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Since the beginning of the energy sector liberalization, the design of energy markets has become a prominent field of research. Markets nowadays facilitate efficient resource allocation in many fields of energy system operation, such as plant dispatch, control reserve provisioning, delimitation of related carbon emissions, grid congestion management, and, more recently, smart grid concepts and local energy trading. Therefore, good market designs play an important role in enabling the energy transition toward a more sustainable energy supply for all. In this chapter, we retrace how market engineering shaped the development of energy markets and how the research focus shifted from national wholesale markets to more decentralized and location-sensitive concepts.
Traditional communication of research on climate change fails to encourage individual, corporate, and political leaders to take appropriate action. We argue that this problem is based on an overly simplistic unidirectional model of science communication. Conversely, theory shows that active learning processes are better suited to initiate and mobilize engagement among all stakeholders. Here, we integrate theoretical insights on active learning with empirical evidence from serious gaming: communication should be understood as an integral design feature that relates active learning on climate change to tangible action.
5-hydroxymethyl-furfural (HMF) and furfural are interesting as potential platform chemicals for a bio-based chemical production economy. Within the scope of this work, the process routes under technical development for the production of these platform chemicals were investigated. For two selected processes, the material and energy flows, as well as the carbon footprint, were examined in detail. The possible production process optimizations, further development potentials, and the research demand against the background of the reduction of the primary energy expenditure were worked out.
In contrast to classical advertising, event marketing is a dynamic communication instrument that is constantly bringing trends and innovations. The diverse application possibilities and potentials of event marketing make it possible to reach relevant target groups according to the current zeitgeist, to generate brand-relevant realities and worlds of experience, to generate emotions and sympathy values and in this way to create a bond between brand or company and recipients. Enduring brand experience worlds can be seen as a consistent further development of event marketing. Unlike typical branding events, which are limited in time, enduring brand experience worlds create theme worlds that can be experienced, usually for an unlimited period of time. The research paper reflects the development and current state of brand experience worlds. On this basis a systematisation of enduring brand experience worlds is presented and discussed.
Similarities and differences of the various types of enduring brand experience worlds are elaborated and critically appraised.
Assuming that employment prospects in the country of education represent a pull factor for international students to enroll in higher education programs abroad and a selling proposition for higher education institutions campaigning for international students, this study aims at investigating the validity of these prospects. Using a qualitative research approach, in-depth interviews were conducted with recruiters of 12 companies in Germany and Russia. A content analysis was applied to identify and compare employment opportunities and barriers for international graduates with domestic degrees at individual, organizational, and institutional levels. Findings include that country-specific human capital components are highly valued by employers, that the organization’s stage of internationalization determines the valuation of human capital components as well as the availability of customized recruiting practices, and that the institutional framewor —particularly the law on labor migration—influences employers’ receptivity for international graduates as well as their international staffing strategies in general. Findings are interpreted on the background of pertinent theoretical perspectives. Conclusions are drawn and recommendations given for international students, higher education institutions, employers, and policy-makers.
It has been recognized that to increase the competetitiveness of international higher education institutions in the global education market, their international graduates' employability must be enhanced. The present paper investigates, from the employers' perspective, the possibilities of international graduates with domestic degrees in Russia and Germany to find jobs in the Russian and German labor market. It uses qualitative open-ended interviews at 12 companies in St. Petersburg, Russia and Germany, which are engaged with International Business activities. The investigation concentrates on the employment opportunities and barriers of international graduates from an individual, organizational and an institutional perspective.
The research highlighted the main differences and similarities in the perception of the HR managers in both countries. In the German labor market, companies have a high demand for international graduates, especially those operating internationally, highly demand international graduates, emphasizing the existence of international trainee programs and the need to reflect the diversity of their business in the diversity of their staff. In contrast, Russian companies showed a positive predisposition for international graduates but no demand. Domestic firms focus their efforts on expatriate programs and/or highly-qualified specialists rather than trainee programs to hire internationals. On the other hand, insitutional barriers exist, as well as a lack of support with regards to regulations and requirements for entering both Russian and German markets. The national language requirement was stressed as the major barrier towards hiring internationals in both countries. The investigation from an organizational point of view revealed that interviewers showed a positive predisposition towards international graduates in both countries, focusing on the graduate's skill set rather than their nationality. This research explores the opportunities and barriers and discusses the implications for students and universities.
This article studies the development of e-governance over time and across countries. We use a large data sample consisting of 99 developing and 34 OECD countries to study this notion. Firstly, we study the development of e-governance. Secondly, we estimate models to check the determining factors of e-governance over time and across countries. The study reveals that the level of e-governance is determined by the degree of e-participation, online access as well as GDP per capita.
Electronic word-of-mouth (eWoM) communication plays an increasingly important role in modern business. The underlying concept of word-of-mouth (WoM) communication is well researched and has proved highly significant in respect of its impact on customers purchase behavior. However, due to the advent of digital technologies, decision-making among customers is progressively shifting to the online world. Consequently, eWoM has received a lot of attention from the academic community. As multiple research papers focus on specific facets of eWoM, there is a need to integrate current research results systematically. Thus, this paper presents a scientific literature analysis in order to determine the current state-of-the-art in the field of eWoM. Five main research areas were analyzed, supporting the need for further eWoM studies and providing a structured overview of existing results.
Efficiency in supply chain risk management (SCRM) is a major topic in industries with serial production and a complex supply chain due to limited management and financial resources. A high number of possible risk situations and intertwined processes create a more challenging environment for resource allocation. Managers cannot perform SCRM in all possible supply chain areas and hence have to decide where available resources should be utilised for highest possible risk reduction. This makes it important to quickly and systematically evaluate input and output relationships among risk mitigation actions to determine which actions are deployed first for efficient risk level reduction. This paper introduces a new SCRM method based on the failure mode and effects analysis (FMEA) in order to perform an efficiency-oriented risk action prioritisation. By considering the cost-benefit evaluation of identified risk mitigation actions for each assessed risk and by determining the implementation effort for risk mitigation actions, also considered as the cost for realising a specific risk action the method allows finding those risk and risk mitigation actions, which are most efficient for risk reduction and should be implemented first in the process of risk steering.
Customer orientation should be the core engine of every organisation. Information technology can be considered as the enabler to generate competitive advantages through customer processes in marketing, sales and service. The impact of information technologies is the biggest risk and at the same time a huge opportunity for any organisation. Research shows that Customer Relationship Management (CRM) enables organisations to perform better and focus more on their customers (e.g. market capitalisation of Amazon). While global enterprises are shaping the future of customer centricity and information technology, the question arises how German B2B organisations can shift their value contribution from product-centric to customer-centric. Therefore, these organisations are attempting to implement CRM software and putting their customers more into focus. However, the question remains, how organisations are approaching the implementation of CRM and if these attempts are paying off in terms of business performance.
Contributing to this highly topical discussion, this thesis contributes to the body of knowledge about the implementation of CRM in the German B2B sector and how it impacts their business performance. First, theoretical frameworks have been developed based on an extensive literature review. Hereby different aspects of CRM are worked-out and mapped against three dimensions of business performance, namely process efficiency, customer satisfaction and financial performance. Based on the theory, a conceptual framework was developed to test the relationships between CRM and Business Performance (BP). Therefore, a survey with 500 participants has been conducted. Based on this a measurement model was developed to test five main hypotheses.
The findings of these hypotheses suggest, that the implementation of CRM positively impacts business performance. In specific, the usage of analytical CRM and the establishment of a dedicated CRM success measurement correlate with the performance of German B2B organisations. In addition to these main findings, various key statements could be derived from the research and a measurement model was developed, which can be used for different organisational characteristics assessing BP. As a result, CRM implementations can be enhanced, and business performance can be improved.
Recently, practitioners have begun appraising an effective customer journey design (CJD) as an important source of customer value in increasingly complex and digitalized consumer markets. Research, however, has neither investigated what constitutes the effectiveness of CJD from a consumer perspective nor empirically tested how it affects important variables of consumer behavior. The authors define an effective CJD as the extent to which consumers perceive multiple brand-owned touchpoints as designed in a thematically cohesive, consistent, and context-sensitive way. Analyzing consumer data from studies in two countries (4814 consumers in total), they provide evidence of the positive influence of an effective CJD on customer loyalty through brand attitude — over and above the effects of brand experience. Importantly, an effective CJD more strongly influences utilitarian brand attitudes, while brand experience more strongly affects hedonic brand attitudes. These underlying mechanisms are also prevalent when testing for the contingency factors services versus goods, perceived switching costs, and brand involvement.
This article focuses on potential economic implications of a free trade agreement (FTA) between the European Union (EU) and the Indian Federation. The economic implications are evaluated by estimating an Extended gravity model for all existing FTAs with the Indian Federation. Moreover, we control for the trade contribution of EU member countries in our econometric model during the period from 1990 until 2008. The results show a significant increase in trade, if there is a free trade agreement between India and another country. Interestingly, we find that India has the largest positive impact from FTAs with more advanced economies. Thus, we reaffirm the potential benefits of trade relationships between the EU and India.
In its 100+ years of company history, IBM reinvented itself multiple times. In the last 20 years, IBM had shifted from individual products to integrated solutions and moved to become a globally integrated enterprise with standardized processes. In 2014, the expanding adoption of social, mobile, analytics, and cloud (SMAC) technologies generated excitement in the industry. IBM believed these technologies presented a huge growth opportunity. Simultaneously, management viewed SMAC technologies as disruptive forces demanding transformative changes to how IBM worked. And introducing new ways of working to 400,000 employees in 175 countries was a daunting task.
Based on personal interviews with 17 IBM business and IT executives, the case illustrates organizational challenges of introducing current technologies that even providers of these technologies face – in other words, when they “eat their own cooking.” It demonstrates the difficulties large companies face when implementing technologies that students use daily and take for granted.
