Authors:
Suthamathy Sathananthan
1
;
Dennis Gamrad
1
and
Johanna Myrzik
2
Affiliations:
1
Digital Solutions & Operations, Evonik Technology & Infrastructure GmbH, Essen, Germany
;
2
Institute for Automation Technology, University Bremen, Bremen, Germany
Keyword(s):
Digital Transformation, Business Value, Dependency, Digitalization, Benefits, Business Model, Framework, Value Network.
Abstract:
Knowing there is considerable value in digitalization, enterprises have started to transform their operations utilizing digital technologies. However, current methods used in estimating benefits are methods typically used in capital budgeting projects which do not consider the value interdependencies or uncertainties from digitalization into account. Therefore, a standardized yet comprehensive framework and a mathematical model have been developed to estimate and measure potential from digitalization. The framework and model together were applied in an industrial digital project where results show overall value of the project based on economic and qualitatively measured impacts, and value contribution of transformational elements such as technologies and organizational changes. The results have been used to form value networks which demonstrate shared values between multiple digital projects with respect to digital capabilities. These results bring transparency across projects for in
formed decision making and support in data-driven business model innovation.
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