Digital Transformation Models for the I4.0 Transition: Lessons from the Change Management Literature

Abstract

The growing diffusion of digital technologies, especially in production systems, is leading to a new industrial paradigm, named Industry 4.0 (I4.0), which involves disruptive changes in the way companies organize production and create value. Organizations willing to seize the opportunities of I4.0 must thus innovate their processes and business models. The challenges that companies must face for the transition towards I4.0 paradigm are not trivial. Several digital transformation models and roadmaps have been lately proposed in the literature to support companies in such a transition. The literature on change management stresses that about 70% of change initiatives—independently of the aim—fail to achieve their goals due to the implementation of transformation programs that are affected by well-known mistakes or neglect some relevant aspects, such as lack of management support, lack of clearly defined and achievable objectives and poor communication. This paper investigates whether and to what extent the existing digital transformation models (DTMs) and roadmaps for I4.0 transition consider the lessons learnt in the field of change management. To this aim, a Systematic Literature Review to identify existing models and roadmaps is carried out. The results obtained by the review are discussed under the lens of the change-management literature. Based on that, the shortcomings and weaknesses of existing DTMs are pinpointed. Extant DTMs mainly focus on digital transformation initiatives carried out in manufacturing companies; they do not cover all the phases of the digital transformation process but rather focus on the definition of the I4.0 vision, strategy and roadmap. Little attention is devoted to the implementation and consolidation of digital change. Change management lessons are considered to a limited extent, based on which, some suggestions for better dealing with digital transformation initiatives are discussed. The paper contributes to advancing knowledge on models and approaches to support organizations in managing digital transformation. The identification of change management activities that a digital transformation initiative should involve as well as the suggestions on how to effectively deal with it can be used by managers to successfully lead the I4.0 transition journey in their organizations.