How Mercedes-Benz addresses digital transformation using Holacracy

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Malte Ackermann ◽  
Sabrina Schell ◽  
Susanne Kopp

PurposeFirms are challenged by digital transformation, as their organizational design is not up to par. Mercedes-Benz.io, a 100% subsidiary of Mercedes-Benz AG Daimler group, employs Holacracy, a self-management framework that abolishes traditional hierarchies in order to be more responsive to changes. This paper aims to explore how Mercedes-Benz.io utilizes Holacracy in order to address the challenges posed by digital transformation.Design/methodology/approachUsing qualitative expert interviews, the authors show that organizational life becomes more meaningful but also more engaging and demanding. The authors highlight that agile principles can be embedded in the organizational structure, a strong contrast to conventional management design. Decision-making authority and accountability is decentralized toward employees who face operational realities. This fosters commitment but might prolong the decision process. Leadership seems to be fairly contextual, and career paths are fundamentally different; development avenues are rather functional.FindingsThe authors conclude that Holacracy seems suitable for industries where the need for adaptability outweighs the need for reliability. It leads to increased transparency and accountability but is not a ready-made solution and requires ample resources.Originality/valueThis study is one of the first that qualitatively assess the changes, implications and outcomes of organizations that employ Holacracy.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Fiorella Foscarini ◽  
Madeleine Krucker ◽  
Danyse Golick

Purpose The purpose of this study is to raise awareness of the benefits and drawbacks involved in using digital technologies for business meetings, and identify key concerns. The shift from in-person to virtual meetings has multiple consequences, some of which impact recordkeeping. Design/methodology/approach Drawing on research from records management, anthropology, organizational theory and computer science, this study establishes the norms of physical meeting spaces and recordkeeping and explores how these norms are challenged as meetings become virtual. Findings Virtual meetings allow for collaboration to work across time and space and offer multiple affordances that do not exist in on-site meetings; however, they also involve the additional barrier of technical access and reduction in user attention. Virtual meetings also enable the creation, capture and sharing of increased contextual data, and this increased documentation challenges traditional recordkeeping models. Meeting technologies are also worryingly invasive. This study shows that concerns over privacy have been dismissed in the design of virtual meeting spaces, and therefore the authors recommend their more thorough consideration. Originality/value Meetings are a pervasive feature of organizational life whose significance has been overlooked in the recordkeeping literature. By bringing together research about in-person and virtual meetings in a novel and necessary way, the authors started to fill a gap and hope to inspire further studies.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zeynep Hizir

Purpose The purpose of this paper is to analyse the impact of digital transformation on jobs and to assess whether or not the so-called Fourth Industrial Revolution will lead to mass redundancies. The piece also looks at the role human resources (HR) departments will have to play in the implementation of, and response to, digital transformation within the workplace. Design/methodology/approach This paper combines research based on media articles, a parliamentary report and wider digital transformation industry research. The author looks to explain what digital transformation is, deconstruct misconceptions around digital transformation, assess the true evidence-based impact of digital transformation on jobs and advise HR departments on the impact of digital transformation within the workplace. Findings This piece finds that there remains a considerable degree of misunderstanding and many misconceptions around digital transformation and that while digital transformation will lead to the loss of some jobs, it will also lead to the change of existing ones and creation of new ones. Furthermore, this piece finds that HR departments will play a crucial role in the implementation of digital transformation, but that they too will need to pivot and adjust to new workplace realities as a result. Originality/value Many HR departments face confusion and misconceptions around the impact of digital transformation on the workforce, and there also remains concern among many employers that technology will replace their jobs. This piece seeks to dispel the myths and paint a clearer picture to both HR departments and employees around the impact of digital transformation.


2019 ◽  
Vol 19 (1) ◽  
pp. 7-9
Author(s):  
Mark Williams

Purpose HR is at the very heart of this cultural revolution, and everything from candidate selection and onboarding right through to training and development play a key role. Design/methodology/approach This paper draws on Microsoft research highlighting productivity and digital transformation. Findings Organisations can future proof themselves by letting their employees become the driving force in the transition to digital. Originality/value This paper encourages readers to extend beyond simply using digital tools, opening up new channels of communication and inspiring new ways of thinking within an otherwise very traditional.


2020 ◽  
Vol 36 (11) ◽  
pp. 13-15

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Successful digital transformation demands a shift away from traditional linear approaches. This detailed article instead proposes a shift toward strategies based on experimentation and incremental change to secure a succession of temporary advantages. Originality/value The briefing saves busy executives and researchers’ hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.


2018 ◽  
Vol 17 (2) ◽  
pp. 81-84 ◽  
Author(s):  
Maarten Renkema ◽  
Tanya Bondarouk ◽  
Anna Bos-Nehles

Purpose Although self-management is not a new phenomenon, there is a lack of understanding about how to transform organizations towards self-managing teams (SMTs). The purpose of this paper is to propose a guiding framework for how the empowerment process can be managed. Design/methodology/approach The paper sets out 12 guidelines on how to address the transition towards SMTs based on a case study at a large Dutch healthcare organization. The lessons are drawn from observations, documents and more than 55 interviews with key informants. Findings This paper provides a holistic overview of lessons learned from the transformation process towards SMTs. The 12 recommendations are targeted at four stakeholder groups, namely, the management/board, HRM department, coach-managers and members of the SMTs. Originality/value The originality lies in the systematic approach including lessons learned for all levels of the organization.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Phui Fung Wong ◽  
Fah Choy Chia ◽  
Mee San Kiu ◽  
Eric C.W. Lou

PurposePrior literature lacks concrete and systematic review of the current blockchain application in smart sustainable city that covered to the full extent of various components. Thus, this study explores the integration of blockchain technology in making the city smarter, safer and sustainable.Design/methodology/approachThis study conducted a systematic literature review of 49 publications published globally. Data were analysed by coding of the publications whereby the codes were generated based on frequency of appearance (n).FindingsThe results showed that smart sustainable city could leverage blockchain technology in several areas such as governance, mobility, asset, utility, healthcare and logistics. Blockchain technology could also aid smart sustainable city in achieving social, environmental and economic sustainability.Originality/valueThis study proposes a smart sustainable city with blockchain technology framework: guiding city planners and policymakers by deploying blockchain that supports technology within smart sustainable city framework. This facilitates the digital transformation of a city towards smart and sustainable through the use of blockchain.


