, physicians, and administrators.
Outcome
- Three key technologies are crucial complements to AI in healthcare: Healthcare Digitalization (DIG), Healthcare Information Management (HIM), and Medical Artificial Intelligence (MAI). - Simply implementing these technologies in isolation is insufficient; their synergistic integration is vital for success. - The study confirms that the combination of DIG, HIM, and MAI is the most effective configuration to satisfy the interests of multiple stakeholders, leading to better healthcare service delivery.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we’re unpacking a fascinating and timely study titled "Enhancing Healthcare with Artificial Intelligence: A Configurational Integration of Complementary Technologies and Stakeholder Needs". Host: In short, it’s a deep dive into how to actually make AI work in healthcare. The researchers analyzed over 11,000 articles to find the secret sauce—the right mix of technologies needed for successful AI adoption that benefits everyone involved. Host: With me to break it all down is our analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: Alex, let's start with the big picture. We hear about AI revolutionizing healthcare all the time, but this study suggests it's not that simple. What’s the real-world problem they’re trying to solve? Expert: Absolutely. The problem is that while everyone in healthcare sees the immense potential of AI, most organizations don't have a clear roadmap to get there. They know they need AI, but they don't know where to start. Expert: The study highlights that healthcare has a very diverse group of stakeholders—patients, doctors, nurses, hospital administrators, even regulators. Each group has different needs and concerns. A tool that helps an administrator cut costs might not be helpful to a doctor trying to make a diagnosis. Host: So there's a risk of investing in complex AI systems that don't actually create value for the people who need to use them. Expert: Exactly. The core challenge is figuring out which other technologies you need to have in place to support AI, and how to combine them in a way that satisfies everyone. That’s the gap this study aimed to fill. Host: It sounds like a massive undertaking. How did the researchers even begin to approach this? Expert: It was a multi-phased approach. First, they used a form of AI itself, called topic modeling, to analyze the abstracts of over 11,000 research articles published in the last decade. This allowed them to identify the core technological themes that consistently appear in successful AI healthcare projects. Expert: Then, they used a powerful method called qualitative comparative analysis. The key thing for our listeners to know is that this method doesn't just look for a single "best" factor. Instead, it looks for the most effective *combinations* or configurations of factors that lead to a successful outcome. Host: So it’s not about finding one magic bullet, but the right recipe. After all that analysis, what was the recipe they found? What were the key findings? Expert: They found three essential technological ingredients. The first is **Healthcare Digitalization**, or DIG. This is the foundational layer—think electronic health records, smart wearables that collect patient data, and cloud computing infrastructure. It’s about creating digital versions of healthcare processes and assets. Host: Okay, so that’s step one: get your data and systems digitized. What’s the second ingredient? Expert: The second is **Healthcare Information Management**, or HIM. Once you’ve digitized everything, you have a flood of data. HIM is about having the systems to properly collect, process, and analyze that data, turning it from raw noise into useful, accessible information. Host: And I assume the third ingredient is the AI itself? Expert: Precisely. The third is what they call **Medical Artificial Intelligence**, or MAI. These are the specific AI algorithms that perform tasks like helping to detect diseases from CT scans, predicting patient risk factors, or optimizing hospital bed management. Host: So, Digitalization, Information Management, and Medical AI. But the big reveal wasn't just identifying these three things, was it? Expert: Not at all. The most critical finding was that implementing these in isolation is not enough. They must be integrated and work in synergy. The study proved that robust Digitalization is essential for effective Information Management. And you need both of those firmly in place to get any real value from Medical AI. An AI tool is useless without high-quality, well-managed data. Host: That makes perfect sense. And this all ties back to the stakeholders you mentioned earlier? Expert: Yes. The study's ultimate conclusion is that the single most effective path to success is the combination of all three—Digitalization, Information Management, and Medical AI. This specific configuration is what works best to satisfy the interests of all stakeholders, from patients to practitioners to administrators. Host: This is the core of it. For the business and tech leaders listening, what is the practical, actionable takeaway from this study? How does this change their strategy? Expert: The most important takeaway is to think in terms of a sequence, a roadmap. First, don't just go out and buy a flashy AI solution. Assess your foundation. Invest in **Digitalization**. Make sure your data capture, from patient records to data from monitoring devices, is comprehensive and robust. Host: Build the foundation before you build the house. Expert: Exactly. Second, once that data is flowing, focus on mastering **Information Management**. Can you easily access it? Is it accurate? Do you have the tools to process it and make it available for analysis? This is the bridge between your data and your AI. Host: And the final step? Expert: Only then, with that strong foundation, should you deploy targeted **Medical AI** applications to solve specific, high-value problems. And throughout this entire process, you must constantly engage with your stakeholders. The goal isn't just to implement technology; it's to deliver better healthcare. Host: So, it's a strategic, phased approach, not a one-off tech purchase. The path to AI success in healthcare is a journey that starts with digital foundations and is guided by stakeholder needs. Expert: That’s the roadmap the study provides. It’s a much more deliberate and, ultimately, more successful way to approach AI transformation in healthcare. Host: A clear and powerful message. Alex, thank you for making such a comprehensive study so accessible for us. Expert: My pleasure, Anna. Host: And thanks to all of you for tuning in to A.I.S. Insights. Join us next time as we continue to explore the ideas shaping business and technology.
AI, Healthcare, Digitalization, Information Management, Configurational Theory, Stakeholder Interests, fsQCA
MIS Quarterly Executive (2022)
How Dr. Oetker's Digital Platform Strategy Evolved to Include Cross-Platform Orchestration
Patrick Rövekamp, Philipp Ollig, Hans Ulrich Buhl, Robert Keller, Albert Christmann, Pascal Remmert, and Tobias Thamm
This study analyzes the evolution of the digital platform strategy at Dr. Oetker, a traditional consumer goods company. It examines how the firm developed its approach from competing for platform ownership to collaborating and orchestrating a complex 'baking ecosystem' across multiple platforms. The paper provides actionable recommendations for other traditional firms navigating digital transformation.
Problem
Traditional incumbent firms, built on linear supply chains and supply-side economies of scale, are increasingly challenged by the rise of digital platforms that leverage network effects. These firms often lack the necessary capabilities and strategies to effectively compete or participate in digital ecosystems. This study addresses the need for a strategic framework that helps such companies develop and manage their digital platform activities.
Outcome
- A successful digital platform strategy for a traditional firm requires two key elements: specific tactics for individual platforms (e.g., building, partnering, complementing) and a broader cross-platform orchestration to manage the interplay between platforms and the core business. - Firms should evolve their strategy in phases, often moving from a competitive mindset of platform ownership to a more cooperative approach of complementing other platforms and building an ecosystem. - It is crucial to establish a dedicated organizational unit (like Dr. Oetker's 'AllAboutCake GmbH') to coordinate digital initiatives, reduce complexity, and align platform activities with the company's overall business goals. - Traditional firms must strategically decide whether to build their own digital resources or partner with others, recognizing that partnering can be more effective for entering niche markets or acquiring necessary technology without high upfront investment.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we're looking at a challenge facing countless established companies: how to navigate the world of digital platforms. We'll be diving into a study titled "How Dr. Oetker's Digital Platform Strategy Evolved to Include Cross-Platform Orchestration". Host: With us is our expert analyst, Alex Ian Sutherland. Alex, this study looks at a company many of us know, Dr. Oetker, but in a very new light. What's it all about? Expert: Hi Anna. Exactly. This study analyzes how a very traditional company, known for baking ingredients, transformed its digital strategy. It’s a fascinating story about moving from trying to build and own their own platforms to instead collaborating and orchestrating a whole ‘baking ecosystem’ across many different platforms. Host: So what’s the big problem this research is trying to solve for businesses? Expert: The core problem is that traditional companies, like Dr. Oetker, were built on linear supply chains and making lots of products efficiently. They controlled everything from production to the store shelf. But the digital world doesn't work that way. Host: You mean because of companies like Amazon or Facebook? Expert: Precisely. Digital platforms win through network effects—the more users they have, the more valuable they become. Traditional firms often don't have the DNA to compete with that. They face a huge strategic question: how do we even participate in this new digital world without getting left behind? Host: So how did the researchers approach this question? Expert: They conducted an in-depth case study. They tracked Dr. Oetker's digital journey over several years, from about 2017 to the present, breaking it down into three distinct phases. This allowed them to see the evolution in real-time—what worked, what failed, and most importantly, what the company learned along the way. Host: Let’s get into those learnings. What were the key findings from the study? Expert: The first major finding is that a successful digital strategy has two parts. You need specific tactics for each individual platform you’re on, but you also need a higher-level strategy, what the study calls "cross-platform orchestration." Host: Orchestration? What does that mean in a business context? Expert: It means making sure all your digital efforts play together like instruments in an orchestra. Your social media, your e-commerce partnerships, your own website—they can't operate in isolation. Orchestration ensures they all work together to support the core business and create a seamless customer experience. Host: That makes sense. What was the second key finding? Expert: It’s about a shift in mindset. The study shows that Dr. Oetker started with a competitive mindset, trying to build and own its own platforms. For instance, they launched a marketplace to connect artisan bakers with customers, but it didn't get traction. Host: So, that initial approach failed? Expert: It did, but they learned from it. In the next phase, they shifted to a more cooperative approach. Instead of trying to own everything, they started complementing other platforms, like creating content for Pinterest and TikTok, and partnering with a tech startup to create "BakeNight," a platform for baking workshops. Host: And that leads to another finding, doesn't it? The need for a specific team to manage all this. Expert: Absolutely. This was crucial. As their digital activities grew, they were scattered across different departments, causing confusion. The solution was creating a dedicated organizational unit, a separate company called 'AllAboutCake GmbH'. This central team coordinates all digital initiatives, reduces complexity, and makes sure everything aligns with the overall company goals. Host: So, Alex, this is a great story about one company. But why does this matter for our listeners? What are the key business takeaways? Expert: I think there are three big ones. First, stop trying to own the entire digital world. For most traditional firms, building a dominant platform from scratch is a losing battle. The smarter move is to become a valuable partner or complementor on existing platforms where your customers already are. Host: So it's about playing in someone else's sandbox, but playing really well. Expert: Exactly. The second takeaway is to create a central command for your digital strategy. Transformation can be chaotic. A dedicated team or unit, like Dr. Oetker’s AllAboutCake, is vital to orchestrate your efforts and prevent internal conflicts and wasted resources. Host: And the final takeaway? Expert: Re-evaluate the "build versus partner" decision. The study shows Dr. Oetker learned that partnering was often more effective for acquiring technology and entering new markets quickly without massive upfront investment. They decided to focus their own resources on what they do best—baking expertise and understanding their customers—and collaborate for the rest. Host: A powerful lesson in focus. Let's recap. It's about shifting from owning platforms to orchestrating an ecosystem, creating a central unit to manage the complexity, and being strategic about when to build and when to partner. Host: Alex, this has been incredibly insightful. Thank you for breaking down this research for us. Expert: My pleasure, Anna. Host: And a big thank you to our audience for tuning into A.I.S. Insights. Join us next time as we translate academic knowledge into business intelligence.