Early exposure makes the entrepreneur: how economics education in school influences entrepreneurship
(2022)
Many countries that seek to boost their economy share the goal of promoting entrepreneurship. Whereas there is ample research on the predictors of entrepreneurship during adulthood, we know little about how pre-adulthood experience influences entrepreneurship later in life. Using a natural experiment, this paper examines whether introducing economics classes in school enhances entrepreneurial behavior in adulthood. Our difference-in-differences approach exploits curricula reforms across German states that introduced compulsory economics education classes in secondary schools. Using information on school and labor market careers for more than 10,000 individuals from 1984 to 2019, we find that the reform increases students’ entrepreneurial activities by three percentage points. Examining gender differences, we find that economics classes equally benefit female and male students. Our results advance our understanding of how pre-adulthood experiences shape individuals’ entrepreneurial behavior.
Reacting to ever-changing business environments, in the last decade complex systems of systems accomplished giant leaps forward leading to great technological flexibility. However, this dimension of flexibility is often limited by the rigidity of super-ordinated planning systems. Especially when hybrid teams of automated and human resources are in place, the dynamic assignment of tasks taking into account ergonomics remains a challenge. After exposing a gap in the state of the art on the topic, this paper presents an approach to include ergonomics in dynamic resource allocation models. Combining and complementing existing approaches, the presented method monitors the actual ergonomic burden of the resources during a shift and it provides a linear optimization model to steer the resource allocation process.
The EAT–Lancet planetary health diet (PHD) provides guidelines on a global scale and calls for red meat consumption to be halved. Operational PHD guidelines at country level have yet to be determined. Here we argue that the biological link between milk and bovine-meat production must be considered when operationalizing the globally calculated PHD to national contexts. Using a stylized computer simulation model rooted in a food system approach, we explore the impact of dietary scenarios on milk and bovine-meat production and show that ignoring this biological link can lead to substantial imbalances between national dietary guidelines and production outcomes and potentially lead to food waste. Furthermore, we assess current national dietary guidelines in Europe and find that most disregard this biological link and are incompatible with the PHD, with implications for policymakers and consumers to consider when adapting the PHD in national contexts.
This paper develops a new methodology in order to study the role of dynamic expectations. Neither reference-point theories nor feedback models are sufficient to describe human expectations in a dynamic market environment. We use an interdisciplinary approach and demonstrate that expectations of non-learning agents are time-invariant and isotropic. On the contrary, learning enhances expectations. We uncover the “yardstick of expectations” in order to assess the impact of market developments on expectations. For the first time in the literature, we reveal new insights about the motion of dynamic expectations. Finally, the model is suitable for an AI approach and has major implications on the behaviour of market participants.
The paradigmatic shift of production systems towards Cyber-Physical Production Systems (CPPSs) requires the development of flexible and decentralized approaches. In this way, such systems enable manufacturers to respond quickly and accurately to changing requirements. However, domain-specific applications require the use of suitable conceptualizations. The issue at hand, when using various conceptualizations is the interoperability of different ontologies. To achieve flexibility and adaptability in CPPSs though requires overcoming interoperability issues within CPPSs. This paper presents an approach to increase flexibility and adaptability in CPPSs while addressing the interoperability issue. In this work, OWL ontologies conceptualize domain knowledge. The Intelligent Manufacturing Knowledge Ontology Repository (IMKOR) connects the domain knowledge in different ontologies. Testing if adaptions in one ontology within the IMKOR provide knowledge to the whole IMKOR. The tests showed, positive results and the repository makes the knowledge available to the whole CPPS. Furthermore, an increase in flexibility and adaptability was noticed.
In 2016, German car manufacturer the Audi Group (AUDI AG) was working on an expanding array of digital innovations. The goals of these innovations varied, and included strengthening customer- and employee-facing processes, digitally enhancing existing products, and developing new, potentially disruptive business models. Audi’s IT unit was critical to each of these efforts. Based on personal interviews with 11 IT- and non-IT executives at Audi, this case examines the different ways in which digitization can help to enhance and transform an organization’s processes, products, and business models. The case also highlights the challenges that arise as large companies “digitize.”
The article discusses how drama can support language learning at the university level and how drama can also support learners in acquiring professional competences. In the first part, the article will briefly outline forms of drama in language teaching. It will discuss its benefits, such as putting language in context, making learning holistic and memorable, improving learners’ social and personal competences. The second part describes aspects of drama beneficial for language learning in a professional context and gives a concrete teaching example: theatre projects with a focus on business English.
The Dow Jones Sustainability Indexes (DJSI) track the performance of companies that lead in corporate sustainability in their respective sectors or in the geographies they operate. The Sustainable Asset Management (SAM) Indexes GmbH publishes and markets the indexes, the so-called Dow Jones Sustainability Indexes in collaboration with SAM. All indexes of the DJSI family are assessed according to SAM’s Corporate Sustainability AssessmentTM methodology.
In retail environments, consumers commonly evaluate products while standing on some type of flooring and concurrently being exposed to music; however, no study has examined the interaction of these two atmospheric cues. To bridge this gap, this research examines whether retailers can benefit from creating multisensory atmospheric congruent rather than incongruent retail environments of flooring and music. The results of an experiment in a real retail store reveal positive effects of multisensory congruent retail environments (e.g., soft music combined with soft flooring) on product evaluations. This study provides a new process explanation with consumers’ purchase-related self-confidence mediating these effects. Specifically, consumers in congruent rather than incongruent retail environments experience more purchase-related self confidence, which in turn leads to more favorable product evaluations. Furthermore, this study shows that consumers with a low rather than a high preference for haptic information are influenced more by multisensory atmospheric congruence when evaluating a product haptically.
The purpose of this paper is to study the impact of transparency on the political budget cycle (PBC) over time and across countries. So far, the literature on electoral cycles finds evidence that cycles depend on the stage of an economy. However, the author shows – for the first time – a reliance of the budget cycle on transparency. The author uses a new data set consisting of 99 developing and 34 Organization for Economic Cooperation and Development countries. First, the author develops a model and demonstrates that transparency mitigates the political cycles. Second, the author confirms the proposition through the econometric assessment. The author uses time series data from 1970 to 2014 and discovers smaller cycles in countries with higher transparency, especially G8 countries.
This study examines the relevance of integrated reporting quality (IRQ) to capital markets. We investigate whether IRQ benefits capital market participants by improving a firm's information environment, using analyst earnings forecast accuracy as a proxy. Our study focuses specifically on companies that publish integrated reports on a voluntary basis. Based on a scoring model, we assess IRQ and its effects with data from 2015 to 2019 of 101 companies. The results indicate no significant relationship between IRQ and analyst earnings forecast accuracy. Thus, IRQ does not appear to improve a firm's information environment, at least not currently in a voluntary setting. Drawing on previous literature in the field, this study further concludes that integrated reporting (IR) in general has not yet reached its full potential in benefitting capital markets. Potential implications of our results are that the standard setters should work to improve the specificity and rigor of their guidelines, and analysts should become more involved in developing IR guidelines to make them more relevant to their information needs. IR seems to unfold its benefits better in mandatory settings, which could call for regulators to make IR mandatory.
This paper studies the impact of governmental transparency on the political business cycle. The literature on electoral cycles finds evidence that cycles depend on the stage of the economy. However, we show a reliance of the cycle on transparency. We use data for G7 countries and compare it with less developed OECD countries. Our theory states that transparency reduces the political cycles due to peer pressure and by voting outs. We confirm the theory with an econometric assessment of 34 countries from 1970 to 2012. We discover smaller cycles in countries with a higher transparency, especially in G7-countries.
The halo effect is a cognitive bias known from social psychology. A halo effect occurs when a global impression or information about a salient characteristic shapes the evaluation of other characteristics. In a sports-related context, the halo effect has hardly been researched so far, although this could contribute significantly to understanding the thinking and behavior of sports fans. In this research paper, the following questions are investigated: Is there a halo effect in soccer? Does the sporting success or failure of a club outshine other sporting aspects? Does sporting success or failure possibly even distort fans' perception of non-sporting aspects? The research paper reflects the current state of halo research and presents the results of an empirical study in which fans of soccer clubs from the German Bundesliga were interviewed. The results of the analyses substantiate the distortion of the fans’ perception with regard to a very diverse range of aspects that is triggered by the sporting success or failure of their favorite club.
This article explores the determinants of people’s growth prospects in survey data as well as the impact of the European recovery fund to future growth. The focus is on the aftermath of the Corona pandemic, which is a natural limit to the sample size. We use Eurobarometer survey data and macroeconomic variables, such as GDP, unemployment, public deficit, inflation, bond yields, and fiscal spending data. We estimate a variety of panel regression models and develop a new simulation-regression methodology due to limitation of the sample size. We find the major determinant of people’s growth prospect is domestic GDP per capita, while European fiscal aid does not significantly matter. In addition, we exhibit with the simulation-regression method novel scientific insights, significant outcomes, and a policy conclusion alike.
Mystery shopping (MS) is a widely used tool to monitor the quality of service and personal selling. In consultative retail settings, assessments of mystery shoppers are supposed to capture the most relevant aspects of sales people’s service and sales behavior. Given the important conclusions drawn by managers from MS results, the standard assumption seems to be that assessments of mystery shoppers are strongly related to customer satisfaction and sales performance. However, surprisingly scant empirical evidence supports this assumption. We test the relationship between MS assessments and customer evaluations and sales performance with large-scale data from three service retail chains. Surprisingly, we do not find asubstantial correlation. The results show that mystery shoppers are not good proxies for real customers. While MS assessments are not related to sales, our findings confirm the established correlation between customer satisfaction measurements and sales results.
