International Conference on Wirtschaftsinformatik (2025)
Understanding Affordances in Health Apps for Cardiovascular Care through Topic Modeling of User Reviews
Aleksandra Flok
This study analyzed over 37,000 user reviews from 22 health apps designed for cardiovascular care and heart failure. Using a technique called topic modeling, the researchers identified common themes and patterns in user experiences. The goal was to understand which app features users find most valuable and how they interact with them to manage their health.
Problem
Cardiovascular disease is a leading cause of death, and mobile health apps offer a promising way for patients to monitor their condition and share data with doctors. However, for these apps to be effective, they must be designed to meet patient needs. There is a lack of understanding regarding what features and functionalities users actually perceive as helpful, which hinders the development of truly effective digital health solutions.
Outcome
- The study identified six key patterns in user experiences: Data Management and Documentation, Measurement and Monitoring, Vital Data Analysis and Evaluation, Sensor-Based Functions & Usability, Interaction and System Optimization, and Business Model and Monetization. - Users value apps that allow them to easily track, store, and share their health data (e.g., heart rate, blood pressure) with their doctors. - Key functionalities that users focus on include accurate measurement, real-time monitoring, data visualization (graphs), and user-friendly interfaces. - The findings provide a roadmap for developers to create more patient-centric health apps, focusing on the features that matter most for managing cardiovascular conditions effectively.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we're diving into the world of digital health, guided by a fascinating study called "Understanding Affordances in Health Apps for Cardiovascular Care through Topic Modeling of User Reviews." Host: In simple terms, this study analyzed over 37,000 user reviews from 22 health apps for heart conditions to figure out what features patients actually find valuable, and how they use them to manage their health. Host: With me to unpack this is our analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: So Alex, let's start with the big picture. Why was this study needed? What's the problem it's trying to solve? Expert: The problem is massive. Cardiovascular disease is a leading cause of death globally. Now, mobile health apps seem like a perfect solution for patients to monitor their condition and share data with doctors. Expert: But there's a disconnect. Companies are building these apps, but for them to actually work and be adopted, they have to meet real patient needs. Expert: The study highlights that there’s a critical lack of understanding about what users truly perceive as helpful. Without that knowledge, developers are often just guessing, which can lead to ineffective or abandoned apps. Host: So we have the technology, but we're not sure if we're building the right things with it. How did the researchers figure out what users really want? Expert: They used a very clever A.I. technique called topic modeling. Imagine feeding an algorithm tens of thousands of user reviews from the Google Play Store—37,693 to be exact. Expert: The A.I. then reads through all of that text and automatically identifies and groups the core themes and patterns people are talking about. It’s a powerful way to hear the collective voice of the user base. Host: It sounds like a direct line into the user's mind. So, what did this "collective voice" say? What were the key patterns they found? Expert: The analysis boiled everything down to six key patterns in the user experience. The first, and maybe most important, was Data Management and Documentation. Expert: Users consistently praised apps that made it simple to track, store, and especially share their health data with their doctors. One user review literally said, "The ability to save to PDF is great so I can send it to my doctor." Host: That direct link to the clinician is clearly crucial. What else stood out? Expert: The second pattern was Measurement and Monitoring. This is the table stakes. Users expect accurate, real-time tracking of things like heart rate and blood pressure. Expert: But it connects to the third pattern: Vital Data Analysis and Evaluation. Users don't just want raw numbers; they want to understand them. They value clear graphs and history logs to see trends over time. Host: So it's about making the data meaningful. Expert: Exactly. The other key patterns were Sensor-Based Functions and Usability—meaning the app has to be simple and reliable—and Interaction and System Optimization, which is about how the app helps them manage their health, like seeing how a new medication affects their heart rate. Host: You mentioned six patterns. What was the last one? Expert: The last one is a big one for any business: Business Model and Monetization. Users were very vocal about payment models. They expressed real frustration when essential features were locked behind a subscription paywall. Host: That’s a critical insight. This brings us to the most important question, Alex. What does all of this mean for business? What are the practical takeaways for developers or healthcare companies? Expert: I see three major takeaways. First, build what matters. This study provides a data-driven roadmap. Instead of adding flashy but useless features, focus on perfecting these six core areas, especially seamless data management and sharing. Expert: Second, usability is non-negotiable. The user base for these apps includes patients who may be older or less tech-savvy. An app that is "easy to use" with "nice graphics and easy understanding data," as users noted, will always win. Host: And I imagine the monetization piece is a key lesson. Expert: Absolutely. That’s the third takeaway: monetize thoughtfully. Hiding critical health-tracking functions behind a paywall is a fast way to get negative reviews and lose user trust. A better strategy might be a freemium model where core monitoring is free, but advanced analytics or personalized coaching are premium features. Host: So it’s about providing clear value before asking users to pay. Expert: Precisely. The goal is to build a tool that becomes an indispensable part of their health management, not a source of frustration. Host: This has been incredibly insightful. So, to summarize: for a health app to succeed in the cardiovascular space, it needs to be more than just a data collector. Host: It must be a patient-centric tool that excels at data management and sharing, offers clear analysis, is incredibly easy to use, and is built on a fair and transparent business model. Host: Alex, thank you so much for breaking down this complex research into such clear, actionable advice. Expert: My pleasure, Anna. Host: And a big thank you to our listeners for tuning into A.I.S. Insights, powered by Living Knowledge. We'll see you next time.
topic modeling, heart failure, affordance theory, health apps, cardiovascular care, user reviews, mobile health
International Conference on Wirtschaftsinformatik (2025)
Towards an AI-Based Therapeutic Assistant to Enhance Well-Being: Preliminary Results from a Design Science Research Project
Katharina-Maria Illgen, Enrico Kochon, Sergey Krutikov, and Oliver Thomas
This study introduces ELI, an AI-based therapeutic assistant designed to complement traditional therapy and enhance well-being by providing accessible, evidence-based psychological strategies. Using a Design Science Research (DSR) approach, the authors conducted a literature review and expert evaluations to derive six core design objectives and develop a simulated prototype of the assistant.
Problem
Many individuals lack timely access to professional psychological support, which has increased the demand for digital interventions. However, the growing reliance on general AI tools for psychological advice presents risks of misinformation and lacks a therapeutic foundation, highlighting the need for scientifically validated, evidence-based AI solutions.
Outcome
- The study established six core design objectives for AI-based therapeutic assistants, focusing on empathy, adaptability, ethical standards, integration, evidence-based algorithms, and dependable support. - A simulated prototype, named ELI (Empathic Listening Intelligence), was developed to demonstrate the implementation of these design principles. - Expert evaluations rated ELI positively for its accessibility, usability, and empathic support, viewing it as a beneficial tool for addressing less severe psychological issues and complementing traditional therapy. - Key areas for improvement were identified, primarily concerning data privacy, crisis response capabilities, and the need for more comprehensive therapeutic approaches.
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 study that sits at the intersection of artificial intelligence and mental well-being. It’s titled, "Towards an AI-Based Therapeutic Assistant to Enhance Well-Being: Preliminary Results from a Design Science Research Project." Host: In essence, the study introduces an AI assistant named ELI, designed to complement traditional therapy and make evidence-based psychological strategies more accessible to everyone. Here to break it all down for us is our analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: Alex, let's start with the big picture. What is the real-world problem that a tool like ELI is trying to solve? Expert: The core problem is access. The study highlights that many people simply can't get timely psychological support. This has led to a surge in demand for digital solutions. Host: So people are turning to technology for help? Expert: Exactly. But there's a risk. The study points out that many are using general AI tools, like ChatGPT, for psychological advice, or even self-diagnosing based on social media trends. These sources often lack a scientific or therapeutic foundation, which can lead to dangerous misinformation. Host: So there’s a clear need for a tool that is both accessible and trustworthy. How did the researchers approach building such a system? Expert: They used a methodology called Design Science Research. Instead of just building a piece of technology and hoping it works, this is a very structured, iterative process. Host: What does that look like in practice? Expert: It means they started with a comprehensive review of existing psychological and technical literature. Then, they worked directly with psychology experts to define core requirements. From there, they built a simulated prototype, got feedback from the experts, and used that feedback to refine the design. It's a "build, measure, learn" cycle that ensures the final product is grounded in real science and user needs. Host: That sounds incredibly thorough. After going through that process, what were some of the key findings? Expert: The first major outcome was a set of six core design objectives for any AI therapeutic assistant. These are essentially the guiding principles for building a safe and effective tool. Host: Can you give us a few examples of those principles? Expert: Certainly. They focused heavily on things like empathy and trust, ensuring the AI could build a therapeutic relationship. Another was basing all interventions on evidence-backed methods, like Cognitive Behavioral Therapy. And crucially, establishing strong ethical standards, especially around data privacy and having clear crisis response mechanisms. Host: So they created the principles, and then built a prototype based on them called ELI. How was it received? Expert: The expert evaluations were quite positive. Psychologists rated the ELI prototype highly for its usability, its accessibility via smartphone, and its empathic support. They saw it as a valuable tool, especially for helping with less severe issues or providing support between traditional therapy sessions. Host: That sounds promising, but were there any concerns? Expert: Yes, and they're important. The experts identified key areas for improvement. Data privacy was a major one—users need to know exactly how their sensitive information is being handled. They also stressed the need for more robust crisis response capabilities, for instance, in detecting if a user is in immediate danger. Host: That brings us to the most important question for our listeners. Alex, why does this study matter for the business world? Expert: It matters on several fronts. First, for any leader concerned with employee wellness, this provides a blueprint for a scalable support tool. An AI like ELI could be integrated into corporate wellness programs to help manage stress and prevent burnout before it becomes a crisis. Host: A proactive tool for mental health in the workplace. What else? Expert: For the tech industry, this is a roadmap for responsible innovation. The study's design objectives offer a clear framework for developing AI health tools that are ethical, evidence-based, and build user trust. It moves beyond the "move fast and break things" mantra, which is essential in healthcare. Host: So it’s about building trust with the user, which is key for any business. Expert: Absolutely. The findings on user privacy and the need for transparency are a critical lesson for any company handling personal data, not just in healthcare. Building a trustworthy product isn't just an ethical requirement; it's a competitive advantage. This study shows that when it comes to well-being, you can't afford to get it wrong. Host: A powerful insight. Let's wrap it up there. What is the one key takeaway we should leave with? Host: Today we learned about ELI, an AI therapeutic assistant built on a foundation of rigorous research. The study shows that while AI holds immense potential to improve access to well-being support, its success and safety depend entirely on a thoughtful, evidence-based, and deeply ethical design process. Host: Alex Ian Sutherland, thank you so much for your insights today. Expert: My pleasure, Anna. Host: And thank you to our audience for tuning into A.I.S. Insights. Join us next time as we continue to explore the intersection of technology and business.
AI Therapeutics, Well-Being, Conversational Assistant, Design Objectives, Design Science Research
International Conference on Wirtschaftsinformatik (2025)
Workarounds—A Domain-Specific Modeling Language
Carolin Krabbe, Agnes Aßbrock, Malte Reineke, and Daniel Beverungen
This study introduces a new visual modeling language called Workaround Modeling Notation (WAMN) designed to help organizations identify, analyze, and manage employee workarounds. Using a design science approach, the researchers developed this notation and demonstrated its practical application using a real-world case from a manufacturing company. The goal is to provide a structured method for understanding the complex effects of these informal process deviations.
Problem
Employees often create 'workarounds' to bypass inefficient or problematic standard procedures, but companies lack a systematic way to assess their impact. This makes it difficult to understand the complex chain reactions these workarounds can cause, leading to missed opportunities for innovation and unresolved underlying issues. Without a clear framework, organizations struggle to make consistent decisions about whether to adopt, modify, or prevent these employee-driven solutions.
Outcome
- The primary outcome is the Workaround Modeling Notation (WAMN), a domain-specific modeling language designed to map the causes, actions, and consequences of workarounds. - WAMN enables managers to visualize the entire 'workaround-to-innovation' lifecycle, treating workarounds not just as deviations but as potential bottom-up process improvements. - The notation uses clear visual cues, such as color-coding for positive and negative effects, to help decision-makers quickly assess the risks and benefits of a workaround. - By applying WAMN to a manufacturing case, the study demonstrates its ability to untangle complex interconnections between multiple workarounds and their cascading effects on different organizational levels.
