Description

Demands for a digitalized, connected, and smart production provide a fertile ground for industrial Internet-of-Things (IIoT) platforms to arise within the manufacturing industry (e.g., Siemens Mind Sphere, AXOOM Smart Enterprise, FORCAM FORCE). Nevertheless, many companies struggle to successfully kick-off platform ecosystems. Information Systems (IS) literature is of limited help, because insights on managing platform ecosystems are mostly derived from successful examples in the business-to-consumer (B2C) context. To better understand the challenging situation of companies in the emerging IIoT environment, we conducted an in-depth case study at a prospective platform provider. Insights gained through interviews and engagement in the field uncovered a tension between a horizontal platform strategy and vertical integrated solutions as a central challenge for companies aiming to launch an IIoT-platform in the market. By conceptualizing this trade-off, its causes along with related benefits and challenges, we add to existing literature on platform governance and launch strategies.

Share

COinS
 
Mar 2nd, 8:00 AM

Developing an Industrial IoT Platform – Trade-off between Horizontal and Vertical Approaches

Demands for a digitalized, connected, and smart production provide a fertile ground for industrial Internet-of-Things (IIoT) platforms to arise within the manufacturing industry (e.g., Siemens Mind Sphere, AXOOM Smart Enterprise, FORCAM FORCE). Nevertheless, many companies struggle to successfully kick-off platform ecosystems. Information Systems (IS) literature is of limited help, because insights on managing platform ecosystems are mostly derived from successful examples in the business-to-consumer (B2C) context. To better understand the challenging situation of companies in the emerging IIoT environment, we conducted an in-depth case study at a prospective platform provider. Insights gained through interviews and engagement in the field uncovered a tension between a horizontal platform strategy and vertical integrated solutions as a central challenge for companies aiming to launch an IIoT-platform in the market. By conceptualizing this trade-off, its causes along with related benefits and challenges, we add to existing literature on platform governance and launch strategies.

 

To view the content in your browser, please download Adobe Reader or, alternately,
you may Download the file to your hard drive.

NOTE: The latest versions of Adobe Reader do not support viewing PDF files within Firefox on Mac OS and if you are using a modern (Intel) Mac, there is no official plugin for viewing PDF files within the browser window.