Enabling digitization by implementing Lean IT: lessons learned

Abstract

Purpose With the rise of digitization, IT organizations are challenged to provide efficient service delivery and offer innovative digital solutions while maintaining a constant resource capacity. To address this challenge, some IT organizations have adopted Lean Management (LM). Although LM is a standard production mode in manufacturing, it is less familiar to IT organizations. The purpose of this paper is to identify 12 lessons learned from companies who implemented LM in their IT organization (Lean IT) to free up their IT resource capacity from existing day-to-day operations so they could use it to enable their digitization strategy. Design/methodology/approach A case study of two major international companies from different industries. Data were collected from 25 structured interviews. Findings The lessons learned provide insights into how these companies implemented Lean IT, the potential outcomes they aimed for, what they did to achieve those outcomes, how they facilitated the implementation of Lean IT, and restrictions they encountered during the implementation. Research limitations/implications The findings are based on a limited range of IT organizations. Practical implications The lessons learned inform those implementing Lean IT because they explain how companies have implemented Lean IT to facilitate digitization and the benefits and pitfalls they encountered. A comparison of Lean IT and Lean Production shows that LM is transferable to IT organizations if domain specific requirements are respected. Originality/value This paper reports the unique experience of companies implementing Lean IT, which can inform other companies in a similar situation.

On the inclusion of sustainability and digitalisation in quality management – an overview from past to present

“…These research streams are addressed to different extents in the QM literature. For example, digital technology has been identified as presenting both enormous opportunities and enormous threats to, for example, the corporate world (Kobus et al, 2018), causing increased competition, cost pressure, and reorganisations (Behmer et al, 2016). Whereas digital technology is seen to provide opportunities for new and alternative business models and agile, fast-moving companies (start-ups), for established business models and large, slow-moving companies (traditional players), digital technology can be seen as a threat (Kobus et al, 2018).…”

“…For example, digital technology has been identified as presenting both enormous opportunities and enormous threats to, for example, the corporate world (Kobus et al, 2018), causing increased competition, cost pressure, and reorganisations (Behmer et al, 2016). Whereas digital technology is seen to provide opportunities for new and alternative business models and agile, fast-moving companies (start-ups), for established business models and large, slow-moving companies (traditional players), digital technology can be seen as a threat (Kobus et al, 2018). This is because start-ups and young companies can design many of their digital solutions in a straightforward greenfield setting using agile processes and flexible and minimal management structures (Kobus et al, 2018).…”

“…Whereas digital technology is seen to provide opportunities for new and alternative business models and agile, fast-moving companies (start-ups), for established business models and large, slow-moving companies (traditional players), digital technology can be seen as a threat (Kobus et al, 2018). This is because start-ups and young companies can design many of their digital solutions in a straightforward greenfield setting using agile processes and flexible and minimal management structures (Kobus et al, 2018). The IT organisations of traditional players, on the other hand, often face a complex application landscape that combines multiple legacy applications, inflexible processes, and rigid managerial decision-making structures that make digitisation more difficult to introduce (Kobus et al, 2018).…”

“…This is because start-ups and young companies can design many of their digital solutions in a straightforward greenfield setting using agile processes and flexible and minimal management structures (Kobus et al, 2018). The IT organisations of traditional players, on the other hand, often face a complex application landscape that combines multiple legacy applications, inflexible processes, and rigid managerial decision-making structures that make digitisation more difficult to introduce (Kobus et al, 2018).…”

Wirtschaftsinformatik-Forschung für die Praxis

“…Die Ergebnisse sind oftmals Frameworks, neue Einsichten oder Lessons Learned, die als provisorisch betrachtet werden und aufgrund ihrer betonten Vorläufigkeit eines weiteren Forschungsschrittes bedürfen. Als Beispiel lässt sich die Fallstudie von Kobus et al (2018) anführen, in der Lessons Learned aus der Implementierung von Lean IT zur Ermöglichung von Digitalisierungsmaßnahmen abgeleitet werden.…”