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Organizational Re-Design for Business Model Innovation while Exploiting Digital Technologies: A Single Case Study of an Energy Company

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  • Vito Maria Manfredi Latilla

    (Politecnico di Milano, School of Management, Via R. Lambruschini 4/b, 20156, Milano (MI), Italy)

  • Andrea Urbinati

    (LIUC Università Cattaneo, School of Industrial Engineering, Corso G. Matteotti 22, 21053, Castellanza (VA), Italy)

  • Angelo Cavallo

    (Politecnico di Milano, School of Management, Via R. Lambruschini 4/b, 20156, Milano (MI), Italy)

  • Simone Franzò

    (Politecnico di Milano, School of Management, Via R. Lambruschini 4/b, 20156, Milano (MI), Italy)

  • Antonio Ghezzi

    (Politecnico di Milano, School of Management, Via R. Lambruschini 4/b, 20156, Milano (MI), Italy)

Abstract

Digital technologies are bringing a wide spectrum of business opportunities as well as significant organizational challenges for incumbent companies operating in traditional industries such as the energy one. The diffusion of new technologies is changing the way energy solutions are consumed and experienced, while consumers increasingly take ownership of their consumption, acting as “prosumers”. In this evolving scenario, incumbents are urged to reshape their business models, explore new opportunities and change their organizational structures accordingly. Still, the required organizational re-design process that enables companies to undergo business model innovation (BMI) while exploiting digital technologies is partially neglected in literature. Hence, this study explores how established companies embrace organizational re-design process to innovate their business model. To this end, we leverage a single case study methodology focused on an incumbent energy company. Our findings show how the establishment of a business unit dedicated to digital technologies exploitation has enabled the company’s BMI. More specifically, we point at the critical role played by the know-how and the industrial capabilities to sustain not only the innovation activities of the new business unit, but also the overall company performance and the shift towards a renewed business model.

Suggested Citation

  • Vito Maria Manfredi Latilla & Andrea Urbinati & Angelo Cavallo & Simone Franzò & Antonio Ghezzi, 2021. "Organizational Re-Design for Business Model Innovation while Exploiting Digital Technologies: A Single Case Study of an Energy Company," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 18(02), pages 1-28, April.
    • Handle: RePEc:wsi:ijitmx:v:18:y:2021:i:02:n:s0219877020400027
    DOI: 10.1142/S0219877020400027
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    Citations

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    Cited by:

    1. Ancillai, Chiara & Sabatini, Andrea & Gatti, Marco & Perna, Andrea, 2023. "Digital technology and business model innovation: A systematic literature review and future research agenda," Technological Forecasting and Social Change, Elsevier, vol. 188(C).
    2. Markoff-Legrand, Anastasia & Bocquet, Rachel & Gandia, Romain, 2024. "Multi-level neo-institutional analysis of pressures and tensions for adopting a digitally driven business model innovation: Responses from a French energy incumbent," Technological Forecasting and Social Change, Elsevier, vol. 205(C).
    3. Djula Borozan & Dubravka Pekanov Starcevic, 2021. "Analysing the Pattern of Productivity Change in the European Energy Industry," Sustainability, MDPI, vol. 13(21), pages 1-14, October.
    4. Bağış, Mehmet & Kryeziu, Liridon & Akbaba, Yılmaz & Ramadani, Veland & Karagüzel, Ensar Selman & Krasniqi, Besnik A., 2022. "The micro-foundations of a dynamic technological capability in the automotive industry," Technology in Society, Elsevier, vol. 70(C).
    5. Mancuso, Ilaria & Messeni Petruzzelli, Antonio & Panniello, Umberto, 2023. "Innovating agri-food business models after the Covid-19 pandemic: The impact of digital technologies on the value creation and value capture mechanisms," Technological Forecasting and Social Change, Elsevier, vol. 190(C).

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