Digital Platform Strategy, Cross-Platform Orchestration, Incumbent Firms, Digital Transformation, Business Ecosystems, Case Study, Dr. Oetker
Journal of the Association for Information Systems (2026)
Affordance-Based Pathway Model of Social Inclusion: A Case Study of Virtual Worlds and People With Lifelong Disability
Karen Stendal, Maung K. Sein, Devinder Thapa
This study explores how individuals with lifelong disabilities (PWLD) use virtual worlds, specifically Second Life, to achieve social inclusion. Using a qualitative approach with in-depth interviews and participant observation, the researchers analyzed how PWLD experience the platform's features. The goal was to develop a model explaining the process through which technology facilitates greater community participation and interpersonal connection for this marginalized group.
Problem
People with lifelong disabilities often face significant social isolation and exclusion due to physical, mental, or sensory impairments that hinder their full participation in society. This lack of social connection can negatively impact their psychological and emotional well-being. This research addresses the gap in understanding the specific mechanisms by which technology, like virtual worlds, can help this population move from isolation to inclusion.
Outcome
- Virtual worlds offer five key 'affordances' (action possibilities) that empower people with lifelong disabilities (PWLD). - Three 'functional' affordances were identified: Communicability (interacting without barriers like hearing loss), Mobility (moving freely without physical limitations), and Personalizability (controlling one's digital appearance and whether to disclose a disability). - These functional capabilities enable two 'social' affordances: Engageability (the ability to join in social activities) and Self-Actualizability (the ability to realize one's potential and help others). - The study proposes an 'Affordance-Based Pathway Model' which shows how using these features helps PWLD build interpersonal relationships and participate in communities, leading to social inclusion.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers, and with me today is our expert analyst, Alex Ian Sutherland. Host: Alex, today we're diving into a fascinating study from the Journal of the Association for Information Systems titled, "Affordance-Based Pathway Model of Social Inclusion: A Case Study of Virtual Worlds and People With Lifelong Disability". Host: In short, it explores how people with lifelong disabilities use virtual worlds, like the platform Second Life, to achieve social inclusion and build community. Host: So, Alex, before we get into the virtual world, let's talk about the real world. What is the core problem this study is trying to address? Expert: Anna, it addresses a significant challenge. People with lifelong disabilities often face profound social isolation. Physical, mental, or sensory barriers can prevent them from fully participating in society, which in turn impacts their psychological and emotional well-being. Expert: While we know technology can help, there’s been a gap in understanding the specific mechanisms—the 'how'—technology can create a pathway from isolation to inclusion for this group. Host: It sounds like a complex challenge to study. So how did the researchers approach this? Expert: They took a very human-centered approach. They went directly into the virtual world of Second Life and conducted in-depth interviews and participant observations with 18 people with lifelong disabilities. This allowed them to understand the lived experiences of both new and experienced users. Host: And what did they find? What is it about these virtual worlds that makes such a difference? Expert: They discovered that the platform offers five key 'affordances'—which is simply a term for the action possibilities or opportunities that the technology makes possible for these users. They grouped them into two categories: functional and social. Host: Okay, five key opportunities. Can you break down the first category, the functional ones, for us? Expert: Absolutely. The first three are foundational. There’s 'Communicability'—the ability to interact without barriers. One participant with hearing loss noted that text chat made it easier to interact because they didn't need sign language. Expert: Second is 'Mobility'. This is about moving freely without physical limitations. A participant who uses a wheelchair in real life shared this powerful thought: "In real life I can't dance; here I can dance with the stars." Expert: The third is 'Personalizability'. This is the user's ability to control their digital appearance through an avatar, and importantly, to choose whether or not to disclose their disability. It puts them in control of their identity. Host: So those three—Communicability, Mobility, and Personalizability—are the functional building blocks. How do they lead to actual social connection? Expert: They directly enable the two 'social' affordances. The first is 'Engageability'—the ability to actually join in social activities and be part of a group. Expert: This then leads to the final and perhaps most profound affordance: 'Self-Actualizability'. This is the ability to realize one's potential and contribute to the well-being of others. For example, a retired teacher in the study found new purpose in helping new users get started on the platform. Host: This is incredibly powerful on a human level. But Alex, this is a business and technology podcast. What are the practical takeaways here for business leaders? Expert: This is where it gets very relevant. First, for any company building in the metaverse or developing collaborative digital platforms, this study is a roadmap for truly inclusive design. It shows that you need to intentionally design for features that enhance communication, freedom of movement, and user personalization. Host: So it's a model for product development in these new digital spaces. Expert: Exactly. And it also highlights an often-overlooked user base. Designing for inclusivity isn't just a social good; it opens up your product to a massive global market. Businesses can also apply these principles internally to create more inclusive remote work environments, ensuring employees with disabilities can fully participate in digital collaboration and company culture. Host: That’s a fantastic point about corporate applications. Is there anything else? Expert: Yes, and this is a critical takeaway. The study emphasizes that technology alone is not a magic bullet. The users succeeded because of what the researchers call 'facilitating conditions'—things like peer support, user training, and community helpers. Expert: For businesses, the lesson is clear: you can't just launch a product. You need to build and foster the support ecosystem and the community around it to ensure users can truly unlock its value. Host: Let’s recap then. Virtual worlds can be a powerful tool for social inclusion by providing five key opportunities: three functional ones that enable two social ones. Host: And for businesses, the key takeaways are to design intentionally for inclusivity, recognize this valuable user base, and remember to build the support system, not just the technology itself. Host: Alex Ian Sutherland, thank you for breaking this down for us. It’s a powerful reminder that technology is ultimately about people. Host: And thank you to our audience for tuning into A.I.S. Insights — powered by Living Knowledge.
Social Inclusion, Virtual Worlds (VW), People With Lifelong Disability (PWLD), Affordances, Second Life, Assistive Technology, Qualitative Study
MIS Quarterly Executive (2022)
Lessons for and from Digital Workplace Transformation in Times of Crisis
Janina Sundermeier
This study analyzes how three companies successfully transformed their workplaces from physical to predominantly digital in response to the Covid-19 pandemic. Through a qualitative case study approach, it identifies four distinct transformation phases and the management practices that enabled the alignment of digital tools, cultural assets, and physical spaces. The research culminates in a practical roadmap for managers to prepare for future crises and design effective post-pandemic workplaces.
Problem
The COVID-19 pandemic forced a sudden, massive shift to remote work, a situation for which most companies were unprepared. While some technical infrastructure existed, businesses struggled to efficiently connect distributed teams and accommodate employees' new needs for flexibility. This created an urgent need to understand how to manage a holistic digital workplace transformation that aligns technology, culture, and physical space under crisis conditions.
Outcome
- Successful digital workplace transformation occurs in four phases: Inertia, Experimental Repatterning, Leveraging Causation Planning, and Calibration. - A holistic approach is critical, requiring the strategic alignment of three components: digital tools (technology), cultural assets (organizational culture), and physical office spaces. - A key challenge is preventing the formation of a 'two-tier' workforce, where in-office employees are perceived as more valued or informed than remote employees. - The paper offers a roadmap with actionable recommendations, such as encouraging experimentation with technology, ensuring transparent documentation of all work, and redesigning physical offices to serve as hubs for collaboration and events.
