The development of a conceptual framework for enabling a value-adding digital transformation
Year: 2019
Type: dissertation
Abstract: ENGLISH ABSTRACT: The advent of the fourth industrial revolution, or Industry 4.0, is set to disrupt industry. New technologies have enabled new streams of revenue for organisations and has disrupted incumbent organisations at a rapid pace. The manner in which organisations adapt to these technological changes will determine their long-term financial sustainability. Many organisations attempt the integration of Industry 4.0 concepts through digital transformation, but few successfully manage to create value from it. Organisations face various challenges that inhibit the successful enactment of a value-adding digital transformation. Limited research exists about this topic, and thus there is a need to develop a framework that would assist organisations to successfully undergo digital transformation. This research addresses the need by developing a conceptual framework through using a combination between the conceptual framework development methodology by Jabareen and Enterprise Engineering principles. The research approach starts by focusing on creating context and to identify relevant concepts pertaining to a successful digital transformation. This is achieved through a literature review of the relevant concepts, existing evidence of the impact of Industry 4.0 on industries, and the different approaches to a digital transformation. A challenges landscape is created to find the reasons why few organisations manage to successfully enact a digital transformation. The conclusions drawn from the literature was integrated to generate a set of conceptual framework design requirements. The next step of the research focuses on the development of the conceptual framework and is introduced by a systematic literature review about existing frameworks or models to test the novelty of the identified design requirements. A preliminary framework is developed by synthesising all the relevant concepts identified from the existing scholarship. This framework is validated through semi-structured interviews with subject matter experts and a case study. The preliminary framework is constructed into a final conceptual framework. The final framework consists of two over-arching phases, each expanded into sub-phases. Phase 1 provides the user organisations with the concepts that require consideration through the digital transformation process, and Phase 2 aims to integrate the outcomes from Phase 1. Phase 1 consists of five sub-phases, namely, industry disruption, customer needs identification, customer value design, digital capability assessment, and challenges assessment. The outcomes from these sub-phases are integrated in Phase 2, which comprises of the sub-phases: assessment report, value equation, and challenges index. The framework provides the user organisations with suggested tools and processes to achieve the desired outcomes, while allowing the organisation to make tool selections based on their needs, permitting that the outcomes remain the same. The research and its resulting conceptual framework contribute by providing organisations with a resource that will guide them in their decision-making process regarding digital transformation, and also contribute as an educational tool in Industry 4.0 principles and its integrated applications. The conceptual framework further serves as basis that can be evolved through future research to include new concepts and account for new challenges as technology, industries, and people evolve.
Author: Willem Rautenbach
Language: English
Subfield: Industrial and Manufacturing Engineering
Field: Engineering
Domain: Physical Sciences
Open Access status: green
OpenAlex ID: W3004196434