Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: In today's hyper-competitive world, businesses rely on technology-enabled teams to get work done. But how do we ensure those teams are actually performing at their peak?
Host: We’re diving into a fascinating study from the Journal of the Association for Information Systems, titled "Processes and Performance in Technology-Enabled Teams: The Mediating Role of Team Ambidexterity.”
Host: It investigates how team processes, like using information systems and coordinating tasks, truly impact performance. And here to break it down for us is our expert analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: So Alex, let's start with the big picture. What’s the core problem this study is trying to solve for businesses?
Expert: The problem is a common one. Companies spend a fortune on software and tools for their teams, hoping for a big performance boost. But often, that boost never materializes.
Expert: There’s a gap in our understanding of how a team's day-to-day activities, like using a project management tool, actually translate into successful outcomes. We know there's a connection, but it's not a simple A-to-B relationship.
Host: So just giving a team new technology isn't a silver bullet.
Expert: Exactly. This study looked for a missing link—a special team capability that might explain how using technology and coordinating well actually leads to better performance.
Host: And how did the researchers go about finding this missing link? What was their approach?
Expert: It was quite practical. They went inside a real technology company and conducted a two-part study. First, they did an observational study, where they literally just watched two different teams at work to understand their dynamics and how they used their mandatory systems.
Expert: Building on those real-world insights, they then rolled out a quantitative survey to 33 teams, collecting data from over 100 team members and their managers to measure these relationships at scale.
Host: That sounds very thorough. So, what did they find? What were the key results?
Expert: The central finding revolves around a concept called 'team ambidexterity'.
Host: Ambidexterity? Like being able to use both your left and right hand equally well?
Expert: That's a perfect analogy. In a team context, ambidexterity is the ability to do two things at once: be highly efficient and aligned with current goals, while also being flexible and adaptable to change and innovation. It’s about executing today's plan flawlessly while also being ready for tomorrow's challenges.
Host: And this capability was the missing link?
Expert: It was. The study found that team ambidexterity is the critical bridge. Better team coordination and more integrated use of their information systems didn't directly cause higher performance. Instead, they significantly boosted the team's ambidexterity.
Host: And it’s that ambidexterity that then leads to success?
Expert: Precisely. Teams that developed this dual-capability of alignment and adaptability were the ones who consistently performed better. The key insight is that focusing on just technology or just coordination by themselves is not enough.
Host: This is the crucial part for our listeners. If I'm a business leader or a team manager, why does this matter to me? What's the practical takeaway?
Expert: The biggest takeaway is to stop thinking about technology as the solution and start thinking about it as a tool to build a certain type of team capability.
Host: So, it's not about the tool, but how the team uses it to become more versatile?
Expert: Yes. As a manager, you should ask: Does this software just help us do the old thing faster, or does it also give us the flexibility to innovate and adapt when a client throws us a curveball? You need to foster an environment where both are possible.
Host: Can you give an example?
Expert: The study observed two teams. One support team was excellent at using their systems for routine, efficient work—that's alignment. But they also constantly found new ways to reconfigure the system to solve novel problems—that's adaptability. They were ambidextrous, and they were high-performers.
Expert: So, the lesson for managers is to encourage and reward both. Celebrate the teams that hit their efficiency targets, but also celebrate the teams that experiment, find new ways to use your existing tools, and adapt to unforeseen challenges. That’s how you build ambidextrous, high-performing teams.
Host: Fantastic insights, Alex. So, to summarize for our audience: simply equipping your teams with technology isn't the answer.
Host: The key to unlocking high performance is fostering 'team ambidexterity'—the emergent ability of a team to be both incredibly efficient in their current processes and highly adaptable to new challenges.
Host: The right tech and good coordination are the ingredients, but building this ambidextrous culture is what ultimately creates success.
Host: Alex Ian Sutherland, thank you so much for translating this important research into actionable advice.
Expert: My pleasure, Anna.
Host: And thank you for tuning in to A.I.S. Insights, powered by Living Knowledge. Join us next time as we decode another key study for your business.

Host: Welcome to A.I.S. Insights, the podcast where we connect academic research with real-world business strategy, powered by Living Knowledge. I'm your host, Anna Ivy Summers.
Host: Today, we’re diving into how we think about a concept so fundamental we often overlook it: space. With us is our expert analyst, Alex Ian Sutherland, to unpack a fascinating study. Alex, welcome.
Expert: Great to be here, Anna.
Host: The study we're discussing is titled, "Research Perspectives: An Encompassing Framework for Conceptualizing Space in Information Systems." That’s a mouthful! In simple terms, what's it about?
Expert: It’s about creating a better, more comprehensive way for us to think and talk about 'space' when we design and use technology. It develops a framework that organizes our understanding of space into four distinct themes.
Host: So, let's start with the big problem. Why do we need a new way to think about space? Isn’t it just… where things are?
Expert: That's the common view, but it's limiting. Think about it. We talk about "cyberspace," virtual reality worlds, remote work collaboration spaces, and even the "cloud" which sounds like it's nowhere.
Host: Right, those aren't physical locations in the traditional sense.
Expert: Exactly. The problem is that the field of Information Systems hasn’t had a sophisticated, unified way to conceptualize all these different kinds of spaces. This gap can limit our ability to innovate and truly understand how technology impacts our lives and our businesses.
Host: So how did the researchers tackle such a huge, abstract concept? What was their approach?
Expert: They didn't conduct a lab experiment. Instead, they performed an extensive review of research from many different fields—philosophy, social geography, psychology—to see how experts in those areas have thought about space over the centuries. They then synthesized all of those powerful ideas into a single, cohesive framework for the tech world.
Host: And what was the main outcome of that synthesis? What did they find?
Expert: They found that our understanding of space can be organized into four key themes. The first is what they call **Representing Space**.
Host: What does that mean in practice?
Expert: This is the most familiar one. It’s space as a container or a map. Think of a GPS route, the geographical boundaries of a sales territory, or even the layout of a physical office. It’s measurable and has clear borders.
Host: Okay, that makes sense. What's the second theme?
Expert: The second is **Differentiating Space**. This views space as a social construct. It’s not just a container; it’s shaped by the people and interactions within it. A great business example is a dedicated Slack channel for a project team or a specific online community of customers.
Host: So, it’s about how we create a sense of place and community through our interactions?
Expert: Precisely. The third theme builds on that. It's called **Disclosing Space**. This is space as an enabler—a setting that allows new possibilities and actions to emerge. A well-designed digital whiteboard for brainstorming can "disclose" new ideas that wouldn't have emerged otherwise.
Host: I like that idea. A space that creates potential. And the final theme?
Expert: The final one is **Intuitive Space**. This is all about how space is felt or sensed. It's not about measurable miles, but about perceived closeness. Think about the immersive feeling of a virtual reality training simulation, or that feeling of being "distant" from colleagues on a video call, even if they're just a few miles away.
Host: That’s a powerful distinction. So we have space as a map, as a social community, as an enabler, and as a feeling. Alex, this is academically fascinating, but why does this framework matter for business leaders?
Expert: This is the crucial part. It’s a practical toolkit for strategy and innovation. Let's take product development. When creating a new metaverse platform or a remote work tool, most companies only think in terms of Representing Space—the features and functions.
Host: But you're saying they should think about the other themes?
Expert: Yes. How will this tool function as a Differentiating Space that builds a unique company culture? How will it be a Disclosing Space that sparks creativity? What is the Intuitive Space like—does it feel connected or isolating? Asking these questions leads to fundamentally better, more human-centric products.
Host: Can you give another example?
Expert: Absolutely. Consider customer behavior. The study talks about understanding phenomena like online "echo chambers." Using this framework, a marketing team can better analyze the digital spaces where their customers form opinions. They're not just demographic points on a map; they are members of social, differentiating spaces that influence their buying decisions.
Host: It’s about understanding the context, not just the customer.
Expert: Exactly. And finally, it's critical for the future of work. An office is no longer just a floor plan. Companies struggling with hybrid models can use this framework to redesign their physical and digital workspaces to intentionally foster collaboration, connection, and innovation across all four themes of space.
Host: Fantastic. So, to summarize for our listeners, it seems the key takeaway is that 'space' is far more than just location, especially in our digital world.
Host: This study gives us a powerful framework with four lenses—Representing, Differentiating, Disclosing, and Intuitive space—to get a more complete picture. And using this richer view can help businesses build better products, understand customers more deeply, and design more effective workplaces for the future.
Host: Alex, thank you so much for breaking down this complex topic into such clear, actionable insights.
Expert: My pleasure, Anna. It’s a topic with huge implications.
Host: That’s all the time we have for today on A.I.S. Insights. Join us next time as we continue to explore the ideas shaping the future of business. Thanks for listening.

Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers. In a crisis, business leaders have to make tough calls, especially when it comes to technology. Today, we're diving into a fascinating study titled, "Setting Priorities for Exploiting and Exploring Digital Capabilities in a Crisis". It provides a framework for IT leaders to decide whether to get the most out of their existing digital tools or to invest in brand new ones. Here to unpack it all is our analyst, Alex Ian Sutherland. Welcome, Alex.

Expert: Great to be here, Anna.

Host: Alex, we’ve all seen how the recent pandemic forced businesses to pivot almost overnight. What was the core technological dilemma that leaders were wrestling with?

Expert: The big question was where to put scarce resources. Do you double down on the technology you already have, just to keep the lights on and serve existing customers? The study calls this 'exploitation'—making the best of what you have.

Host: Or... the alternative?

Expert: The alternative is 'exploration'—investing in new, innovative solutions, or doing new things in better ways. The dilemma is that if you only focus on exploitation, you risk getting trapped with outdated tech when the crisis is over. But if you over-invest in exploration, you could run out of money before seeing any real benefit. It’s a very high-stakes balancing act.

Host: So how did the researchers figure out the right way to balance these two priorities?

Expert: They took a very practical approach. They conducted an in-depth study of 18 different Australian organizations across various industries—from healthcare to construction. They interviewed 27 IT leaders right in the middle of the pandemic to see what decisions they were making in real-time and what the outcomes were.

Host: It sounds like a view from the corporate trenches. So what did they find? Is there a one-size-fits-all answer for businesses?

Expert: No, and that’s the most important finding. The right strategy depends entirely on what the study calls an organization's 'starting position' at the moment the crisis hits.

Host: 'Starting position'? What does that mean exactly?

Expert: It's an assessment of the company's health across five key factors. First is People: what are your team's digital skills? Second, Cultural: is your company risk-averse or innovative? Third, Technical: how modern is your IT infrastructure? Fourth is Managerial: how strong is your leadership and your processes? And finally, Financial: what do your cash reserves look like?

Host: Okay, so you assess your company against those five factors. What happens next?

Expert: Based on that assessment, the study identifies three clear response paths a company can take: 'Survive', 'Survive and Thrive', or 'Thrive and Drive'.

Host: Let's break those down. What does a 'Survive' response look like?

Expert: If your starting position is weak—say, you have limited cash and legacy IT systems—the only goal is to survive. This means you focus exclusively on exploitation. You use your existing tech to automate and stabilize core operations. Forget new, risky projects; just keep the business running.

Host: That makes sense. What about the next level, 'Survive and Thrive'?

Expert: This is for companies in a stronger, middle-ground position. The strategy here is sequential. First, you exploit your existing tech to stabilize the business. But once you have some breathing room, you begin to explore new digital capabilities. The study highlights an aged care provider that first used existing tools for remote consultations, then later hired a new IT leader to explore innovative partnerships.

Host: And finally, for the companies that were in a great spot when the crisis began?

Expert: They can pursue a 'Thrive and Drive' response. These organizations have strong finances, modern tech, and an innovative culture. They can do both exploitation and exploration at the same time. One construction company in the study was able to streamline its current operations while also doubling its fleet of drones for new types of automated assessments. They didn't just survive; they used the crisis to accelerate past their competitors.

Host: This is incredibly practical. For a business leader listening right now, what is the single most important takeaway? How can they apply this framework?

Expert: The first step is to perform an honest self-assessment. The study even suggests a simple 'traffic light' system. For each of the five factors—People, Culture, Technical, Managerial, and Financial—rate yourself as red, yellow, or green. Red means the factor is hindering you, while green means it's accelerating you.

Host: So you get a clear, visual snapshot of your company's readiness.

Expert: Exactly. That snapshot tells you which of the three strategies you should adopt. It replaces gut feelings with a structured roadmap for making critical decisions under immense pressure. It tells you exactly where to focus your limited time, money, and energy.

Host: And I imagine this isn't just for navigating a crisis that's already here.

Expert: That's the most powerful part. The framework is really about preparing for the *next* crisis. By understanding these factors, leaders can start working today to improve their starting position. They can ask, 'What do we need to do to move our company from a 'Survive' position to a 'Thrive and Drive' one?' It’s a blueprint for building long-term organizational resilience.

Host: A fantastic summary. So, when a crisis hits, the key is to first assess your starting position across people, culture, tech, management, and finances.

Host: Then, based on that assessment, you choose your strategy: 'Survive' by focusing only on existing tech, 'Survive and Thrive' by stabilizing first and then innovating, or 'Thrive and Drive' by doing both at once.