Do Chinese subordinates trust their German supervisors? A model of inter-cultural trust development
(2023)
In this qualitative study based on 95 interviews with Chinese subordinates and their German supervisors, we inductively develop a model which advances theoretical understanding by showing how inter-cultural trust development in hierarchical relationships is the result of six distinct elements: the subordinate trustor’s cultural profile (cosmopolitans, hybrids, culturally bounds), the psychological mechanisms operating within the trustor (role expectations and cultural accommodation), and contextual moderators (e.g., country context, time spent in foreign culture, and third-party influencers), which together influence the trust forms (e.g., presumptive trust, relational trust) and trust dynamics (e.g., trust breakdown and repair) within relationship phases over time (initial contact, trust continuation, trust disillusionment, separation, and acculturation). Our findings challenge the assumption that cultural differences result in low levels of initial trust and highlight the strong role the subordinate’s cultural profile can have on the dynamics and trajectory of trust in hierarchical relationships. Our model highlights that inter-cultural trust development operates as a variform universal, following the combined universalistic-particularistic paradigm in cross-cultural management, with both culturally generalizable etic dynamics, as well as culturally specific etic manifestations.
Our paper investigates the response of acquiring firms’ stock returns around the announcement date in cross-border mergers and acquisitions (M&A) between listed Chinese acquirers and German targets. We apply an event study methodology to examine the shareholder value effect based on a sample of M&A deals over the most recent period of 2012-2018. We apply a market model event study based on the argumentation of Brown and Warner (1985) and use short-term observation periods according to Andrade, Mitchell, and Stafford (2001) as well as Hackbarth and Morellec (2008). The results indicate that the announcement of M&A involving German targets results in a positive cumulative abnormal return of on average 2.18% for Chinese acquirers’ shareholders in a five-day symmetric event window. Furthermore, we found slight indications of possible information leakage prior to the formal announcement. Although it shows that the size of acquiring firms is not necessarily correlated with the positive abnormal returns in the short run, this study suggests that Chinese acquirers’ shareholders gain higher abnormal returns when the German targets are non-listed companies.
Businesses need to cope with myriad challenges including increasingly competitive markets and rapid developments in digital technology. The overall aim of the research described in this paper is to generate fresh insights into the impacts of digitalisation on the design and management of global supply chains. It focuses on understanding the current adoption rate of new technologies in global supply chains, identifying perceived opportunities and challenges and clarifying the critical factors driving (and inhibiting) their deployment. The authors administered an online survey with a global sample of respondents from various supply chain functions, resulting in a sample of 142 responses. Significant differences emerged in adoption patterns between companies of different sizes. Moreover, the study pointed to a widening gap (or a ‘digital divide’) between leaders and laggards in terms of technology adoption. Perceived benefits and challenges also differ notably between companies of varying sizes. Adoption patterns are very diverse across specific technologies. The results further suggest that there is a significant correlation between adoption of digital technologies and different dimensions of company performance.
Recent digital technologies like the Internet of Things and Augmented Reality have brought IT into companies’ core products. What were previously purely physical products are becoming hybrid or digitized. Despite receiving a lot of recent attention, digitized products have only seen a slow uptake in businesses so far. In this paper, we study the challenges that keep companies from realizing the desired impacts of digitized products and the practices they employ to address these challenges. To do so, we looked at companies from a set of industries that are highly affected by digital transformation, but at the same time hesitant to move to a more digitized world: the creative industries. Based on a literature review and twelve interviews in creative industries, we developed a conceptual model that can serve as a basis for formulating testable hypotheses for further research in this area.
Logistics has undergone tremendous changes over the past few decades. Above all with the advent of the digital age, we have witnessed the significant impact of new technologies on supply chains in terms of business transformation, increased agility and performance. However, many businesses have chosen to harness the full potential of these technologies to create further value (Bughin et al, 2017). High investment costs, fears for cyber security, a lack of expertise in the workforce and insufficient awareness of the concrete benefits of these technologies are just some of the factors hampering the decision to adopt digital technologies.
The following chapter draws on the findings of both recent quantitative and qualitative research conducted by practitioners und academics.
Digitization will require companies to fundamentally reengineer their sales processes. Adapting the concept of value selling to the digital age will enable them to deliver superior value to their customers. Specifically, social selling will provide them with an answer to the ever-increasing complexity of customer journeys. This article, based on a survey among 235 German companies, assesses the status quo and outlines opportunities. Moreover, it introduces a novel approach for developing well-grounded social selling metrics.
What does the factory of tomorrow have to offer for companies? This question and its aspects are the focus of many actual articles and publications. According to Gartner digital twins, one of 2017 strategic technology trends will play a big role for the future of manufacturing. At the moment digital twins are gaining more importance for the industrial application. If companies want to be competitive in the future they have to implement the digital twin in the factories of today. Therefore this paper provides a basic overview of the concept of the smart factory and its requirements. In addition, digital twins are identified as a necessary concept for the evolution of the factory of today.
Technologies for mapping the “digital twin“ have been under development for approximately 20 years. Nowadays increasingly intelligent, individualized products encourages companies to respond innovatively to customer requirements and to handle the rising product variations quickly.
An integrated engineering network, spanning across the entire value chain, is operated to intelligently connect various company divisions, and to generate a business ecosystem for products, services and communities. The conditions for the digital twin are thereby determined in which the digital world can be fed into the real, and the real world back into the digital to deal such intelligent products with rising variations.
The term digital twin can be described as a digital copy of a real factory, machine, worker etc., that is created and can be independently expanded, automatically updated as well as being globally available in real time. Every real product and production site is permanently accompanied by a digital twin. First prototypes of such digital twins already exist in the ESB Logistics Learning Factory on a cloud- and app based software that builds on a dynamic, multidimensional data and information model. A standardized language of the robot control systems via software agents and positioning systems has to be integrated. The aspect of the continuity of the real factory in the digital factory as an economical means of ensuring continuous actuality of digital models looks as the basis of changeability.
For the indoor localization sensor combinations that in addition to the hardware already contain the software required for the sensor data fusion should be used. Processing systems, scenario-live-simulations and digital shop floor management results in a mandatory procedural combination. Essential to the digital twin is the ability to consistently provide all subsystems with the latest state of all required information, methods and algorithms.
In 2017, Philips' goal was to use innovation to improve the lives of three billion people a year by 2025. To achieve that, the company was shifting from selling medical products in a transactional manner to providing integrated healthcare solutions based on digital health technology. Based on our interviews with 23 executives at Philips, the case examines the two directions of the transformation required by this shift: externally, Philips worked on transforming how healthcare was conducted. Healthcare professionals would have to change the way they worked and reimbursement schemes needed to change to incentivize payers, providers, and patients in vastly different ways. Internally, Philips needed to redesign how its employees worked. The company componentized its business, introduced digital platforms, and co-created integrated solutions with the various stakeholders of the healthcare industry. In other words: Philips was transforming itself in order the reinvent healthcare in the digital age.
By 2019, Germany-based Kärcher, “the world’s leading provider of cleaning technology,” had turned its professional cleaning devices into IoT products. The data generated by these IoT-connected cleaning devices formed a key ingredient in the company’s ongoing strategic shift in its B2B business: Kärcher was transforming from a seller of cleaning devices to a provider of consulting services in order to help professional cleaning companies improve their cleaning processes. Based on interviews with seven IT- and non-IT executives, the case illustrates how the company learned to generate value from IoT products. And it demonstrates how a family-owned company transformed its organization in order to be able to more effectively develop and provide IoT products, while adding roles, developing technology platforms, and changing organizational structures and ways of working.
Established companies are facing two transformations involving digital technologies: becoming digitized and becoming digital. The platforms enabling these transformations are fundamentally different in their purpose, target state, success metrics — and especially, in the key responsibilities of senior leaders. Because of these differences, companies will need to apply new rules new roles, processes, metrics, and norms — to the new digital platform. To develop new rules leaders should (1) separate the teams working on the digital platform, (2) allow digital platform leaders to experiment with new rules, and (3) identify new leaders and coach them to succeed with new rules. Given the time it takes to establish new rules, companies need to start breaking old rules now.
Prior to the introduction of AI-based forecast models in the procurement department of an industrial retail company, we assessed the digital skills of the procurement employees and surveyed their attitudes toward a new digital technology. The aim of the survey was to ascertain important contextual factors which are likely to influence the acceptance and the successful use of the new forecast tool. What we find is that the digital skills of the employees show an intermediate level and that their attitudes toward key aspects of new digital technologies are largely positive. Thus, the conditions for high acceptance and the successful use of the models are good, as evidenced by the high intention of the procurement staff to use the models. In line with previous research, we find that the perceived usefulness of a new technology and the perceived ease of use are significant drivers of the willingness to use the new forecast tool.
Digitalization increases the pressure for companies to innovate. While current research on digital transformation mostly focuses on technological and management aspects, less attention has been paid to organizational culture and its influence on digital innovations. The purpose of this paper is to identify the characteristics of organizational culture that foster digital innovations. Based on a systematic literature review on three scholarly databases, we initially found 778 articles that were then narrowed down to a total number of 23 relevant articles through a methodical approach. After analyzing these articles, we determine nine characteristics of organizational culture that foster digital innovations: corporate entrepreneurship, digital awareness and necessity of innovations, digital skills and resources, ecosystem orientation, employee participation, agility and organizational structures, error culture and risk-taking, internal knowledge sharing and collaboration, customer and market orientation as well as open-mindedness and willingness to learn.
