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Production Planning & Control

The Management of Operations

ISSN: 0953-7287 (Print) 1366-5871 (Online) Journal homepage: https://www.tandfonline.com/loi/tppc20

Operations management and digital technologies

Francesco Schiavone & Sebastian Sprenger

To cite this article: Francesco Schiavone & Sebastian Sprenger (2017) Operations
management and digital technologies, Production Planning & Control, 28:16, 1281-1283, DOI:
10.1080/09537287.2017.1375151

To link to this article: https://doi.org/10.1080/09537287.2017.1375151

Published online: 10 Oct 2017.

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Production Planning & Control, 2017
VOL. 28, NO. 16, 1281–1283
https://doi.org/10.1080/09537287.2017.1375151

EDITORIAL

Operations management and digital technologies

In these days, the idea of creating value is mainly shaped by the Next, Rocco Agrifoglio and his colleagues explore the criti-
vision of intelligent and autonomous interaction between eco- cal role of emerging digital technologies in the maritime indus-
systems (Stock and Seliger 2016). The ubiquitous experiment of try. Globalisation, variation in customer expectations, and the
digitising basically every operational process identifiable in firms developments connected to Information and Communication
literally sounds the bell for traditional applications and process to Technology (ICTs) are usually considered as the main drivers of
control manufacturing across entire supply chains (e.g. Almada- changes in OM strategies by firms in both manufacturing and
Lobo 2015; Majeed and Rupasinghe 2017). In many cases, such service industries. Emerging digital technologies, such as Internet
radical transformations of business are based on the implemen- of Things or Cloud Computing, represents a novel paradigm that
tation of big data approaches ‘in order to generate value for the is rapidly affecting on several aspects of everyday-life of private
organisation by optimising, adapting or radically transforming and business users. This paper contributes to extant literature
the operations model’ (Roden et al. 2017). Therefore, nearly all about the relationship between emerging digital technologies
industries expectations of established as well as potentially new and OM, by stressing the value co-creation issue. Specifically,
customers are rising according to one main subject: the digiti- they investigate how emerging digital technologies affect OM
sation of digital products or (connected) services, or, at least, through value co-creation in the maritime industry. The study
increasing convenience and productivity because of the intelli- reports the case of FairWind project, an open technology marine
gent interpretation of gathered data connected with autonomous service and graphic user interface enabling sailors to personalise
process flows (Manyika 2017). For this reason, a call of paper for their experience on board through third party boat applications.
this PPC’s special issue was launched in 2016. We wanted to find The case of Fair Wind points out how emerging digital technol-
out what it means to the field of operations management (OM) ogies contribute to OM within both organisations and, more in
to digitise ‘everything’. We wanted to know how firms deal with general, maritime industry, as well as the critical role of user’s
value-added services, the digitisation of in-house processes and co-creation in defining and managing on-board operations.
value chains. We wanted to know which factors influence the One out of two empirical model tests in this special issue is
path to digitise products, services and its creation. Therefore, the provided by Jasimuddin et al. Applying PLS, they identify rel-
focus of this special issue was set especially on gaining practical evant factors influencing the intention to use and apply digital
insights. We will be able to learn from many real-life examples technologies in governmental environments. The digital tech-
and get to know how manufactures as well as companies from the nologies such as internet play a crucial role in the management
service sector face the challenge of digitising processes, services of operations of organisations in both public and private sectors.
and entire products. Such technologies support the implementation of effective digital
The first paper of this special issue by Lapo Mola and co-workers business strategies. By reviewing the extant literature, this paper
outlines the results of observing the redesign of a global value aims to identify factors that influence the intention to use dig-
chain (GVC) in the fashion industry, while aiming on the inter- ital technologies in order to develop a theoretical model which
play of e-commerce processes and the underlying processes of is then tested empirically using the PLS-SEM approach. While
physical goods. On the basis of an exploratory multiple-case many studies have focused solely on the importance of social
qualitative longitudinal study in the fashion industry, this arti- influence, perceived usefulness, perceived ease of use, aware-
cle describes how digital technologies enabled choices among ness, perceived trust in technology, perceived trust in govern-
different types of supply chain governance. In doing so, this study ment, perceived cost and perceived risk, this article brings them
responds to calls for governance-oriented longitudinal explora- together to explain their linkage, and quantifies the relationship.
tions, and suggests an alternative path of governance choices in This study is the first empirical attempt to explore the factors
which the digital technologies become the platform that allows influence e-government services adoption in the UAE. Most
a dynamic discourse between outsourcer and outsourcee. The specifically, this article emphasises the role of social influence,
results show that, when firms decide to leverage their perfor- perceived ease to use, and perceived trust in technology as the
mances through the adoption of information technology, they important determinants of the intention to digital technology
need to define their knowledge transfer capacities in order to adoption. The paper expands the traditional discussion by incor-
adopt the appropriate type of governance model. With this paper, porating six variables, in addition to the perceived ease to digital
we contribute to the GVC literature adding to the knowledge technologies use and perceived usefulness, in a model that acts as
transfer dimension. facilitator or barrier in the intention to use digital technologies.

