Digital Innovation

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    Using Process Mining to Support Theorizing About Change in Organizations
    ( 2020-01-07) Grisold, Thomas ; Wurm, Bastian ; Mendling, Jan ; Vom Brocke, Jan
    Process mining refers to a family of algorithms used to computationally reconstruct, analyze and visualize business processes through event log data. While process mining is commonly associated with the improvement of business processes, we argue that it can be used as a method to support theorizing about change in organizations. Central to our argument is that process mining algorithms can support inductive as well as deductive theorizing. Process mining algorithms can extend established theorizing in a number of ways and in relation to different research agendas and phenomena. We illustrate our argument in relation to two types of change: endogenous change that evolves over time and exogenous change that follows a purposeful intervention. Drawing on the discourse of routine dynamics, we propose how different process mining features can reveal new insights about the dynamics of organizational routines.
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    Digital Disruption: A Conceptual Clarification
    ( 2020-01-07) Baiyere, Abayomi ; Hukal, Philipp
    Digital disruption is emerging as a widely used term in academic and practitioner discourse. Yet, there are few studies attempting to theorize it beyond public media conjectures. The concept risks losing its theoretical value without a grounding in its theoretical foundation – digital innovations and disruptive innovations. As a result, the term lacks precision and confounds phenomena that are neither sufficiently digital, innovative, or disruptive. This undermines the utility of the term for researchers and practitioners alike. In this paper, we conceptualize digital disruption by attending to its properties that emanate from its conceptual roots of digital innovation and disruptive innovation. In doing so, we seek to add to past work calling us to pay attention to the needed caution in chronicling digital phenomena beyond fads.
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    It Depends on the Size: How Firm Strategic Emphasis on Digital Transformation Predicts Market Capitalization
    ( 2020-01-07) Moker, Anna ; Brosi, Prisca ; Welpe, Isabell
    Whereas digital businesses can have an enormous market value, it remains an open question, whether firms, embarking on a digital transformation journey, can realize similar benefits. Thus, we rely on the signaling theory to study, whether strategic emphasis on digital transformation – i.e., the extent, to which a firm focuses on digital transformation in its strategy – as well as firm size as an indicator of a large resource basis jointly influence market capitalization. To answer this question, we conducted a longitudinal panel data analysis of the largest German publicly listed companies from 2000 to 2017. Our results show, that strategic emphasis on digital transformation leads to a higher market capitalization for larger firms and to a lower market capitalization for smaller firms. Whereas larger firms should further disclose their strategic emphasis on digital transformation, smaller firms should consider sending additional signals to investors, demonstrating their ability to undergo digital transformation successfully.
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    Platform Evolution: A Study of TripAdvisor
    ( 2020-01-07) Alaimo, Cristina ; Kallinikos, Jannis ; Valderrama-Venegas, Erika
    The recent commercial expansion of social media platforms challenges their origin as places of networking and community building and raises important questions as regards their status as institutional entities. After briefly reviewing the literature on platforms and ecosystems, we conduct a longitudinal case study of TripAdvisor. Our findings show the critical role networking and social data have historically played in positioning TripAdvisor as a hub in a vast digital travel ecosystem. At the same time, our analysis unravels the growing diversification of data types linked to the roles performed by different types of actors (e.g. end users, advertisers, business owners, online travel agencies). The shifting nature of these roles and the data types they produce largely account for the patterns of platform evolution and its market position.
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    The Digital Twin – Birth of an Integrated System in the Digital Age
    ( 2020-01-07) Wache, Hendrik ; Dinter, Barbara
    Today we live in a time where new technologies are developing rapidly. Digitalization and automation are finding their way into various industrial sectors, especially in the area of Industry 4.0. As in previous digitalization efforts in the manufacturing sector, it can be observed that the discourse is strongly concentrated on technological themes, neglecting the overall integration of technologies into the organization. In this paper, we conduct a literature review on the concept of a digital twin, i.e. a simulation-oriented closed loop system consisting of physical and digital components. We map the identified themes to the elements of a socio-technical system to show which issues in the discourse are underrepresented from a managerial point of view in order to provide indications for a more holistic discourse.