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Business-driven IT transformation at Royal Philips : shedding light on (un)rewarded complexity ; teaching case

  • In 2013, Royal Philips was two years into a daunting transformation. Following declining financial performance, CEO Frans van Houten aimed to turn the Dutch icon into a "high-performing Company" by 2017. This case study examines the challenges of the business-driven IT transformation at Royal Philips, a diversified technology company. The case discusses three crucial issues. First, the case reflects on Philips’ aim at creating value from combining locally relevant products and services while also leveraging its global scale and scope. Rewarded and unrewarded business complexity is analyzed. Second, the case identifies the need to design and align multiple elements of an enterprise (organizational, cultural, technical) to balance local responsiveness with global scale. Third, the case explains the role of IT (as an asset instead of a liability) in Philips’ transformation and discusses the new IT landscape with its digital platforms, and the new practices to create effective business-IT partnerships.

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Author of HS ReutlingenMocker, Martin
Erschienen in:Thirty Sixth International Conference on Information Systems (ICIS) 2015 Proceedings
Publisher:Association for Information Systems
Place of publication:Atlanta, GA
Document Type:Conference proceeding
Publication year:2015
Tag:IS platform; IT governance; agile software development; enterprise architecture; global business processes; organizational transformation; process standards
Page Number:16
First Page:1
Last Page:16
DDC classes:330 Wirtschaft
Open access?:Nein
Licence (German):License Logo  In Copyright - Urheberrechtlich geschützt