Host: Welcome to A.I.S. Insights, the podcast at the intersection of business and technology, powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we’re diving into a challenge that every single one of us has lived through: the massive, overnight shift to remote work. We’re looking at a study titled "Lessons for and from Digital Workplace Transformation in Times of Crisis." Host: It analyzes how three companies successfully navigated the transition from a physical to a digital-first workplace during the pandemic. The study offers a practical roadmap for managers to prepare for future disruptions. To help us unpack this, we have our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Thanks for having me, Anna. Host: Alex, let's start with the big problem. We all remember March 2020. But from a business perspective, what was the core challenge this study looked at? Expert: The core challenge was that most companies were completely unprepared. The study calls the pandemic "the largest global experiment in telecommuting in human history." While many had some technology like video conferencing, they fundamentally struggled to connect their distributed teams efficiently. Host: It wasn't just about having the right software, then? Expert: Exactly. Before the pandemic, the companies in the study operated on what the researchers call a "physical workplace logic." Everything was built around being in the same building at the same time: assigned desks, fixed hours, face-to-face meetings. The real problem was how to manage a holistic transformation that aligned not just the technology, but also the company culture and even the physical office space, all under immense pressure. Host: So how did the researchers get inside these companies to understand that transformation? Expert: They took a deep-dive, qualitative approach. Over a two-year period, they closely followed three companies—given the pseudonyms Akon, Vestro, and Dalamaza—as they went through this journey. They conducted over 120 interviews and sat in on nearly 70 meetings, from the executive level right down to the team level, to get a truly comprehensive picture of the process. Host: That's incredibly detailed. So, after all that observation, what were the main findings? What does a successful transformation look like? Expert: The study found that companies don't just flip a switch. They go through four distinct phases. It starts with ‘Inertia’, where they basically try to copy-paste the physical office online—think mandatory 9-to-5 hours, but on Zoom. Host: That sounds familiar, and exhausting. What comes next? Expert: Next is ‘Experimental Repatterning’. This is a trial-and-error phase. The initial inertia breaks down, and employees start experimenting with new tools and workflows to find what actually works for remote collaboration. This is often a messy but crucial stage. Host: And after the experiments? Expert: The company moves into ‘Leveraging Causation Planning’. That's a bit of a mouthful, but it just means they get strategic. Instead of just reacting, leadership starts to intentionally design a long-term digital workplace, setting clear goals. Finally, they enter ‘Calibration’, which is an ongoing phase of fine-tuning that new system, balancing the long-term plan with new ideas and tools. Host: So it's a journey from reacting, to experimenting, to strategic planning. The study also mentioned a challenge around a ‘two-tier’ workforce. What is that? Expert: This was one of the biggest risks they identified. It’s the creation of an unintentional class system, where employees who come into the office are perceived as more valued or have access to more information than their remote colleagues. Informal chats at the coffee machine or quick updates in the hallway suddenly become career-critical, and remote workers get left out. One employee in the study said they felt like a "second-class employee." Host: That’s a powerful insight. This brings us to the most important question for our listeners: How can business leaders apply these lessons? What does the roadmap from this study suggest? Expert: The first key takeaway is to be holistic. You can't just focus on digital tools. You have to consciously align them with your culture and physical space. This means redesigning your office to be a hub for collaboration and events, not just rows of desks. And it means building a culture of trust and transparency that supports remote work. Host: And how do you combat that 'two-tier' system you mentioned? Expert: The study offers very clear actions here. First, democratize information. This means documenting everything—from formal meeting decisions to informal project updates—in a central, accessible place, like a company wiki. Second, leaders must lead by example. If executives are always in the office and don't use the remote collaboration tools, they send a clear message that physical presence is what truly matters. In fact, two of the companies actually banned executives from the office for a few weeks to force them to live the remote experience. Host: That’s a bold move. Any final takeaway for our audience? Expert: Yes. Encourage experimentation, but with guardrails. Employees will often find better ways of working and discover new tools—what’s often called 'shadow IT'. Instead of just shutting it down, create a process to evaluate these innovations. It can be a powerful engine for improvement if you manage it correctly. The goal is to build a resilient organization that can adapt to the next crisis, whatever it may be. Host: Fantastic. So, to summarize: the shift to a digital workplace is a four-phase journey. Success requires a holistic approach, aligning technology, culture, and physical space. And critically, leaders must actively work to prevent a two-tier workforce by championing transparency and leading by example. Host: Alex, this has been incredibly insightful. Thank you for breaking it down for us. Expert: My pleasure, Anna. Host: And thanks to all of you for tuning into A.I.S. Insights. Join us next time as we continue to explore the ideas shaping our world.
digital workplace, digital transformation, crisis management, remote work, hybrid work, organizational culture, case study
MIS Quarterly Executive (2022)
How SME Watkins Steel Transformed from Traditional Steel Fabrication to Digital Service Provision
Friedrich Chasin, Marek Kowalkiewicz, Torsten Gollhardt
This study presents a case study of Watkins Steel, an Australian small and medium-sized enterprise (SME), detailing its successful digital transformation from a traditional steel fabricator to a digital services provider. It introduces and analyzes two key strategic concepts, 'augmentation' and 'adjacency', as a framework for how SMEs can innovate and add new revenue streams without abandoning their core business.
Problem
While digital transformation success stories for large corporations are common, there is a significant lack of practical guidance and documented examples for small and medium-sized enterprises (SMEs). This gap leaves many SMEs unaware of the potential of digital technologies and constrained by organizational inertia, hindering their ability to innovate and remain competitive.
Outcome
- Watkins Steel successfully transitioned by augmenting its core steel fabrication business with new, high-value digital services like 3D scanning, modeling, and data reporting. - The study proposes a transformation framework for SMEs based on two concepts: 'digital augmentation' (adding new services) and 'digital adjacency' (leveraging existing assets like customers, data, and skills for these new services). - Key success factors included contagious leadership from the CEO, embracing business constraints as innovation opportunities, and a customer-centric approach to solving their clients' problems. - Instead of hiring new talent, Watkins Steel successfully cultivated its own digital experts by empowering existing employees with domain knowledge to learn new skills, fostering a culture of experimentation. - The transformation allowed the company to move up the value chain, from being a materials provider to coordinating and managing construction processes, creating a more defensible market position.
Host: Welcome to A.I.S. Insights, the podcast where we connect business strategy with cutting-edge research. I’m your host, Anna Ivy Summers. Host: Today, we're diving into a study that offers a practical roadmap for one of the biggest challenges facing smaller companies: digital transformation. Host: It’s titled "How SME Watkins Steel Transformed from Traditional Steel Fabrication to Digital Service Provision.” Host: The study presents a fascinating case study of an Australian steel company that successfully added new, high-value digital revenue streams without abandoning its core business. Host: Here to break it all down for us is our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: Alex, we hear about digital transformation all the time, usually in the context of giant corporations. What’s the specific problem this study tackles for smaller businesses? Expert: The biggest problem is a lack of guidance. Small and medium-sized enterprises, or SMEs, see the big success stories but have no clear, practical blueprint to follow. Expert: They're often constrained by limited budgets, a lack of digital skills, and what the study calls 'organizational inertia'. It's tough to innovate when you're just trying to keep the daily operations running. Expert: The CEO of Watkins Steel summed up the initial mindset perfectly. He said, "I thought innovation was just another buzzword... Our business is steel fabrication. You cut steel, and you weld steel. You cannot innovate it." That's the barrier this study helps businesses overcome. Host: So how did the researchers get inside this transformation to create a blueprint? Expert: They took a very hands-on approach. It was a comprehensive, in-depth case study of Watkins Steel, which involved spending significant time on-site. Expert: They interviewed nine different people within the company—from the CEO to business development managers to the draftsmen on the factory floor—to get a complete 360-degree view of what worked and why. Host: And what were the key findings? What did Watkins Steel do that was so different? Expert: The researchers boiled it down to two core strategic concepts: 'digital augmentation' and 'digital adjacency'. Host: Can you break those down for us? What is 'digital augmentation'? Expert: Augmentation is about adding new digital services to your existing business. Watkins Steel didn't stop fabricating steel. They used technologies like 3D laser scanners and drones to offer new services on top of their core product, like detailed site modeling and data reporting. Host: And 'digital adjacency'? Expert: Adjacency means leveraging the assets you already have to build those new services. Watkins Steel offered these new digital services to their existing construction customers. They used the data from their projects and, most importantly, they leveraged their existing employees. Host: That’s a key point. Did they have to go out and hire a team of new tech experts? Expert: Not at all, and this is a huge finding for SMEs. They cultivated their own digital experts. They took employees who had deep domain knowledge—like draftsmen who were previously boilermakers—and empowered them to learn the new scanning and modeling technologies. Host: So the strategy and the people were key. What was the ultimate result for the business? Expert: It completely changed their position in the market. They moved up the value chain. Instead of just being a supplier delivering steel beams, they became a crucial partner coordinating the construction process. As their CEO put it, they went from being at "the bottom of the food chain" to "running the site." Host: That's a powerful shift. So, for a business leader listening right now, what are the most important, actionable takeaways from the Watkins Steel story? Expert: I think there are three big ones. First, you don't have to bet the farm on a risky pivot. The augmentation and adjacency framework shows you can innovate by building on your existing strengths—your customers, your data, and your people. It’s evolution, not revolution. Host: That seems much more manageable for a smaller company. What's the second takeaway? Expert: It’s that leadership has to be contagious. The study highlights how the CEO's passion and encouragement spread throughout the company. He created a culture of experimentation, saying the best resource he could give his team was a credit card to go buy new technology and start playing around with it. Host: And the third takeaway? Expert: Turn your problems into products. Watkins Steel initially invested in 3D scanners to reduce their own costly fabrication errors. But they quickly realized that the data they were capturing was incredibly valuable to their clients. They turned an internal quality-control tool into a brand-new, high-margin digital service. Host: A fantastic story. So to recap: innovate by augmenting your core business, let the leader's passion for experimentation be contagious, and look for ways to turn your internal solutions into external services. Host: Alex, thank you so much for bringing this study to life for us. So many valuable insights. Expert: My pleasure, Anna. Host: And a big thank you to our audience for tuning in to A.I.S. Insights. We'll see you next time.
digital transformation, SME, business model innovation, case study, digital service provision, digital augmentation, digital adjacency
MIS Quarterly Executive (2022)
How Everything-as-a-Service Enabled Judo to Become a Billion-Dollar Bank Without Owning IT
Christoph F. Breidbach, Amol M. Joshi, Paul P. Maglio, Frederik von Briel, Alex Twigg, Graham Dickens, and Nancy V. Wünderlich
This paper presents a case study on Australian Judo Bank, which successfully implemented an "Everything-as-a-Service" (EaaS) technology strategy. The study analyzes how Judo Bank orchestrated an ecosystem of external IT service providers to build a secure, scalable, and flexible banking platform without owning any IT infrastructure. It describes the benefits, risks, and provides actionable recommendations for other organizations considering an EaaS model.
Problem
The Australian banking sector has been traditionally dominated by a few large incumbent banks, creating high barriers to entry and an underserved market for small- and medium-sized enterprises (SMEs). New entrants face significant challenges, including the immense capital expenditure required to build and maintain proprietary IT systems, which stifles competition and innovation in financial services.
Outcome
- Judo Bank achieved a billion-dollar valuation and profitability by adopting an EaaS strategy, demonstrating that a bank can operate successfully without owning or managing its own IT infrastructure. - The EaaS model provided significant benefits, including rapid scalability, operational flexibility, and lower capital expenditure, allowing the bank to focus resources on its core value proposition of relationship banking. - By becoming a 'service orchestrator' of best-of-breed external solutions, Judo Bank automated back-office processes, enabling its staff to focus on high-value customer interactions. - The strategy is not without risks, including reliance on third-party viability, market disruptions, and data security, which the bank managed through careful partner selection, robust contracts, and a strong focus on security protocols. - The case provides a framework for other companies on how to design, manage, and secure an EaaS ecosystem, emphasizing user-centered design and open standards.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. Today we're diving into a fascinating study from MIS Quarterly Executive titled, "How Everything-as-a-Service Enabled Judo to Become a Billion-Dollar Bank Without Owning IT". Host: It's a case study on Australia's Judo Bank and its radical choice to build a highly secure and scalable bank without owning any of its own IT infrastructure. Here to break it down for us is our analyst, Alex Ian Sutherland. Expert: Great to be here, Anna.
