Leapfrogging pathway for Fourth Industrial Revolution : a case of process innovation within an automotive subsidiary firm

Abstract

The relationship between Fourth Industrial Revolution technologies and innovation makes for an interesting case, as innovation seeks to unlock a level of competitiveness for its users, the extent of which is covered in this research paper. The premise of this study is that subsidiary firms lend themselves to the practice of process innovation. The focus of this study was on a South African automotive subsidiary firm, and a case study methodology was adopted. Data was collected in the form of questionnaire responses from specialists and interview feedback from managers in order to derive insights that would inform the state of firms’ technological capabilities, the dynamics behind them, and the leapfrogging measures that might be taken. This study showed that the current state of technological capabilities in the sample firm ranged from inadequate to satisfactory. Three priority areas were defined: robotics, big data and cloud computing, and advanced manufacturing systems. The workers’ mindsets were found to be a serious barrier to taking full advantage of Fourth Industrial Revolution technologies. This study covered measures that would be necessary to ensure a successful digital transformation, best realised through an incremental innovation strategy. The main metrics of firm competitiveness were outlined as quality, volume, and cost, all of which could be influenced by process innovations.

Die verhouding tussen Vierde Industriële Revolusie-tegnologieë en innovasie is interessant, aangesien innovasie poog om 'n vlak van mededingendheid vir sy gebruikers te ontsluit, waarvan die omvang in hierdie navorsingsartikel gedek word. Die uitgangspunt van hierdie studie is dat filiaalfirmas hulle tot die praktyk van prosesinnovasie leen. Die fokus van hierdie studie was op 'n Suid-Afrikaanse motorfiliaalfirma, en 'n gevallestudiemetodologie was gebruik. Data was ingesamel van vraelysreaksies van spesialiste en terugvoer van onderhoude met bestuurders ten einde insigte te verkry wat die stand van ondernemings se tegnologiese vermoë, die dinamika daaragter en die sprongmaatreëls wat geneem kan word, sou inlig. Hierdie studie het getoon dat die huidige stand van tegnologiese vermoë in die steekproeffirma gewissel het van onvoldoende tot bevredigend. Drie prioriteitsareas is gedefinieer: robotika, groot data en wolkverwerking, en gevorderde vervaardigingstelsels. Daar is gevind dat die werkers se ingesteldheid 'n ernstige struikelblok is om die Vierde Industriële Revolusie-tegnologie ten volle te benut. Hierdie studie het maatreëls gedek wat nodig sou wees om 'n suksesvolle digitale transformasie te verseker, wat die beste gerealiseer word deur 'n inkrementele innovasiestrategie. Die belangrikste maatstawwe van firma mededingendheid is uiteengesit as kwaliteit, volume en koste, wat alles deur prosesinnovasies beïnvloed kan word.