© 2017 Informa UK Limited, trading as Taylor & Francis Group


1282  
EDITORIAL

This article helps practitioners to understand of which factors innovation strategies and digital platforms. The authors argue
should be given emphasis in enhancing the intention to use digi- that a collaborative mechanism and governance of the platform
tal technologies. The model developed in this paper is not only a affect how operations are run and impact firm ambidexterity.
response to the need to understand what causes the variation in They also explain how the two-fold revealing strategy, both
the intention to use digital technologies from the operation man- selective and free occurs via the platform and how governance
agement perspective, it is also a response to practitioner needs positively impacts the coordination mechanism. A case study
to use an appropriate construct to ensure the effective operation analysis on TIM OPEN draws a ground-breaking framework for
and use of the digital technologies in e-government services. The future investigations. The analysis suggests that the combination
paper will help to identify the key issues surrounding the digital of digital platform and collaborative innovation can facilitate
technologies adoption that may lead the successful operations the creative process and be a driver of operational synergies.
of e-government. Results confirm that the adoption of digital platforms for col-
In the following, Andrea Zangiacomi and his co-authors laborative innovations reduces transaction costs. An approach
implement an engineering app that helps improving already of how to create and implement a multi-dimensional dashboard
existing manufacturing processes in mature industries. to monitor performance of ports can be read in Ferretti et al.’s
Manufacturing applications address business to business with article. The consequence of port evolution is that port authorities
highly customised applications developed for specific require- (PA) around the world are modifying their nature and their role,
ments, offering highly specialised solution-oriented and ser- acquiring more and more an active role in the governance of
vice-based software components, systems, and digital tools that logistic systems and are often adopting managerial and entre-
aim at a fast and accurate decision-making support system. The preneurial behaviours. This new role of PA requires the adoption
purpose of this paper is to describe the implementation of digital of a complex approach to monitoring the performance of the
technologies for OM using manufacturing or engineering apps single stakeholders and of the whole port. Existing studies on
(eApps), for product design and manufacturing processes. In port performance consider only specific indicators of port per-
particular, starting from the specific needs of two companies formance such as operational and financial efficiency neglecting
from mature European industries as automotive and food, this aspects like customer satisfaction, port security and port sustain-
work depicts how this kind of solutions can support companies ability. This paper tries to fill this literature gap by (i) outlining
and improve their operations. In particular, related benefits and an integrated multi-dimensional dashboard to monitor port
challenges faced for the full implementation of the developed performance in a strategic perspective; (ii) analysing the role of
tools are highlighted. Moreover, a business model to exploit the digital technology to support the PA in the implementation of
manufacturing apps is also proposed. The business model pro- the monitoring dashboard; (iii) and defining the evolutionary
posed for the exploitation of the eApps supports the commercial- stages of tools implementation in the strategic monitoring of PAs.
isation of all the revenue streams offered by this rapidly growing The following paper of Manish Shukla and his colleague aims
sector taking into account the specific needs of the concerned to address the constraints faced in incorporating smallholders
stakeholders through a diversified value proposition. in sustainable palm oil production. There exists literature that
Philipp Goelzer and Albrecht Fritzsche then will give us acknowledges the need for incorporating smallholders in the
a more general overview of how data will change business in production of sustainable palm oil but none has proposed a
future. Aiming to prior discussions, they outline why data will solution beyond ‘Roundtable on Sustainable Palm Oil’ (RSPO)
not just enable business but also mainly predetermine the success certification. In the current business scenario, several organi-
of future business models. The ongoing digital transformation sations are struggling to procure RSPO certified palm oil even
on industry has so far mostly been studied from the perspective after committing huge resources. RSPO, though a good first step,
of cyber-physical systems solutions as drivers of change. In this has a major process and capacity constraints resulting in long
paper, the authors turn the focus to the changes in data man- processing times, delays and lack of traceability for the custom-
agement resulting from the introduction of new digital tech- ers. This paper proposes a Big Data Analytics framework ena-
nologies in industry. So far, data processing activities in OM bled by cutting-edge technologies to incorporate smallholders
have usually been organised according to the existing business in the RSPO certification process. The data used were collected
structures inside and in-between companies. With increasing through farm visits, stakeholder meetings, key stakeholder inter-
importance of Big Data in the context of the digital transforma- views, and, secondary sources. The proposed framework not only
tion, the opposite will be the case: business structures will evolve addresses the limitation of the current certification process but
based on the potential to develop value streams offered on the also converts it from being punitive to preventive. The outcomes
basis of new data processing solutions. Based on a review of the of this research will be extremely useful for all the stakeholders
extant literature, the paper identifies the general different fields in the palm oil supply chain.
of action for OM related to data processing. In particular, we Finally, Veronica Scuotto and her colleagues close this special
explore the impact of Big Data on industrial operations and its issue by outlining the effects of digital supply chain manage-
organisational implications. ment (SCM) in SMEs. By underlining the relevance of the use of
Salvatore Esposito de Falco and his colleagues then pan to the ICTs, multiply interaction between buyer and supplier, sharing of
field of open innovation and show us how Telecom Italia tries to knowledge, and electronic markets for SMEs, it emerges the need
profit from digital platforms to gain access to ground-­breaking for stimulating a debate on the possible new way to accelerate a
innovations in telecommunications. The study uses contract digitisation within the SCM of SMEs. Electronic infrastructure in
theory to analyse the relationship between open collaborative the service sector are reducing each kind of cost and improving
PRODUCTION PLANNING & CONTROL  1283