Host: And crucially, you can use this framework right now to build a stronger, more resilient organization for whatever comes next. Alex, thank you for breaking that down for us.

Expert: My pleasure, Anna.

Host: That's all the time we have for A.I.S. Insights. Join us next time as we continue to explore the ideas shaping our world. I'm Anna Ivy Summers.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge. In a world where companies like Airbnb and Uber can reshape entire industries seemingly overnight, established businesses are constantly looking over their shoulders. Today, we're asking: how can you know if your company is next? We’re diving into a fascinating study from the MIS Quarterly Executive titled, "Assessing Incumbents' Risk of Digital Platform Disruption."

Host: It identifies three key market characteristics that make established businesses vulnerable and, most importantly, provides a tool for managers to assess their company's risk. Here to unpack it all is our analyst, Alex Ian Sutherland. Alex, welcome.

Expert: Glad to be here, Anna.

Host: So, let's start with the big problem. We all know disruption is a threat, but the study suggests that the threat from digital platforms is different, and that traditional companies often misunderstand it. Why is that?

Expert: That's the core issue. Businesses are used to competing on products. Someone builds a better mousetrap, you build an even better one. But digital platforms don't just sell a new product; they fundamentally re-architect the entire market. They change the rules of the game.

Expert: Think about Craigslist's impact on newspapers. Craigslist didn't create a better classifieds section; it created a whole new, more efficient marketplace that made the newspaper's classifieds channel almost irrelevant. It disrupted the *relationships* between buyers, sellers, and the newspaper itself.

Host: So it's about changing the structure, not just the product. How did the researchers identify the warning signs for this kind of structural shift? What was their approach?

Expert: They conducted a deep, qualitative study. They didn't just look at numbers; they examined real-world platform cases across multiple industries—from energy and IT services to banking and insurance. They also conducted in-depth interviews with the key people actually designing, launching, and managing these platforms to understand the common patterns behind their success.

Host: And what were those key patterns? What are the big findings that business leaders need to know?

Expert: The study found that platforms successfully exploit three specific market characteristics. First, they thrive on what the researchers call 'information inefficiencies'. This is when information is lopsided, scattered, or just too complex for customers to easily understand. Platforms fix this by centralizing everything and making it transparent.

Host: Can you give me an example?

Expert: Absolutely. Think of booking a hotel before and after a platform like Booking.com. Information was fragmented across different hotel websites and travel agents. Platforms brought it all into one place, with user reviews to solve the problem of lopsided information—where the hotel knows more about its quality than you do.

Host: Okay, so inefficient information is the first vulnerability. What's the second?

Expert: The second is the modular nature of products or services. If what you sell is really a 'bundle' of smaller parts, a platform can come in, unbundle it, and let customers pick and choose only the pieces they want.

Expert: The study points to the insurance industry. A traditional policy is a bundle. A platform like 'Yolo' allows users to buy "micro-insurance" on-demand—just for a ski trip, for example—by breaking apart the traditional, monolithic insurance package.

Host: That makes perfect sense. Unbundling. And the third characteristic?

Expert: The third is the existence of unaddressed, diverse customer preferences. Large incumbents often focus on the biggest part of the market with a standardized offering. Platforms excel at serving the niches. They aggregate all that diverse demand, making it profitable to cater to very specific tastes, like Apple Podcasts does for every hobby imaginable.

Host: This is incredibly insightful. So, Alex, we come to the most important question. I’m a business leader listening to this. How do I apply these findings? What does this mean for my business today?

Expert: This is the most practical part of the study. It provides a risk-assessment tool, which boils down to asking yourself a few tough questions. First, how severe is the information asymmetry in your market? Do your customers struggle with uncertainty?

Expert: Second, how fragmented is the knowledge? Do customers have to hunt for information across many different sources to make a decision? If so, you're vulnerable.

Host: Okay, what else should I be asking?

Expert: You need to ask, how modular could my product be? Could a competitor break it apart and sell the pieces? And finally, are there groups of customers whose specific needs are not being fully met by your standard offering?

Host: So by going through that checklist, you can essentially diagnose your own company’s risk of disruption.

Expert: Exactly. It’s a proactive health check for your market. Answering "yes" to those questions doesn't mean you're doomed, but it does mean there are cracks in your market's foundation. And those cracks are precisely where a digital platform will try to gain a foothold.

Host: So, to summarize for our listeners: digital platforms don't just introduce new products, they rewire entire markets. They do this by exploiting three main vulnerabilities: information that is inefficient, products that can be unbundled, and diverse customer needs that are being ignored.

Host: The key takeaway is to use these insights as a lens to critically examine your own industry and identify your specific risks before someone else does. Alex, this has been an incredibly clear and actionable breakdown. Thank you so much for joining us.

Expert: My pleasure, Anna.

Host: And thanks to all of you for tuning in to A.I.S. Insights, powered by Living Knowledge. We'll see you next time.