Increasing concerns regarding the world´s natural resources and sustainability continue to be a major issue for global development. As a result several political initiatives and strategies for green or resource-efficient growth both on national and international levels have been proposed. A core element of these initiatives is the promotion of an increase of resource or material productivity. This dissertation examines material productivity developments in the OECD and BRICS countries between 1980 and 2008. By applying the concept of convergence stemming from economic growth theory to material productivity the analysis provides insights into both aspects: material productivity developments in general as well potentials for accelerated improvements in material productivity which consequently may allow a reduction of material use globally. The results of the convergence analysis underline the importance of policy-making with regard to technology and innovation policy enabling the production of resource-efficient products and services as well as technology transfer and diffusion.
Development of an IoT-based inventory management solution and training module using smart bins
(2023)
Flexibility, transparency and changeability of warehouse environments are playing an increasingly important role to achieve a cost-efficient production of small batch sizes. This results in increasing requirements for warehouses in terms of flexibility, scalability, reconfigurability and transparency of material and information flows to deal with large number of different components and variable material and information flows due to small batch sizes. Therefore, an IoT-based inventory management solution and training module has been developed, implemented and validated at Werk150 – the Factory on campus of the ESB Business School. Key elements of the developed solution are smart bins using weight mats to track the bin’s content and additional sensors and buttons which are connected to an IoT – Hub to collect data of material consumption and manual handling operations. The use of weight mats for the smart bins offers the possibility to measure the container content independent of the specific component geometry and thus for a variety of components based on the specific component weights. The developed solution enables focusing on key for success elements of the system to provide synchronization of the flow of materials and information resulting an increase of flexibility and significantly higher transparency of the material flow. AIbased algorithms are applied to analyse the gathered data and to initiate process optimizations by providing the logistics decision makers a profound and transparent basis for decision making. In order to provide students and industry visitors of the learning factory with the necessary competences and to support the transfer into practice, a training module on IoT-based inventory management was developed and implemented.
Manufacturing companies are confronted with external (e.g. short-term change of product configuration by the customer) and internal (e.g. production process deviations) turbulences which are affecting the performance of production. Predefined, centrally controlled logistics processes are limiting the possibilities of production to initiate countermeasures to react in an optimized way to these turbulences. The autonomous control of intralogistics offers a great potential to cope with these turbulences by using the respective flexibility corridors of production systems and applying intelligent logistic objects with decentralized decision and process execution capabilities to maintain a target-optimized production. A method for AI-based storage-location- and material-handling-optimization to achieve performance-optimized intralogistics system through continuous monitoring of performance-relevant parameters and influencing factors by using AI (e.g. for pattern recognition) has been developed. To provide the basis to investigate and demonstrate the potentials of autonomously controlled intralogistics in connection with turbulences of production and in combination with AI, an intelligent warehouse involving an indoor localization system, smart bins, manual, semi-automated/collaborative and autonomous transport systems has been developed and implemented at Werk150, the factory on campus of ESB Business School (Reutlingen University). This scenario, which has been integrated into graduate training modules, allows the analysis and demonstration of different measures of intralogistics to cope with turbulences in production involving amongst others storage and material provision processes. The target fulfilment of the applied intralogistics measures to master arising turbulences is assessed based on the overall performance of production considering lead times and adherence to delivery dates. By applying artificial intelligence (AI) algorithms the intelligent logistical objects (smart bin, transport systems, etc.) as well as the entire logistics system should be enabled to improve their decision and process execution capabilities to master short-term turbulences in the production system autonomously.
Development of an indoor positioning system to create a digital shadow of production plant layouts
(2023)
The objective of this dissertation is to develop an indoor positioning system that allows the creation of a digital shadow of the plant layout in order to continuously represent the actual state of the physical layout in the virtual space. In order to define the requirements for such a system, potential stakeholders who could benefit from a digital shadow in the context of the plant layout were analysed. In order to generate added value for their work, the requirements were derived from their perspective. As the core of an indoor positioning system is the sensory aspect to capture the physical layout parameters, different potential technologies were compared and evaluated in terms of their suitability for this particular application. Derived from this analysis, the selected concept is based on the use of a pan-tilt-zoom (PTZ) camera in combination with fiducial markers. In order to determine specific camera parameters, a series of experiments were conducted which were necessary to develop the measurement method as well as the mathematical calculation method and coordinate transformation for the determination of poses (positions and angular orientations) of the respective facilities in the plant. In addition, an experimental validation was performed to ensure that the limit values for individual parameters determined in the requirements analysis can be met.
Process risks are omnipresent in the corporate world and repeatedly present organizations with the challenge of how to deal with these risks. Efforts in trying to analyze and prevent these risks are costly and require many resources, which do not always bring the desired added value. The goal of this work is to determine how a benefit-oriented resource allocation can be made for risk-oriented process management. For this purpose, the following research question is posed: "How can systematic prioritization decisions regarding risk-oriented process management be made?” To answer it, an evaluation procedure is developed which assesses processes based on their characteristics regarding potential risk disposition as well as entrepreneurial relevance. For this purpose, requirements for such a procedure are first collected and used to define selection criteria for it. After the detailed analysis of known selection and evaluation procedures, one of them is selected and used for further development. Next steps include the definition of relevant criteria for the evaluation of the processes by examining process characteristics regarding their suitability for process evaluation. The focus here lies on characteristics that provide indications of the risk disposition and business relevance of processes. The result of this approach is a scoring model with a criteria catalog consisting of 15 criteria according to which a process is evaluated. The evaluation result is presented both numerically and in a matrix. This enables the comparison of several processes and a derived prioritization of those for a more in-depth risk analysis. The application of this approach will ensure a benefit-oriented allocation of resources in the management of process risks and increased process reliability.
Development of an easy teaching and simulation solution for an autonomous mobile robot system
(2019)
With mass customized production becoming the mainstream, industries are shifting from large-scale manufacturing to flexible and customized production of small batch sizes. Agile manufacturing strategies adopted by SMEs are driving the usage of collaborative robots in today's factories. Major challenges in the adoption of cobots in the industry are the lack of a highly trained workforce to program the robot to perform complex tasks and integration of robot systems to other smart devices in the factory. In addition, the teaching and simulation by non-robotics experts of many industrial collaborative robot systems like the KUKA LBR iiwa is a major challenge, since these systems are designed to be programmed by robot experts and not by shop floor workers or other non-experts. This paper describes the research and development activities done for reducing the barriers in operation and ensure holistic integration of LBR iiwa cobot in the assembly on the example of the ESB Logistics Learning Factory. These include a visual programming solution for the easy teaching of various tasks. Robotic tasts are classified based on common robotics applications and application-specific blocks abstracting specific actions are implemented. A factory worker with no programming competency cour create robot programs by combining these blocks using a Graphical User Interface. In addition, a simulation solution was developed to visualized, analyse, and optimize robotic workflow before deployment. an autonomous mobile robot is integrated with the LBR iiw to improve reconfigurability and thus also the productivity. The system as a whole is controlled using an event-driven distributed control system. Finally, the capabilities of the system are analysed based on the design principles of Industrie 4.0 and potential future research ideas are discussed to further improve the system.
Circular economy aims to support reuse and extends the product life cycles through repair, remanufacturing, upgrades and retrofits, as well as closing material cycles through recycling. To successfully manage the necessary transformation processes to circular economy, manufacturing enterprises rely on the competency of their employees. The definition of competency requirements for circular economy-oriented production networks will contribute to the operationalization of circular economy. The International Association of Learning Factories (IALF) statesin its mission the development of learning systems addressing these challenges for training of students and further education of industry employees. To identify the required competencies for circular economy, the major changes of the product life cycle phases have been investigated based on the state of the science and compared to the socio-technical infrastructure and thematic fields of the learning factories considered in this paper. To operationalize the circular economy approach in the product design and production phase in learning factories, an approach for a cross learning factory network (so called "Cross Learning Factory Product Production System (CLFPPS)") has been developed. The proposed CLFPPS represents a network on the design dimensions of learning factories. This approach contributes to the promotion of circular economy in learning factories as it makes use of and combines the focus areas of different learning factories. This enables the CLFPPS to offer a holistic view on the product life cycle in production networks.
Especially, if the potential of technical and organizational measures for ergonomic workplace design is limited, exoskeletons can be considered as innovative ergonomic aids to reduce the physical workload of workers. Recent scientific findings from ergonomic analyses with and without exoskeletons are indicating that strain reduction can be achieved, particularly at workplaces with lifting, holding, and carrying processes. Currently, a work system design method is under development incorporating criteria and characteristics for the design of work systems in which a human worker is supported by an exoskeleton. Based on the properties of common passive and active exoskeletons, factors influencing the human on which an exoskeleton can have a positive or negative effect (e.g. additional weight) were derived. The method will be validated by the conceptualization and setup of several work system demonstrators at Werk150, the factory of ESB Business School on campus of Reutlingen University, to prove the positive ergonomic effect on humans and the supporting process to choose the suitable exoskeleton. The developed method and demonstrators enable the user to experience the positive ergonomic effects of exoskeletal support in lifting, holding and carrying processes in logistics and production. The new work system design method will contribute to the fact that employees can pursue their professional activity longer without substantial injuries or can be used more flexibly at different work stations. Also new work concepts, strategies and scenarios are opened up to reduce the risk of occupational accidents and to promote the compatibility of work for employees. A training module is being developed and evaluated with participants from industry and master students to build up competence.
The Circular Economy aims to reintroduce the value of products back into the economic cycle at the same value chain level. While the activities of the Circular Economy are already well-defined, there exists a gap in how returned products are treated by the industry. This study aims to examine how a process should be designed to handle returned products in the context of the Circular Economy. To achieve this, a machine learning-based algorithm is used to classify data and extract relevant information throughout the product life cycle. The focus of this research is limited to land transportation systems within the Sharing Economy sector.
