Artificial intelligence (AI) is predicted to radically transform the ways manufacturing firms create, deliver, and capture value. However, many manufacturers struggle to successfully assimilate AI capabilities into their business models and operations at scale. In this paper, we explore how manufacturing firms can develop AI capabilities and innovate their business models to scale AI in digital servitization. We present empirical insights from a case study of six leading manufacturers engaged in AI. The findings reveal three sets of critical AI capabilities: data pipeline, algorithm development, and AI democratization. To scale these capabilities, firms need to innovate their business models by focusing on agile customer co-creation, data-driven delivery operations, and scalable ecosystem integration. We combine these insights into a co-evolutionary framework for scaling AI through business model innovation underscoring the mechanisms and feedback loops. We offer insights into how manufacturers can scale AI, with important implications for management.
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Sjödin, D., Parida, V., Palmié, M., Wincent J. (2021). How AI capabilities enable business model innovation: Scaling AI through co-evolutionary processes and feedback loops. Journal of Business Research. Vol. 134.
Palmié, M., Boehm, J., Friedrich, J., Parida, V., Wincent, J., Kahlert, J., Gassmann, O., Sjödin, D. (2021). Startups versus incumbents in ‘green’ industry transformations: A comparative study of business model archetypes in the electrical power sector. Industrial Marketing Management. Vol. 96.
Schweitzer, F., Palmié, M., Gassmann, O., Kahlert, J. & Roeth, T. (2021). Open innovation for institutional entrepreneurship: how incumbents induce institutional change to advance autonomous driving. R&D Management.
Haefner, N., Palmié, M., & Leppänen, P. T. (2021). With(out) a little help from my friends? Reconciling incongruous findings on stakeholder management, innovation, and firm performance. Entrepreneurship Theory and Practice, in press.
Towards Wearable-based Hypoglycemia Detection and Warning in Diabetes
Maritsch, Martin; Föll, Simon; Lehmann, Vera; Bérubé, Caterina; Kraus, Mathias; Feuerriegel, Stefan; Kowatsch, Tobias; Züger, Thomas; Stettler, Christoph; Fleisch, Elgar & Wortmann, Felix
Towards the Healing Car: Investigating the Potential of Psychotherapeutic In-vehicle Interventions
Koch, Kevin; Liu, Shu; Berger, Thomas & Wortmann, Felix
The role uf user-generated content in blockchain-based decentralized finance
Chanson, Mathieu; Martens, Nils & Wortmann, Felix
From Selling Assets to Delivering Equipment-as-a-Service
Knapp, Johanna; Lamprecht, Claudio; Gebauer, Heiko & Wortmann, Felix
How to convert digital offerings into revenue enhancement – Conceptualizing business model dynamics through explorative case studies
Gebauer, Heiko; Arzt, Alexander; Kohtamäki, Marko; Lamprecht, Claudio; Parida, Vinit; Witell, Lars & Wortmann, Felix
Implementing a blockchain-based local energy market: Insights on communication and scalability
Meeuw, Arne; Schopfer, Sandro; Woerner, Anselma; Ableitner, Liliane; Tiefenbeck, Verena; Fleisch, Elgar & Wortmann, Felix
Growth paths for overcoming the digitalization paradox
Gebauer, Heiko; Fleisch, Elgar; Lamprecht, Claudio & Wortmann, Felix
Capturing Value in the Internet of Things
Wortmann, Felix; Herhausen, Dennis; Bilgeri, Dominik; Weinberger, Markus & Fleisch, Elgar
The social meaning of steps: user reception of a mobile health intervention on physical activity
Presset, Bastien; Kramer, Jan-Niklas; Kowatsch, Tobias & Ohl, Fabien
Which Components of a Smartphone Walking App Help Users to Reach Personalized Step Goals? Results From an Optimization Trial
Kramer, Jan-Niklas; Künzler, Florian; Mishra, Varun; Smith, Shawna N.; Kotz, David F.; Scholz, Urte; Fleisch, Elgar & Kowatsch, Tobias