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 topic that happens in every company but is rarely managed well: employee workarounds. We’ll be discussing a fascinating study titled “Workarounds—A Domain-Specific Modeling Language.” Host: To help us unpack it, we have our expert analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: So, this study introduces a new visual language to help organizations identify and manage these workarounds. First, Alex, can you set the scene for us? What’s the big problem with workarounds that this study is trying to solve? Expert: Absolutely. The core problem is that companies are flying blind. Employees invent workarounds all the time to get their jobs done, bypassing procedures they see as inefficient. But management often has no systematic way to see what’s happening or to understand the impact. Host: So they’re like invisible, unofficial processes running inside the official ones? Expert: Exactly. And the study points out that these can cause complex chain reactions. A simple shortcut in one department might solve a local problem but create a massive compliance risk or data quality issue somewhere else down the line. Without a clear framework, businesses can't decide if a workaround is a brilliant innovation to be adopted or a dangerous liability to be stopped. Host: That makes sense. You can’t manage what you can’t see. How did the researchers approach creating a solution for this? Expert: They used an approach called Design Science. Instead of just observing the problem, they set out to build a practical tool to solve it. In this case, they designed and developed a brand-new modeling language specifically for visualizing workarounds. Then they tested its applicability using a real-world case from a large manufacturing company. Host: So they built a tool for the job. What was the main outcome? What does this tool, this new language, actually do? Expert: The primary outcome is called the Workaround Modeling Notation, or WAMN for short. Think of it as a visual blueprint for workarounds. It allows a manager to map out the entire story: what caused the workaround, what the employee actually does, and all the consequences that follow. Host: And what makes it so effective? Expert: A few things. First, it treats workarounds not just as deviations, but as potential bottom-up innovations. It reframes the conversation. Second, it uses really clear visual cues. For example, positive effects of a workaround are colored green, and negative effects are red. Host: I like that. It sounds very intuitive. You can see the balance of good and bad immediately. Expert: Precisely. In the manufacturing case they studied, one workaround saved time on the assembly line—a positive, green effect. But it also led to inaccurate inventory records—a negative, red effect. WAMN puts both of those impacts on the same map, making the trade-offs crystal clear and untangling how one workaround can cascade into another. Host: This is the key part for our listeners. Alex, why does this matter for business? What are the practical takeaways for a manager or executive? Expert: This is incredibly practical. First, WAMN gives you a structured way to stop guessing. You can move from anecdotes about workarounds to a data-driven conversation about their true costs and benefits. Host: So it helps you make better decisions. Expert: Yes, and it helps you turn employee creativity into a competitive advantage. That clever shortcut an employee designed might be a brilliant process improvement waiting to be standardized across the company. WAMN provides a path to identify and scale those bottom-up innovations safely. Host: So it’s a tool for both risk management and innovation. Expert: Exactly. It helps you decide whether to adopt, adapt, or prevent a workaround. The study mentions creating a "workaround board"—a dedicated group that uses these visual maps to make informed decisions. It creates a common language for operations, IT, and management to collaborate on improving how work actually gets done. Host: Fantastic. So, to summarize for our audience: companies are filled with employee workarounds that are often invisible and poorly understood. Host: This study created a visual language called WAMN that allows businesses to map these workarounds, clearly see their positive and negative effects, and treat them as a source of potential innovation. Host: Ultimately, it’s about making smarter, more consistent decisions to improve processes from the ground up. Alex, thank you so much for breaking that down for us. Expert: My pleasure, Anna. Host: And thanks to our audience for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we decode another key piece of research for your business.
Workaround, Business Process Management, Domain-Specific Modeling Language, Design Science Research, Process Innovation, Organizational Decision-Making
International Conference on Wirtschaftsinformatik (2025)
Exploring Algorithmic Management Practices in Healthcare – Use Cases along the Hospital Value Chain
Maximilian Kempf, Filip Simić, Maria Doerr, and Alexander Benlian
This study explores how algorithmic management (AM), the use of algorithms for tasks typically done by human managers, is being applied in hospitals. Through nine semi-structured interviews with doctors and software providers, the research identifies and analyzes specific use cases for AM across the hospital's operational value chain, from patient admission to administration.
Problem
While AM is well-studied in low-skill, platform-based work like ride-hailing, its application in traditional, high-skill industries such as healthcare is not well understood. This research addresses the gap by investigating how these algorithmic systems are embedded in complex hospital environments to manage skilled professionals and critical patient care processes.
Outcome
- The study identified five key use cases of algorithmic management in hospitals: patient intake management, bed management, doctor-to-patient assignment, workforce management, and performance monitoring. - In admissions, algorithms help prioritize patients by urgency and automate bed assignments, significantly improving efficiency and reducing staff's administrative workload. - For treatment and administration, AM systems assign doctors to patients based on expertise and availability, manage staff schedules to ensure fairer workloads, and track performance through key metrics (KPIs). - While AM can increase efficiency, reduce stress through fairer task distribution, and optimize resource use, it also introduces pressures like rigid schedules and raises concerns about the transparency of performance evaluations for medical staff.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we’re looking at where artificial intelligence is making inroads in one of the most human-centric fields imaginable: healthcare. Host: We’re diving into a study called "Exploring Algorithmic Management Practices in Healthcare – Use Cases along the Hospital Value Chain." Host: It explores how algorithms are taking on tasks traditionally done by human managers in hospitals, from the moment a patient arrives to the administrative work behind the scenes. Host: To help us understand the implications, we have our expert analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: Alex, we usually associate algorithmic management with the gig economy – think of an app telling a delivery driver their next route. But this study looks at a very different environment. What’s the big problem it’s trying to solve? Expert: That’s the core question. While we know a lot about algorithms managing low-skill platform work, we know very little about how they function in traditional, high-skill industries like healthcare. Expert: Hospitals are facing huge challenges: complex coordination, staff shortages, and of course, incredibly high stakes where every decision can impact patient outcomes. Expert: The study investigates if these algorithmic tools can help alleviate pressure on overworked staff, or if they just introduce new forms of control and risk in a setting where human judgment is critical. Host: So, how did the researchers get inside the hospital walls to figure this out? Expert: They went straight to the people on the front lines. The research team conducted in-depth interviews with seven doctors from different hospitals, two software providers who actually build these systems, and one domain expert for broader context. Expert: This gave them a 360-degree view of how this technology is actually being designed and used day-to-day. Host: And what did they find? Where are these so-called 'robot managers' actually showing up? Expert: They identified five key areas. The first two happen right at the hospital's front door: patient intake and bed management. Expert: For patient intake, an algorithm helps triage incoming patients by analyzing their symptoms and medical history to rank them by urgency. One doctor described it as a preliminary screening that moves critical cases to the top of the list, using color codes like ‘red for review immediately.’ Host: So it’s about getting the sickest patients seen first, faster. What about bed management? Expert: Exactly. Traditionally, finding a free bed is a manual, time-consuming process. The study found systems that automate this, matching patients to available beds with a single click. Expert: A software provider estimated this could save up to six hours of administrative work per day on a single ward, and eliminate up to nine phone calls per patient transfer. Host: That’s a massive efficiency gain. What happens after a patient is admitted? Expert: The algorithms follow them into treatment and administration. For instance, in doctor-to-patient assignment, the system can match a patient with the best-suited doctor based on their specialization, experience, and availability. Expert: It also helps ensure continuity of care, so a patient sees the same doctor for follow-ups, which is crucial for building trust and effectiveness. Host: And it manages the doctors themselves, too? Expert: Yes, through workforce management and performance monitoring. Algorithms create schedules and personalized task lists to ensure a fair distribution of work. One doctor mentioned it meant they had 'significantly less to do' because they no longer had to constantly cover for others. Expert: And finally, these systems monitor performance by tracking key metrics, like the time it takes from image acquisition to diagnosis in radiology. Host: This brings us to the most important question for our audience: why does this matter for business? This sounds incredibly efficient, but also a bit concerning. Expert: It’s absolutely a double-edged sword, and that’s the key takeaway for any business leader in a high-skill industry. Expert: The upside is undeniable. We're talking about optimized resources, reduced administrative costs, and even direct revenue gains. The study mentioned one hospital increased its occupancy by 5%, leading to an extra €400,000 in annual revenue. Expert: Plus, fairer workloads can reduce employee stress and burnout, which is a critical business concern in any industry. Host: And the downside? The risk of taking the human element out of the equation? Expert: Precisely. The study also found that these systems can create new pressures. Another doctor reported feeling frustrated by the rigid, time-oriented schedules the algorithm imposes. You must finish your task in the defined timeframe, or you work overtime. Expert: There’s also a transparency issue. On performance monitoring, one doctor said, “We are informed by our chief doctors afterward whether everything met the standards... I assume most of this evaluation is conducted by a program.” The algorithm is a black box. Host: So it's a balancing act. You gain efficiency but risk alienating your highly-skilled, professional workforce by reducing their autonomy. Expert: Exactly. The main lesson here is that algorithmic management in professional settings isn’t about replacing managers; it’s about augmenting them. The technology is best used for coordination and optimization, but human oversight, flexibility, and clear communication are non-negotiable. Host: A powerful insight for any leader looking to implement A.I. in their operations. To summarize: algorithmic management is moving into complex fields like healthcare, offering huge efficiency gains in scheduling and resource management. Host: But the key to success is balancing that efficiency with the need for professional autonomy, transparency, and the human touch. Host: Alex, thank you for breaking that down for us. Expert: My pleasure, Anna. Host: And thank you for tuning into A.I.S. Insights, powered by Living Knowledge.
International Conference on Wirtschaftsinformatik (2025)
Designing for Digital Inclusion: Iterative Enhancement of a Process Guidance User Interface for Senior Citizens
Michael Stadler, Markus Noeltner, Julia Kroenung
This study developed and tested a user interface designed to help senior citizens use online services more easily. Using a travel booking website as a case study, the researchers combined established design principles with a step-by-step visual guide and refined the design over three rounds of testing with senior participants.
Problem
As more essential services like banking, shopping, and booking appointments move online, many senior citizens face significant barriers to participation due to complex and poorly designed interfaces. This digital divide can lead to both technological and social disadvantages for the growing elderly population, a problem many businesses fail to address.
Outcome
- A structured, visual process guide significantly helps senior citizens navigate and complete online tasks. - Iteratively refining the user interface based on direct feedback from seniors led to measurable improvements in performance, with users completing tasks faster in each subsequent round. - Simple design adaptations, such as reducing complexity, using clear instructions, and ensuring high-contrast text, effectively reduce the cognitive load on older users. - The findings confirm that designing digital services with seniors in mind is crucial for creating a more inclusive digital world and can help businesses reach a larger customer base.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. In a world where almost everything is moving online, how do we ensure we don't leave entire generations behind? Today, we're diving into a study titled "Designing for Digital Inclusion: Iterative Enhancement of a Process Guidance User Interface for Senior Citizens." It explores how to develop and test digital tools that are easier for senior citizens to use. Here to break it down for us is our analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Thanks for having me, Anna. It’s a crucial topic.
Host: Let's start with the big picture. Why is this research so important right now? What's the problem it's trying to solve?
Expert: The problem is what’s often called the "digital divide." Essential services like banking, booking medical appointments, or even grocery shopping are increasingly online-only. The study highlights that during the pandemic, for instance, many older adults struggled to book vaccination appointments, which were simple for younger people to arrange online.
Host: So it's about access to essential services.
Expert: Exactly. And it’s not just a technological disadvantage; it can lead to social isolation. This is a large and growing part of our population. For businesses, this is a huge, often-overlooked customer base. Ignoring their needs means leaving money on the table.
Host: So how did the researchers in this study approach this challenge? It sounds incredibly complex.
Expert: They used a very practical, hands-on method. They built a prototype of a travel booking website, a task that can be complex online but is familiar to most people offline. Then, they recruited 13 participants between the ages of 65 and 85, with a wide range of digital skills, to test it.
Host: And they just watched them use it?
Expert: Essentially, yes, but in a structured way. They conducted three rounds of testing. After the first group of seniors used the prototype, the researchers gathered feedback, identified what was confusing, and redesigned the interface. Then a second group tested the improved version, and they repeated the process a third time. It's called iterative enhancement—improving in cycles based on real user experience.
Host: That iterative approach makes a lot of sense. What were the key findings? What actually worked?
Expert: The first major finding was the power of a clear, visual process guide. On the left side of the screen, the design showed a simple map of the booking process—like "Step 1: Request Trip," "Step 2: Check Offer." It highlighted the current step, which significantly helped users orient themselves and reduced their cognitive load.