The Industry 4.0 paradigm requires concepts for integrating intelligent/ smart IoT Solutions into manufacturing. Such intelligent solutions are envisioned to increase flexibility and adaptability in smart factories. Especially autonomous cobots capable of adapting to changing conditions are a key enabler for changeable factory concepts. However, identifying the requirements and solution scenarios incorporating intelligent products challenges the manufacturing industry, especially in the SME sector. In pick and place scenarios, changing coordinate systems of workpiece carriers cause placing process errors. Using the IPIDS framework, this paper describes the development of a tool-center-point positioning method to improve the process stability of a collaborative robot in a changeable assembly workstation. Applying the framework identifies the requirement for an intelligent workpiece carrier as a part of the solution. Implementing and evaluating the solution within a changeable factory validates the IPIDS framework.
Future intralogistics systems need to adapt flexibly to changing material flow requirements in line with future versatile factory environments, producing personalized products under the performance and cost conditions of today's mass production. Small batch sized down to a batch size of "1" lead to a high complexity in the design and economical manufacturing of these customized products. Intralogistics systems are integrated into higher-level areas (segment level) as well as into upsteam and downstream performance units (system-wide areas). This includes the logistic activities relevant for the system (organized according to storage, picking, transport) such as transportation or storage tasks of tools, semi-finished products, components, assemblies and containers, and waste. Today's centralized material flow control systems, which work based on predefined processes, are not capable and more specifically not suitable to deal with the arising complexity of changeable intralogistics systems. Autononomous, decentralized material flow control systems distribute the required decision-making and control processes on intelligent logistic entities. A major step for the development of an autonomous control method for hybrid intralogistics systems (manual, semi-automated and automated) is the development of a generic archetype for intralogistics systems regarding the system boundaries, elements and relations resulting in a descriptive model taking into account amongst others the time of demand, availability of resources, economic efficiency and technical performance parameters. The ESB Logistics Learning Factory at ESB Business School (Reutlingen University) serves for this as a close-to-reality development and validation environment.
The global demand for individualized products leading to decreasing production batch sizes requires innovative approaches how to organize production and logistics systems in a dynamic manner. Current material flow systems mainly rely on predefined system structures and processes, which result in a huge increase of complexity and effort for system and process changes to realize an optimized production and material provision of individualized products. Autonomous production and logistics entities in combination with intelligent products or logistic load carriers following the vision of the “Internet of Things” offer a promising solution for mastering this complexity based on autonomous, decentralized and target size-optimized decision making and structure formation without the need for predefined processes and central decision-making bodies. Customer orders are going to prioritize themselves and communicate directly with the required production and logistics resources. Bins containing the required materials are going to communicate with the conveyors or workers of the respective intralogistics system organizing and controlling the material flow to the autonomously selected workstation. A current research project is the development of a collaborative tugger train combing the potential of automation and human-robot collaboration in intralogistics. This tugger train is going to be integrated into a self organized intralogistics scenario involving individualized customer orders (low to high batch sizes). To classify the application of self-organization within intralogistics systems, a criteria catalogue has been developed. The application of this criteria catalogue will be demonstrated on the example of a self-organization scenario involving the collaborative tugger train and an intelligent bin system.
The approach of self-organized and autonomous controlled systems offers great potential to meet new requirements for the economical production of customized products with small batch sizes based on a distributed, flexible management of dynamics and complexity within the production and intralogistics system. To support the practical application of self-organization for intralogistics systems, a catalogue of criteria for the evaluation of the self-organization of flexible logistics systems has been developed and validated, which enables the classification of logistics systems as well as the identification and evaluation of corresponding potentials that can be achieved by increasing the degree of self-organization.
Supply chains have evolved into dynamic, interconnected supply networks, which increases the complexity of achieving end-to-end traceability of object flows and their experienced events. With its capability to ensure a secure, transparent, and immutable environment without relying on a trusted third party, the emerging blockchain technology shows strong potential to enable end-to-end traceability in such complex multitiered supply networks. However, as the dissertation’s systematic literature review reveals, the currently available blockchain-based traceability solutions lack the ability to map object-related supply chain events holistically, which involves mapping objects’ creation and deletion, aggregation and disaggregation, transformation, and transaction. Therefore, this dissertation proposes a novel blockchain-based traceability architecture that integrates governance and token concepts to overcome the limitations of existing architectures. While the governance concept manages the supply chain structure on an application level, the token concept includes all functions to conduct object-related supply chain events. For this to be possible, this dissertation’s token concept introduces token ‘blueprints’, which allow clients to group tokens into different types, where tokens of the same type are non-fungible. Furthermore, blueprints can include minting conditions, which are, for example, necessary when mapping assembly or delivery processes. In addition, the token concept contains logic for reflecting all conducted object-related events in an integrated token history. This ultimately leads to end-to-end traceability of tokens and their physical or abstract representatives on the blockchain. For validation purposes, this dissertation implements the architecture’s components and their update and request relationships in code and proves its applicability based on the Ethereum blockchain. Finally, this dissertation provides a scenario-based evaluation based on two industrial case studies from a manufacturing and logistics perspective to validate the architecture’s capabilities when applied in real-world industrial settings. The proposed blockchain-based traceability architecture thus covers all object-related supply chain events derived from the two industrial case studies and therefore proves its general-purpose end-to-end traceability capabilities of object flows.
Rapidly changing market conditions and global competition are leading to an increasing complexity of logistics systems and require innovative approaches with respect to the organisation and control of these systems. In scientific research, concepts of autonomously controlled logistics systems show a promising approach to meet the increasing requirements for flexible and efficient order processing. In this context, this work aims to introduce a system that is able to adjust order processing dynamically, and optimise intralogistics transportation regarding various generic intralogistics target criteria. The logistics system under consideration consists of various means of transport for autonomous decision-making and fulfilment of transport orders with defined source-sink relationships. The context of this work is set by introducing the Learning Factory Werk 150 with its existing hardware and software infrastructure and its defined target figures to measure the performance of the system. Specifically, the important target figures cost and performance are considered for the transportation system. The core idea of the system’s logic is to solve the problem of order allocation to specific means of transport by linking a Genetic Algorithm with a Multi-Agent System. The implementation of the developed system is described in an application scenario at the learning factory.
There is no denying that organizations, whether domestic or global, whether educational, governmental, or business, are undergoing rapid transformation. However, what is causing it? Prompted by the need to remain relevant and competitive, organizations constantly try to reinvent themselves. Those that do not, according to the laws of economics, will simply serve no purpose and will eventually cease to exist. Regardless of sector or industry, an organization's success pivots around its human talent. Hence, it is crucial to manage it and cultivate certain traits, knowledge, and skills. In today's global economy, organizations are more interconnected than ever before and thus the challenges they face require that employees possess not only expert knowledge, problem-solving, cross-cultural, and cross-functional teaming skills, but also good communications skills and agile thinking.
The purpose of this paper sought to develop a collaborative framework that provides wine bottling facilities, wine cellars and their direct supply chain partner guidelines to facilitate a collaborative partnership – aiming to aid responsive decision making and improve reliability. The framework was developed using a triangulation approach, consisting of an in-depth literature review, 14 semi-structured interviews with industry experts and a theoretical case study. The developed framework was presented to wine bottling facilities and their supply chain stakeholders. Indication are that the proposed wine industry collaborative framework should enhance supply chain collaboration and will contribute towards the guidance and facilitation in developing collaboration platforms to align supply chain operations, while improving bottling responsiveness and meeting demand requirements.
This study determines the correlation between industry-specific success patterns of Germany’s engineering industry and the business models applied within. In order to identify this correlation, the following objectives are addressed within the framework of this paper: (1) identification and description of business models used by Germany’s engineering industry; (2) analysis of industry-specific success patterns of Germany’s engineering industry by the usage of Key-Performance-Indicators (KPIs); and (3) determination of correlation between the KPIs and Germany’s engineering industry’s business models’ effectiveness. These objectives are mainly achieved by literature research and expert surveys. The findings highlight the KPIs (overall 41) that are relevant for the respective business models. This enables a better understanding of the interrelationships of the business model, in order to derive relevant conclusions. The paper contributes to the literature as it advances this field of research in Germany, and it is one of the first studies to examine the relationship between business models and industry-specific success patterns with relevant KPIs.
Purpose – This paper aims to determine the affecting factors of the brand authenticity of startups in social media.
Design/methodology/approach – Using a qualitative method based on a grounded theory approach, this research specifies and classifies the affecting factors of brand authenticity of startups in social media through in-depth semi-structured interviews.
Findings – Multiple factors affecting the brand authenticity of startups in social media are determined and categorized as indexical, iconic and existential cues through this research. Connection to heritage and having credible support are determined as indexical cues. Founder intellectuality, brand intellectuality, commitment toward customers and proactive clear and interesting communications are identified as iconic cues. Having self-confidence and self-satisfaction, having intimacy with the brand and a joyful feeling for interactions with the community around the brand are determined as existential cues in this research. This research furthers previous arguments on a multiplicity of brand authenticity by shedding light on the relationship between the different aspects of authenticity and the form that different affecting factors can be organized together. Consumers eventually evaluate a strengthened perception of brand authenticity through existential cues that reflect the cues of other aspects (iconic and indexical) which passed through the goal-based assessment and self-authentication filter.
Research limitations/implications – The research sampling population can be more diversified in terms of sociodemographic attributes. Due to the qualitative methodology of this research, assessment of the findings through quantitative methods can be considered in future research. Practical implications – Using the findings of this research, startup managers can properly build a perception of authenticity in their consumers’ minds by using alternate factors while lacking major indexical cues such as heritage. This research helps startup businesses to design their brand communications better to convey their authenticity to their audiences.
