Leading Digital Transformation: The Scandinavian Way

Abstract

Digital transformation can be seen as the mutual reinforcement of process redesign and innovative use of IT. The literature on digital transformation focuses on digital business strategy and the transformational CIO. Stakeholder engagement in combination with leadership style is seldom discussed. Our research questions are (i) what characterises leadership in the digital transformation, and (ii) what does the Scandinavian workplace model add to the knowledge of digital transformation? Our empirical evidence is the digital transformation in a large airline, the SAS, during the years 2013-16. The process was very turbulent but eventually quite successful. We identify two Scandinavian contributions to transformation research: firstly, the deep engagement with employees, including trade unions, supports a structured process with a focus on finding solutions, not conflicts. Second, a coaching leadership style, allowing space for autonomy, leverages the competence of highlyskilled employees.

Lessons from the fastest Brazilian unicorn

“…Thus, it is possible to see that analytical skills are essential but not sufficient for forming high-performance teams (Stoian & Tohanean, 2019). Without the commitment of the leaders (Bygstad et al , 2017; Locoro & Ravarini, 2019), the competences lose their vigor. This resource is also valuable (V).…”

“…One of the essential characteristics of digital business models is their constant evolution (Baber, Ojala, & Martinez, 2019), both in modern service-based economies (Bygstad, Aanby, & Iden, 2017; Hirte & Roth, 2018; Peter, Kraft, & Lindeque, 2020; Pin, 2014) and in emerging economies (Boojihawon & Ngoasong, 2018; Grabra & Manole, 2017; Mahmud, 2020; McAdam, Crowley, & Harrison, 2018). In this new paradigm, “digitality” plays a central role as a means of generating value for the client (Rantala, Ukko, Saunila, Puolakoski, & Rantanen, 2019), especially when leaders are aware of, and committed to, the process of digital transformation (Bygstad et al , 2017; Locoro & Ravarini, 2019).…”

Making sense of continuous development of digital infrastructures

“…Our findings and model of interaction patterns during continuous development are based on a single case study in one incumbent firm in Norway, and we have reflected on whether our findings could be particularly relatable to the Scandinavian context. The Scandinavian approach to digitalization and organizational change emphasizes engaging employees in deep participation and drawing on the knowledge of employees at different organizational levels (Bygstad et al, 2017), which might have contributed to the success of the continuous development approach at GridCo. Further, as our case illustrates, we suspect that continuous development presupposes a well-functioning installed base in the organization as a foundation, and that the organization posits competence to continuously develop this installed base.…”

Digital transformation of business model innovation

“…Recent studies have also mentioned the influences of digital transformation. Bygstad et al (2017) examined the digital transformation of Scandinavian Airlines in Sweden. The study mentioned the relationship between employees’ digital knowledge and their involvement in digital transformation.…”