Host: Like a "you are here" map for a website. I can see how that would help. What else did they learn?
Expert: They learned that small, simple changes make a huge difference. The data showed a clear improvement across the three test rounds. On average, participants in the final round completed the booking task significantly faster than those in the first round.
Host: Can you give us an example of a specific change that had a big impact?
Expert: Absolutely. The study reinforced the need for basics like high-contrast text, larger fonts, and simple, clear instructions. They also discovered that even common web elements, like the little calendar pop-ups used for picking dates, were a major hurdle for many participants. It proves you can't take anything for granted when designing for this audience.
Host: This is all fascinating. So, let’s get to the bottom line for our listeners. Why does this matter for business, and what are the practical takeaways?
Expert: The number one takeaway is that designing for inclusion is a direct path to market expansion. The senior population is a large and growing demographic. The study mentions that travel providers who fail to address their needs risk a direct loss of bookings. This applies to any industry, from e-commerce to banking.
Host: So it's about tapping into a new customer segment.
Expert: It's that, and it's also about efficiency and brand loyalty. An intuitive interface that successfully guides an older user means fewer frustrated calls to customer support, fewer abandoned shopping carts, and a much better overall customer experience. That builds trust.
Host: If a product manager is listening right now, what's the first step they should take based on these findings?
Expert: The core lesson is: involve your users. Don't assume you know what they need. The study provides a perfect template: conduct small-scale usability tests with senior users. You don’t need a huge budget. Watch where they get stuck, listen to their feedback, and make targeted improvements. The simple addition of a visual progress bar or clearer text can dramatically improve success rates.
Host: So to summarize: the digital divide is a real challenge, but this study shows a clear, practical path forward. Using simple visual guides and, most importantly, testing and refining designs based on direct feedback from seniors can create better, more profitable products.
Expert: That’s it exactly. It’s not just about doing good; it's about smart business.
Host: Alex, thank you for these fantastic insights.
Expert: My pleasure, Anna.
Host: And to our listeners, thank you for joining us on A.I.S. Insights, powered by Living Knowledge. We’ll see you next time.
Usability for Seniors, Process Guidance, Digital Accessibility, Digital Inclusion, Senior Citizens, Heuristic Evaluation, User Interface Design
International Conference on Wirtschaftsinformatik (2025)
The Value of Blockchain-Verified Micro-Credentials in Hiring Decisions
Lyuba Stafyeyeva
This study investigates how blockchain verification and the type of credential-issuing institution (university vs. learning academy) influence employer perceptions of a job applicant's trustworthiness, expertise, and salary expectations. Using an experimental design with 200 participants, the research evaluated how different credential formats affected hiring assessments.
Problem
Verifying academic credentials is often slow, expensive, and prone to fraud, undermining trust in the system. While new micro-credentials (MCs) offer an alternative, their credibility is often unclear to employers, and it is unknown if technologies like blockchain can effectively solve this trust issue in real-world hiring scenarios.
Outcome
- Blockchain verification did not significantly increase employers' perceptions of an applicant's trustworthiness or expertise. - Employers showed no significant preference for credentials issued by traditional universities over those from alternative learning academies, suggesting a shift toward competency-based hiring. - Applicants with blockchain-verified credentials were offered lower minimum starting salaries, indicating that while verification may reduce hiring risk for employers, it does not increase the candidate's perceived value. - The results suggest that institutional prestige is becoming less important than verifiable skills in the hiring process.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Today, we're diving into a fascinating new study titled "The Value of Blockchain-Verified Micro-Credentials in Hiring Decisions."
Host: It explores a very timely question: In the world of hiring, does a high-tech verification stamp on a certificate actually matter? And do employers still prefer a traditional university degree over a certificate from a newer learning academy? Here to unpack the findings with us is our expert analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: Alex, let's start with the big picture. Verifying someone's qualifications has always been a challenge for businesses. What’s the core problem this study is trying to solve?
Expert: Exactly. The traditional process of verifying a degree is often slow, manual, and costly. It can involve calling universities or paying third-party agencies. This creates friction in hiring and opens the door to fraud with things like paper transcripts.
Host: And that's where things like online courses and digital badges—these "micro-credentials"—come in.
Expert: Right. They're becoming very popular for showcasing specific, job-ready skills. But for a hiring manager, their credibility can be a big question mark. Is a certificate from an online academy as rigorous as one from a university? The big question the study asks is whether a technology like blockchain can solve this trust problem for employers.
Host: So, how did the researchers actually test this? What was their approach?
Expert: They conducted a very clever experiment with 200 professionals, mostly from the IT industry. They created a fictional job applicant, "Alex M. Smith," who needed both IT knowledge and business communication skills.
Host: And they showed this candidate's profile to the participants?
Expert: Yes, but with a twist. Each participant was randomly shown one of four different versions of the applicant's certificate. It was either from a made-up school called 'Stekon State University' or an online provider called 'Clevant Learn Academy.' And crucially, each of those versions was presented either with or without a "Blockchain Verified" stamp on it.
Host: So they could isolate what really influences a hiring manager's decision. What were the key findings? Let's start with the big one: blockchain.
Expert: This is where it gets really interesting. The study found that adding a "Blockchain Verified" stamp did not significantly increase how trustworthy or expert the employers perceived the candidate to be. The technology alone wasn't some magic signal of credibility.
Host: That is surprising. What about the source of the credential? The traditional university versus the modern learning academy. Did employers have a preference?
Expert: No, and this is a huge finding. There was no significant difference in how employers rated the candidate, regardless of whether the certificate came from the university or the learning academy. It suggests a major shift is underway.
Host: A shift toward what?
Expert: Toward competency-based hiring. It seems employers are becoming more interested in the specific, proven skill rather than the prestige of the institution that taught it.
Host: But I understand there was a very counterintuitive result when it came to salary offers.
Expert: There was. Applicants with the blockchain-verified credential were actually offered *lower* minimum starting salaries. The theory is that instant, easy verification reduces the perceived risk for the employer. They’re so confident the credential is real, they feel comfortable making a more conservative, standard initial offer. It de-risks the hire, but doesn't increase the candidate's perceived value.
Host: So, Alex, this is the most important part for our listeners. What does this all mean for business leaders and hiring managers? What are the practical takeaways?
Expert: The first and biggest takeaway is that skills are starting to trump institutional prestige. Businesses can and should feel more confident considering candidates from a wider range of educational backgrounds, including those with micro-credentials. Focus on what the candidate can *do*.
Host: So, should we just write off blockchain for credentials then?
Expert: Not at all. The second takeaway is about understanding blockchain's true value right now. It may not be a powerful marketing tool on a resume, but its real potential lies on the back-end. For HR departments, it can make the verification process itself dramatically faster, cheaper, and more secure. Think of it as an operational efficiency tool, not a candidate branding tool.
Host: That makes a lot of sense. It solves the friction problem you mentioned at the start.
Expert: Exactly. And this leads to the final point: this trend is democratizing qualifications. It gives businesses access to a wider, more diverse talent pool. Embracing a skills-first hiring approach allows companies to be more agile, especially in fast-moving sectors where skills need to be updated constantly.
Host: That’s a powerful conclusion. So, to summarize: a blockchain stamp won't automatically make a candidate look better, but it can de-risk the process for employers. And most importantly, we're seeing a clear shift where verifiable skills are becoming more valuable than the name on the diploma.
Host: Alex Ian Sutherland, thank you so much for breaking down this fascinating study for us.
Expert: My pleasure, Anna.
Host: And a big thank you to our audience for tuning in to A.I.S. Insights, powered by Living Knowledge. Join us next time for more analysis at the intersection of business and technology.
International Conference on Wirtschaftsinformatik (2025)
Typing Less, Saying More? – The Effects of Using Generative AI in Online Consumer Review Writing
Maximilian Habla
This study investigates how using Generative AI (GenAI) impacts the quality and informativeness of online consumer reviews. Through a scenario-based online experiment, the research compares reviews written with and without GenAI assistance, analyzing factors like the writer's cognitive load and the resulting review's detail, complexity, and sentiment.
Problem
Writing detailed, informative online reviews is a mentally demanding task for consumers, which often results in less helpful content for others making purchasing decisions. While platforms use templates to help, these still require significant effort from the reviewer. This study addresses the gap in understanding whether new GenAI tools can make it easier for people to write better, more useful reviews.
Outcome
- Using GenAI significantly reduces the perceived cognitive load (mental effort) for people writing reviews. - Reviews written with the help of GenAI are more informative, covering a greater number and a wider diversity of product aspects and topics. - GenAI-assisted reviews tend to exhibit higher linguistic complexity and express a more positive sentiment, even when the star rating given by the user is the same. - Contrary to the initial hypothesis, the reduction in cognitive load did not directly account for the increase in review informativeness, suggesting other mechanisms are at play.
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 new study called "Typing Less, Saying More? – The Effects of Using Generative AI in Online Consumer Review Writing." Host: With me is our expert analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: So, in a nutshell, what is this study about? Expert: It investigates what happens when people use Generative AI tools, like ChatGPT, to help them write online consumer reviews. The core question is whether this AI assistance impacts the quality and informativeness of the final review. Host: Let's start with the big problem. Why do we need AI to help us write reviews in the first place? Expert: Well, we've all been there. A website asks you to leave a review, and you want to be helpful, but writing a detailed, useful comment is actually hard work. Expert: It takes real mental effort, what researchers call 'cognitive load,' to recall your experience, select the important details, and structure your thoughts coherently. Host: And because it's difficult, people often just write something very brief, like "It was great," which doesn't really help anyone. Expert: Exactly. That lack of detail is a major problem for consumers who rely on reviews to make purchasing decisions. This study wanted to see if GenAI could be the solution to make it easier for people to write better, more useful reviews. Host: So how did the researchers test this? What was their approach? Expert: They conducted a scenario-based online experiment. They asked participants to write a review about their most recent visit to a Mexican restaurant. Expert: People were randomly split into two groups. The first group, the control, used a traditional review template with a star rating and a blank text box, similar to what you’d find on Yelp today. Expert: The second group, the treatment group, had a template with GenAI embedded. They could simply enter a few bullet points about their experience, click a "Generate Review" button, and the AI would draft a full, well-structured review for them. Host: And by comparing the two groups, they could measure the impact of the AI. What were the key findings? Did it work? Expert: It made a significant difference. First, the people who used the AI assistant reported that writing the review required much less mental effort. Host: That makes sense. But were the AI-assisted reviews actually better? Expert: They were. The study found that reviews written with GenAI were significantly more informative. They covered a greater number of specific details and a wider diversity of topics, like food, service, and ambiance, all in one review. Host: That's a clear win for informativeness. Were there any other interesting outcomes? Expert: Yes, a couple of surprising ones. The AI-generated reviews tended to use more complex language. And perhaps more importantly, they expressed a more positive sentiment, even when the star rating given by the user was exactly the same as someone in the control group. Host: So, for the same four-star experience, the AI-written text sounded happier about it? Expert: Precisely. The AI seems to have an inherent positivity bias. One last thing that puzzled the researchers was that the reduction in mental effort didn't directly explain the increase in detail. The relationship is more complex than they first thought. Host: This is the most important question for our audience, Alex. Why does this matter for business? What are the practical takeaways? Expert: This is a classic double-edged sword for any business with a digital platform. The upside is huge. Integrating GenAI into the review process could unlock a wave of richer, more detailed user-generated content. Host: And more detailed reviews help other customers make better-informed decisions, which builds trust and drives sales. Expert: Absolutely. But there are two critical risks to manage. First, that "linguistic complexity" I mentioned. The AI writes at a higher reading level, which could make the detailed reviews harder for the average person to understand, defeating the purpose. Host: So you get more information, but it's less accessible. What's the other risk? Expert: That positivity bias. If reviews generated by AI consistently sound more positive than the user's actual experience, it could mislead future customers. Negative aspects might be downplayed, creating a skewed perception of a product or service. Host: So what should a business leader do with this information? Expert: The takeaway is to embrace the technology but manage its side effects proactively. Platforms should consider adding features that simplify the AI's language or provide easy-to-read summaries. They also need to be aware of, and perhaps even flag, potential sentiment shifts to maintain transparency and consumer trust. Host: So, to summarize: using GenAI for review writing makes the task easier and the output more detailed. Host: However, businesses must be cautious, as it can also make reviews harder to read and artificially positive. The key is to implement it strategically to harness the benefits while mitigating the risks. Host: Alex Ian Sutherland, thank you for these fantastic insights. Expert: It was my pleasure, Anna. Host: And thank you for tuning in to A.I.S. Insights, powered by Living Knowledge. Join us next time.
