Configuring ecosystem strategies for digitally enabled process innovation : A framework for equipment suppliers in the process industries

• Digitalization offers new opportunities for equipment suppliers to support the competitiveness of process industry firms through participating in digitally enabled process-innovation initiatives. However, doing so is not without challenges as it requires equipment suppliers to align with multiple actors within an extended ecosystem to deliver complex product-service software systems as embodied sources of process innovation. This creates various challenges for the equipment supplier because it has to secure its role in an ecosystem where it must simultaneously cooperate and compete with other ecosystem actors. Therefore, it needs to consciously determine what ecosystem strategy to apply. Using multiple exploratory case studies, we investigate how equipment suppliers configure appropriate ecosystem strategies to realize digitally enabled process innovation for process industry firms. Our findings emphasize that different industrial customer contexts require different ecosystem strategies; we have identified four archetypical ecosystem strategies (orchestrator, dominator, complementor, and protector). The core insights from our research are converted into a decision tree framework to guide equipment suppliers in configuring the appropriate ecosystem strategy based on the industrial customer context. Key contingency considerations include determining an appropriate role in the ecosystem (leader or follower) and a suitable coopetitive approach (cooperation dominated or competition dominated).

Subject headings

SAMHÄLLSVETENSKAP  -- Ekonomi och näringsliv -- Företagsekonomi (hsv//swe)

SOCIAL SCIENCES  -- Economics and Business -- Business Administration (hsv//eng)

Keyword

Process innovation

Process industry

Ecosystems

Ecosystem strategy

Coopetition

Digitalization

Digital servitization

IoT

Entreprenörskap och innovation

Entrepreneurship and Innovation

Publication and Content Type

ref (subject category)

art (subject category)