Originality/value – This research determines the factors affecting the authenticity of startup brands in social media. It also defines the process of authenticity perception through different aspects of brand authenticity.
Determinants of customer recovery in retail banking — lessons from a German banking case study
(2023)
Due to the increased willingness of retail banking customers to switch and churn their banking relationships, a question arises: Is it possible to win back lost customers, and if so, is such a possibility even desirable after all economic factors have been considered? To answer these questions, this paper examines selected determinants for the recovery of terminated customer–bank relationships from the perspective of former customers. This study therefore evaluates for the first time, empirically and systematically with reference to a German Sparkasse as a case-study setting, whether lost customers have a sufficient general willingness to return (GWR) a retail banking relationship. From our results, a correlation is shown between the GWR a banking relationship and some specific determinants: seeking variety, attractiveness of alternatives and customer satisfaction with the former business relationship. In addition, we show that a customer’s GWR varies depending on the reason for churn and is surprisingly greater when the customer defected for reasons that lie within the scope of the customer himself. Despite the case-study character, however, our results provide relevant insights for other banks and, in particular, this applies to countries with a comparable banking system.
Omnichannel retailing and sustainability are two important challenges for the fast fashion industry. However, the sustainable behavior of fast fashion consumers in an omnichannel environment has not received much attention from researchers. This paper aims to examine the factors that determine consumers’ willingness to participate in fast fashion brands’ used clothes recycling plans in an omnichannel retail environment. In particular, we examine the impact of individual consumer characteristics (environmental attitudes, consumer satisfaction), organizational arrangements constitutive for omnichannel retailing (channel integration), and their interplay (brand identification, impulsive consumption). A conceptual model was developed based on findings from previous research and tested on data that were collected online from Chinese fast fashion consumers. Findings suggest that consumers’ intentions for clothes recycling are mainly determined by individual factors, such as environmental attitudes and consumer satisfaction. Organizational arrangements (perceived channel integration) showed smaller effects. This study contributes to the literature on omnichannel (clothing) retail, as well as on sustainability in the clothing industry, by elucidating individual and organizational determinants of consumers’ recycling intentions for used clothes in an omnichannel environment. It helps retailers to organize used clothes recycling plans in an omnichannel environment and to motivate consumers to participate in them.
The proliferation of convergence of digital technologies SMACIT (social, mobile, analytics, cloud, and Internet of Things) has created significant threats and opportunities to established companies. Business leaders must rethink their business strategies and develop what we refer to as a digital strategy. Our research shows four keys to successfully defining and executing a digital strategy:
1. zeroing in on a customer engagement or digitized solutions strategy to guide the transformation, 2. building operational excellence, 3. creating a powerful digital services backbone to facilitate rapid innovation and responsiveness, and 4. ensuring ongoing organizational redesign. A list of publications from the research is provided at the end of this document.
The digital economy poses existential threats to — and game-changing opportunities for — companies that were successful in the pre-digital economy. What will distinguish those companies that successfully transform from those that become historical footnotes? This is the question a group of six researchers and consultants from Boston Consulting Group set out to examine. The team conducted in-depth interviews with senior executives at twenty-seven companies in different industries to explore the strategies and organizational initiatives they relied on to seize the opportunities associated with new, readily accessible digital technologies. This paper summarizes findings from this research and offers recommendations to business leaders responsible for digital business success.
The modern industrial corporation encompasses a myriad of different software applications, each of which must work in concert to deliver functionality to end-users. However, the increasingly complex and dynamic nature of competition in today’s product-markets dictates that this software portfolio be continually evolved and adapted, in order to meet new business challenges. This ability – to rapidly update, improve, remove, replace, and reimagine the software applications that underpin a firm’s competitive position – is at the heart of what has been called IT agility. Unfortunately, little work has examined the antecedents of IT agility, with respect to the choices a firm makes when designing its “Software Portfolio Architecture.”
We address this gap in the literature by exploring the relationship between software portfolio architecture and IT agility at the level of the individual applications in the architecture. In particular, we draw from modular systems theory to develop a series of hypotheses about how different types of coupling impact the ability to update, remove or replace the software applications in a firm’s portfolio. We test our hypotheses using longitudinal data from a large financial services firm, comprising over 1,000 applications and over 3,000 dependencies between them. Our methods allow us to disentangle the effects of different types and levels of coupling.
Our analysis reveals that applications with higher levels of coupling cost more to update, are harder to remove, and are harder to replace, than those with lower coupling. The measures of coupling that best explain differences in IT agility include all indirect dependencies between software applications (i.e., they include coupling and dependency relationships that are not easily visible to the system architect). Our results reveal the critical importance of software portfolio design decisions, in developing a portfolio of applications that can evolve and adapt over time.
"Designed for digital" offers practical advice on digital transformation, with examples that include Amazon, BNY Mellon, DBS Bank, LEGO, Philips, Schneider Electric, USAA, and many other global organizations. Drawing on five years of research and in-depth case studies, the book is an essential guide for companies that want to disrupt rather than be disrupted in the new digital landscape.
The world is becoming increasingly digital. People have become used to learning and interacting with the world around them through technology, accelerated even further by the Covid-19 pandemic. This is especially relevant to the generation currently entering education systems and the workforce. Considering digital aids and methods of learning are important for future learning. The increasing online learning needs open the case for integrating digital learning aspects such as serious gaming within education and training systems. Learning factories fall amongst the education and training systems that can benefit from integration with digital learning extensions. Digital capabilities such as digital twins and models further enable the exploration of integrating digital serious games as an extension of learning factories. Since learning factories are meant for a range of different learning, training, and research purposes, such serious games need to be adaptable across stakeholder perspectives to maximize the value gained from the time and cost invested into such design and development. Research into the development of adaptive serious games for multiple stakeholder perspectives must first determine whether such development can be developed that reaches the objectives set for different included stakeholder perspectives. The purpose of this research is to investigate this at the hand of the practical development of a digital adaptive serious game for stakeholder perspectives.
This paper presents a description model for smart, connected devices used in a manufacturing context. Similar to the wide spread adoption of smart products for personal and private usage, recent developments lead to a plethora of devices offering a variety of features and capabilities. Manufacturing companies undergoing digital transformation demand guidance with respect to the systematic introduction of smart, connected devices. The introduction of smart connected devices constitutes a strategic decision cost due to the high future committed cost after introduction and maintaining a smart device fleet by a vendor. This paper aims to support the introduction efforts by classifying the devices and thus helping companies identify their specific requirements for smart, connected devices before initiating widespread procurement. By mapping the features of these devices based on various attributes, allows the clustering of smart, connected devices including a requirement list for their implementation on the shopfloor. Four individual commercially available smart connected devices were analyzed using the description model.
Driven by digital transformation, manufacturing systems are heading towards autonomy. The implementation of autonomous elements in manufacturing systems is still a big challenge. Especially small and medium sized enterprises (SME) often lack experience to assess the degree of Autonomous Production. Therefore, a description model for the assessment of stages for Autonomous Production has been identified as a core element to support such a transformation process. In contrast to existing models, the developed SME-tailored model comprises different levels within a manufacturing system, from single manufacturing cells to the factory level. Furthermore, the model has been validated in several case studies.
Forecasting intermittent and lumpy demand is challenging. Demand occurs only sporadically and, when it does, it can vary considerably. Forecast errors are costly, resulting in obsolescent stock or unmet demand. Methods from statistics, machine learning and deep learning have been used to predict such demand patterns. Traditional accuracy metrics are often employed to evaluate the forecasts, however these come with major drawbacks such as not taking horizontal and vertical shifts over the forecasting horizon into account, or indeed stock-keeping or opportunity costs. This results in a disadvantageous selection of methods in the context of intermittent and lumpy demand forecasts. In our study, we compare methods from statistics, machine learning and deep learning by applying a novel metric called Stock-keeping-oriented Prediction Error Costs (SPEC), which overcomes the drawbacks associated with traditional metrics. Taking the SPEC metric into account, the Croston algorithm achieves the best result, just ahead of a Long Short-Term Memory Neural Network.
Delphi Markets
(2023)
Delphi markets refer to approaches and implementations of integrating prediction markets and Delphi studies (Real-time Delphi). The combination of the two methods for producing forecasts can potentially compensate for each other´s weaknesses. For example, prediction markets can be used to select participants with expertise and also motivate long-term participation through their gamified approach and incentive mechanisms. In this paper, two potentials for prediction markets and four potentials for Delphi studies, which are made possible by integration, are derived theoretically. Subsequently, three different integration approaches are presented, on the basis of which the integration on user, market and Delphi question-level is exemplified and it is shown that, depending on the approach, not all potentials can be achieved. At the end, recommendations for the use of Delphi markets are derived, existing limitations for Delphi markets as well as future developments are pointed out.
Production systems are becoming increasingly complex, which means that the main task of industrial maintenance, ensuring the technical availability of a production system, is also becoming increasingly difficult. The previous focus of maintenance efforts on individual machines must give way to a holistic view encompassing the whole production system. Against this background, the technical availability of a production system must be redefined. The aim of this publication is to present different definition approaches of production systems’ availability and to demonstrate the effects of random machine failures on the key figures considering the complexity of the production system using a discrete event simulation.
In recent years, both fields, AI and VRE, have received increasing attention in scientific research. Thus, this article’s purpose is to investigate the potential of DL-based applications on VRE and as such provide an introduction to and structured overview of the field. First, we conduct a systematic literature review of the application of Artificial Intelligence (AI), especially Deep Learning (DL), on the integration of Variable Renewable Energy (VRE). Subsequently, we provide a comprehensive overview of specific DL-based solution approaches and evaluate their applicability, including a survey of the most applied and best suited DL architectures. We identify ten DL-based approaches to support the integration of VRE in modern power systems. We find (I) solar PV and wind power generation forecasting, (II) system scheduling and grid management, and (III) intelligent condition monitoring as three high potential application areas.