International Conference on Wirtschaftsinformatik (2025)
Structural Estimation of Auction Data through Equilibrium Learning and Optimal Transport
Markus Ewert and Martin Bichler
This study proposes a new method for analyzing auction data to understand bidders' private valuations. It extends an existing framework by reformulating the estimation challenge as an optimal transport problem, which avoids the statistical limitations of traditional techniques. This novel approach uses a proxy equilibrium model to analytically evaluate bid distributions, leading to more accurate and robust estimations.
Problem
Designing profitable auctions, such as setting an optimal reserve price, requires knowing how much bidders are truly willing to pay, but this information is hidden. Existing methods to estimate these valuations from observed bids often suffer from statistical biases and inaccuracies, especially with limited data, leading to poor auction design and lost revenue for sellers.
Outcome
- The proposed optimal transport-based estimator consistently outperforms established kernel-based techniques, showing significantly lower error in estimating true bidder valuations. - The new method is more robust, providing accurate estimates even in scenarios with high variance in bidding behavior where traditional methods fail. - In practical tests, reserve prices set using the new method's estimates led to significant revenue gains for the auctioneer, while prices derived from older methods resulted in zero revenue.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Today, we’re diving into a fascinating study called “Structural Estimation of Auction Data through Equilibrium Learning and Optimal Transport.”
Host: With me is our expert analyst, Alex Ian Sutherland. Alex, this sounds quite technical, but at its heart, it’s about understanding what people are truly willing to pay for something. Is that right?
Expert: That’s a perfect way to put it, Anna. The study introduces a new, more accurate method for analyzing auction data to uncover bidders' hidden, private valuations. It uses a powerful mathematical concept called 'optimal transport' to get around the limitations of older techniques.
Host: So, let’s start with the big picture. What is the real-world problem that this study is trying to solve?
Expert: The problem is a classic one for any business that uses auctions. Think of a company selling online ad space, or a government auctioning off broadcast licenses. To maximize their revenue, they need to design the auction perfectly, for instance by setting an optimal reserve price—the minimum bid they'll accept.
Host: But to do that, you'd need to know the highest price each bidder is secretly willing to pay.
Expert: Exactly, and that information is hidden. You only see the bids they actually make. For decades, analysts have used statistical methods to try and estimate those true valuations from the bids, but those methods have serious flaws.
Host: Flaws like what?
Expert: They often require huge amounts of clean data to be accurate, which is rare in the real world. With smaller or messier datasets, these traditional methods can produce biased and inaccurate estimates. This leads to poor auction design, like setting a reserve price that's either too low, leaving money on the table, or too high, scaring away all the bidders. Either way, the seller loses revenue.
Host: So how does this new approach avoid those pitfalls? What is 'optimal transport'?
Expert: Imagine you have the bids you've observed in one pile. And over here, you have a theoretical model of how rational bidders would behave. Optimal transport is essentially a mathematical tool for finding the most efficient way to 'move' the pile of observed bids to perfectly match the shape of the theoretical model.
Host: Like finding the shortest path to connect the data you have with the theory?
Expert: Precisely. By calculating that 'path' or 'transport map', the researchers can analytically determine the underlying valuations with much greater precision. It avoids the statistical guesswork of older methods, which are often sensitive to noise and small sample sizes. It’s a more direct and robust way to get to the truth.
Host: It sounds elegant. So, what were the key findings when they put this new method to the test?
Expert: The results were quite dramatic. First, the optimal transport method was consistently more accurate. It produced estimates of bidder valuations with significantly lower error compared to the established techniques.
Host: And was it more reliable with the 'messy' data you mentioned?
Expert: Yes, and this is a crucial point. It proved to be far more robust. In experiments with high variance in bidding behavior—scenarios where the older methods completely failed—this new approach still delivered accurate estimates. It can handle the unpredictability of real-world bidding.
Host: That all sounds great in theory, but does it actually lead to better business outcomes?
Expert: It does, and this was the most compelling finding. The researchers simulated setting a reserve price based on the estimates from their new method versus the old ones. The reserve price set using the new method led to significant revenue gains for the seller.
Host: And the old methods?
Expert: In the same test, the prices derived from the older methods were so inaccurate they led to zero revenue. The estimated reserve price was so high that it was predicted no one would bid at all. It’s a stark difference—going from zero revenue to a significant increase.
Host: That really brings it home. So, for the business leaders listening, what are the practical takeaways here? Why does this matter for them?
Expert: The most direct application is for any business involved in auctions. If you're in ad-tech, government procurement, or even selling assets, this is a tool to fundamentally improve your pricing strategy and increase your revenue. It allows you to make data-driven decisions with much more confidence.
Host: And beyond just setting a reserve price?
Expert: Absolutely. At a higher level, this is about getting a truer understanding of your market's demand and what your customers really value. That insight is gold. It can inform not just auction design, but broader product pricing, negotiation tactics, and strategic planning. It helps reduce the risk of mispricing, which is a major source of lost profit.
Host: Fantastic. So, to summarize: for any business running auctions, knowing what a bidder is truly willing to pay is the key to maximizing profit, but that information is hidden.
Host: This study provides a powerful new method using optimal transport to uncover those hidden values far more accurately and reliably than before. And as we've heard, the difference can be between earning zero revenue and earning a significant profit.
Host: Alex, thank you so much for breaking down this complex topic into such clear, actionable insights.
Expert: My pleasure, Anna.
Host: And thanks to all of you for tuning in to A.I.S. Insights — powered by Living Knowledge.
International Conference on Wirtschaftsinformatik (2025)
A Case Study on Large Vehicles Scheduling for Railway Infrastructure Maintenance: Modelling and Sensitivity Analysis
Jannes Glaubitz, Thomas Wolff, Henry Gräser, Philipp Sommerfeldt, Julian Reisch, David Rößler-von Saß, and Natalia Kliewer
This study presents an optimization-driven approach to scheduling large vehicles for preventive railway infrastructure maintenance, using real-world data from Deutsche Bahn. It employs a greedy heuristic and a Mixed Integer Programming (MIP) model to evaluate key factors influencing scheduling efficiency. The goal is to provide actionable insights for strategic decision-making and improve operational management.
Problem
Railway infrastructure maintenance is a critical operational task that often causes significant disruptions, delays, and capacity restrictions for both passenger and freight services. These disruptions reduce the overall efficiency and attractiveness of the railway system. The study addresses the challenge of optimizing maintenance schedules to maximize completed work while minimizing interference with regular train operations.
Outcome
- The primary bottleneck in maintenance scheduling is the limited availability and reusability of pre-defined work windows ('containers'), not the number of maintenance vehicles. - Increasing scheduling flexibility by allowing work containers to be booked multiple times dramatically improves maintenance completion rates, from 84.7% to 98.2%. - Simply adding more vehicles to the fleet provides only marginal improvements, as scheduling efficiency is the limiting factor. - Increasing the operational radius for vehicles from depots and moderately extending shift lengths can further improve maintenance coverage. - The analysis suggests that large, predefined maintenance containers are often inefficient and should be split into smaller sections to improve flexibility and resource utilization.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Every day, millions of people rely on railways to be on time. But keeping those tracks in top condition requires constant maintenance, which can often lead to the very delays we all want to avoid. Host: Today, we’re diving into a fascinating study that tackles this exact challenge. It’s titled "A Case Study on Large Vehicles Scheduling for Railway Infrastructure Maintenance: Modelling and Sensitivity Analysis." Host: It explores a new, data-driven way to schedule massive maintenance vehicles, using real-world data from Germany’s national railway, Deutsche Bahn, to find smarter ways of working. Host: And to help us break it all down, we have our expert analyst, Alex Ian Sutherland. Welcome, Alex. Expert: Great to be here, Anna. Host: So, Alex, we’ve all been on a train that’s been delayed by “planned engineering works.” Just how big of a problem is this for railway operators? Expert: It’s a massive operational headache, Anna. The core conflict is that the maintenance needed to keep the railway safe and reliable is the very thing that causes disruptions, delays, and capacity restrictions. Expert: This reduces the efficiency of the whole system for both passengers and freight. The challenge this study addresses is how to get the maximum amount of maintenance work done with the absolute minimum disruption to regular train services. Host: It sounds like a classic Catch-22. So how did the researchers approach this complex puzzle? Expert: They used a powerful, optimization-driven approach. Essentially, they built a sophisticated mathematical model of the entire maintenance scheduling problem. Expert: They fed this model a huge amount of real-world data from Deutsche Bahn—we’re talking thousands of maintenance demands, hundreds of pre-planned work windows, and a whole fleet of different specialized vehicles. Expert: Then, they used advanced algorithms to find the most efficient schedule, testing different scenarios to see which factors had the biggest impact on performance. Host: A digital twin for track maintenance, in a way. So after running these scenarios, what were the key findings? What did they discover was the real bottleneck? Expert: This is where it gets really interesting, and a bit counter-intuitive. The primary bottleneck wasn't a shortage of expensive maintenance vehicles. Host: So buying more multi-million-dollar machines isn't the answer? Expert: Exactly. The study found that simply adding more vehicles to the fleet provides only very marginal improvements. The real limiting factor was the availability and flexibility of the pre-defined work windows—what the planners call 'containers'. Host: Tell us more about these 'containers'. Expert: A container is a specific section of track that is blocked off for a specific period of time, usually an eight-hour shift overnight. The original policy was that once a container was booked for a job, it couldn't be used again within the planning period. Expert: The study showed this was incredibly restrictive. By changing just one rule—allowing these work containers to be booked multiple times—the maintenance completion rate jumped dramatically from just under 85% to over 98%. Host: Wow, a nearly 14-point improvement just from a simple policy change. That's a huge leap. Expert: It is. It proves the problem wasn't a lack of resources, but a lack of flexibility in how those resources could be deployed. They also found that many of these predefined containers were too large and inefficient, preventing multiple machines from working in an area at once. Host: This brings us to the most important part of our discussion, Alex. What does this mean for businesses, not just in the railway industry, but for any company managing complex logistics or operations? Expert: I think there are three major takeaways here. First, focus on process before assets. The study proves that changing organizational rules and improving scheduling can deliver far greater returns than massive capital investments in new equipment. Host: So, work smarter, not just richer. Expert: Precisely. The second takeaway is that data-driven policy changes have an incredible return on investment. The ability to model and simulate the impact of a small rule change, like container reusability, is a powerful strategic tool. In fact, the study notes that Deutsche Bahn has since changed its policy to allow for more flexible booking. Host: Real-world impact, that's what we love to see. And the third takeaway? Expert: Re-evaluate your constraints. The study questioned the fundamental assumption that work windows were single-use and had to be a certain size. The lesson for any business leader is to ask: are our long-standing rules and constraints still serving us, or have they become the bottleneck themselves? Sometimes the biggest opportunities are hidden in the rules we take for granted. Host: Fantastic insights. So, to summarize: the key to unlocking efficiency in complex operations often lies not in buying more equipment, but in optimizing the processes and rules that govern them. Host: Alex, thank you so much for breaking down this complex study into such clear, actionable advice. Expert: My pleasure, Anna. Host: And thank you to our listeners for joining us on A.I.S. Insights — powered by Living Knowledge. We’ll see you next time.
International Conference on Wirtschaftsinformatik (2025)
Designing Speech-Based Assistance Systems: The Automation of Minute-Taking in Meetings
Anton Koslow, Benedikt Berger
This study investigates how to design speech-based assistance systems (SBAS) to automate meeting minute-taking. The researchers developed and evaluated a prototype with varying levels of automation in an online study to understand how to balance the economic benefits of automation with potential drawbacks for employees.
Problem
While AI-powered speech assistants promise to make tasks like taking meeting minutes more efficient, high levels of automation can negatively impact employees by reducing their satisfaction and sense of professional identity. This research addresses the challenge of designing these systems to reap the benefits of automation while mitigating its adverse effects on human workers.
