PurposeThe purpose of this paper is to identify sensing, seizing and reconfiguring routines of dynamic capabilities that enable digital transformation in firms.Design/methodology/approachA qualitative approach is used. Representatives from a firm going through digital transformations are interviewed, and focus groups have been carried out with a consultancy firm experienced in giving advice to firms going through digital transformation.FindingsSix routines identified as relevant specifically for digital transformation are identified. These are cross-industrial digital sensing, inside-out digital infrastructure sensing, digital strategy development, determination of enterprise boundaries, decomposition of digital transformation into specified projects and creation of a unified digital infrastructure.Practical implicationsThe authors provide direction for managers on how to approach digital transformation. In relation to previous research, the authors provide more specific guidance regarding how to reconfigure the organization in digital transformation.Originality/valueThe paper uses a novel context for digital transformation and complements the very few studies available using dynamic capabilities to understand digital transformation.

Purpose The purpose of this paper is to identify key aspects of business model development for sustainable apparel consumption, as actors show an increasing interest in product‒service systems. This purpose should be seen from a retailers’ perspective so as to develop sustainable solutions for long-term survival in the apparel industry when meeting consumer preferences for fashion as well as an increasing interest in consuming less. Further, this is from a perspective in an economy where sharing and circularity are potential drivers for changing consumer patterns. Design/methodology/approach The study is based on the apparel retailer Houdini Sportswear and its business model development from a traditional model of selling sportswear to a more future-oriented model where sustainability is more salient. The data for analysis were collected through interviews with employees within the studied company. The interviews have been guided by overarching themes covering relevant areas of interest for this study. Findings Overall, the paper shows how sustainability can be included in strategic development, from product idea, product development, production and sales/rental to repair, reuse and finally recycling. The paper also highlights potential obstacles in a developed business model with increased sustainability, including technological platforms, distribution networks for collecting and returning products and consumer consumption preferences. There are a few intertwined factors to be considered on different societal levels to achieve long-term success. Originality/value This study contributes an increased understanding of how more sustainable solutions can be included when developing business models. While the manufacture, distribution and consumption of clothes have an impact on the environment, some retailers and producers want to reduce this environmental impact. One alternative is to change the way clothes are consumed, to include more sharing and circularity.

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Strategic transformation is a driver for business model innovation. This study identifies key aspects and activities of business model innovation in a high-tech industry utilising strategic transformation. The study takes its departure in an aircraft engine manufacturer dominated by military products that evolves into a high-tech developing company competing on an open market. Findings support previous research on changes in the defence industry such as risk sharing, a need to identify core technologies, and the importance of efficiency related to profitability. The study contributes to a greater understanding of how business models develop under strategic transformation, and an understanding of the need for change and what capabilities are required to leave previous strategic development behind and undertake a new path to future development.

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