Driving innovation through organizational restructuring and integration of advanced digital technologies: a case study of a world-leading manufacturing company

Sari Nour and Anna Arbussà

European Journal of Innovation Management, 2024, vol. 28, issue 8, 3262-3283

Abstract: PurposeThis study investigates how integrating advanced digital technologies through organizational restructuring enhances customer-centricity and decision-making processes. The research also explores the resulting improvements in operational efficiency and organizational performance within the competitive manufacturing sector.Design/methodology/approachAdopting a qualitative approach, this study employs a single case study methodology to provide an in-depth analysis of a leading manufacturing company that has effectively integrated advanced digital technologies. This approach allows for a detailed, context-specific examination of the company’s strategic restructuring and its impact on enhancing dynamic capabilities.FindingsThe study reveals that organizational restructuring, when combined with the integration of advanced digital technologies, significantly enhances a firm’s ability to sense and respond to market changes, seize emerging opportunities and reconfigure resources effectively. This results in improved decision-making processes, customer-centric solutions and strengthened competitiveness. Key technologies such as digital twins, have played a pivotal role in driving these improvements.Research limitations/implicationsThis study is limited by its focus on a single case study within the manufacturing industry, which may constrain the generalizability of the findings to other sectors or regions. Additionally, the integration of advanced digital technologies may encounter varying degrees of employee resistance and cultural challenges, which were not fully explored in this study. Future research should consider comparative studies across multiple industries to validate the findings and address ethical considerations associated with digital transformation and organizational restructuring.Practical implicationsThe case study of Company ABC illustrates the significant benefits of integrating advanced digital technologies with organizational restructuring, resulting in enhanced operational efficiency, customer-centricity and decision-making processes. The findings provide valuable insights for similar organizations in the manufacturing sector, offering a practical roadmap for implementing digital transformation initiatives. Companies considering such transformations can leverage these best practices to achieve competitive advantages, optimize resource allocation and improve overall performance.Social implicationsBridging the digital divide and promoting equal access to digital advancements in manufacturing are imperative for a digitally advanced and sustainable future, emphasizing the importance of fair distribution of digital benefits.Originality/valueIn an era of rapid technological advancement, the intersection of digital transformation and organizational restructuring is crucial for maintaining competitiveness. This study provides valuable insights into how these strategic initiatives can be effectively implemented in the manufacturing industry, offering a roadmap for other firms navigating similar transitions in the digital age. Its originality derived from being based on data from a globally recognized leader in the manufacturing sector.

Keywords: Advanced digital technologies; Dynamic capabilities; Innovation management; Customer orientation; Operational efficiency; Organizational restructuring (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:eme:ejimpp:ejim-02-2024-0156

DOI: 10.1108/EJIM-02-2024-0156

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