Outcome
- A higher level of automation improves the objective quality of meeting minutes, such as the completeness of information and accuracy of speaker assignments. - However, high automation can have adverse effects on the minute-taker's satisfaction and their identification with the work they produce. - Users reported higher satisfaction and identification with the results under partial automation compared to high automation, suggesting they value their own contribution to the final product. - Automation effectively reduces the perceived cognitive effort required for the task. - The study concludes that assistance systems should be designed to enhance human work, not just replace it, by balancing automation with meaningful user integration and control.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Today, we're diving into a topic that affects almost every professional: the meeting. Specifically, the tedious task of taking minutes.
Host: We're looking at a fascinating study titled "Designing Speech-Based Assistance Systems: The Automation of Minute-Taking in Meetings." It explores how to design AI assistants to automate this task, balancing the clear economic benefits with the potential drawbacks for employees. With me is our expert analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Glad to be here, Anna.
Host: So, Alex, we’ve all been there—trying to participate in a meeting while frantically typing notes. It seems like a perfect task for AI to take over. What's the big problem this study is trying to solve?
Expert: You've hit on the core of it. While AI-powered speech assistants are getting incredibly good at transcribing and summarizing, there’s a hidden cost. The study highlights that high levels of automation can negatively impact employees. It can reduce their satisfaction and even their sense of professional identity tied to their work.
Host: That’s a powerful point. It’s not just about getting the job done, but how the person doing the job feels about it.
Expert: Exactly. If employees feel their skills are being devalued or they're just pushing a button, their engagement drops. They might even resist using the very tools designed to help them. So the central challenge is: how do you get the efficiency gains of AI without alienating the human workforce?
Host: It's a classic human-versus-machine dilemma. So, how did the researchers actually investigate this?
Expert: They took a very practical approach. They built a prototype of an AI minute-taking system, but they created three different versions.
Host: Three versions? How did they differ?
Expert: It was all about the level of automation. The first version had no automation—just a basic text editor, like taking notes in a Word doc. The second had partial automation; it provided a live transcript of the meeting, but the user still had to summarize it and assign who said what.
Host: And the third, I assume, was the all-singing, all-dancing version?
Expert: That’s right. The high automation version not only transcribed the meeting but also helped identify speakers and even generated a draft summary of the minutes for the user to review. They then had over 300 participants use one of these three versions to take notes on a sample meeting, allowing for a direct comparison.
Host: That sounds like a thorough approach. What were the most striking findings from this experiment?
Expert: Well, first, on a technical level, more automation worked. The minutes produced by the high automation system were objectively better—they were more complete, and the speaker assignments were more accurate.
Host: So the AI simply did a better job. Case closed, right? We should just aim for full automation?
Expert: Not so fast, Anna. This is where the human element really complicates things. While the quality of the minutes went up, the user's identification with their work went down. People in the partial automation group actually felt a stronger sense of ownership and connection to the final product than those in the high automation group.
Host: So giving people some meaningful work to do made them feel better about the outcome, even if the fully automated version was technically superior.
Expert: Precisely. It suggests that people value their own contribution. Another key finding was about cognitive effort. As you’d expect, the more automation the system had, the easier the participants felt the task was. The AI successfully reduced the mental workload.
Host: This is incredibly relevant for any business leader looking to adopt new technology. Alex, what’s the bottom line? What are the key takeaways for business?
Expert: The biggest takeaway is that the "sweet spot" may not be full automation, but rather "augmented" automation. The goal shouldn't be to replace the human, but to enhance their work. Think of the AI as a co-pilot, not the pilot. It handles the heavy lifting, like transcription, while the human provides crucial oversight, context, and final judgment.
Host: That framing of co-pilot versus pilot is very powerful. What other practical advice came out of this?
Expert: The researchers warned about a risk they called "cognitive complacency." With the high automation system, many users would just accept the AI-generated summary without carefully reviewing it. This could cause subtle errors or a loss of important nuance to slip through.
Host: So the tool designed to help could inadvertently introduce new kinds of mistakes.
Expert: Yes, which is why the final, and perhaps most important, takeaway is to design for meaningful interaction. The best AI tools will be designed to keep the user actively and thoughtfully engaged. This maintains a sense of ownership, improves the final quality, and ensures that the technology is actually adopted and used effectively. It’s about creating a true partnership between human and machine.
Host: So, to summarize: AI can definitely improve the quality and efficiency of administrative tasks like taking minutes. But the key to success is finding that perfect balance. We need to design systems that assist and augment our teams, keeping them in the loop, rather than pushing them out.
Host: Alex Ian Sutherland, thank you so much for breaking that down for us. Your insights were invaluable.
Expert: My pleasure, Anna.
Host: And thank you to our audience 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.
Automation, speech, digital assistants, design science
International Conference on Wirtschaftsinformatik (2025)
IT-Based Self-Monitoring for Women's Physical Activity: A Self-Determination Theory Perspective
Asma Aborobb, Falk Uebernickel, and Danielly de Paula
This study analyzes what drives women's engagement with digital fitness applications. Researchers used computational topic modeling on over 34,000 user reviews, mapping the findings to Self-Determination Theory's core psychological needs: autonomy, competence, and relatedness. The goal was to create a structured framework to understand how app features can better support user motivation and long-term use.
Problem
Many digital health and fitness apps struggle with low long-term user engagement because they often lack a strong theoretical foundation and adopt a "one-size-fits-all" approach. This issue is particularly pressing as there is a persistent global disparity in physical activity, with women being less active than men, suggesting that existing apps may not adequately address their specific psychological and motivational needs.
Outcome
- Autonomy is the most dominant factor for women users, who value control, flexibility, and customization in their fitness apps. - Competence is the second most important need, highlighting the desire for features that support skill development, progress tracking, and provide structured feedback. - Relatedness, though less prominent, is also crucial, with users seeking social support, community connection, and representation through supportive coaches and digital influencers, especially around topics like maternal health. - The findings suggest that to improve long-term engagement, fitness apps targeting women should prioritize features that give users a sense of control, help them feel effective, and foster a sense of community.
Host: Welcome to A.I.S. Insights, the podcast where we connect academic research with real-world business strategy, all powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we're diving into the booming world of digital health with a fascinating study titled: "IT-Based Self-Monitoring for Women's Physical Activity: A Self-Determination Theory Perspective." Host: In short, it analyzes what truly drives women to stay engaged with fitness apps. Researchers used A.I. to analyze tens of thousands of user reviews to build a framework for how app features can better support motivation and long-term use. Host: With me to unpack this is our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: So Alex, let’s start with the big picture. There are hundreds of thousands of health and fitness apps out there. What's the problem this study is trying to solve? Expert: The core problem is retention. Most digital health apps have a huge drop-off rate. They struggle with long-term user engagement, often because they’re built on a "one-size-fits-all" model that lacks a real understanding of user psychology. Expert: The study highlights that this is a particularly urgent issue when it comes to women. There's a persistent global disparity where women are, on average, less physically active than men—a gap that hasn't changed in over twenty years. This suggests current digital tools aren't effectively addressing their specific motivational needs. Host: So a massive, underserved market is disengaging from the available tools. How did the researchers go about figuring out what these users actually want? Expert: This is where the approach gets really interesting. They didn't just run a small survey. They performed a massive analysis of over 34,000 user reviews from 197 different fitness apps specifically designed for women. Expert: Using a form of A.I. called computational topic modeling, they were able to automatically pull out the most common themes, concerns, and praises from that text. Then, they mapped those real-world findings onto a powerful psychological framework called Self-Determination Theory. Host: And that theory boils motivation down to three core needs, right? Autonomy, Competence, and Relatedness. Expert: Exactly. And by connecting thousands of reviews to those three needs, they created a data-driven blueprint for what women value most in a fitness app. Host: So, let's get to it. What was the number one finding? What is the single most important factor? Expert: Hands down, it's Autonomy. This was the most dominant theme across all the reviews. Users want control, flexibility, and customization. This means things like adaptable workout plans that can be done at home without equipment, the ability to opt-out of pushy sales promotions, and a seamless, ad-free experience. Host: It sounds like it’s about making the app fit into their life, not forcing them to fit their life into the app. What came next after autonomy? Expert: The second most important need was Competence. Women want to feel effective and see tangible progress. This goes beyond just tracking steps or calories. They value features that support actual skill development, like tutorials for new exercises, guided meal planning, and milestones that recognize their achievements. They want to feel like they are learning and growing. Host: So it’s about building confidence and mastery. And what about the third need, Relatedness? The social element? Expert: Relatedness was also crucial, though it appeared less frequently. Users are looking for community and connection. They expressed appreciation for supportive coaches, role models, and digital influencers. A really specific and important theme that emerged was maternal health, with women actively seeking programs tailored for pregnancy and postpartum fitness. Host: This is incredibly insightful. Let's pivot to the most important question for our listeners: why does this matter for business? What are the practical takeaways? Expert: There are three huge takeaways. First, abandon the ‘one-size-fits-all’ model. To win in this market, you must prioritize autonomy. This isn't a bonus feature; it's the core driver of engagement. Offer modular plans, flexible scheduling, and settings that let the user feel completely in control. Host: Okay, prioritize customization. What's the second takeaway? Expert: Second, design for mastery, not just measurement. App developers should think of themselves as educators. Your product's value proposition should be "we help you build new skills and confidence." Incorporate structured learning, progressive challenges, and actionable feedback. That's what builds long-term loyalty and reduces churn. Host: And the third? Expert: Finally, build authentic, niche communities. The demand for content around specific life stages, like maternal health, is a clear market opportunity. Partnering with credible influencers or creating safe, supportive community spaces around these topics can be a powerful differentiator. It builds a level of trust and belonging that a generic fitness app simply can't match. Host: So, to recap: the message for businesses creating digital health solutions for women is clear. Empower your users with autonomy, build their competence with real skill-development tools, and foster relatedness through targeted community building. Host: Alex, this has been an incredibly clear and actionable breakdown. Thank you for your insights. 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.
ITSM, Self-Determination Theory, Physical Activity, User Engagement
International Conference on Wirtschaftsinformatik (2025)
The PV Solution Guide: A Prototype for a Decision Support System for Photovoltaic Systems
Chantale Lauer, Maximilian Lenner, Jan Piontek, and Christian Murlowski
This study presents the conceptual design of the 'PV Solution Guide,' a user-centric prototype for a decision support system for homeowners considering photovoltaic (PV) systems. The prototype uses a conversational agent and 3D modeling to adapt guidance to specific house types and the user's level of expertise. An initial evaluation compared the prototype's usability and trustworthiness against an established tool.
Problem
Current online tools and guides for homeowners interested in PV systems are often too rigid, failing to accommodate unique home designs or varying levels of user knowledge. Information is frequently scattered, incomplete, or biased, leading to consumer frustration, distrust, and decision paralysis, which ultimately hinders the adoption of renewable energy.