Host: Alex, let's start with the big picture. What was the problem that Judo Bank set out to solve? Expert: The study explains that the Australian banking sector was dominated by four massive incumbent banks. This created huge barriers for any new company trying to enter the market. Host: And a big part of that barrier is the cost of technology, right? Expert: Exactly. The capital required to build and maintain proprietary IT systems is immense. The study also points out that these big banks were focused on residential mortgages, which left a huge market of small- and medium-sized enterprises, or SMEs, completely underserved. Judo’s founders saw a gap and an opportunity.
Host: So how did the researchers get the inside story on this? Expert: Their approach was a deep and collaborative case study. They worked directly with Judo Bank’s CIO and CTO over several years, conducting weekly interviews and gaining access to internal documents and regulatory filings. This gave them a unique, ground-up view of how the strategy was designed and executed.
Host: Which brings us to the findings. The title gives away the ending—they became a billion-dollar bank. How did this "Everything-as-a-Service" model make that possible? Expert: The first major finding is that this EaaS model was the core enabler. Instead of spending millions on servers and software, Judo Bank treated IT as a flexible operating expense, only paying for services as they used them. Host: That sounds like it would give them incredible agility. Expert: It did, and that's the second key outcome. The model provided massive scalability and operational flexibility. For instance, when the COVID-19 pandemic hit, they could instantly equip remote workers across the country because employee laptops were already managed as a service—preconfigured and shipped directly to their homes. No big upfront cost, just a subscription. Host: The study also mentions they automated their back-office. How did that help? Expert: That's the third key finding. By becoming a "service orchestrator" of best-in-class external solutions, they automated tedious back-office work like loan settlement. This freed up their bankers to focus on Judo’s core value: building personal relationships with customers. The study notes their goal was to make the technology "invisible." Host: But relying entirely on third parties must be risky. What did the study say about that? Expert: It’s a huge risk, and the study covers it in detail. They faced challenges like a key service provider being acquired or the constant threat of data breaches. Their success depended on mitigating these risks through very careful partner selection, strong contracts, and a relentless focus on security.
Host: This is the crucial part for our listeners. What are the practical takeaways for other businesses? Expert: The biggest takeaway is a fundamental mindset shift. The study argues that for many businesses today, owning IT is no longer a competitive advantage. The advantage now comes from orchestrating IT services effectively to serve your core business mission. Host: So, focus on your unique value, not on managing servers. Expert: Precisely. The second lesson is about how you manage this new model. You can't just outsource and forget. A business needs a team skilled in architecture, service integration, and vendor management. You become the conductor of an orchestra, ensuring all the different parts play together harmoniously. Host: Is this only for startups? What about established companies with decades of legacy IT? Expert: It's definitely a bigger challenge for them, but the principles still apply. An established company can start by moving non-core functions to a service model first. The study recommends creating a strategic blueprint of your organization's functions and then mapping services onto that, rather than just doing piecemeal tech projects.
Host: So, to summarize, Judo Bank successfully challenged the traditional banking industry by refusing to own its IT. Host: By adopting an "Everything-as-a-Service" strategy, it acted as a service orchestrator, gaining flexibility, lowering costs, and freeing its people to focus on customers. Host: The key lesson for any business is to shift from a mindset of owning technology to orchestrating it, all while proactively managing the inherent risks. Host: Alex, this has been incredibly insightful. Thank you for breaking it all down. Expert: My pleasure, Anna. Host: And thank you for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we explore another big idea shaping the future of business.
Everything-as-a-Service (EaaS), Fintech, Digital Transformation, Cloud Banking, IT Strategy, Service Orchestration, Judo Bank
MIS Quarterly Executive (2022)
Self-Sovereign Identity and Verifiable Credentials in Your Digital Wallet
Mary Lacity, Erran Carmel
This paper provides an overview of Self-Sovereign Identity (SSI), a decentralized approach for issuing, holding, and verifying digital credentials. Through an analysis of the technology's architecture and a case study of the UK's National Health Service (NHS), the authors explain SSI's business value, implementation, and potential risks for IT leaders.
Problem
Current digital identity systems are centralized, meaning individuals lack control over their own credentials like licenses, diplomas, or work histories. This creates inefficiencies for businesses (e.g., slow employee onboarding), high costs associated with password management, and significant cybersecurity risks as centralized databases are prime targets for data breaches and identity theft.
Outcome
- Self-Sovereign Identity (SSI) empowers individuals to possess and control their own digital proofs of credentials in a secure digital wallet on their smartphone. - SSI can dramatically improve business efficiency by streamlining processes like employee onboarding, reducing a multi-day manual verification process to a few minutes, as seen in the NHS case study. - The technology enhances privacy by enabling data minimization, allowing users to prove a specific attribute (e.g., being over 21) without revealing unnecessary personal information like their full date of birth or address. - For organizations, SSI reduces cybersecurity risks and costs by eliminating centralized credential databases and the need for password resets. - While promising, SSI is an emerging technology with risks including the need for widespread ecosystem adoption, the development of sustainable economic models, and ensuring robust cybersecurity for individual wallets.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge, the podcast where we translate complex research into actionable business strategy. I’m your host, Anna Ivy Summers. Host: Today, we’re diving into a study from MIS Quarterly Executive titled "Self-Sovereign Identity and Verifiable Credentials in Your Digital Wallet." Host: It explores a decentralized approach for managing digital credentials, analyzing its business value, how it's implemented, and the potential risks for today’s IT leaders. Here to help us unpack it is our analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: Alex, before we get into the solution, let's talk about the problem. Most of us don't really think about how our digital identity is managed today, but this study suggests it's a huge issue. What’s wrong with the current system? Expert: The problem is that our digital identities are completely fragmented and controlled by others. Think about your physical wallet. You have a driver's license, maybe a university ID, a credit card. You control that wallet. Online, it’s the opposite. Your "credentials" are spread across countless organizations, each with its own username and password. Expert: The study points out that the average internet user has around 150 online accounts. For businesses, managing all these separate identities is inefficient and incredibly risky. These centralized databases of user data are what the study calls "honey pots," making them prime targets for data breaches. Host: So it's a headache for us as individuals, and a massive security liability for companies. Expert: Exactly. And it’s expensive. The research mentions that a single corporate password reset costs a company, on average, seventy dollars. When you scale that up, the costs become astronomical, not to mention the slow, manual processes for things like employee onboarding. Host: So, the study explores a new approach called Self-Sovereign Identity, or SSI. How did the researchers go about studying this emerging technology? Expert: This wasn't a lab experiment. The authors spent two years deeply engaged with the communities developing SSI. They interviewed leaders and conducted detailed case studies of early adopters, most notably the U.K.’s National Health Service, or NHS. This gives us a real-world view of how the technology works in a massive, complex organization. Host: That NHS case sounds fascinating. Let's get to the key findings. What is the big idea behind Self-Sovereign Identity? Expert: The core idea is to give control back to the individual. With SSI, you hold your own official, verifiable credentials—like your university degree or professional licenses—in a secure digital wallet on your smartphone. You decide exactly what information to share, and with whom. Host: So instead of a potential employer having to call my university to verify my degree, I could just prove it to them directly from my phone in an instant? Expert: Precisely. And that leads to the second key finding: a dramatic boost in business efficiency. The NHS, for example, processes over a million staff transfers between its hospitals each year. The old, paper-based onboarding process took days. The study found that with an SSI-based "digital staff passport," that process was cut down to just a few minutes. Host: From days to minutes is a huge leap. But what about privacy? Does this mean we're sharing even more personal data from our phones? Expert: It’s actually the opposite, which is the third major finding: enhanced privacy through what's called 'data minimization'. The study gives a classic example: proving you're old enough to buy a drink. Right now, you show your driver's license, which reveals your name, address, and full date of birth. The bartender only needs to know if you’re over 21. Expert: With an SSI wallet, you could provide a verifiable, cryptographic proof that simply says "Yes, this person is over 21," without revealing any of that other sensitive data. You only share what is absolutely necessary for the transaction. Host: That's a powerful concept. So for businesses, the value is efficiency, but also security, right? Expert: Right. That's the final key finding. By moving away from centralized databases, companies reduce their cybersecurity risk profile. They are no longer the 'honey pot' for hackers. It removes the liability of storing millions of user credentials and cuts the operational costs of things like password management. Host: This all sounds truly transformative. Let's focus on the bottom line. What are the key takeaways for business leaders listening today? Why should they care about SSI right now? Expert: The most immediate application is for streamlining any business process that relies on verifying credentials. We saw it with employee onboarding at the NHS, but this could apply to customer verification in banking, compliance checks in supply chains, or membership verification. Host: And it seems like a great way to build trust with customers. Expert: Absolutely. In an era of constant data breaches, offering your customers a more private and secure way to interact is a significant competitive advantage. But the study is also clear that this isn't a silver bullet. It's an emerging technology. Host: What are the main risks businesses need to consider? Expert: The biggest challenge is ecosystem adoption. For SSI to be truly useful, you need a critical mass of organizations issuing credentials, and organizations accepting them. There are also still questions to be solved around sustainable economic models and ensuring the security of the individual's digital wallet is foolproof. Host: So it's a long-term strategic play, not something you can just switch on tomorrow. Expert: Exactly. The study’s key advice for leaders is to start learning and exploring this space now. An interesting tip from the NHS project was this: when you talk about it, focus on the business problem you're solving—efficiency, security, and trust. That's what gets buy-in. Host: Alright, Alex, let’s wrap it up. To summarize, the current way we manage digital identity is inefficient and insecure. Self-Sovereign Identity puts control back into the hands of the individual through a secure digital wallet. Host: For businesses, this means faster processes, lower cyber risks, and a powerful new way to build customer trust. While it's still early days, now is the time for leaders to get educated and start planning for this shift. Host: Alex, thank you so much for breaking down this complex topic for us. Expert: My pleasure, Anna. Host: And thank you to our listeners for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we explore another big idea shaping the future of business.