organisation abilities producing new link among buyer and Sebastian Sprenger (between 2012 and 2016), worked as
supplier. Alongside multiply positive effects that the electronic research assistant and post-doctoral researcher at
Friedrich-Alexander-University of Erlangen-Nuremberg
market and ICTs have on the buyer-supplier relationship in terms (FAU). In 2015, his doctoral thesis, dealing with the topic
of building of new opportunities for interactions, increasing of on how enterprise social software affects information
trust level and emerging conditions for collaborations. Despite processing within organizations, was published. During
that coordination costs tend to increase and to limit the use of his time as postdoctoral researcher for FAU, he also was
ICTs. This research paper tries to reduce the paucity of study managing director for the Dr. Theo and Friedl Schoeller
Research Center for Economy and Society. Today,
about the digital transformation of SCM. Especially, the optimal Sebastian is working for a major software development company in
balance between the use of ICTs and a variegate buyer-supplier Germany.
relationships in the SCM have not been studied yet. By leveraging
on four proxies: ICTs specialised human resources, knowledge
sharing activities, buyer-supplier relationship, adoption of elec- References
tronic market, this optimal was analysed via structural equation Almada-Lobo, F. 2015. “The Industry 4.0 Revolution and the Future
modelling (SEM) based on a sample of 1254 SMEs operating in of Manufacturing Execution Systems (MES).” Journal of Innovation
the service sector in Italy. Management, 3 (4), 16–21.
Majeed, M., and T. Rupasinghe. 2017. “Internet of Things (IoT) Embedded
In sum, this issue brings together an eclectic range of work Future Supply Chains for Industry 4.0: An Assessment from an ERP-
that offers new insights for scholars of OM. While sharing some based Fashion Apparel and Footwear Industry.” International Journal of
basic definitions and terminology, the issue authors are propos- Supply Chain Management 6 (1): 25–40.
ing new ideas for scholars and practitioners of digital OM. The Manyika, J. 2017. Technology, Jobs, And The Future of Work, 1–5. New York:
intent of this issue is to encourage other scholars to take a step McKinsey Global Institute.
Roden, S., A. Nucciarelli, F. Li, and G. Graham. 2017. “Big Data and the
forward and engage in innovative, cross-disciplinary and mul- Transformation of Operations Models: A Framework and a New Research
tilevel research. Agenda.” Production Planning & Control 28 (11–12): 929–944.
Stock, T., and G. Seliger. 2016. “Opportunities of Sustainable Manufacturing
in Industry 4.0.” Procedia CIRP 40: 536–541.
Notes on contributors
Francesco Schiavone is an associate professor in manage- Francesco Schiavone
ment at University Parthenope, Naples, Italy. He received Dipartimento di Studi Aziendali e Quantitativi, Universitá degli
the Ph.D. degree in network economics and knowledge Studi di Napoli Parthenope, Italy
management from the Ca’ Foscari University of Venice
Paris School of Business, Paris, France
(Italy) in 2006. He is also an Affiliated Professor in
innovation management at Paris School of Business and schiavone@uniparthenope.it http://orcid.org/0000-
Visiting Professor at IESEG Business School (France). In 0001-9219-6714
April 2017 Prof. Schiavone has been habilitated as Full
Professor in management by MIUR (Italian Ministry of Sebastian Sprenger
Education and Research). Currently, his main research areas are technology
Department of Information Systems, University of Erlangen-
management, strategic innovation, communities of practice, and healthcare
management and innovation. Nuremberg, Germany

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