Outcome
- The study developed the 'PV Solution Guide,' a prototype decision support system designed to be more adaptive and user-friendly than existing tools. - In a comparative evaluation, the prototype significantly outperformed the established 'Solarkataster Rheinland-Pfalz' tool in usability, with a System Usability Scale (SUS) score of 80.21 versus 56.04. - The prototype also achieved a higher perceived trust score (82.59% vs. 76.48%), excelling in perceived benevolence and competence. - Key features contributing to user trust and usability included transparent cost structures, personalization based on user knowledge and housing, and an interactive 3D model of the user's home.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we're diving into the world of renewable energy and customer decision-making with a fascinating new study titled "The PV Solution Guide: A Prototype for a Decision Support System for Photovoltaic Systems". Host: The study presents a new prototype tool designed to help homeowners navigate the complex process of installing solar panels, using a conversational agent and 3D modeling to personalize the experience. Host: With me to break it all down is our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Thanks for having me, Anna. Host: Alex, let's start with the big picture. Why is a new tool for solar panel guidance even necessary? What's the problem with what’s currently available? Expert: It’s a great question. The core problem is what the study calls decision paralysis. Homeowners are interested in solar, but they face a confusing landscape. Expert: Information is scattered across forums, manufacturer websites, and government portals. It's often incomplete, biased, or too technical. Expert: Existing online calculators are often rigid. They don't account for unique house designs or a person's specific level of knowledge. This leads to frustration, a lack of trust, and ultimately, people just give up on their plans to go solar. Host: So a classic case of information overload leading to inaction. How did the researchers in this study approach solving that problem? Expert: They took a very human-centered approach. First, they conducted in-depth interviews with homeowners—both current solar owners and prospective buyers—to understand their exact needs and pain points. Expert: Using those insights, they designed and built an interactive prototype called the 'PV Solution Guide'. Expert: The final step was to test it. They had a group of users try both their new prototype and a well-established, existing government tool, and then compared the results on key metrics like usability and trust. Host: A very thorough process. And what did they find? How did this new prototype stack up against the established tool? Expert: The results were quite dramatic. In terms of usability, the prototype blew the existing tool out of the water. Expert: It scored over 80 on the System Usability Scale, or SUS, which is an excellent score. The established tool scored just 56, which is considered below average. Host: That’s a huge difference. What about trust? That seems to be a major hurdle. Expert: It is, and the prototype excelled there as well. It achieved a significantly higher perceived trust score. Expert: The study broke this down further and found the prototype scored much higher on 'perceived competence,' meaning users felt it had the necessary functions to do the job, and 'perceived benevolence,' which means they felt the system was actually trying to help them. Host: What features were responsible for that success? Expert: Three things really stood out. First, transparent cost structures. Users could see a detailed breakdown of costs and amortization. Expert: Second, personalization. The system used a conversational agent, like a chatbot, to adapt its guidance based on the user's level of knowledge and their specific house. Expert: And third, the interactive 3D model of the user's home. It allowed people to visually add or remove components and instantly see the impact on the system and the price. Host: This all sounds incredibly useful for a homeowner. But let's zoom out. Why does this matter for our business audience? What are the key takeaways here? Expert: I think there are two major implications. For any business in the renewable energy sector, this is a roadmap for reducing customer friction. Expert: A tool like this can democratize access to high-quality consulting, build trust early, and help companies generate more accurate offers, which saves everyone time and money. It overcomes that decision paralysis we talked about. Host: And for businesses outside of the energy sector? Expert: This study is a powerful case study for anyone selling complex or high-stakes products, whether it's in finance, insurance, or even B2B technology. Expert: It proves that the combination of conversational AI and interactive visualization is incredibly effective at simplifying complexity. It transforms the user from a passive recipient of data into an active participant in designing their own solution. That builds both confidence and trust. Expert: The key lesson is that to win over modern customers, you can't just provide information; you have to provide a guided, transparent, and personalized experience. Host: So, the big takeaways are that homeowners are getting stuck when trying to adopt solar, but a personalized, interactive tool can solve that by dramatically improving usability and trust. Host: And for businesses, this highlights a powerful new model for customer engagement: using technology to guide users through complex decisions, not just present them with data. Host: Alex, this has been incredibly insightful. Thank you for breaking it down for us. 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.
Decision Support Systems, Photovoltaic Systems, Human-Centered Design, Qualitative Research
International Conference on Wirtschaftsinformatik (2025)
AI at Work: Intelligent Personal Assistants in Work Practices for Process Innovation
Zeynep Kockar, Mara Burger
This paper explores how AI-based Intelligent Personal Assistants (IPAs) can be integrated into professional workflows to foster process innovation and improve adaptability. Utilizing the Task-Technology Fit (TTF) theory as a foundation, the research analyzes data from an interview study with twelve participants to create a framework explaining IPA adoption, their benefits, and their limitations in a work context.
Problem
While businesses are increasingly adopting AI technologies, there is a significant research gap in understanding how Intelligent Personal Assistants specifically influence and innovate work processes in real-world professional settings. Prior studies have focused on adoption challenges or automation benefits, but have not thoroughly examined how these tools integrate with existing workflows and contribute to process adaptability.
Outcome
- IPAs enhance workflow integration in four key areas: providing guidance and problem-solving, offering decision support and brainstorming, enabling workflow automation for efficiency, and facilitating language and communication tasks. - The adoption of IPAs is primarily driven by social influence (word-of-mouth), the need for problem-solving and efficiency, curiosity, and prior academic or professional background with the technology. - Significant barriers to wider adoption include data privacy and security concerns, challenges integrating IPAs with existing enterprise systems, and limitations in the AI's memory, reasoning, and creativity. - The study developed a framework that illustrates how factors like work context, existing tools, and workflow challenges influence the adoption and impact of IPAs. - Regular users tend to integrate IPAs for strategic and creative tasks, whereas occasional users leverage them for more straightforward or repetitive tasks like documentation.
Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers. Today, we're exploring how the AI tools many of us are starting to use can actually drive real innovation in our work. We're diving into a fascinating study titled "AI at Work: Intelligent Personal Assistants in Work Practices for Process Innovation."
Host: It explores how AI-based Intelligent Personal Assistants, or IPAs, can be integrated into our daily professional workflows to foster innovation and help us adapt. To break it all down for us, 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. We hear a lot about businesses adopting AI, but what was the specific problem this study wanted to tackle?
Expert: Well, while companies are rushing to adopt tools like ChatGPT, there's a real gap in understanding how they actually change our work processes day-to-day. Most research has focused on the challenges of getting people to use them or the benefits of pure automation. This study looked deeper.
Host: Deeper in what way?
Expert: It asked the question: How do these AI assistants really integrate with our existing workflows, and how do they help us not just do things faster, but do them in new, more innovative ways? It’s about moving beyond simple automation to genuine process innovation.
Host: So how did the researchers get these insights? What was their approach?
Expert: They took a very practical approach. They conducted in-depth interviews with twelve professionals from a technology consultancy and a gaming company—people who are already using these tools in their jobs. They spoke to a mix of regular, daily users and more occasional users to get a really well-rounded perspective.
Host: That makes sense. By talking to real users, you get the real story. So, what did they find? What were the key outcomes?
Expert: They identified four main ways these IPAs enhance our workflows. First, for guidance and problem-solving, like helping to structure a new project or scope its different phases. Second, for decision support and brainstorming, acting as a creative partner.
Host: Okay, so it’s like a strategic assistant. What are the other two?
Expert: The third is workflow automation. This is the one we hear about most—automating things like writing documentation, which one participant said could now be done in minutes instead of hours. And fourth, it helps with language and communication tasks, like refining emails or translating text.
Host: It sounds incredibly useful. But we know adoption isn't always smooth. Did the study uncover why some people start using these tools and what holds others back?
Expert: Absolutely. The biggest driver for adoption was social influence—hearing about it from a colleague or a friend. The need to solve a specific problem and simple curiosity were also major factors. But there are significant barriers, too.
Host: I imagine things like data privacy are high on that list.
Expert: Exactly. Data privacy and security were the top concerns. People are wary of putting sensitive company information into a public tool. Other major hurdles are challenges integrating the AI with existing company systems and the AI's own limitations, like its limited memory or occasional lack of creativity and reasoning.
Host: So, Alex, this brings us to the most important question for our listeners. Based on this study, what's the key takeaway for a business leader or a manager? Why does this matter?
Expert: It matters because it shows that successfully using AI isn't just about giving everyone a license. It’s about understanding the Task-Technology Fit. Leaders need to help their teams see which tasks are a good fit for an IPA. The study found that regular users applied AI to complex, strategic tasks, while occasional users stuck to simpler, repetitive ones.
Host: So it's not a one-size-fits-all solution.
Expert: Not at all. Businesses need to proactively address the barriers. Be transparent about data security policies. Create strategies for how these tools can safely integrate with your internal systems. And foster a culture of experimentation where it's okay to start small, maybe with lower-risk tasks like brainstorming or drafting documents, to build confidence.
Host: That sounds like a very actionable strategy. Encourage the right use-cases while actively managing the risks.
Expert: Precisely. The goal is to make the technology fit the work, not the other way around. When that happens, you unlock real process innovation.
Host: Fantastic insights, Alex. So, to summarize for our audience: AI assistants can be powerful engines for innovation, helping with everything from strategic planning to automating routine work. But success depends on matching the tool to the task, directly addressing employee concerns like data privacy, and understanding that different people will use these tools in very different ways.
Host: Alex Ian Sutherland, thank you so much for breaking that down for us.
Expert: My pleasure, Anna.
Host: And thanks to all of you for tuning in to A.I.S. Insights, powered by Living Knowledge. We’ll see you next time.
Intelligent Personal Assistants, Process Innovation, Workflow, Task-Technology Fit Theory
MIS Quarterly Executive (2025)
How Germany Successfully Implemented Its Intergovernmental FLORA System
Julia Amend, Simon Feulner, Alexander Rieger, Tamara Roth, Gilbert Fridgen, and Tobias Guggenberger
This paper presents a case study on Germany's implementation of FLORA, a blockchain-based IT system designed to manage the intergovernmental processing of asylum seekers. It analyzes how the project navigated legal and technical challenges across different government levels. Based on the findings, the study offers three key recommendations for successfully deploying similar complex, multi-agency IT systems in the public sector.
Problem
Governments face significant challenges in digitalizing services that require cooperation across different administrative layers, such as federal and state agencies. Legal mandates often require these layers to maintain separate IT systems, which complicates data exchange and modernization. Germany's asylum procedure previously relied on manually sharing Excel-based lists between agencies, a process that was slow, error-prone, and created data privacy risks.
Outcome
- FLORA replaced inefficient Excel-based lists with a decentralized system, enabling a more efficient and secure exchange of procedural information between federal and state agencies. - The system created a 'single procedural source of truth,' which significantly improved the accuracy, completeness, and timeliness of information for case handlers. - By streamlining information exchange, FLORA reduced the time required for initial stages of the asylum procedure by up to 50%. - The blockchain-based architecture enhanced legal compliance by reducing procedural errors and providing a secure way to manage data that adheres to strict GDPR privacy requirements. - The study recommends that governments consider decentralized IT solutions to avoid the high hidden costs of centralized systems, deploy modular solutions to break down legacy architectures, and use a Software-as-a-Service (SaaS) model to lower initial adoption barriers for agencies.
Host: Welcome to A.I.S. Insights, the podcast where we connect Living Knowledge to your business. I'm your host, Anna Ivy Summers. Host: Today, we're diving into a fascinating case of digital transformation in a place you might not expect: government administration. We're looking at a study titled "How Germany Successfully Implemented Its Intergovernmental FLORA System." Host: With me is our analyst, Alex Ian Sutherland. Alex, in simple terms, what is this study all about? Expert: Hi Anna. This study is a deep dive into FLORA, a blockchain-based IT system Germany built to manage the complex process of handling asylum applications. It’s a great example of how to navigate serious legal and technical hurdles when multiple, independent government agencies need to work together. Host: And this is a common struggle, right? Getting different departments, or in this case, entire levels of government, to use the same playbook. Expert: Exactly. Governments often face a big challenge: legal rules require federal and state agencies to have their own separate IT systems. This makes sharing data securely and efficiently a real nightmare. Host: So what was Germany's asylum process like before FLORA? Expert: It was surprisingly low-tech and risky. The study describes how agencies were manually filling out Excel spreadsheets and emailing them back and forth. This process was incredibly slow, full of errors, and created huge data privacy risks. Host: A classic case of digital transformation being desperately needed. How did the researchers get such an inside look at how this project was fixed? Expert: They conducted a long-term case study, following the FLORA project for six years, right from its initial concept in 2018 through its successful rollout. They interviewed nearly 100 people involved, analyzed thousands of pages of documents, and were present in project meetings. It's a very thorough look behind the curtain. Host: So after all that research, what were the big wins? How did FLORA change things? Expert: The results were dramatic. First, it replaced those insecure Excel lists with a secure, decentralized system. This meant federal and state agencies could share procedural information efficiently without giving up control of their own core systems. Host: That sounds powerful. What else did they find? Expert: The system created what the study calls a 'single procedural source of truth.' For the first time, every case handler, regardless of their agency, was looking at the same accurate, complete, and up-to-date information. Host: I can imagine that saves a lot of headaches. Did it actually make the process faster? Expert: It did. The study found that by streamlining this information exchange, FLORA reduced the time needed for the initial stages of the asylum procedure by up to 50 percent. Host: Wow, a 50 percent reduction is massive. Was there also an impact on security and compliance? Expert: Absolutely. The blockchain-based design was key here. It provided a secure, transparent log of every step, which reduced procedural errors and made it easier to comply with strict GDPR privacy laws. Host: This is a fantastic success story for the public sector. But Alex, what are the key takeaways for our business listeners? How can a company apply these lessons? Expert: There are three huge takeaways. First, when you're trying to connect siloed departments or integrate a newly acquired company, don't automatically default to building one giant, centralized system. Host: Why not? Isn't that the simplest approach? Expert: It seems simple, but the study highlights the massive 'hidden costs'—like trying to force everyone to standardize their processes or overhauling existing software. FLORA’s decentralized approach allowed different agencies to cooperate without losing their autonomy. It's a model for flexible integration. Host: That makes sense. What's the second lesson? Expert: Deploy modular solutions to break down legacy architecture. Instead of a risky 'rip and replace' project, FLORA was designed to complement existing systems. It's about adding new, flexible layers on top of the old, and gradually modernizing piece by piece. Any business with aging critical software should pay attention to this. Host: So, evolution, not revolution. And the final takeaway? Expert: Use a Software-as-a-Service, or SaaS, model to lower adoption barriers. The study explains that the federal agency initially built and hosted FLORA for the state agencies at no cost. This removed the financial and technical hurdles, getting everyone on board quickly. Once they saw the value, they were willing to share the costs later on. Host: That's a powerful strategy. So, to recap: Germany's FLORA project teaches us that for complex integration projects, businesses should consider decentralized systems to maintain flexibility, use modular solutions to tackle legacy tech, and leverage a SaaS model to drive initial adoption. Host: Alex, this has been incredibly insightful. Thank you for breaking it down for us. Expert: My pleasure, Anna. Host: And thank you to our listeners for tuning in to A.I.S. Insights, powered by Living Knowledge. We'll see you next time.
intergovernmental IT systems, digital government, blockchain, public sector innovation, case study, asylum procedure, Germany
MIS Quarterly Executive (2025)
Transforming Energy Management with an AI-Enabled Digital Twin
Hadi Ghanbari, Petter Nissinen
This paper reports on a case study of how one of Europe's largest district heating providers, called EnergyCo, implemented an AI-assisted digital twin to improve energy efficiency and sustainability. The study details the implementation process and its outcomes, providing six key recommendations for executives in other industries who are considering adopting digital twin technology.