Host: Welcome to A.I.S. Insights, the podcast at the intersection of business and technology, powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a challenge that every single one of us has lived through: the massive, overnight shift to remote work. We’re looking at a study titled "Lessons for and from Digital Workplace Transformation in Times of Crisis."
Host: It analyzes how three companies successfully navigated the transition from a physical to a digital-first workplace during the pandemic. The study offers a practical roadmap for managers to prepare for future disruptions. To help us unpack this, we have our analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Thanks for having me, Anna.
Host: Alex, let's start with the big problem. We all remember March 2020. But from a business perspective, what was the core challenge this study looked at?
Expert: The core challenge was that most companies were completely unprepared. The study calls the pandemic "the largest global experiment in telecommuting in human history." While many had some technology like video conferencing, they fundamentally struggled to connect their distributed teams efficiently.
Host: It wasn't just about having the right software, then?
Expert: Exactly. Before the pandemic, the companies in the study operated on what the researchers call a "physical workplace logic." Everything was built around being in the same building at the same time: assigned desks, fixed hours, face-to-face meetings. The real problem was how to manage a holistic transformation that aligned not just the technology, but also the company culture and even the physical office space, all under immense pressure.
Host: So how did the researchers get inside these companies to understand that transformation?
Expert: They took a deep-dive, qualitative approach. Over a two-year period, they closely followed three companies—given the pseudonyms Akon, Vestro, and Dalamaza—as they went through this journey. They conducted over 120 interviews and sat in on nearly 70 meetings, from the executive level right down to the team level, to get a truly comprehensive picture of the process.
Host: That's incredibly detailed. So, after all that observation, what were the main findings? What does a successful transformation look like?
Expert: The study found that companies don't just flip a switch. They go through four distinct phases. It starts with ‘Inertia’, where they basically try to copy-paste the physical office online—think mandatory 9-to-5 hours, but on Zoom.
Host: That sounds familiar, and exhausting. What comes next?
Expert: Next is ‘Experimental Repatterning’. This is a trial-and-error phase. The initial inertia breaks down, and employees start experimenting with new tools and workflows to find what actually works for remote collaboration. This is often a messy but crucial stage.
Host: And after the experiments?
Expert: The company moves into ‘Leveraging Causation Planning’. That's a bit of a mouthful, but it just means they get strategic. Instead of just reacting, leadership starts to intentionally design a long-term digital workplace, setting clear goals. Finally, they enter ‘Calibration’, which is an ongoing phase of fine-tuning that new system, balancing the long-term plan with new ideas and tools.
Host: So it's a journey from reacting, to experimenting, to strategic planning. The study also mentioned a challenge around a ‘two-tier’ workforce. What is that?
Expert: This was one of the biggest risks they identified. It’s the creation of an unintentional class system, where employees who come into the office are perceived as more valued or have access to more information than their remote colleagues. Informal chats at the coffee machine or quick updates in the hallway suddenly become career-critical, and remote workers get left out. One employee in the study said they felt like a "second-class employee."
Host: That’s a powerful insight. This brings us to the most important question for our listeners: How can business leaders apply these lessons? What does the roadmap from this study suggest?
Expert: The first key takeaway is to be holistic. You can't just focus on digital tools. You have to consciously align them with your culture and physical space. This means redesigning your office to be a hub for collaboration and events, not just rows of desks. And it means building a culture of trust and transparency that supports remote work.
Host: And how do you combat that 'two-tier' system you mentioned?
Expert: The study offers very clear actions here. First, democratize information. This means documenting everything—from formal meeting decisions to informal project updates—in a central, accessible place, like a company wiki. Second, leaders must lead by example. If executives are always in the office and don't use the remote collaboration tools, they send a clear message that physical presence is what truly matters. In fact, two of the companies actually banned executives from the office for a few weeks to force them to live the remote experience.
Host: That’s a bold move. Any final takeaway for our audience?
Expert: Yes. Encourage experimentation, but with guardrails. Employees will often find better ways of working and discover new tools—what’s often called 'shadow IT'. Instead of just shutting it down, create a process to evaluate these innovations. It can be a powerful engine for improvement if you manage it correctly. The goal is to build a resilient organization that can adapt to the next crisis, whatever it may be.
Host: Fantastic. So, to summarize: the shift to a digital workplace is a four-phase journey. Success requires a holistic approach, aligning technology, culture, and physical space. And critically, leaders must actively work to prevent a two-tier workforce by championing transparency and leading by example.
Host: Alex, this has been incredibly insightful. Thank you for breaking it down for us.
Expert: My pleasure, Anna.
Host: And thanks to all of you for tuning into A.I.S. Insights. Join us next time as we continue to explore the ideas shaping our world.

Host: Welcome to A.I.S. Insights, the podcast where we connect business strategy with cutting-edge research. I’m your host, Anna Ivy Summers.
Host: Today, we're diving into a study that offers a practical roadmap for one of the biggest challenges facing smaller companies: digital transformation.
Host: It’s titled "How SME Watkins Steel Transformed from Traditional Steel Fabrication to Digital Service Provision.”
Host: The study presents a fascinating case study of an Australian steel company that successfully added new, high-value digital revenue streams without abandoning its core business.
Host: Here to break it all down for us is our analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Great to be here, Anna.
Host: Alex, we hear about digital transformation all the time, usually in the context of giant corporations. What’s the specific problem this study tackles for smaller businesses?
Expert: The biggest problem is a lack of guidance. Small and medium-sized enterprises, or SMEs, see the big success stories but have no clear, practical blueprint to follow.
Expert: They're often constrained by limited budgets, a lack of digital skills, and what the study calls 'organizational inertia'. It's tough to innovate when you're just trying to keep the daily operations running.
Expert: The CEO of Watkins Steel summed up the initial mindset perfectly. He said, "I thought innovation was just another buzzword... Our business is steel fabrication. You cut steel, and you weld steel. You cannot innovate it." That's the barrier this study helps businesses overcome.
Host: So how did the researchers get inside this transformation to create a blueprint?
Expert: They took a very hands-on approach. It was a comprehensive, in-depth case study of Watkins Steel, which involved spending significant time on-site.
Expert: They interviewed nine different people within the company—from the CEO to business development managers to the draftsmen on the factory floor—to get a complete 360-degree view of what worked and why.
Host: And what were the key findings? What did Watkins Steel do that was so different?
Expert: The researchers boiled it down to two core strategic concepts: 'digital augmentation' and 'digital adjacency'.
Host: Can you break those down for us? What is 'digital augmentation'?
Expert: Augmentation is about adding new digital services to your existing business. Watkins Steel didn't stop fabricating steel. They used technologies like 3D laser scanners and drones to offer new services on top of their core product, like detailed site modeling and data reporting.
Host: And 'digital adjacency'?
Expert: Adjacency means leveraging the assets you already have to build those new services. Watkins Steel offered these new digital services to their existing construction customers. They used the data from their projects and, most importantly, they leveraged their existing employees.
Host: That’s a key point. Did they have to go out and hire a team of new tech experts?
Expert: Not at all, and this is a huge finding for SMEs. They cultivated their own digital experts. They took employees who had deep domain knowledge—like draftsmen who were previously boilermakers—and empowered them to learn the new scanning and modeling technologies.
Host: So the strategy and the people were key. What was the ultimate result for the business?
Expert: It completely changed their position in the market. They moved up the value chain. Instead of just being a supplier delivering steel beams, they became a crucial partner coordinating the construction process. As their CEO put it, they went from being at "the bottom of the food chain" to "running the site."
Host: That's a powerful shift. So, for a business leader listening right now, what are the most important, actionable takeaways from the Watkins Steel story?
Expert: I think there are three big ones. First, you don't have to bet the farm on a risky pivot. The augmentation and adjacency framework shows you can innovate by building on your existing strengths—your customers, your data, and your people. It’s evolution, not revolution.
Host: That seems much more manageable for a smaller company. What's the second takeaway?
Expert: It’s that leadership has to be contagious. The study highlights how the CEO's passion and encouragement spread throughout the company. He created a culture of experimentation, saying the best resource he could give his team was a credit card to go buy new technology and start playing around with it.
Host: And the third takeaway?
Expert: Turn your problems into products. Watkins Steel initially invested in 3D scanners to reduce their own costly fabrication errors. But they quickly realized that the data they were capturing was incredibly valuable to their clients. They turned an internal quality-control tool into a brand-new, high-margin digital service.
Host: A fantastic story. So to recap: innovate by augmenting your core business, let the leader's passion for experimentation be contagious, and look for ways to turn your internal solutions into external services.
Host: Alex, thank you so much for bringing this study to life for us. So many valuable insights.
Expert: My pleasure, Anna.
Host: And a big thank you to our audience for tuning in to A.I.S. Insights. We'll see you next time.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge. Today we're diving into a fascinating study from MIS Quarterly Executive titled, "How Everything-as-a-Service Enabled Judo to Become a Billion-Dollar Bank Without Owning IT".
Host: It's a case study on Australia's Judo Bank and its radical choice to build a highly secure and scalable bank without owning any of its own IT infrastructure. Here to break it down for us is our analyst, Alex Ian Sutherland.
Expert: Great to be here, Anna.