Self-Sovereign Identity (SSI), Verifiable Credentials, Digital Wallet, Decentralized Identity, Identity Management, Digital Trust, Blockchain
MIS Quarterly Executive (2022)
Using Lessons from the COVID-19 Crisis to Move from Traditional to Adaptive IT Governance
Heiko Gewald, Heinz-Theo Wagner
This study analyzes how IT governance structures in nine international companies, particularly in regulated industries, were adapted during the COVID-19 crisis. It investigates the shift from rigid, formal governance to more flexible, relational models that enabled rapid decision-making. The paper provides recommendations on how to integrate these crisis-mode efficiencies to create a more adaptive IT governance system for post-crisis operations.
Problem
Traditional IT governance systems are often slow, bureaucratic, and focused on control and risk avoidance, which makes them ineffective during a crisis requiring speed and flexibility. The COVID-19 pandemic exposed this weakness, as companies found their existing processes were too rigid to handle the sudden need for digital transformation and remote work. The study addresses how organizations can evolve their governance to be more agile without sacrificing regulatory compliance.
Outcome
- Companies successfully adapted during the crisis by adopting leaner decision-making structures with fewer participants. - The influence of IT experts in decision-making increased significantly, shifting the focus from risk-avoidance to finding the best functional solutions. - Formal controls were complemented or replaced by relational governance based on social interaction, trust, and collaboration, which proved to be more efficient. - The paper recommends permanently adopting these changes to create an 'adaptive IT governance' system that balances flexibility with compliance, ultimately delivering more business value.
Host: Welcome to A.I.S. Insights, the podcast at the intersection of business and technology, powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we're looking at a fascinating question that emerged from the chaos of the recent global crisis: How did companies manage to pivot so fast, and what can we learn from it? Host: We’re diving into a study from MIS Quarterly Executive titled, "Using Lessons from the COVID-19 Crisis to Move from Traditional to Adaptive IT Governance." With me is our expert analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: To start, this study analyzed how major international companies, especially in regulated fields, adapted their IT governance during the pandemic. It’s about moving from rigid rules to more flexible, relationship-based models that allowed them to act fast. Host: So Alex, let's set the stage. What was the big problem with IT governance that the pandemic put under a microscope? Expert: The core problem was that traditional IT governance had become slow, bureaucratic, and obsessed with avoiding risk. Think of huge committees, endless meetings, and layers of approvals for even minor IT decisions. Host: A process designed for stability, not speed. Expert: Exactly. One CIO from a global bank in the study said, “We are way too slow in making decisions, specifically when it comes to IT decisions.” These systems were built to satisfy regulators and protect managers from liability, not to create business value or respond to a crisis. Host: And then a crisis hit that demanded exactly that: speed and flexibility. Expert: Right. Suddenly, the entire workforce needed to go remote, which was a massive IT challenge. The old, slow governance models were a roadblock. The study found that another CIO sarcastically described his pre-crisis committees as having "ten lawyers for every IT member." That kind of structure just couldn't work. Host: So how did the researchers get inside these companies to understand what changed? Expert: They conducted in-depth interviews with CIOs and business managers from nine large international companies in sectors like banking, auditing, and insurance. They did this at two key moments: once in mid-2020, in the thick of the crisis, and again at the end of 2021 as things were returning to a new normal. Host: That gives a great before-and-after picture. So, what were the key findings? What actually happened inside these organizations? Expert: Three big things stood out. First, companies created leaner decision-making structures. The slow, multi-layered committees were replaced by small, empowered crisis teams, often called Disaster Response Groups or DRGs. Host: Fewer cooks in the kitchen. Expert: Precisely. One bank restricted its DRG to a core team of just five managers. They adopted what the CIO called a "'one meeting per decision' routine." This allowed them to make critical choices about things like video conferencing and VPN technology in hours, not months. Host: A radical change. What was the second key finding? Expert: The influence of IT experts shot up. In the old model, their voices were often diluted. During the crisis, IT leaders were central to the decision-making groups. The focus shifted from "what is the least risky option?" to "what is the best functional solution to keep the business running?" Host: So the people who actually understood the technology were empowered to solve the problem. Expert: Yes. As one CIO from an auditing firm put it, "It was classic business/IT alignment. The business described the problem and we, the IT department, provided the best solution." Host: And the third major finding? Expert: This is perhaps the most interesting. Formal controls were replaced by what the study calls 'relational governance'. Instead of relying on thick binders of rules, teams started relying on social interaction, trust, and collaboration. Host: It became more about people and relationships. Expert: Exactly. A CIO from a financial services firm said, “We do not exchange lengthy documents anymore; instead, we actually talk to each other.” This trust-based approach proved to be far more efficient and flexible than the rigid, control-focused systems they had before. Host: This is the crucial part for our listeners, Alex. How can businesses apply these crisis-mode lessons now, without a crisis forcing their hand? What’s the big takeaway? Expert: The main takeaway is that companies shouldn't just go back to the old way of doing things. They have a golden opportunity to build what the study calls an 'adaptive IT governance' system. Host: And what does that look like in practice? Expert: First, make those lean decision-making structures permanent. Keep committees small, focused, and empowered. Strive for that "one meeting per decision" mindset. Second, permanently increase the influence of your IT experts. Ensure they are at the table and have real decision-making power, not just an advisory role. Host: So it’s about institutionalizing the speed and expertise you discovered during the crisis. Expert: Right. And finally, it's about striking a new balance between formal rules and relational trust. You still need rules, especially in regulated industries, but you can reduce them to a necessary minimum and complement them with governance based on collaboration and mutual trust. It’s less about top-down control and more about shared goals. Host: So it’s not about throwing out the rulebook, but about creating a smarter, more flexible one that allows you to be agile while still being compliant. Expert: That's the core message. The crisis proved that this approach delivers better results, faster. Now is the time to make it the new standard. Host: A powerful lesson indeed. To summarize for our audience: the pandemic forced companies to abandon slow, risk-averse IT governance. The keys to their success were leaner decision-making, empowering IT experts, and shifting from rigid rules to trust-based collaboration. The challenge now is to make those changes permanent to create a more adaptive and value-driven organization. Host: Alex Ian Sutherland, thank you so much for breaking this down for us. Expert: My pleasure, Anna. Host: And thank you for listening to A.I.S. Insights, powered by Living Knowledge. Join us next time as we continue to explore the ideas shaping the future of business.
Key Lessons from Bosch for Incumbent Firms Entering the Platform Economy
Daniel Hodapp, Florian Hawlitschek, Felix Wortmann, Marco Lang, Oliver Gassmann
This study analyzes eight platform projects within the Bosch Group, a major German engineering and technology company, to understand the challenges established firms face when entering the platform economy. The research identifies common barriers related to business logic, value proposition, and organizational structure. Based on the lessons learned at Bosch, the paper provides actionable recommendations for managers at other incumbent firms.
Problem
Established, non-digital native companies (incumbents) often struggle to transition from traditional, linear business models to platform-based models. Their existing structures, processes, and business logic are optimized for internal efficiency and product sales, creating significant barriers when trying to build and scale platforms that rely on external ecosystems and network effects.
Outcome
- Incumbent firms face three primary barriers when entering the platform economy: 1) learning the new business logic of platforms, 2) proving the platform's value to internal stakeholders, and 3) building an organization that supports external collaboration. - To overcome the learning barrier, firms should use personal communication and illustrative analogies of successful platforms to create a common understanding across the organization. - To prove value, teams should build a minimal viable platform (MVP) early on to demonstrate potential and use key metrics that reflect user engagement, not just registration numbers. - To build a suitable organization, firms can structure platform initiatives as separate innovation projects or even independent companies to provide the autonomy and external focus needed to build an ecosystem.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. Today, we're diving into a challenge that many established companies face: making the leap into the platform economy. We're looking at a study titled "Key Lessons from Bosch for Incumbent Firms Entering the Platform Economy."
Host: It analyzes eight different platform projects within the technology giant Bosch to understand the common barriers that traditional companies face and, more importantly, provides actionable recommendations for managers. With me is our analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Great to be here, Anna.
Host: So, Alex, let's start with the big picture. We see these massive, successful companies, experts in manufacturing and engineering for decades. Why do they struggle so much when trying to build a platform, like a marketplace or an app ecosystem?
Expert: That’s the core of the problem. These firms, often called incumbents, are brilliant at running linear businesses. They design a product, make it, and sell it. Their entire organization—from supply chains to sales—is optimized for that internal efficiency.
Expert: A platform business is the opposite. It doesn't create value internally; it facilitates value creation between external users. Think of drivers and riders on Uber, or developers and users in an app store. This requires a completely different mindset focused on ecosystems and network effects, which often clashes with the company's traditional DNA.
Host: So how did the researchers get inside this problem to understand it better?
Expert: They conducted an in-depth case study of the Bosch Group. They didn't just theorize; they examined eight real-world platform projects inside the company—projects in areas like IoT, connected mobility, and smart devices. They interviewed the executives and project leaders to find out what hurdles they actually faced on the ground.
Host: And after looking at all eight projects, what were the common hurdles? What were the key findings?
Expert: The study boiled it down to three primary barriers. The first was simply learning the new business logic of platforms.
Host: What does that mean in practice, 'new business logic'?
Expert: It's the shift from thinking about product margins to thinking about network effects, where the platform becomes more valuable as more people use it. A manager in the study noted that for many colleagues, it just wasn't clear why a platform was even needed. Their instinct was to build a product, not an ecosystem.
Host: So how did the successful projects at Bosch overcome that learning curve?
Expert: Through communication and analogy. One project team held company-wide town halls to openly discuss their new business model. Another team, building a platform for smart cameras, constantly used the analogy of the early smartphone ecosystem. That simple comparison helped stakeholders understand the goal was to create a common standard that everyone could build on.
Host: Okay, so first you have to learn the new rules. What was the second major barrier?
Expert: Proving the platform's value, especially to internal stakeholders who hold the purse strings. A traditional business can forecast sales and calculate a clear return on investment for a new factory. But how do you calculate the ROI of an ecosystem that doesn't exist yet?
Host: That sounds like a tough sell. What worked at Bosch?
Expert: Two things stood out. First, building a Minimal Viable Platform, or MVP, as early as possible. One project that aimed to detect traffic hazards built a simple mobile app to demonstrate how it could work. Seeing a demo, no matter how basic, makes the value tangible.