In the context of Industry 4.0, intralogistics faces an increasingly complex and dynamic environment driven by a high level of product customisation and complex manufacturing processes. One approach to deal with these changing conditions is the decentralised and intelligent connectivity of intralogistics systems. However, wireless connectivity presents a major challenge in the industry due to strict requirements such as safety and real-time data transmission. In this context, the fifth generation of mobile communications (5G) is a promising technology to meet the requirements of safety-critical applications. Particularly, since 5G offers the possibility of establishing private 5G networks, also referred to as standalone non-public networks. Through their isolation from public networks, private 5G networks provide exclusive coverage for private organisations offering them high intrinsic network control and data security. However, 5G is still under development and is being gradually introduced in a continuous release process. This process lacks transparency regarding the performance of 5G in individual releases, complicating the successful adoption of 5G as an industrial communication. Additionally, the evaluation of 5G against the specified target performance is insufficient due to the impact of the environment and external interfering factors on 5G in the industrial environment. Therefore, this paper aims to develop a technical decision-support framework that takes a holistic approach to evaluate the practicality of 5G for intralogistics use cases by considering two fundamental stages. The first of these analyses technical parameters and characteristics of the use case to evaluate the theoretical feasibility of 5G. The second stage investigates the application's environment, which substantially impacts the practicality of 5G, for instance, the influence of surrounding materials. Finally, a case study validates the proposed framework by means of an autonomous mobile robot. As a result, the validation proves the proposed framework's applicability and shows the practicality of the autonomous mobile robot, when integrating it into a private 5G network testbed.
The increasing emergence of cyber-physical systems (CPS) and a global crosslinking of these CPS to cyber-physical production systems (CPPS) are leading to fundamental changes of future work and logistic systems requiring innovative methods to plan, control and monitor changeable production systems and new forms of human-machine-collaboration. Particularly logistic systems have to obey the versatility of CPPS and will be transferred to so-called cyber physical logistic systems, since the logistical networks will underlie the requirements of constant changes initiated by changeable production systems. This development is driven and enhanced by increasingly volatile and globalized market and manufacturing environments combined with a high demand for individualized products and services. Also nowadays mainly used centralized control systems are pushed to their limits regarding their abilities to deal with the arising complexity to plan, control and monitor changeable work and logistic systems. Decentralized control systems bear the potential to cope with these challenges by distributing the required operations on various nodes of the resulting decentralized control system.
Learning factories, like the ESB Logistics Learning Factory at ESB Business School (Reutlingen University), provide a wide range of possibilities to develop new methods and innovative technical solutions in a risk-free and close-to-reality factory environment and to transfer knowledge as well as specific competences into the training of students and professionals. To intensify the research and training activities in the field of future work and logistics systems, ESB Business School is transferring its existing production system into a CPPS involving decentralized planning, control and monitoring methods and systems, human-machine-collaboration as well as technical assistance systems for changeable work and logistics systems.
Production planning and control are characterized by unplanned events or so-called turbulences. Turbulences can be external, originating outside the company (e.g., delayed delivery by a supplier), or internal, originating within the company (e.g., failures of production and intralogistics resources). Turbulences can have far reaching consequences for companies and their customers, such as delivery delays due to process delays. For target-optimized handling of turbulences in production, forecasting methods incorporating process data in combination with the use of existing flexibility corridors of flexible production systems offer great potential. Probabilistic, data-driven forecasting methods allow determining the corresponding probabilities of potential turbulences. However, a parallel application of different forecasting methods is required to identify an appropriate one for the specific application. This requires a large database, which often is unavailable and, therefore, must be created first. A simulation-based approach to generate synthetic data is used and validated to create the necessary database of input parameters for the prediction of internal turbulences. To this end, a minimal system for conducting simulation experiments on turbulence scenarios was developed and implemented. A multi-method simulation of the minimal system synthetically generates the required process data, using agent-based modeling for the autonomously controlled system elements and event-based modeling for the stochastic turbulence events. Based on this generated synthetic data and the variation of the input parameters in the forecast, a comparative study of data-driven probabilistic forecasting methods was conducted using a data analytics tool. Forecasting methods of different types (including regression, Bayesian models, nonlinear models, decision trees, ensemble, deep learning) were analyzed in terms of prediction quality, standard deviation, and computation time. This resulted in the identification ofappropriate forecasting methods, and required input parameters for the considered turbulences.
In a networked world, companies depend on fast and smart decisions, especially when it comes to reacting to external change. With the wealth of data available today, smart decisions can increasingly be based on data analysis and be supported by IT systems that leverage AI. A global pandemic brings external change to an unprecedented level of unpredictability and severity of impact. Resilience therefore becomes an essential factor in most decisions when aiming at making and keeping them smart. In this chapter, we study the characteristics of resilient systems and test them with four use cases in a wide-ranging set of application areas. In all use cases, we highlight how AI can be used for data analysis to make smart decisions and contribute to the resilience of systems.
Customer Success Management is the next evolution in complex sales that drives growth. Moreover, Customer Success Management is a modern holistic sales philosophy and part of a professional customer experience management strategy. The following conceptual paper discusses fundamental thoughts based on value-based selling, customer success focus, and a clear view on a perspective beyond selling that will gain importance in the future.
The limited focus on particular research designs, data analysis methods, and research objects frequently characterise customer research projects. However, standard practice regarding researching certain phenomena is not always correct, and, in many cases, could provide misleading results. In this paper, we call for a more holistic approach to customer research, which considers the entire research design and data analysis toolbox, while also recognising the importance of consumer groups other than costumers. At the same time, we call for using simple data analysis methods, which often suffice to show relevant effects, instead of overemphasising method complexity as is often the case in top-tier journals. Based on our discussion, we offer researchers and practitioners concrete recommendations for advancing their research design and data analyses.
At Reutlingen University in Germany students from different countries and disciplines can learn business English within the framework of a theatre production. In the "Business English Theatre" they work in an international project team staging a play with a business focus and thus improve both their language, social and professional skills.
Curriculum design for the German language class in the double-degree programme business engineering
(2017)
This paper aims to give an overview on how German is taught as a foreign language to students enrolled in the Bachelor of Business Engineering, a double-degree programme offered in Universiti Malaysia Pahang. The double degree students have the opportunity to complete their first two years of study in Malaysia and their last two years in Germany. Taking the TestDaF examination is compulsory for double-degree students. Hence, the German Language curriculum has been meticulously planned to ensure the students would be competent in the language. As such, the settings of the language class are discussed thoroughly in this paper. Additionally, it also discusses the challenges faced in teaching German as foreign language. This paper ends with some suggestions for improvement.
This booklet will give you an overview of the development of CSR from a (brief) historic point of view and will examine the underlying concepts and research. Furthermore, examples of contemporary CSR management will be explored to show how companies Interpret the issue and how they face the challenges of managing the new demands placed upon them. Business, in the end, comes down to figures and numbers which give management, shareholders and stakeholders a chance to measure a company’s success. Therefore, modern methods and approaches for measuring, rating and ranking a company’s CSR management will be presented. Finally, an attempt will be made to evaluate CSR as a tool for increasing global welfare and as a business and management strategy for companies and entrepreneurs.
Successful digital offerings are created at the intersection of what technologies can deliver and what customers want and will pay for. That point of intersection, however, has proved to be elusive. To find it, companies must experiment repeatedly, cocreate with customers, and assemble cross-functional development teams - and the insights gleaned along the way must be shared internally.
In this article, we discuss how several of the nearly 200 companies we've studied have built and exercised these capabilities. We also take a close look at how one company, Schneider Electric, is using them to acquire and share customer insights.
Creating an image transfer through event marketing : principles, requirements and consequences
(2015)
Event marketing is primarily implemented to emotionalize the target group. So, the most important objective of marketing events is to improve the image of a brand or a company. In this paper an image transfer model for event marketing is introduced. As a basis, the principles of event marketing are presented. After that, the state of the art in attitude and image research is discussed. Based on current research, an image transfer model for event marketing is developed and the conditions required for an image transfer to take place from an event to a brand or a company are explained. Depending on which conditions are met, there are different consequences with regard to the image transfer from the event to the brand or company that are structured and characterized in detail.
COVID-19 and educational inequality: How school closures affect low- and high-achieving students
(2021)
In spring 2020, governments around the globe shut down schools to mitigate the spread of the novel coronavirus. We argue that low-achieving students may be particularly affected by the lack of educator support during school closures. We collect detailed time-use information on students before and during the school closures in a survey of 1099 parents in Germany. We find that while students on average reduced their daily learning time of 7.4 h by about half, the reduction was significantly larger for low-achievers (4.1 h) than for high-achievers (3.7 h). Low-achievers disproportionately replaced learning time with detrimental activities such as TV or computer games rather than with activities more conducive to child development. The learning gap was not compensated by parents or schools who provided less support for low-achieving students.
The dynamic capabilities perspective is aimed at explaining how firms achieve and sustain competitive advantages, especially in environments that become volatile, uncertain, complex, and ambiguous (VUCA). In this paper, we combine factors that explain dynamic capabilities on the firm level with factors of dynamic managerial capabilities on the individual level. In addition to the dynamic capabilities theory, we draw on corporate foresight (CF) literature to test the impact of CF training. We find that both the organizational-level practices and the individual-level training of leaders are positively associated with firm-level outcomes. We further observe that this relationship is mediated by dynamic managerial capabilities (i.e., the ability of leaders to challenge current business models, make decisions under uncertainty, and reconfigure organizational resources). Our findings emphasize the importance of training leaders and building organizational CF practices to build the dynamic capabilities needed in VUCA environments.