Host: Alex, let's start with the big picture. What was the problem that Judo Bank set out to solve?
Expert: The study explains that the Australian banking sector was dominated by four massive incumbent banks. This created huge barriers for any new company trying to enter the market.
Host: And a big part of that barrier is the cost of technology, right?
Expert: Exactly. The capital required to build and maintain proprietary IT systems is immense. The study also points out that these big banks were focused on residential mortgages, which left a huge market of small- and medium-sized enterprises, or SMEs, completely underserved. Judo’s founders saw a gap and an opportunity.

Host: So how did the researchers get the inside story on this?
Expert: Their approach was a deep and collaborative case study. They worked directly with Judo Bank’s CIO and CTO over several years, conducting weekly interviews and gaining access to internal documents and regulatory filings. This gave them a unique, ground-up view of how the strategy was designed and executed.

Host: Which brings us to the findings. The title gives away the ending—they became a billion-dollar bank. How did this "Everything-as-a-Service" model make that possible?
Expert: The first major finding is that this EaaS model was the core enabler. Instead of spending millions on servers and software, Judo Bank treated IT as a flexible operating expense, only paying for services as they used them.
Host: That sounds like it would give them incredible agility.
Expert: It did, and that's the second key outcome. The model provided massive scalability and operational flexibility. For instance, when the COVID-19 pandemic hit, they could instantly equip remote workers across the country because employee laptops were already managed as a service—preconfigured and shipped directly to their homes. No big upfront cost, just a subscription.
Host: The study also mentions they automated their back-office. How did that help?
Expert: That's the third key finding. By becoming a "service orchestrator" of best-in-class external solutions, they automated tedious back-office work like loan settlement. This freed up their bankers to focus on Judo’s core value: building personal relationships with customers. The study notes their goal was to make the technology "invisible."
Host: But relying entirely on third parties must be risky. What did the study say about that?
Expert: It’s a huge risk, and the study covers it in detail. They faced challenges like a key service provider being acquired or the constant threat of data breaches. Their success depended on mitigating these risks through very careful partner selection, strong contracts, and a relentless focus on security.

Host: This is the crucial part for our listeners. What are the practical takeaways for other businesses?
Expert: The biggest takeaway is a fundamental mindset shift. The study argues that for many businesses today, owning IT is no longer a competitive advantage. The advantage now comes from orchestrating IT services effectively to serve your core business mission.
Host: So, focus on your unique value, not on managing servers.
Expert: Precisely. The second lesson is about how you manage this new model. You can't just outsource and forget. A business needs a team skilled in architecture, service integration, and vendor management. You become the conductor of an orchestra, ensuring all the different parts play together harmoniously.
Host: Is this only for startups? What about established companies with decades of legacy IT?
Expert: It's definitely a bigger challenge for them, but the principles still apply. An established company can start by moving non-core functions to a service model first. The study recommends creating a strategic blueprint of your organization's functions and then mapping services onto that, rather than just doing piecemeal tech projects.

Host: So, to summarize, Judo Bank successfully challenged the traditional banking industry by refusing to own its IT.
Host: By adopting an "Everything-as-a-Service" strategy, it acted as a service orchestrator, gaining flexibility, lowering costs, and freeing its people to focus on customers.
Host: The key lesson for any business is to shift from a mindset of owning technology to orchestrating it, all while proactively managing the inherent risks.
Host: Alex, this has been incredibly insightful. Thank you for breaking it all down.
Expert: My pleasure, Anna.
Host: And thank you for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we explore another big idea shaping the future of business.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a fascinating case study that tackles one of the biggest challenges in the digital age: cybersecurity.
Host: The study is titled "How Verizon Media Built a Cybersecurity Culture," and it details how their security team, known as “The Paranoids,” successfully embedded security into the DNA of its 20,000 employees. With me is our expert analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: Alex, let's start with the big picture. Why is a study like this so important? What's the fundamental problem that companies are facing?
Expert: The problem is the human element. We can build the best digital firewalls, but people are often the weakest link. The study cites data showing human error is involved in up to 85% of cybersecurity breaches.
Host: Eighty-five percent is a staggering number. But don't most companies have mandatory security training?
Expert: They do, but standard training often isn't enough. The study points out that employees are busy trying to do their jobs efficiently. Security protocols can feel cumbersome, so unless security is a deeply ingrained value, it gets forgotten or bypassed. This creates a huge vulnerability gap.
Host: So it's less about a lack of knowledge and more about a lack of cultural priority. How did Verizon Media's team, "The Paranoids," approach this differently?
Expert: Instead of just another awareness campaign, they created a special team called the Proactive Engagement Group. Their approach was methodical and data-driven, almost like a science experiment in behavior change.
Expert: It was a three-step process. First, they defined very specific, desired behaviors—not vague advice like "don't click on suspicious links." Second, they established clear metrics to measure those behaviors and create a baseline. And third, they took targeted actions to change the behavior, measured the results, and then adjusted their approach continuously.
Host: It sounds much more active than just a yearly training video. Did this data-driven approach actually work? What were the results?
Expert: The results were impressive. Over a two-year period, they cut the rate of employees having their credentials captured in phishing simulations in half.
Host: That alone is a huge win. What else?
Expert: They also doubled the number of accurately reported phishing attempts by employees, which means people were getting much better at spotting threats. And perhaps most telling, the usage of their corporate password manager tripled across the company.
Host: Tripling the use of a key security tool is a massive behavioral shift. How did they achieve that? Was it just mandatory?
Expert: That’s the most interesting part—it wasn't just about mandates. They used what the study calls "choice architecture." For example, they pre-installed the password manager browser extension on every corporate device, making it the easiest default option.
Expert: They also used positive reinforcement and incentivization. They created a "Password Manager Knight" award, complete with branded merchandise like hoodies and stickers. It made security cool and created a sense of positive competition, rather than just being a chore.
Host: I love that. Turning security into something aspirational. So, Alex, this is the crucial part for our listeners. What is the key takeaway for other business leaders? Why does this matter for them?
Expert: The biggest takeaway is that cybersecurity is as much a people-management issue as it is a technology issue. You can't just set a policy and expect change. You have to actively shape the culture.
Host: And how do you do that?
Expert: First, measure what matters and be transparent. The Paranoids used dashboards that allowed managers and even individual employees to see their security performance. This transparency drove accountability and friendly competition without public shaming.
Expert: Second, focus on positive reinforcement over punishment. The study emphasizes they didn't want to embarrass employees. They celebrated successes, which motivated people far more effectively than calling out failures.
Expert: And finally, a really smart move was extending security into employees' personal lives. They offered employees a free license for the password manager for their personal use. This showed the company genuinely cared about their well-being, which in turn built trust and drove adoption of secure practices at work.
Host: That’s a powerful insight—caring for the whole person, not just the employee.
Host: So to summarize, the old model of simple security awareness training is broken. The Verizon Media case study shows that a successful strategy treats cybersecurity as a cultural mission.
Host: It requires defining clear behaviors, using data and transparency to track progress, and leveraging positive reinforcement to change attitudes and beliefs, not just actions.
Host: Alex, this has been incredibly insightful. Thank you for breaking it down for us.
Expert: My pleasure, Anna.
Host: And thanks to all of you for listening to A.I.S. Insights, powered by Living Knowledge. Join us next time as we decode another key study from the world of business and technology.

Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a study called "Best Practices for Leveraging Data Analytics in Procurement."
Host: It examines the practices of 15 Fortune 500 companies to understand why most are not fully utilizing data analytics, and it proposes five best practices executives can follow to derive more value.
Host: With me is our expert analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Great to be here, Anna.
Host: So, let's start with the big picture. Companies are investing heavily in data analytics. What's the problem this study is trying to solve?
Expert: The problem is a significant gap between potential and reality. Many large organizations are stuck in first gear. They're investing in these powerful analytics engines but are only using them to generate basic descriptive reports, like dashboards showing past spending.
Host: Like looking in the rearview mirror instead of at the road ahead?
Expert: Precisely. The study found that nine of the fifteen companies hadn't progressed beyond this descriptive stage. They're missing out on the real strategic advantages—like predicting supply chain disruptions or optimizing costs in real-time. This prevents them from achieving significant savings and efficiencies.
Host: So how did the researchers get this inside look at what's happening in these massive companies?
Expert: It was a very direct approach. They conducted surveys with Chief Procurement Officers, or CPOs, from 15 different Fortune 500 companies—we’re talking major players in industries from auto manufacturing to financial services. They then followed up with in-depth interviews to really understand the day-to-day challenges.
Host: And what did they find? What are these key challenges that are keeping companies stuck in that rearview-mirror mode?
Expert: The challenges were surprisingly universal. The first big one was poor data quality—what the study calls inappropriate data granularity. Basically, the data being collected wasn't detailed enough to answer complex questions. Another was the sheer difficulty of cleaning and integrating data from different systems.
Host: I can imagine that's a huge task. Any other roadblocks?
Expert: Yes, two more that are less about technology and more about people. First, a reluctance from managers to adopt advanced analytics. They weren't comfortable with the complexity. And second, it was difficult to demonstrate a clear return on investment, or ROI, for moving to more advanced predictive or prescriptive analytics.
Host: So if those are the problems, what does the study say about the solution? What are the key findings for best practices?
Expert: The research laid out five clear best practices. The first two are foundational: Define clear rules, or taxonomies, for how data is captured to ensure it’s high quality from the start. And second, hire people with a blend of technical and business skills and give them the right tools.
Host: That makes sense. Get your house in order first. What comes next?
Expert: Next is about strategy and communication. The third practice is to establish a clear vision for how analytics will create a competitive advantage. The fourth is a game-changer: Frame requests to your analytics team as business problems to solve, not just data to pull.
Host: Can you give me an example of that? That sounds crucial.
Expert: Absolutely. Instead of asking your team to "pull a report on our top 20 suppliers," you ask, "how can we reduce supply chain risk from our top 20 suppliers by 15%?" It changes the entire dynamic. It turns your data analysts from report-generators into strategic problem-solvers.
Host: That’s a powerful shift in perspective. And the final best practice?
Expert: The fifth one is fostering close collaboration between the procurement analytics team, the central IT department, and any enterprise-wide analytics groups. You can't operate in a silo. Success requires shared knowledge, tools, and infrastructure.
Host: So, Alex, this is the most important question for our listeners. Why does this matter for a business leader who might not even be in procurement?
Expert: Because these principles are universal. That mindset shift from asking for data to asking for solutions applies to marketing, to sales, to HR, to any part of the business. It’s about leveraging your expert teams to solve core business challenges, not just track metrics.
Expert: The study also highlights that without a clear vision and buy-in from the top, even the best data strategy will fail. It shows that driving value from data is as much about culture and communication as it is about technology.
Host: So to summarize: get your data foundations right, build a team with both business and tech skills, create a clear vision, and—most importantly—empower your teams to solve business problems, not just pull reports.
Host: It’s a clear roadmap for moving from simply looking at the past to actively shaping the future.
Host: Alex, this has been incredibly insightful. Thank you for breaking it down for us.
Expert: My pleasure, Anna.
Host: And a big thank you to our listeners for tuning into A.I.S. Insights. We'll see you next time.