Problem
Large-scale energy providers face significant challenges in managing complex district heating networks due to fluctuating energy prices, the shift to decentralized renewable energy sources, and operational inefficiencies from siloed departments. Traditional control systems lack the comprehensive, real-time view needed to optimize the entire network, leading to energy loss, higher costs, and difficulties in achieving sustainability goals.
Outcome
- The AI-enabled digital twin provided a comprehensive, real-time representation of the entire district heating network, replacing fragmented views from legacy systems. - It enabled advanced simulation and optimization, allowing the company to improve operational efficiency, manage fluctuating energy prices, and move toward its carbon neutrality goals. - The system facilitated scenario-based decision-making, helping operators forecast demand, optimize temperatures and pressures, and reduce heat loss. - The digital twin enhanced cross-departmental collaboration by providing a shared, holistic view of the network's operations. - It enabled a shift from reactive to proactive maintenance by using predictive insights to identify potential equipment failures before they occur, reducing costs and downtime.
Host: Welcome to A.I.S. Insights, the podcast powered by Living Knowledge, where we translate complex research into actionable business strategy. I’m your host, Anna Ivy Summers.
Host: Today, we're diving into a fascinating case study called "Transforming Energy Management with an AI-Enabled Digital Twin." It details how one of Europe's largest energy providers used this cutting-edge technology to completely overhaul its operations for better efficiency and sustainability. With me is our expert analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Thanks for having me, Anna.
Host: So, Alex, let's start with the big picture. Why would a massive energy company need a technology like an AI-enabled digital twin? What problem were they trying to solve?
Expert: Well, a company like EnergyCo, as it's called in the study, manages an incredibly complex district heating network. We're talking about over 2,800 kilometers of pipes. Their traditional control systems just couldn't keep up.
Host: What was making it so difficult?
Expert: It was a perfect storm of challenges. First, you have volatile energy prices. Second, they're shifting from a few big fossil-fuel plants to many smaller, decentralized renewable sources, which are less predictable. And internally, their departments were siloed. The production team, the network team, and the customer team all had different data and different priorities, leading to significant energy loss and higher costs.
Host: It sounds like they were flying with a dozen different dashboards but no single view of the cockpit. So what was the approach they took? What exactly is a digital twin?
Expert: In simple terms, a digital twin is a dynamic, virtual replica of a physical system. The key thing that distinguishes it from a simple digital model is that the data flow is automatic and two-way. It doesn't just receive real-time data from the physical network; it can be used to simulate changes and even send instructions back to optimize it.
Host: So it’s a living model, not a static blueprint. How did the study find this approach worked in practice for EnergyCo? What were the key outcomes?
Expert: The results were transformative. The first major finding was that the digital twin provided a single, comprehensive, real-time representation of the entire network. For the first time, everyone was looking at the same holistic picture.
Host: And what did that unified view enable them to do?
Expert: It unlocked advanced simulation and optimization. Operators could now run "what-if" scenarios. For example, they could accurately forecast demand based on weather data and then simulate the most cost-effective way to generate and distribute heat, drastically reducing energy loss and managing those fluctuating fuel prices.
Host: The study also mentions collaboration. How did it help there?
Expert: By breaking down the data silos, it naturally improved cross-departmental collaboration. When the production team could see how their decisions impacted network pressure miles away, they could make smarter, more coordinated choices. It created a shared operational language.
Host: That makes sense. And I was particularly interested in the shift from reactive to proactive maintenance.
Expert: Absolutely. Instead of waiting for a critical failure, the AI within the twin could analyze data to predict which components were under stress or likely to fail. This allowed EnergyCo to schedule maintenance proactively, which is far cheaper and less disruptive than emergency repairs.
Host: Alex, this is clearly a game-changer for the energy sector. But what’s the key takeaway for our listeners—the business leaders in manufacturing, logistics, or even retail? Why does this matter to them?
Expert: The most crucial lesson is about global versus local optimization. So many businesses try to improve one department at a time, but that can create bottlenecks elsewhere. A digital twin gives you a holistic view of your entire value chain, allowing you to make decisions that are best for the whole system, not just one part of it.
Host: So it’s a tool for breaking down those internal silos we see everywhere.
Expert: Exactly. The second key takeaway is that the human element is vital. The study shows that EnergyCo didn't just deploy the tech and replace people. They positioned it as a tool to support their operators, building trust and involving them in the process. Automation was gradual, which is critical for buy-in.
Host: That’s a powerful point about managing technological change. Any final takeaway for our audience?
Expert: Yes, the study highlights how this technology can become a foundation for new business models. EnergyCo is now exploring how to use the digital twin to give customers real-time data, turning them from passive consumers into active participants in energy management. For any business, this shows that operational tools can unlock future strategic growth.
Host: So, to summarize: an AI-enabled digital twin offers a holistic, real-time view of your operations, it breaks down silos to enable smarter decisions, and it can even pave the way for future innovation. It's about augmenting your people, not just automating processes.
Host: Alex Ian Sutherland, thank you so much for these brilliant insights.
Expert: My pleasure, Anna.
Host: And thank you to our audience for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we uncover more actionable intelligence from the world of research.
Digital Twin, Energy Management, District Heating, AI, Cyber-Physical Systems, Sustainability, Case Study
MIS Quarterly Executive (2024)
How the Odyssey Project Is Using Old and Cutting-Edge Technologies for Financial Inclusion
Samia Cornelius Bhatti, Dorothy E. Leidner
This paper presents a case study of The Odyssey Project, a fintech startup aiming to increase financial inclusion for the unbanked. It details how the company combines established SMS technology with modern innovations like blockchain and AI to create an accessible and affordable digital financial solution, particularly for users in underdeveloped countries without smartphones or consistent internet access.
Problem
Approximately 1.7 billion adults globally remain unbanked, lacking access to formal financial services. This financial exclusion is often due to the high cost of services, geographical distance to banks, and the requirement for expensive smartphones and internet data, creating a significant barrier to economic participation and stability.
Outcome
- The Odyssey Project developed a fintech solution that integrates old technology (SMS) with cutting-edge technologies (blockchain, AI, cloud computing) to serve the unbanked. - The platform, named RoyPay, uses an SMS-based chatbot (RoyChat) as the user interface, making it accessible on basic mobile phones without an internet connection. - Blockchain technology is used for the core payment mechanism to ensure secure, transparent, and low-cost transactions, eliminating many traditional intermediary fees. - The system is built on a scalable and cost-effective infrastructure using cloud services, open-source software, and containerization to minimize operational costs. - The study demonstrates a successful model for creating context-specific technological solutions that address the unique needs and constraints of underserved populations.
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 from the MIS Quarterly Executive titled, "How the Odyssey Project Is Using Old and Cutting-Edge Technologies for Financial Inclusion". Host: It explores how a fintech startup is combining simple SMS technology with advanced tools like blockchain and AI to serve people without access to traditional banking. Host: Here to break it all down for us is our analyst, Alex Ian Sutherland. Alex, welcome to the show. Expert: Great to be here, Anna. Host: Let’s start with the big picture. Why is a study like this so important? What’s the core problem they're trying to solve? Expert: The problem is massive. The study states that around 1.7 billion adults globally are unbanked. They lack access to even the most basic formal financial services. Host: And what stops them from just walking into a bank? Expert: The study highlights a few critical barriers. Many people live in rural areas, far from any physical bank branch. On top of that, the high cost of services can be prohibitive. Expert: And while modern digital banking exists, it usually requires an expensive smartphone and a reliable internet data plan, which are luxuries for a huge portion of the world’s population. This effectively locks them out of the modern economy. Host: So The Odyssey Project saw this challenge. What was their approach, as detailed in the study? Expert: Their approach was brilliantly pragmatic. Instead of trying to force a high-tech solution onto a low-tech environment, they built their system around a technology that nearly everyone already has and knows how to use: SMS, or simple text messaging. Host: Texting. That feels very old-school in a world of apps. Expert: It is, but that's the point. It's accessible on the most basic mobile phone, it’s cheap, and it doesn't need an internet connection. The true innovation, which the study details, is the powerful, modern engine they built to run on that simple SMS interface. Host: Let's get into those findings. How exactly did they build this engine? Expert: The study identifies a few core components. Their platform, called RoyPay, uses an SMS-based chatbot as the primary user interface. So, a user can send and receive money just by texting this chatbot, which they named RoyChat. Host: And behind the scenes, it’s much more complex? Expert: Exactly. For the core payment mechanism, they use blockchain technology. This is key because it enables secure and transparent transactions at a very low cost, cutting out many of the intermediary fees that make traditional finance so expensive. Host: So the user sees a simple text, but the transaction is happening on the blockchain. Where does AI fit in? Expert: The AI powers the chatbot. It uses machine learning and natural language processing to understand the user’s text messages. This allows it to handle requests, answer questions, and make the whole experience feel conversational and intuitive. Expert: And finally, the study notes the entire system is built on scalable cloud services and open-source software. In business terms, that means it’s incredibly cost-effective to run and can be scaled up to serve millions of users around the world without a massive new investment in infrastructure. Host: This is a powerful combination. For the business leaders listening, what is the big takeaway here? Why does this matter for them? Expert: I think there are two critical lessons. First, it redefines what we think of as innovation. The study shows that groundbreaking solutions don't always come from inventing something brand new. Here, the innovation was creatively combining old technology with new technology to solve a very specific problem. Host: It’s a lesson in using the right tool for the job, not just the newest one. Expert: Precisely. The second lesson is about entering emerging markets. This case is a perfect example of creating a context-specific solution. You can't just take a product built for New York or London and expect it to work in rural Kenya. Expert: By understanding the constraints—no smartphones, no internet, low income—The Odyssey Project built a solution that was perfectly adapted to its users. For any company looking to expand globally, that principle is pure gold: fit the technology to the market, not the other way around. Host: A fantastic summary, Alex. So, to recap: the study on The Odyssey Project shows us that huge global challenges can be met by cleverly blending simple, existing tech with powerful, new platforms. Host: The solution starts with the user’s reality—a basic phone—and builds a low-cost, secure financial tool using blockchain and AI. Host: For business leaders, it's a powerful reminder that true innovation is about creative problem-solving, and success in new markets requires deep adaptation. Host: Alex Ian Sutherland, thank you for sharing your insights with us. Expert: It was my pleasure, Anna. Host: And thank you for listening to A.I.S. Insights, powered by Living Knowledge. We’ll see you next time.
Leveraging Information Systems for Environmental Sustainability and Business Value
Anne Ixmeier, Franziska Wagner, Johann Kranz
This study analyzes 31 articles from practitioner journals to understand how businesses can use Information Systems (IS) to enhance environmental sustainability. Based on a comprehensive literature review, the research provides five practical recommendations for managers to bridge the gap between sustainability goals and actual implementation, ultimately creating business value.
