Business-driven IT transformation at Royal Philips: Shedding light on (un)rewarded complexity

Research output: Chapter/Conference proceedingConference proceedingAcademicpeer-review

3 Citations (Scopus)

Abstract

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

Original languageEnglish
Title of host publication2015 International Conference on Information Systems
Subtitle of host publicationExploring the Information Frontier, ICIS 2015
PublisherAssociation for Information Systems
ISBN (Print)9780996683111
Publication statusPublished - 2015
Event2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015 - Fort Worth, United States
Duration: 13 Dec 201516 Dec 2015

Publication series

Series2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015

Conference

Conference2015 International Conference on Information Systems: Exploring the Information Frontier, ICIS 2015
Country/TerritoryUnited States
CityFort Worth
Period13/12/1516/12/15

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