Expert: Second, using the right metrics. One transportation platform was excited about its high number of user registrations, but the study found that very few people were actually booking recurring trips. They learned that engagement is a far more important metric than sign-ups for proving a platform's health.
Host: That makes sense. Learn the logic, prove the value. What was the final barrier?
Expert: Building an organization that can actually support a platform. Corporate structures are designed for internal control and optimization. But platforms thrive on external collaboration with partners, developers, and users. There's often a fundamental mismatch.
Host: So you're fighting the company's own structure. How do you solve that?
Expert: The study found that successful platform teams were given autonomy. Some were set up as distinct "innovation projects," which gave them freedom from standard corporate rules and let them focus on building external partnerships. In one case, for an automotive data platform, they went a step further and created an entirely separate company with Bosch and other automakers as shareholders, ensuring an external focus from day one.
Host: Alex, this is fascinating. For the business leaders and managers listening, what are the most important takeaways? What should they be doing if they want to venture into the platform world?
Expert: The study provides a clear roadmap. First, don't assume everyone gets it. Establish what the researchers call "Platform Learning Facilitators." This could be a dedicated team or a community of practice that coaches projects and spreads knowledge across the organization. Bosch did this by creating a business model innovation department.
Host: So, institutionalize the learning process. What's next?
Expert: Clearly and consistently communicate the strategy. Use simple frameworks and a common language to explain how the platform will work and create value. This builds confidence among decision-makers who have to approve these complex, and often expensive, initiatives.
Host: And the final piece of advice?
Expert: It's about structure. You have to strike a balance between autonomy and integration. Give your platform teams the freedom to operate like a startup, to be fast and externally focused. But also build mechanisms, like an advisory board, to keep them connected to the core business so they can leverage its strengths, like its customer base or brand recognition.
Host: Fantastic. So, for established firms, building a platform is far more than a technology project. It's a fundamental challenge to your business logic, your measurement of value, and your organizational structure.
Host: The lessons from Bosch show that overcoming these hurdles requires deliberate action: fostering a new mindset through clear communication, proving value with early prototypes and the right metrics, and creating autonomous teams that can build the external ecosystems needed to succeed.
Host: Alex Ian Sutherland, thank you for breaking that down for us.
Expert: My pleasure, Anna.
Host: And thanks to all our listeners for tuning into A.I.S. Insights. Join us next time as we explore the intersection of business, technology, and Living Knowledge.
platform economy, incumbent firms, digital transformation, business model innovation, case study, Bosch, ecosystem strategy
MIS Quarterly Executive (2022)
How Instacart Leveraged Digital Resources for Strategic Advantage
Ting Li, Yolande E. Chan, Nadège Levallet
This study analyzes the grocery delivery service Instacart to demonstrate how companies can strategically manage digital resources to gain a competitive edge in a turbulent market. It uses the Instacart case to develop a framework that explains how to navigate the evolving business landscape, create value, and overcome challenges to capturing that value. The paper concludes with five practical recommendations for managers aiming to thrive in the digital world.
Problem
In today's digital economy, businesses have access to powerful and versatile digital resources, but many executives struggle to leverage them effectively. Companies often face difficulties in balancing the creation of value for their entire ecosystem (partners, customers) with capturing sufficient value for their own firm. This study addresses the challenge of how to orchestrate digital resources to achieve sustained strategic advantage amidst fast-emerging competitors and complex partnership dynamics.
Outcome
- Instacart's success is attributed to four key achievements: simultaneously evolving its digital infrastructure and business model, maintaining 'technology ambidexterity' by both exploiting existing tech and exploring new innovations, dynamically managing knowledge flows from its vast data, and building a flexible relationship portfolio with customers, shoppers, and retail partners. - Based on the case, the study offers five key actions for managers: 1) Take bold risks, as there are no predefined limits in the digital world; 2) Build resilience by viewing failures as learning experiments; 3) Leverage third-party services to fill internal knowledge and infrastructure gaps; 4) View rivals and partners as a continuum, as these relationships can change quickly; 5) Create future opportunities by making strategic investments in new ventures.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: In today’s rapidly changing digital world, how can a business not just survive, but thrive? We’re looking at that question through the lens of a fascinating study from MIS Quarterly Executive, titled "How Instacart Leveraged Digital Resources for Strategic Advantage". Host: The study analyzes the grocery delivery giant to create a framework for how any company can gain a competitive edge in a turbulent market. And to help us unpack it, we have our expert analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: Alex, let’s start with the big picture. What’s the core problem this study tackles? It seems like every company has access to digital tools, but not everyone is a winner. Expert: That’s exactly it. The problem isn’t a lack of technology; it’s the struggle to use it effectively. Many executives find themselves in a tough spot. They need to create value for their entire ecosystem—customers, partners, suppliers—but they also need to capture enough of that value to make their own business profitable and sustainable. Expert: It’s a delicate balancing act. The study points out that in the digital economy, you face fast-emerging competitors and complex partnerships, so getting that balance right is critical for survival. Host: So it's not just about having a great app, it's about the whole strategy behind it. How did the researchers approach this? How did they get inside a company like Instacart to understand its strategy? Expert: They essentially became business detectives. The research was a deep-dive case study of Instacart. The authors analyzed press releases, public interviews with executives, and existing case materials. They mapped out the company's journey and strategic decisions, and to ensure accuracy, they even consulted with an academic researcher who was actively working with Instacart on analytics projects. Host: That’s quite thorough. So after all that digging, what did they find? What are the key ingredients to Instacart's success? Expert: The study boils it down to four key achievements. First, they didn't just build a business model and then add technology to it. Their digital infrastructure and their business model grew up together, co-evolving. Host: What does that look like in practice? Expert: Well, by outsourcing the physical assets—the warehouses and inventory—to local grocers, Instacart could focus all its energy on building a superior digital platform. The tech and the business model were perfectly in sync from day one. Host: Okay, that makes sense. What was the second achievement? Expert: They call it 'technology ambidexterity'. It's a fantastic term. It means they were skilled at doing two things at once: exploiting their existing tech to make it better and more efficient, while also exploring brand new, innovative technologies. Expert: So, they were constantly tweaking the app for a smoother user experience, but they also made big moves like acquiring other platform companies to offer new services to their retail partners. It’s about perfecting the present while building the future. Host: And the last two? I imagine data plays a big role. Expert: Absolutely. The third achievement was managing dynamic knowledge flows. Instacart uses its vast stream of data on orders, deliveries, and customer habits to optimize its logistics engine and predict shopping trends. This knowledge is a core competitive asset. Expert: And finally, they built a dynamic relationship portfolio. They understand that in the digital world, a partner today might be a rival tomorrow. When Amazon, an early partner, bought Whole Foods, Instacart didn't panic. They quickly established a new partnership with Walmart to counter the threat. It's about being strategically agile. Host: This is all a brilliant analysis of Instacart, but let's get to the bottom line for our listeners. Why does this matter for a business leader in, say, manufacturing or finance? What are the practical takeaways? Expert: This is the most important part. The study offers five clear, actionable recommendations for any manager. First, take bold risks. The digital world doesn't have the same physical constraints, so don't box in your thinking. Expert: Second, build resilience by viewing failures as experiments. Not every initiative will succeed, but every failure provides data and a lesson. Instacart constantly experimented to find what worked. Host: So it’s a culture of learning, not a fear of failure. What else? Expert: Third, leverage third-party services to fill gaps. Instacart didn’t build its own massive server farms; it used Amazon Web Services to scale quickly. You don’t have to do everything in-house. Expert: Fourth, view rivals and partners as a continuum. The lines are blurry and can change overnight. And finally, create future opportunities by making small, strategic investments in new ventures, whether that's acquiring a small startup or even just its talented team. Host: So, if I were to summarize, it’s not just about having the right digital tools. It's about orchestrating them—making your technology, your business model, your data, and your partnerships work together as a single, agile system. Expert: That's the perfect summary, Anna. It’s about orchestration, not just implementation. Host: Alex, thank you for making this complex study so clear and actionable for us. Expert: My pleasure. Host: And thanks to all of you for tuning in to A.I.S. Insights. We’ll see you next time.
Instacart, digital resources, strategic advantage, platform strategy, value creation, value capture, digital transformation
MIS Quarterly Executive (2021)
How Walmart Canada Used Blockchain Technology to Reimagine Freight Invoice Processing
Mary C. Lacity, Remko Van Hoek
This case study examines how Walmart Canada implemented a blockchain-enabled solution, DL Freight, to overhaul its freight invoice processing system with its 70 third-party carriers. The paper details the business process reengineering and the adoption of a shared, distributed ledger to automate and streamline transactions between the companies. The goal was to create a single, trusted source of information for all parties involved in a shipment.
Problem
Before the new system, up to 70% of freight invoices were disputed, leading to significant delays and high administrative costs for both Walmart Canada and its carriers. The process of reconciling disparate records was manual, time-consuming, and could take weeks or even months, which strained carrier relationships and created substantial financial friction in the supply chain.
