Performance Measurement and Management
In the past new forms of manufacturing induced shifts in measurement and controlling systems. Since these traditional systems where inappropriate for the new ways of working and therefore inhibiting organizations. Today, we are witnessing a new shift in manufacturing: towards digitalized services enabled through the Internet of Things (IoT). Thereby, the key novelty of IoT enabled business is the convergence of the physical and digital world as well as the transformation from products to services – offering novel ways to generate and capture value. For example, the well-known power-by-the-hour offering of Rolls-Royce, where the jet engine (product) and the engine health (service) are bundled, thereby charring the customers on the extend of usage. However, many firms struggle to monetize their digitalization investments and questions regarding adequate performance measurement and management systems to steer the complex transition arise.
Following the saying “what gets measured gets done”, the project focuses on developing a comprehensive measurement/management framework with corresponding reporting schemes and relevant KPIs to manage the IoT business in the context of manufacturers.