Host: Welcome to A.I.S. Insights — powered by Living Knowledge, the podcast where we translate complex research into actionable business strategy. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a study from MIS Quarterly Executive titled "Self-Sovereign Identity and Verifiable Credentials in Your Digital Wallet."
Host: It explores a decentralized approach for managing digital credentials, analyzing its business value, how it's implemented, and the potential risks for today’s IT leaders. Here to help us unpack it is our analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: Alex, before we get into the solution, let's talk about the problem. Most of us don't really think about how our digital identity is managed today, but this study suggests it's a huge issue. What’s wrong with the current system?
Expert: The problem is that our digital identities are completely fragmented and controlled by others. Think about your physical wallet. You have a driver's license, maybe a university ID, a credit card. You control that wallet. Online, it’s the opposite. Your "credentials" are spread across countless organizations, each with its own username and password.
Expert: The study points out that the average internet user has around 150 online accounts. For businesses, managing all these separate identities is inefficient and incredibly risky. These centralized databases of user data are what the study calls "honey pots," making them prime targets for data breaches.
Host: So it's a headache for us as individuals, and a massive security liability for companies.
Expert: Exactly. And it’s expensive. The research mentions that a single corporate password reset costs a company, on average, seventy dollars. When you scale that up, the costs become astronomical, not to mention the slow, manual processes for things like employee onboarding.
Host: So, the study explores a new approach called Self-Sovereign Identity, or SSI. How did the researchers go about studying this emerging technology?
Expert: This wasn't a lab experiment. The authors spent two years deeply engaged with the communities developing SSI. They interviewed leaders and conducted detailed case studies of early adopters, most notably the U.K.’s National Health Service, or NHS. This gives us a real-world view of how the technology works in a massive, complex organization.
Host: That NHS case sounds fascinating. Let's get to the key findings. What is the big idea behind Self-Sovereign Identity?
Expert: The core idea is to give control back to the individual. With SSI, you hold your own official, verifiable credentials—like your university degree or professional licenses—in a secure digital wallet on your smartphone. You decide exactly what information to share, and with whom.
Host: So instead of a potential employer having to call my university to verify my degree, I could just prove it to them directly from my phone in an instant?
Expert: Precisely. And that leads to the second key finding: a dramatic boost in business efficiency. The NHS, for example, processes over a million staff transfers between its hospitals each year. The old, paper-based onboarding process took days. The study found that with an SSI-based "digital staff passport," that process was cut down to just a few minutes.
Host: From days to minutes is a huge leap. But what about privacy? Does this mean we're sharing even more personal data from our phones?
Expert: It’s actually the opposite, which is the third major finding: enhanced privacy through what's called 'data minimization'. The study gives a classic example: proving you're old enough to buy a drink. Right now, you show your driver's license, which reveals your name, address, and full date of birth. The bartender only needs to know if you’re over 21.
Expert: With an SSI wallet, you could provide a verifiable, cryptographic proof that simply says "Yes, this person is over 21," without revealing any of that other sensitive data. You only share what is absolutely necessary for the transaction.
Host: That's a powerful concept. So for businesses, the value is efficiency, but also security, right?
Expert: Right. That's the final key finding. By moving away from centralized databases, companies reduce their cybersecurity risk profile. They are no longer the 'honey pot' for hackers. It removes the liability of storing millions of user credentials and cuts the operational costs of things like password management.
Host: This all sounds truly transformative. Let's focus on the bottom line. What are the key takeaways for business leaders listening today? Why should they care about SSI right now?
Expert: The most immediate application is for streamlining any business process that relies on verifying credentials. We saw it with employee onboarding at the NHS, but this could apply to customer verification in banking, compliance checks in supply chains, or membership verification.
Host: And it seems like a great way to build trust with customers.
Expert: Absolutely. In an era of constant data breaches, offering your customers a more private and secure way to interact is a significant competitive advantage. But the study is also clear that this isn't a silver bullet. It's an emerging technology.
Host: What are the main risks businesses need to consider?
Expert: The biggest challenge is ecosystem adoption. For SSI to be truly useful, you need a critical mass of organizations issuing credentials, and organizations accepting them. There are also still questions to be solved around sustainable economic models and ensuring the security of the individual's digital wallet is foolproof.
Host: So it's a long-term strategic play, not something you can just switch on tomorrow.
Expert: Exactly. The study’s key advice for leaders is to start learning and exploring this space now. An interesting tip from the NHS project was this: when you talk about it, focus on the business problem you're solving—efficiency, security, and trust. That's what gets buy-in.
Host: Alright, Alex, let’s wrap it up. To summarize, the current way we manage digital identity is inefficient and insecure. Self-Sovereign Identity puts control back into the hands of the individual through a secure digital wallet.
Host: For businesses, this means faster processes, lower cyber risks, and a powerful new way to build customer trust. While it's still early days, now is the time for leaders to get educated and start planning for this shift.
Host: Alex, thank you so much for breaking down this complex topic for us.
Expert: My pleasure, Anna.
Host: And thank you to our listeners for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time as we explore another big idea shaping the future of business.