Outcome
- Drastically reduced disputed invoices from 70% to under 2%. - Shortened invoice finalization time from weeks or months to within 24 hours of delivery. - Achieved significant cost savings for Walmart Canada and improved cash flow and financial stability for freight carriers. - Increased transparency and trust, leading to improved relationships between Walmart and its partners. - Streamlined the process from a complex 11-step workflow to an efficient 5-step automated one.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we're diving into a fascinating case study titled "How Walmart Canada Used Blockchain Technology to Reimagine Freight Invoice Processing." Host: It details how Walmart Canada and its 70 third-party carriers completely overhauled their freight invoicing system using a shared, blockchain-enabled platform to create a single, trusted source of information for every shipment. Host: And to help us unpack this, we have our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Thanks for having me, Anna. Host: So, Alex, before we get into the high-tech solution, let's talk about the problem. What was so broken about the old system? Expert: It was a massive headache, Anna. The study highlights that up to 70% of freight invoices were disputed. Imagine that—seven out of every ten invoices caused a problem. Host: Seventy percent? That sounds incredibly inefficient. Expert: Exactly. This created huge administrative costs and long payment delays. The process of reconciling who was right and who was wrong was manual, complex, and could take weeks, sometimes months. Expert: It wasn't just about money; it was straining relationships. The study notes the situation had reached a 'breaking point', with carriers threatening to stop working with Walmart because they weren't getting paid on time. Host: So it was a financial drain and a relationship killer. A classic supply chain nightmare. Expert: Precisely. As the former CIO described it, it involved "a small army of people on both sides" just chasing down facts. Host: So Walmart Canada knew they needed a drastic change. How did they approach this? What does the study describe? Expert: They didn't just want to patch the old system. The study points out a senior executive asked a key question: ‘Instead of reducing reconciliations, can we remove them altogether?’ That reframed everything. Expert: They partnered with a technology firm, DLT Labs, to build a platform called DL Freight. The core idea was to stop creating separate invoices after delivery. Instead, they would jointly build one single, shared invoice on the blockchain while the shipment was in progress. Host: So it's like both parties are looking at the same digital document from start to finish? Expert: That's the perfect way to put it. A single source of truth, updated in near real-time with data from GPS and other IoT devices on the trucks. Host: And the results were... pretty impressive, from what the study found. Expert: Impressive is an understatement. The study reported that disputed invoices dropped from that 70% figure down to under 2%. Host: Wow. From 70 percent to less than two. What did that do for the payment timeline? Expert: It completely changed the game. Invoice finalization went from taking weeks or even months to happening within 24 hours of delivery. This meant carriers got paid on time, dramatically improving their cash flow and financial stability. Host: And the process itself must have gotten simpler. Expert: Absolutely. The study visually shows how the old, manual workflow had 11 complex steps. The new, automated process on the blockchain has just five efficient steps, eliminating all the manual checking and arguing. Expert: And just as importantly, it rebuilt trust. With full transparency, those strained relationships improved dramatically. Host: This is the key question for our listeners, Alex. It's a great story for Walmart, but what are the broader takeaways for other businesses, even those outside of logistics? Expert: The first big takeaway is that this is a prime example of blockchain solving a tangible, expensive business problem. It’s a model for any industry where multiple companies need to trust the same set of data. Expert: Think about royalty payments, insurance claims, or complex manufacturing. Anywhere you have disputes and reconciliation costs, a shared, distributed ledger could be the answer. Host: So it’s about identifying that costly friction that happens between companies. Expert: Exactly. And the study offers another critical strategic lesson: reengineer the process *before* you automate. They didn't just digitize a broken 11-step process. They re-imagined a better 5-step process and then built the technology to support it. Expert: One final point: the data becomes a new strategic asset. The study notes that Walmart is now using the trusted, real-time data to run predictive analytics and find new efficiencies in their business. Host: This has been incredibly insightful. So, to sum up: Walmart Canada faced a massive invoice dispute problem that was costing them money and damaging partnerships. Host: They implemented a blockchain solution, not just to speed things up, but to fundamentally reengineer the process, creating a single, trusted source of truth for themselves and their 70 carriers. Host: The results were a staggering drop in disputes, faster payments, and stronger relationships. And the key lesson for all businesses is to look for that friction between companies and consider how a shared, trusted system could eliminate it. Host: Alex Ian Sutherland, thank you so much for breaking this down for us. Expert: My pleasure, Anna. Host: And thank you for tuning in to A.I.S. Insights — powered by Living Knowledge. Join us next time as we translate academic research into actionable business intelligence.
Blockchain, Supply Chain Management, Freight Invoice Processing, Walmart Canada, Interfirm Processes, Process Automation, Digital Transformation
MIS Quarterly Executive (2021)
Models for API Value Generation
Nigel P. Melville, Rajiv Kohli
This study investigates how non-tech companies can effectively leverage Application Programming Interfaces (APIs) to create business value. Through in-depth case studies of three large firms in the education, distribution, and healthcare sectors, the research identifies and defines three distinct models for API value generation. Each model is characterized by a different combination of investment in people, processes, and technology, offering a unique value proposition.
Problem
While APIs are known to enable cost savings, revenue enhancement, and new business models, there is limited understanding of how traditional, non-tech firms actually use them to achieve these benefits. This research addresses the gap by providing clear frameworks that companies can use to assess their API strategy and maturity.
Outcome
- The research identified three distinct models for API value generation: the Efficiency Value Model (EVM), the Focused Value Model (FVM), and the Transformed Value Model (TVM). - The Efficiency Value Model (EVM) is the most basic, focusing on using APIs for internal efficiency gains like faster system integration and application development. - The Focused Value Model (FVM) is more strategic, involving significant investment in an API infrastructure to drive value in a specific business area, such as e-commerce or supply chain management. - The Transformed Value Model (TVM) is the most advanced, where an extensive, firm-wide API infrastructure is used to fundamentally change the business, create new services, and lead industry innovation. - The study concludes that successful API strategy requires a holistic infrastructure encompassing people, processes, and technology, and recommends a series of strategic and tactical actions for firms to develop their API capabilities.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge, the podcast where we connect academic research to real-world business strategy. I’m your host, Anna Ivy Summers. Host: Today, we’re diving into a study called “Models for API Value Generation.” It investigates how traditional, non-tech companies can effectively use Application Programming Interfaces—or APIs—to create tangible business value. Host: With me is our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Thanks for having me, Anna. Host: Alex, many of our listeners hear the term 'API' and think it’s purely a technical concern for the IT department. But this study suggests that’s a big misunderstanding. What’s the real-world problem it’s trying to solve? Expert: Exactly. The problem is that while we know APIs can drive cost savings and create new revenue streams, there’s very little guidance on *how* traditional firms can actually achieve this. They know the tool exists, but they don't have a blueprint for using it. Expert: The study uses the example of Walgreens in the early 2010s. They had photo printing machines in every store, but customers were all using smartphones. By creating a photo printing API, they allowed hundreds of app developers to connect directly to their printers. This drove a huge increase in photo printing and store revenue. That’s the potential, but most non-tech firms struggle to make that leap. Host: So they needed a bridge between their existing assets and new technology. How did the researchers explore this challenge? What was their approach? Expert: They took a very practical, real-world approach. They went inside three large, established companies in very different sectors: education, distribution, and healthcare. They conducted in-depth interviews with executives and managers to understand their API journeys from the ground up—what worked, what didn't, and what value was created. Host: And by looking at those different journeys, what were the main findings? Expert: The core finding is that companies evolve. There isn't just one way to use APIs. The research identified three distinct models that represent a spectrum of maturity. They call them the Efficiency Value Model, the Focused Value Model, and the Transformed Value Model. Host: Okay, let's break those down. What is the Efficiency Value Model? Expert: Think of this as the entry point. It’s the most common model, where firms use APIs primarily for internal efficiency. This means connecting different systems faster, speeding up application development, and reducing maintenance costs. The educational services firm in the study used this to make it much easier for developers to access data, saving huge amounts of time and effort. Host: So, starting with internal housekeeping. What's the next step up, the Focused Value Model? Expert: The Focused model is where a company starts being truly strategic. They make a significant investment in an API infrastructure, but they target it at a specific, high-value business area, like their e-commerce platform or supply chain. Expert: The building supplies distributor in the study did this. They created a robust API platform centered on their B2B sales, which not only made them more efficient but also opened up a platform for innovation and new services for their business customers. Security and governance become much more serious at this stage. Host: And that brings us to the final model, which sounds like the ultimate goal: the Transformed Value Model. Expert: It really is. In the Transformed model, APIs are no longer just an IT initiative; they are at the heart of the company's entire business strategy. The firm uses a comprehensive, enterprise-wide API infrastructure to fundamentally change how it operates, create new services, and position itself as an industry leader. Expert: The healthcare provider in the study, Sentara Healthcare, is a perfect example. They used APIs to build what they call "capabilities-as-a-service." This agility meant that during the COVID-19 pandemic, they were able to scale their telehealth appointments by 100 times in just one week—a feat their competitors couldn't match. Host: That’s a powerful example. So, Alex, this is the most important question for our audience: why does this matter for business? What is the key takeaway for a leader listening right now? Expert: The single most important takeaway is that a successful API strategy requires a holistic infrastructure of people, processes, and technology. You can't just buy a software platform and expect results. You need the right skills, the right governance, and a business-first mindset. Host: So it's a cultural shift as much as a technical one. Expert: Precisely. These three models give leaders a roadmap. They can audit their current activities to understand where they are today—are they an Efficiency firm? And then they can align their API strategy with their broader business goals to decide where they need to be. Expert: The study also recommends a crucial mental shift from treating APIs as IT projects to treating them as business products, with dedicated managers and a clear vision. They even suggest appointing an "API Evangelist" to champion this vision across the entire organization. Host: A fascinating framework. So, to summarize for our listeners: successfully leveraging APIs is a journey of maturity. Firms often move from using them for internal **Efficiency**, to targeting a **Focused** business area for strategic gain, and ultimately, to using them to **Transform** their entire business model and lead their industry. Host: And the key to making that journey successful isn't just the tech, but creating a holistic strategy that combines people, processes, and a clear vision from leadership. Host: Alex, thank you for decoding this complex topic for us. Expert: My pleasure, Anna. Host: And thank you all for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time for more actionable insights from the world of research.
API, API value generation, digital innovation, business value models, API infrastructure, digital transformation, non-tech firms
MIS Quarterly Executive (2021)
Designing and Implementing Digital Twins in the Energy Grid Sector
Christian Meske, Karen S. Osmundsen, Iris Junglas
This study analyzes the case of a Norwegian power grid company and its technology partners successfully designing and implementing a digital twin—a virtual replica—of its energy grid. The paper details the multi-phase project, focusing on the collaborative development process and the organizational changes it spurred. It serves as a practical guide by providing recommendations for other companies embarking on similar digital transformation initiatives.
Problem
Energy grid operators face increasing challenges from renewable energy integration, climate change-related weather events, and aging infrastructure. While digital twin technology offers a powerful solution for monitoring and managing these complex systems, real-world implementations are still uncommon, and there is little practical guidance on how to successfully develop and deploy them.
Outcome
- The digital twin provides real-time and historical insights into the grid's status, enabling proactive maintenance, prediction of component failures, and more efficient management of power loads. - It serves as a powerful simulation tool to model future scenarios, such as the impact of increased electrification from electric ferries, allowing for better long-term planning and investment. - Successful implementation requires a strong focus on organizational learning, innovative co-creation with technology partners, and continuous feedback from end-users throughout the project. - The project highlighted the critical importance of evolving data governance, forcing the company to tackle complex issues of data security, integration, and standardization to unlock the full potential of the digital twin.