The automotive industry faces three major challenges – shortage of fossil fuels, politics of global warming and rising competition from new markets. In order to remain competitive companies have to develop more efficient and alternative fuel vehicles that meet the individual requirements of the customers. Functional Integration combined with new Technologies and materials are the key to stable success in this industry. The sustaining upward trend to system innovations within the last ten years confirms this. The development of complex products like automobiles claim skills of various disciplines e.g. engineering, chemistry. Furthermore, these skills are spread all over the supply chain. Hence the only way to stay successful in the automotive industry is cooperation and collaborative innovation. Interdisciplinary and interorganizational development has high demands on cooperation models especially in the automotive industry. In this case study cooperation models are analyzed and evaluated according to their applicability to interdisciplinary, interorganizational development projects in the automotive industry. Following, the research campus ARENA2036 is analyzed. ARENA2036 is an interdisciplinary, interorganizational development project housing automobile manufacturers, suppliers, research establishments and university institutes. Finally, based on interviews with the partners and the precede analyses of cooperation models, suggestions for implementation are given to ARENA2036.
Learning factories can complement each other by training different competencies in the field of digitalisation and Industry 4.0. They depict diverse sections of the product development process and focus on various technologies. Within the framework of the International Association of Learning Factories (IALF), the operating organisations of learning factories exchange information on research, training and education. One of the aims is to develop joint projects. The article presents different concepts of cooperation between learning factories while focusing on the improvement of the development of learners competencies e.g. with a broader range of topics. A concept of a joint course between the learning factories in Bochum, Reutlingen and Darmstadt is explained in detail. The three learning factories will be examined with regard to their similarities and differences. The joint course focuses on the target group of students and the topic of digitalisation in the development and production of products. The course and its contents are explained in detail. The new learning approach is evaluated on the basis of feedback from the participants. Finally, challenges resulting from the cooperation between learning factories at different locations and with different operating models will be discussed.
Contemporary theory and practice of organizations. - Part 2: Leading and changing the organization
(2016)
Organizations are the business world´s central actors, employing multiple people who pursue collective goals while linked to an external environment. The text is filled with contributions by alumni of the ESB Business School at Reutlingen University. Part II provides a detailed overview of key themes in modern leadership and coaching, as well as organizational intervention.
Organizations are the business world´s central actors, employing multiple people who pursue collective goals while linked to an external environment. This volume is the first of two books dedicated to defining current theories of organizations and their practices. The text is filled with contributions by alumni of the ESB Business School at Reutlingen University. Part I discusses contemporary organizational forms and properties, including team aspects.
By 2019, German-based Kärcher, "the world's leading provider of cleaning technology", hat turned its professional cleaning devices into digital offerings. The data generated by these connected cleaning devices formed a key ingredient in the company's ongoing strategic shift in its B2B business: Kärcher was transforming from a seller of cleaning devices to a provider of consulting services in order to help professional cleaning companies improve their cleaning processes.
The case illustrates how the company learned to generate value from digital offerings. And it demonstrates how a family-owned company transformed its organization in order to be able to more effectively develop and provide digital offerings, while adding roles and developing technology platforms, as well as changing structures and ways of working.
The functionality of existing cyber-physical production systems generally focuses on mapping technologic specifications derived from production requirements. Consequently, such systems base their conception on a structurally mechanistic paradigm. Insofar as these approaches have considered humans, their conception likewise is based on the structurally identical paradigm. Due to the fundamental reorientation towards explicitly human-centered approaches, the fact that essential aspects of the dimension "human" remain unconsidered by the previous paradigm becomes more and more apparent. To overcome such limitations, mapping the "social" dimension requires a structurally different approach. In this paper, an anthropocentric approach is developed based on possible conceptions of the human being, enabling a structural integration of the human being in an extended dimension. Through the model, extending concepts for better integration of the human being in the sense of human-centered approaches, as envisioned in the Industrie 5.0 conception, is possible.
The blockchain technology represents a decentralized database that stores information securely in immutable data blocks. Regarding supply chain management, these characteristics offer potentials in increasing supply chain transparency, visibility, automation, and efficiency. In this context, first token-based mapping approaches exist to transfer certain manufacturing processes to the blockchain, such as the creation or assembly of parts as well as their transfer of ownership. However, the decentralized and immutable structure of blockchain technology also creates challenges when applying these token-based approaches to dynamic manufacturing processes. As a first step, this paper investigates existing mapping approaches and exemplifies weaknesses regarding their suitability for products with changeable configurations. Secondly, a concept is proposed to overcome these weaknesses by introducing logically coupled tokens embedded into a flexible smart contract structure. Finally, a concept for a token-based architecture is introduced to map manufacturing processes of products with changeable configurations.
Public transport causes in rural areas high costs per passenger and kilometer as the frequency of scheduled busses is low and therefore, many people avoid using public transport. With the trend of moving from urban regions to countryside individual traffic will further increase. To tackle issues of emissions, mobility for young and elderly people and provide economically meaningful public transport a new concept was elaborated in Germany. This consists of (partly) autonomous shuttle busses which are remote controlled. For implementation rural districts of Germany have worked together and set up a three-phase plan consisting of a project with public funding, a highly frequent used pilot region and industrial partners with the commitment and possibilities for necessary investments. The concept promises economical value with respect to installation, service and maintaining costs, it leads to lower barriers for public transport of young and elderly people and ultimately reduces emissions and congestions.
Mobile assistance systems (MAS) promise to overcome personnel shortages in operating theatres worldwide. A literature review inspired by the PRISMA 2020 method determines the state of the art of MAS, and identifies a lack of application areas for MAS in the operating theatre. Interviews with subject-matter experts aim to investigate application areas for MAS. The results show that most operational tasks refer to material management and patient management. MAS, with their potential to reduce the time needed for material and patient management, and the physical and mental strain of patient management, have great potential in the operating theatre.
Competing logics in evaluating employee performance : building compromises through conventions
(2015)
Current research argues that competing institutional logistics1 can co-exist enduringly and investigates how organizations cope with such institutional complexity (Greenwood et al. 2011). Thereby, the role of practices for handling competing logics has been overlooked and it is currently only to limited extent understood how organizations establish compromises between competing logics. Therefore, we investigated the recent performance appraisal reform of a German public sector organization that occurred in 2008 (see also Kozica, Brandl 2015). BAND (the pseudonym for our organization) has been using performance appraisals for several decades, and performance appraisals have already become entrenched instruments (Zeitz, Mittal, McAulay 1999) for handling staff promotion decisions. While BAND accepted the accountability logic of the performance appraisal, the professional logic (which is based on trust and comradeship as a high value of being professional in our organization) is accepted too and BAND has established a fine-grained compromise between the different logics. During the recent reform of the performance appraisal system, however, this compromise has broken up and challenged organizational members to (re-)arrange a compromise. By using French convention school of thinking (Boltanski, Thévenot 2006) we address how BAND copes with conflicting logics by forming compromises in organizational practices. Thereby, we show that the concept of convention is particularly promising for understanding of how organizations deal with institutional complexity. More broadly, our argument contributes to the elaboration of an organizational theory for the institutional logics discussion that explains how organizational and individual actions are interlinked.
Shorter product life cycles and emerging technologies in the field of industrial equipment are changing the prerequisites and circumstances under which the design of assembly and logistics systems take place. Planners have to adapt the production in accordance with the underlying product at a higher pace, oversee a more complex system and - most importantly - find the ideal solution for functional as well as social interaction between humans and machines in a cyber-physical system. Such collaborative work systems consider the individual capabilities and potentials of humans and machines to combine them in a manner that assists the operator during his daily work routine towards more productive, less burdening work. To be able to design work systems which act on that maxim, specific competences such as the ability of integrated process and product planning as well as systems and interface competence are required. The ESB Logistics Learning Factory trains students as well as professionals to gain such qualification by providing a close-to-reality learning environment based on a didactical concept which covers all relevant methods for ergonomic work system design and a state-of-the-art infrastructure composed of a manual assembly system, service robots, visual assistance systems, sensor-based work load monitoring and logistical resources. Group-based, activity oriented scenarios enable the participants to put the learnings into practice within their professional environments. By this, learning factories have an indirect impact on the transfer of proven best practices to the industry and thereby on the diffusion of the idea of human-centric working environment.
Shorter product life cycles and emerging technologies are changing the circumstances under which the design of assembly and logistics systems has to be carried out. Engineers are in charge of adapting the production in accordance with the underlying product at a higher pace, oversee a more complex system and find the ideal solution for a functional work system design as well as social interactions between humans and machines in cyber-physical systems. Such collaborative work systems consider the individual capabilities and potentials of humans and machines to combine them in a manner that assists the operator during his daily work routine. To be able to design such work systems, specific competences such as the ability of integrated process and product planning as well as systems and interface competence are required. Learning factories train students as well as professionals to gain such qualifications by providing a close-to-reality learning environment based on a didactical concept which covers all relevant methods for ergonomic work system design and a state-of-the-art infrastructure. Group-based, activity oriented scenarios enable the participants to put the learnings into their everyday work life. Thereby, learning factories have an indirect impact on the transfer of proven best practices to the industry.
Many researchers have explored the phenomenon of intercultural communication since Edward T. Hall first brought it to light in the late 1950s. Although the literature is quite extensive, the ongoing sociopolitical struggles are evidence that even in the twenty-first century, society has limited intercultural as well as intracultural communication competence. This limited understanding continues to bring about discord in every facet of life, including work.
The modern workforce is expected to possess certain knowledge, skills, and attitudes that are inherently different from those expected from previous generations. Due to globalization, intercultural competence and highly effective communication skills are at the top of the list - a working knowledge of English as the lingua franca of today's business world can be considered as a first step.