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A holistic digitalization KPI framework for the aerospace industry

In: Data Science and Innovation in Supply Chain Management: How Data Transforms the Value Chain. Proceedings of the Hamburg International Conference of Logistics (HICL), Vol. 29

Author

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  • Krol, Felix
  • Saeed, Muhammad Amad
  • Kersten, Wolfgang

Abstract

Purpose: The aerospace supply chain is characterized by a high degree of small andmedium-sized suppliers. To stay competitive, suppliers are facing high pressures todigitalize their business but have limited resources available. Furthermore, aerospacesuppliers lack a framework to measure their current state of digitalization.Therefore, this paper provides a holistic digitalization KPI framework for manufacturingaerospace companies. Methodology: The framework is based on a top-down and bottom-up developmentapproach. Within the top-down approach, 42 digitalization maturity models are beinganalyzed to identify relevant dimensions. To reveal digitalization indicators, acomprehensive literature review is being used as a bottom-up approach. Indicatorsare then assigned to the sub-dimension. Finally, indicators are grouped to similar indicatorsand merged to digitalization KPI. Findings: The developed KPI framework encompasses 89 digitalization KPI amongnine dimensions: Strategy and Organizational Leadership, Governance and TransformationManagement, Digital Skills/Human Capital, Smart Product, Customer Focus,Smart Process/Operations, Digital Technology, Financial Focus, and Network and Security. Originality: The presented digitalization KPI framework provides a scientific foundationfor measuring the digitalization maturity level of aerospace companies.Therefore, maturity models and benchmarking tools can incorporate the developed(sub-) dimensions and KPI to measure and compare the digital readiness of aerospacecompanies as well as to derive guidance for areas of improvement.

Suggested Citation

  • Krol, Felix & Saeed, Muhammad Amad & Kersten, Wolfgang, 2020. "A holistic digitalization KPI framework for the aerospace industry," Chapters from the Proceedings of the Hamburg International Conference of Logistics (HICL), in: Kersten, Wolfgang & Blecker, Thorsten & Ringle, Christian M. (ed.), Data Science and Innovation in Supply Chain Management: How Data Transforms the Value Chain. Proceedings of the Hamburg International Conference of Lo, volume 29, pages 797-847, Hamburg University of Technology (TUHH), Institute of Business Logistics and General Management.
    • Handle: RePEc:zbw:hiclch:228940
    DOI: 10.15480/882.3109
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    References listed on IDEAS

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