Problem
Many businesses face growing pressure to improve their environmental sustainability but struggle to translate sustainability initiatives into tangible business value. Managers are often unclear on how to effectively leverage information systems to achieve both environmental and financial goals, a challenge referred to as the 'sustainability implementation gap'.
Outcome
- Legitimize sustainability by using IS to create awareness and link environmental metrics to business value. - Optimize processes, products, and services by using IS to reduce environmental impact and improve eco-efficiency. - Internalize sustainability by integrating it into core business strategies and decision-making, informed by data from environmental management systems. - Standardize sustainability data by establishing robust data governance to ensure information is accessible, comparable, and transparent across the value chain. - Collaborate with external partners by using IS to build strategic partnerships and ecosystems that can collectively address complex sustainability challenges.
Host: Welcome to A.I.S. Insights, the podcast at the intersection of business, technology, and Living Knowledge. I’m your host, Anna Ivy Summers. Host: Today, we’re diving into a fascinating study titled "Leveraging Information Systems for Environmental Sustainability and Business Value." Host: It explores how companies can use their information systems, or IS, not just to meet sustainability goals, but to actually create tangible business value. To help us unpack this, we have our expert analyst, Alex Ian Sutherland. Alex, welcome to the show. Expert: Thanks for having me, Anna. It's a critical topic. Host: Absolutely. So, let's start with the big picture. What is the core problem this study is trying to solve for businesses? Expert: The central issue is something the researchers call the 'sustainability implementation gap'. Host: A gap? What does that mean? Expert: It means that while businesses are under immense pressure from customers, investors, and regulators to be more environmentally friendly, many managers are struggling. They don't have the tools or a clear roadmap to turn those sustainability initiatives into real business value, like cost savings or new revenue. Host: So they have the ambition, but not the execution plan. Expert: Exactly. They know sustainability is important, but they can't connect the dots between, say, reducing carbon emissions and improving their bottom line. This study aims to provide that practical roadmap. Host: So, how did the researchers go about creating this roadmap? What was their approach? Expert: Instead of building a purely theoretical model, they did something very practical. They conducted a comprehensive review of 31 articles from leading practitioner journals—publications that report on real-world business challenges and solutions. Host: So they looked at what's actually working in the field. Expert: Precisely. They analyzed a decade's worth of case studies and reports to find common patterns and best practices, specifically focusing on how information systems are being used successfully. Host: That sounds incredibly useful. Let's get to the findings. What were the key recommendations that came from this analysis? Expert: The study outlines a five-step pathway. The steps are: Legitimize, Optimize, Internalize, Standardize, and Collaborate. Together, they create a cycle for turning sustainability into value. Host: Okay, let's break that down. What does it mean to 'Legitimize' sustainability? Expert: It means making sustainability a real business priority, not just a PR exercise. Information systems are key here. They allow you to use analytical tools to connect environmental metrics, like energy consumption, directly to financial performance indicators. When you can show that reducing energy use saves a specific amount of money, sustainability becomes legitimized in the language of business. Host: You make a clear business case for it. Once that's done, what's the next step, 'Optimize'? Expert: Optimization is about using IS to improve the eco-efficiency of your processes, products, and services. A great example from the study is a consortium that piloted digital watermarks on packaging. These invisible codes help waste sorting facilities to recycle materials far more accurately, reducing waste and creating value from it. Host: That’s a brilliant, tangible example. So after legitimizing and optimizing, the next step is to 'Internalize'. How is that different? Expert: Internalizing means weaving sustainability into the very fabric of your corporate strategy. It's about using data from your environmental management systems to inform core business decisions, from project planning to investments. The study highlights how the chemical company BASF uses its management system to ensure environmental factors are a binding part of central strategic decisions. Host: It becomes part of the company's DNA. This brings us to the last two steps, which sound very connected: 'Standardize' and 'Collaborate'. Expert: They are absolutely connected. To collaborate effectively, you first need to standardize. This means establishing robust data governance so that sustainability information is consistent, comparable, and transparent. You can't work with your suppliers on reducing emissions if you're all measuring things differently. Host: A common language for data. Expert: Exactly. And once you have that, you can 'Collaborate'. No single company can solve major environmental challenges alone. IS allows you to build strategic partnerships and ecosystems. For instance, the study mentions a platform using blockchain to allow partners in a supply chain to securely share sustainability data without revealing sensitive trade secrets. This builds trust and enables collective action. Host: Alex, this is a very clear and powerful framework. If you had to distill this for a CEO or a manager listening right now, what is the single most important business takeaway? Expert: The key takeaway is to stop viewing sustainability as a cost or a compliance burden. Information systems provide the tools to reframe it as a driver of innovation and competitive advantage. By following this pathway, you can use data to uncover efficiencies, create more innovative and circular products, reduce risk in your supply chain, and ultimately build a more resilient and profitable business. It’s an iterative journey, not a one-time fix. Host: A journey from obligation to opportunity. Expert: That's the perfect way to put it. Host: To summarize for our listeners: businesses are struggling with a 'sustainability implementation gap'. This study provides a practical five-step pathway—Legitimize, Optimize, Internalize, Standardize, and Collaborate—showing how information systems can turn sustainability from an obligation into a core driver of business value. Host: Alex Ian Sutherland, thank you so much for translating this crucial research into such clear, actionable insights. Expert: My pleasure, Anna. Host: And thanks to all of you for tuning in to A.I.S. Insights — powered by Living Knowledge. Join us next time as we continue to explore the ideas shaping our world.
Information Systems, Environmental Sustainability, Green IS, Business Value, Corporate Strategy, Sustainability Implementation
MIS Quarterly Executive (2024)
The Hidden Causes of Digital Investment Failures
Joe Peppard, R. M. Bastien
This study analyzes hundreds of digital projects to uncover the subtle, hidden root causes behind their frequent failure or underachievement. It moves beyond commonly cited symptoms, like budget overruns, to identify five fundamental organizational and structural issues that prevent companies from realizing value from their technology investments. The analysis is supported by an illustrative case study of a major insurance company's large-scale transformation program.
Problem
Organizations invest heavily in digital technology expecting significant returns, but most struggle to achieve their goals, and project success rates have not improved over time. Despite an abundance of project management frameworks and best practices, companies often address the symptoms of failure rather than the underlying problems. This research addresses the gap by identifying the deep-rooted, often surprising causes for these persistent investment failures.
Outcome
- The Illusion of Control: Business leaders believe they are controlling projects through metrics and governance, but this is an illusion that masks a lack of real influence over value creation. - The Fallacy of the “Working System”: The primary goal becomes delivering a functional IT system on time and on budget, rather than achieving the intended business performance improvements. - Conflicts of Interest: The conventional model of a single, centralized IT department creates inherent conflicts of interest, as the same group is responsible for designing, building, and quality-assuring systems. - The IT Amnesia Syndrome: A project-by-project focus leads to a collective organizational memory loss about why and how systems were built, creating massive complexity and technical debt for future projects. - Managing Expenses, Not Assets: Digital systems are treated as short-term expenses to be managed rather than long-term productive assets whose value must be cultivated over their entire lifecycle.
Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I'm your host, Anna Ivy Summers. Host: Today, we’re tackling a multi-billion-dollar question: why do so many major digital and technology projects fail to deliver on their promise? Host: We’re diving into a fascinating new study called "The Hidden Causes of Digital Investment Failures". It analyzes hundreds of projects to uncover the subtle, often invisible root causes behind these failures, moving beyond the usual excuses like budget overruns or missed deadlines. Host: To help us unpack this is our analyst, Alex Ian Sutherland. Alex, welcome. Expert: Great to be here, Anna. Host: Alex, let's start with the big problem. Companies are pouring huge amounts of money into digital transformation, but the success rates just aren't improving. What's going on? Expert: It’s a huge issue. The study uses a great analogy: it’s like treating sciatica. You feel the pain in your leg, so you stretch the muscle. That gives temporary relief, but the root cause is a problem in your lower back. In business, we see symptoms like budget overruns and we react by adding more governance or new project management tools. We’re treating the leg, not the back. Expert: The study highlights a case of a major insurance company. They spent over $120 million and six years on a new platform, only to find they were less than a third of the way done, with the final cost estimate having nearly doubled. They were doing all the "right" project management things, but it was still failing. Host: So they were addressing the symptoms, not the true cause. How did the researchers in this study get to those root causes? What was their approach? Expert: They conducted a deep root-cause analysis. Think of it as business archaeology. They didn't just look at the surface of failed projects; they analyzed hundreds of them to map the complex cause-and-effect relationships that led to poor outcomes. They then workshopped these findings with senior practitioners to ensure they reflected real-world experience. Host: And this "archaeology" uncovered five key hidden causes. The first one is called 'The Illusion of Control'. It sounds a bit ominous. Expert: It is, in a way. Business leaders believe they're in control because they have dashboards, metrics, and steering committees tracking time and cost. But the study found this is an illusion. They are controlling the execution of the project, but they have no real influence over the creation of business value. Expert: In that insurance case, the executives saw progress reports, but over 95% of the budget was being spent by technical teams making hundreds of small, invisible decisions every week that ultimately determined the project's fate. The business leaders were too far removed to have any real control over the outcome. Host: Which sounds like it leads directly to the second finding: 'The Fallacy of the Working System'. What does that mean? Expert: It means the goalpost shifts. The original objective was to improve business performance, but the project's primary goal becomes just delivering a functional IT system on time and on budget. Everyone from the project manager to the CIO is incentivized to just get a "working system" out the door. Host: So, the 'working system' becomes the end goal, not the business value it was supposed to create. Expert: Exactly. And there's often no one held accountable for delivering that value after the project team declares victory and disbands. Host: The third cause is 'Conflicts of Interest'. This sounds like a structural problem. Expert: It's a huge one. The study points out that in mature industries like construction, you have separate roles: the customer funds it, the architect designs it, and the builder constructs it. They have separate accountabilities. But in the typical corporate structure, a single IT department does all three. They design, build, and quality-check their own work. Host: So when a trade-off has to be made between long-term quality and the short-term deadline... Expert: The deadline and budget almost always win. It creates a system that prioritizes short-term delivery over building resilient, high-quality digital assets. Host: And I imagine that short-term focus creates long-term problems, which might be what the fourth cause, 'The IT Amnesia Syndrome', is about. Expert: Precisely. Because the focus is on finishing the current project, things like proper documentation are the first to be cut. As teams move on and people leave, the organization forgets why systems were built a certain way. The study found this creates massive, unnecessary complexity. Future projects are then bogged down by trying to understand these poorly documented legacy systems. Host: It sounds like building on a shaky foundation you can't even see properly. Expert: A perfect description. Host: And the final hidden cause: 'Managing Expenses, Not Assets'. Expert: Right. A company would never treat a new factory or a fleet of cargo ships as a simple expense. They are managed as productive assets over their entire lifecycle. But digital systems, which can cost hundreds of millions, are often treated as short-term project expenses. There's no focus on their long-term value, maintenance costs, or when they should be retired. Host: So Alex, this is a pretty powerful diagnosis of what’s going wrong. The crucial question for our listeners is: what's the cure? What do leaders need to do differently? Expert: The study offers some clear, if challenging, recommendations. First, business leaders must truly *own* their digital systems as productive assets. The business unit that gets the value should be the owner, not the IT department. Expert: Second, organizations need to eliminate those conflicts of interest by separating the roles of architecting, building, and quality assurance. You need independent checks and balances. Expert: And finally, the mindset has to shift from securing funding to delivering value. One CEO the study mentions now calls project sponsors back before the investment committee years after a project is finished to prove the business benefits were actually achieved. That creates real accountability. Host: So it’s not about finding a better project methodology, but about fundamentally changing organizational structure and, most importantly, the mindset of leadership. Expert: That's the core message. The success or failure of a digital investment is determined long before the project itself ever kicks off. It's determined by the organizational system it operates in. Host: A fascinating and crucial insight. We’ve been discussing the study "The Hidden Causes of Digital Investment Failures". The five hidden causes are: The Illusion of Control, The Fallacy of the Working System, Conflicts of Interest, IT Amnesia Syndrome, and Managing Expenses, Not Assets. Host: Alex Ian Sutherland, thank you for making this so clear 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 decode the research that’s reshaping the world of business.
digital investment, project failure, IT governance, root cause analysis, business value, single-counter IT model, technical debt