2018 ◽  
Vol 46 (4) ◽  
pp. 350-363 ◽  
Author(s):  
Chioma Vivian Amasiatu ◽  
Mahmood Hussain Shah

Purpose First party fraud in which consumers commit fraud against retailers is a growing problem. Research in this area is very limited which means that there is almost no guidance available to mitigate this problem. Existing fraud management frameworks focus on the management of other fraud, such as identity theft or employee instigated fraud. Due to the different nature of these frauds, these frameworks do not adequately address first party fraud. Therefore, the purpose of this paper is to propose an adapted version of the fraud management lifecycle framework which is specific to first party fraud management. Design/methodology/approach The authors conducted a systematic literature review and compared/contrasted a number of existing fraud management frameworks in related domains to see which one would be most suitable for first party fraud management. Findings The authors found Wilhelm’s fraud management framework the most promising for adaptation and application to the first party fraud context. By modifying an existing framework according to the contextual requirements, the authors make the framework much more relevant to first party fraud management. Practical implications The framework could help retail managers better understand and manage this growing business problem and open new streams for further research. Originality/value This research also makes an important contribution by proposing a framework and by helping bridge a glaring and problematic gap in existing literature and opening up new streams of research.


2017 ◽  
Vol 117 (2) ◽  
pp. 382-397 ◽  
Author(s):  
Lirios Alos-Simo ◽  
Antonio J. Verdu-Jover ◽  
Jose-Maria Gomez-Gras

Purpose The purpose of this paper is to examine theoretically and empirically what type of leadership facilitates e-business adoption in large manufacturing firms. The digital transformation of firms requires leadership that can promote the adaptive quality of organizational culture. Design/methodology/approach The authors conducted an empirical study using two key informants from a sample of 181 incumbent firms. Findings The authors find significant evidence that adaptive culture is the vehicle by which transformational leaders positively influence e-business adoption. Originality/value Given the digital economy’s external pressures, many e-business adoption processes fail due to organizational factors originating in leadership and its capability to change followers’ values, norms, and motivations. To solve this problem, the authors propose a model that explains how transformational leadership first plays a key role in changing characteristics of culture and then facilitates e-business adoption.


2016 ◽  
Vol 44 (4) ◽  
pp. 10-17 ◽  
Author(s):  
Stephen Denning

Purpose Agile is the umbrella term for a family of management practices, which include Scrum, Kanban, and Lean. To investigate Agile management as it was being practiced in large firms, in 2015 Scrum Alliance, whose mission is “to transform the world of work,” launched a Learning Consortium for the Creative Economy (LC), composed of a group of firms that included Microsoft, Ericsson, Magna International, Riot Games and others. Design/methodology/approach The group conducted site visits to learn from each other’s experiences with Agile. The questions to be explored included: To what extent are Agile management practices in fact occurring at scale in old and new firms? How effective are these management practices? Is it possible for the whole firm, particularly older firms with entrenched bureaucratic cultures, to become Agile? Findings The LC found that Agile management is already taking hold in large-scale implementations in both new and old firms. The LC observed that some firms were implementing Agile for large-scale, complex business challenges in areas beyond software, including operations where reliability is an issue. Practical implications Agile was seen as a different way of understanding and acting in the world. The successful firms were “being Agile,” not merely “doing Agile” within their existing management framework. Originality/value In the world of Agile management, delivering value to customers is the goal of every individual in the organization. Profits are seen as the result, not the goal. The Learning consortium sites visit offer managers an opportunity to study this philosophy in practice.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Signe Vikkelsø ◽  
Mikkel Stokholm Skaarup ◽  
Julie Sommerlund

PurposeInnovation partnerships are a popular model for organizing publicly supported innovation projects. However, partners often have different timelines and planning horizons, understanding of purpose and concepts of value. This hybridity poses organizational challenges pertaining to trust, goal setting, learning and coordination, which may lead to “mission drift,” i.e. compromising or displacement of intended goals. Despite the risk mission drift poses, its underlying dynamics are not sufficiently understood, and the means to mitigate it are unclear. This study aims to address these questions.Design/methodology/approachThrough eight broad and one deep case study of innovation partnerships funded by Innovation Fund Denmark (IFD), the authors investigate how partnerships reconcile multiple expectations and interests within the IFD framework and how this might lead to mission drift. The authors draw upon existing theories on the organizational challenges of innovation partnerships and supplement these with new empirically based propositions on the risk of mission drift.FindingsThis study identifies a core tension between partnership complexity and the degree of formalization. Depending on how these dimensions are combined in relation to particular goals, the partnership mission is likely to become narrower or more unpredictable than intended. Thus, the authors theorize the significance of partnership composition and requisite formalization for a given innovation purpose.Originality/valueThis study contributes to the theoretical understanding of mission drift in innovation partnerships by opening the organizational black box of partnerships. The findings underscore the value of explorative case studies for specifying the contingencies of organizational design and governance mechanisms for different innovation goals.


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