Host: Welcome to A.I.S. Insights, the podcast powered by Living Knowledge, where we translate complex research into clear business strategy. I'm your host, Anna Ivy Summers. Host: Today, we're diving into a fascinating study from MIS Quarterly Executive titled "Designing and Implementing Digital Twins in the Energy Grid Sector". Host: It analyzes how a Norwegian power grid company built a virtual replica of its entire energy network. It's a look under the hood of a massive digital transformation project, offering a guide for any company considering a similar leap. Host: To help us unpack this, we have our expert analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: Alex, before we get into the solution, let's talk about the problem. Why would an energy company undertake such a complex and expensive project? What challenges are they facing? Expert: It's a perfect storm, really. Grid operators are dealing with aging infrastructure, but at the same time, they're facing huge new pressures. Expert: The study highlights things like integrating unpredictable renewable energy from wind and solar, and the increasing frequency of extreme weather events that can physically damage the grid. The old ways of managing the system just aren't enough to handle this new level of complexity. Host: So they’re trying to manage a 21st-century energy landscape with 20th-century tools. Expert: Precisely. And while a digital twin—this virtual replica—seems like the perfect answer, the study points out that successful real-world examples are rare, and there isn't a clear roadmap for companies to follow. Host: So how did the researchers approach this? How did they create that roadmap? Expert: They took a very practical, in-depth approach. They conducted a multi-year case study of the Norwegian company, which the study calls 'GridCo', and its technology partner, 'DigitalCo'. Expert: Over three years, they followed the project through three distinct phases: first, generating ideas; second, experimenting and building prototypes; and third, specifying and scaling the final solution. It was about observing the real process, not just the technical specifications. Host: Let's get to the results of that process. What did they find? What can this digital twin actually do for the company? Expert: The outcomes were powerful. First, it gives operators a live, interactive map of the entire grid. They can see the real-time status of any component, look at historical data to spot trends, and even predict component failures before they happen. This allows them to move from being reactive to proactive with maintenance. Host: That alone sounds like a game-changer, preventing power outages before they occur. What else? Expert: The second major finding was its power as a simulation tool. The study gives a fantastic example: Norway plans to make its entire passenger ferry fleet electric. Host: That must put a massive new strain on the grid. Expert: An enormous strain, every time a ferry docks to recharge. With the digital twin, GridCo could simulate that exact scenario. They could see where the grid would be overloaded and plan for the necessary upgrades *before* the first electric ferry was even launched. It's essentially a crystal ball for infrastructure planning. Host: That’s incredible. The summary also mentions that organizational learning and collaboration were key findings. It wasn't just about the tech, then? Expert: Not at all, and this is maybe the most important takeaway. The study found that success was completely dependent on the deep collaboration—what they call "innovative co-creation"—between the grid experts and the technology developers. Expert: It also forced the company to fundamentally tackle its data governance. Energy grid data is incredibly sensitive. They had to build new systems for data security, integration, and standardization to make the whole thing work. The technology forced a necessary, and difficult, organizational change. Host: This brings us to the crucial question for our listeners, Alex. This is a study about an energy company in Norway. Why should a logistics director or a factory manager care about this? What's the big business takeaway? Expert: There are three key takeaways for any leader in any industry dealing with physical assets. First, a digital twin project is not an IT project; it's a business transformation project. The biggest value comes from the new ways of working and the organizational learning it forces. Host: So the process itself creates value, not just the final product. Expert: Exactly. Second, the technology must solve a real, high-stakes business problem. For GridCo, it was managing the green energy transition. For a manufacturer, it might be reducing factory downtime. The business need has to drive the technology, not the other way around. Expert: And third, you have to build it *with* your end-users, not *for* them. The study emphasizes that constant feedback from the grid operators was essential. Using workshops, prototypes, and a step-by-step process ensures you build a tool that people will actually use and that provides real value. Host: Wonderful insights. So, to summarize for our audience: digital twins are powerful, but their true potential is unlocked when they are used as a catalyst for broader change. Host: Success requires deep collaboration, a focus on solving core business problems, and a commitment to evolving your organization—especially how you govern and use data. Host: Alex Ian Sutherland, thank you for making this complex study so clear and actionable. Expert: My pleasure, Anna. Host: And thank you for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we continue to bridge the gap between academic research and real-world results.
Digital Twin, Energy Sector, Grid Management, Digital Transformation, Organizational Learning, Co-creation, Data Governance
MIS Quarterly Executive (2021)
How Fujitsu and Four Fortune 500 Companies Managed Time Complexities Using Organizational Agility
Daniel Gerster, Christian Dremel, Kieran Conboy, Robert Mayer, Jan vom Brocke
This study examines how established companies can manage time-related challenges during digital transformation by using organizational agility. It presents a detailed case study of Fujitsu's successful attempt to set a Guinness World Record and analyzes four additional cases from Fortune 500 companies to provide actionable recommendations.
Problem
In today's fast-paced business environment, large, established enterprises struggle to innovate and respond quickly to market changes, a challenge known as managing 'time complexities'. Traditional methods are often too rigid, leading to delays and failed projects, highlighting a gap in understanding how to effectively manage different dimensions of time—such as deadlines, scheduling, and team coordination—during complex digital initiatives.
Outcome
- Organizational agility is a crucial capability for managing the multifaceted 'time complexities' inherent in digital transformation, which include timing types, temporal interdependencies, and individual management styles. - The study identifies two effective approaches for adopting agile practices: a selective, 'bottom-up' approach for isolated, high-pressure projects (as seen with Fujitsu), and a proactive, 'top-down' implementation of scaled agile for organization-wide challenges. - Key success factors include top management commitment, empowering small, dedicated teams, creating 'agile islands' for specific goals, and leveraging a strong partner ecosystem. - Agile practices like iterative sprints, focusing on minimum functionality, and fostering a culture that tolerates failure help organizations synchronize tasks and respond effectively to unexpected challenges and tight deadlines.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: In business, time is everything. But what happens when managing time becomes more complex than just meeting a deadline? Host: Today, we’re diving into a fascinating study titled, "How Fujitsu and Four Fortune 500 Companies Managed Time Complexities Using Organizational Agility". Host: With me is our expert analyst, Alex Ian Sutherland, who has studied this work in depth. Alex, welcome. Expert: Great to be here, Anna. Host: This study examines how established companies can handle time-related challenges during digital transformation. It uses a really unique case—Fujitsu’s attempt to set a Guinness World Record—to draw some powerful lessons. Host: So, let's start with the core problem. The study talks about ‘time complexities’. What does that actually mean for a business? Isn't it just about being faster? Expert: That's the common misconception. It’s not just about speed. 'Time complexities' refer to all the tangled ways time impacts a project. Expert: Think about it: you have hard deadlines, which is 'clock time'. But you also have dependencies, where one team can't start until another finishes. That's about sequencing and coordination. Expert: Then add in different team schedules, time zones, and even individual management styles—some people thrive under pressure, others don't. The study found that large companies really struggle to juggle all these temporal dimensions, especially when they're trying to innovate. Their traditional, rigid processes just can't keep up. Host: That makes sense. It’s a much richer view of time. So how did the researchers untangle this problem? Expert: They took a really practical approach. They conducted an in-depth case study of a single, high-stakes project at Fujitsu. Expert: Fujitsu decided to set a Guinness World Record for the largest animated tablet PC mosaic—coordinating over 200 tablets to act as a single screen. And they had an immovable deadline of less than three months. Host: Wow, no pressure there. Expert: Exactly. It was the perfect pressure cooker to observe these time complexities in action. To make the findings more robust, they then compared the Fujitsu case with four other Fortune 500 companies that were also using agile methods to tackle their own large-scale challenges. Host: So what was the secret sauce? What did the study find was the key to managing this complexity? Expert: In a word: agility. But a very specific, intentional form of organizational agility. It's the capability to not just move fast, but to sense and respond to unexpected problems. Host: We hear the word 'agile' a lot. What did it look like in practice here? Expert: The study identified two distinct and effective paths. For Fujitsu's one-off, high-pressure goal, they used what you could call a 'bottom-up' approach. Expert: They created an 'agile island'—a small, fully dedicated team, led by a project manager who was given extraordinary power to bypass normal rules, control the budget, and make instant decisions. Host: So they were shielded from the usual corporate bureaucracy. Expert: Precisely. For the other companies facing broader, organization-wide digital transformation, a more structured, 'top-down' approach was needed. They implemented scaled agile frameworks across entire departments to change how everyone worked, not just one team. Host: This is fantastic. So for our listeners leading teams and businesses, what are the key, actionable takeaways? Expert: I’d boil it down to three main points. First, leaders need to re-think how they see time. It’s not just a resource to be managed; it’s a dynamic challenge with multiple dimensions. Acknowledging that is the first step. Host: Okay, so a broader perspective on time. What’s second? Expert: Second, choose your agile strategy wisely. Are you tackling a specific, high-stakes project? Then maybe the 'agile island' model is for you. Create a small, empowered commando team and protect them from the rest of the organization. Expert: But if you're trying to change the entire company's metabolism to compete with new rivals, you need a more systemic, top-down approach with clear executive sponsorship. Host: And the third takeaway? Expert: Empowerment isn't a buzzword; it's a prerequisite. The Fujitsu team succeeded because top management trusted them. They made it clear that failure was an option, which gave the team the psychological safety to experiment and solve problems quickly. The project manager insisted on this before he even took the job. Host: That’s incredibly insightful, Alex. So, to recap: managing time in the digital age is about more than just speed; it’s about navigating 'time complexities'. Host: Organizational agility is the key capability, and businesses can adopt it through a targeted 'bottom-up' approach for special projects, or a broad 'top-down' transformation for systemic change. Host: And none of it works without genuine empowerment and a culture where it's safe to fail fast and learn. Host: Alex Ian Sutherland, thank you so much for breaking that down for us. Expert: My pleasure, Anna. Host: And a big thank you to our listeners for tuning in to A.I.S. Insights. Join us next time as we continue to explore the ideas shaping the future of business.
Organizational Agility, Time Complexities, Digital Transformation, Agile Practices, Case Study, Project Management, Scaled Agile