Host: Welcome to A.I.S. Insights, the podcast at the intersection of business and technology, powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: Today, we're looking at a fascinating question that emerged from the chaos of the recent global crisis: How did companies manage to pivot so fast, and what can we learn from it?
Host: We’re diving into a study from MIS Quarterly Executive titled, "Using Lessons from the COVID-19 Crisis to Move from Traditional to Adaptive IT Governance." With me is our expert analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Great to be here, Anna.
Host: To start, this study analyzed how major international companies, especially in regulated fields, adapted their IT governance during the pandemic. It’s about moving from rigid rules to more flexible, relationship-based models that allowed them to act fast.
Host: So Alex, let's set the stage. What was the big problem with IT governance that the pandemic put under a microscope?
Expert: The core problem was that traditional IT governance had become slow, bureaucratic, and obsessed with avoiding risk. Think of huge committees, endless meetings, and layers of approvals for even minor IT decisions.
Host: A process designed for stability, not speed.
Expert: Exactly. One CIO from a global bank in the study said, “We are way too slow in making decisions, specifically when it comes to IT decisions.” These systems were built to satisfy regulators and protect managers from liability, not to create business value or respond to a crisis.
Host: And then a crisis hit that demanded exactly that: speed and flexibility.
Expert: Right. Suddenly, the entire workforce needed to go remote, which was a massive IT challenge. The old, slow governance models were a roadblock. The study found that another CIO sarcastically described his pre-crisis committees as having "ten lawyers for every IT member." That kind of structure just couldn't work.
Host: So how did the researchers get inside these companies to understand what changed?
Expert: They conducted in-depth interviews with CIOs and business managers from nine large international companies in sectors like banking, auditing, and insurance. They did this at two key moments: once in mid-2020, in the thick of the crisis, and again at the end of 2021 as things were returning to a new normal.
Host: That gives a great before-and-after picture. So, what were the key findings? What actually happened inside these organizations?
Expert: Three big things stood out. First, companies created leaner decision-making structures. The slow, multi-layered committees were replaced by small, empowered crisis teams, often called Disaster Response Groups or DRGs.
Host: Fewer cooks in the kitchen.
Expert: Precisely. One bank restricted its DRG to a core team of just five managers. They adopted what the CIO called a "'one meeting per decision' routine." This allowed them to make critical choices about things like video conferencing and VPN technology in hours, not months.
Host: A radical change. What was the second key finding?
Expert: The influence of IT experts shot up. In the old model, their voices were often diluted. During the crisis, IT leaders were central to the decision-making groups. The focus shifted from "what is the least risky option?" to "what is the best functional solution to keep the business running?"
Host: So the people who actually understood the technology were empowered to solve the problem.
Expert: Yes. As one CIO from an auditing firm put it, "It was classic business/IT alignment. The business described the problem and we, the IT department, provided the best solution."
Host: And the third major finding?
Expert: This is perhaps the most interesting. Formal controls were replaced by what the study calls 'relational governance'. Instead of relying on thick binders of rules, teams started relying on social interaction, trust, and collaboration.
Host: It became more about people and relationships.
Expert: Exactly. A CIO from a financial services firm said, “We do not exchange lengthy documents anymore; instead, we actually talk to each other.” This trust-based approach proved to be far more efficient and flexible than the rigid, control-focused systems they had before.
Host: This is the crucial part for our listeners, Alex. How can businesses apply these crisis-mode lessons now, without a crisis forcing their hand? What’s the big takeaway?
Expert: The main takeaway is that companies shouldn't just go back to the old way of doing things. They have a golden opportunity to build what the study calls an 'adaptive IT governance' system.
Host: And what does that look like in practice?
Expert: First, make those lean decision-making structures permanent. Keep committees small, focused, and empowered. Strive for that "one meeting per decision" mindset. Second, permanently increase the influence of your IT experts. Ensure they are at the table and have real decision-making power, not just an advisory role.
Host: So it’s about institutionalizing the speed and expertise you discovered during the crisis.
Expert: Right. And finally, it's about striking a new balance between formal rules and relational trust. You still need rules, especially in regulated industries, but you can reduce them to a necessary minimum and complement them with governance based on collaboration and mutual trust. It’s less about top-down control and more about shared goals.
Host: So it’s not about throwing out the rulebook, but about creating a smarter, more flexible one that allows you to be agile while still being compliant.
Expert: That's the core message. The crisis proved that this approach delivers better results, faster. Now is the time to make it the new standard.
Host: A powerful lesson indeed. To summarize for our audience: the pandemic forced companies to abandon slow, risk-averse IT governance. The keys to their success were leaner decision-making, empowering IT experts, and shifting from rigid rules to trust-based collaboration. The challenge now is to make those changes permanent to create a more adaptive and value-driven organization.
Host: Alex Ian Sutherland, thank you so much for breaking this down for us.
Expert: My pleasure, Anna.
Host: And thank you for listening to A.I.S. Insights, powered by Living Knowledge. Join us next time as we continue to explore the ideas shaping the future of business.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge, where we translate complex research into actionable business strategy. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a critical question for any company implementing artificial intelligence. Our guide is a fascinating study from MIS Quarterly Executive titled “Building an Artificial Intelligence Explanation Capability.”
Host: It introduces the idea that to succeed with AI, companies need a new core competency: the ability to explain how and why their AI makes the decisions it does. Here to break it down for us is our analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: Alex, let's start with the big picture. Businesses are pouring billions into AI, but many projects never see the light of day. What’s the core problem this study identifies?
Expert: The core problem is trust. Business leaders are struggling with the "black box" nature of modern AI. When you have an algorithm making crucial decisions—about loans, hiring, or tax compliance—and you can't explain its logic, you have a massive risk management problem.
Expert: The study points to real-world examples, like systems showing bias in parole decisions or incorrectly calculating government benefits. This opacity makes it incredibly difficult to manage risks, prevent negative consequences, and frankly, prove to executives that the AI is even creating business value.
Host: So the black box is holding back real-world adoption. How did the researchers approach this problem?
Expert: Instead of just staying in the lab, they went into the field. The study is built on deep case studies of two major organizations: the Australian Taxation Office, or ATO, and General Electric. They examined how these companies were actually deploying AI and overcoming these exact challenges.
Host: And what did they find? What were the key takeaways from seeing AI in action at that scale?
Expert: They found that AI presents four distinct challenges. First is 'Model Opacity,' which is that black box problem we just discussed. Second is 'Model Drift,' the tendency for an AI's performance to get worse over time as the real world changes.
Expert: Third is 'Mindless Actions'—an AI will follow its programming, even if the context changes and its actions no longer make sense. And finally, the 'Unproven Nature of AI,' which is the difficulty in clearly connecting an AI project to bottom-line results.
Host: That’s a powerful list of hurdles. So how do successful organizations get over them?
Expert: By deliberately building what the study calls an "AI Explanation Capability," or AIX. It's not a piece of software; it's an organizational skill. And it has four key dimensions.
Host: Okay, let's walk through them. What’s the first one?
Expert: The first is 'Decision Tracing.' This is the ability to connect the dots from the data an AI receives to the output it produces. It's about making the model understandable, not just to data scientists, but to business managers and regulators.
Host: The second?
Expert: 'Bias Remediation.' This is about actively hunting for and fixing unfairness in your models. It involves careful data selection, systematic auditing, and ensuring the AI is representative of the populations it serves.
Host: That sounds critical for any customer-facing AI. What about the third dimension?
Expert: 'Boundary Setting.' This means defining the safe operating limits for the AI. It’s about knowing when a human needs to step in. The AI isn't the final judge; it’s a tool to support human experts, and you have to build the workflow around that principle.
Host: And the final dimension of this capability?
Expert: 'Value Formulation.' This is arguably the most important for business leaders. It’s the ability to articulate, measure, and prove the business value of the AI. It's not enough for it to be clever; it has to be valuable.
Host: This is the core of the episode, Alex. Why does building this 'AIX' capability matter so much for businesses listening right now?
Expert: Because it reframes the challenge. Success with AI isn't just a technical problem; it's an organizational one. The study shows that technology is only half the battle.
Expert: Look at the Australian Taxation Office. They had to explain their AI to regulators. So, they used a simple, easy-to-understand model to validate the decisions of a more complex, "black box" neural network. This built trust because they could prove the advanced AI was behaving rationally.
Host: So they built a bridge from the old way to the new way. What about General Electric?
Expert: At GE, they were using AI to check contractor safety documents—a very high-stakes task. They built a system where their human safety experts could easily see the evidence the AI used for its assessment and could override it. They created a true human-in-the-loop system, effectively setting those boundaries we talked about.
Host: So the key takeaway for our listeners is that deploying AI requires building a support structure around it?
Expert: Exactly. It's about building a cross-functional team. You need your data scientists, but you also need your domain experts, your business leaders, and your legal team all working together to trace decisions, remediate bias, set boundaries, and prove value. AI cannot succeed in a silo.
Host: A powerful conclusion. Let’s summarize. To unlock the value of AI and overcome its inherent risks, businesses can’t just buy technology. They must build a new organizational muscle—an AI Explanation Capability.
Host: This means focusing on Decision Tracing, Bias Remediation, Boundary Setting, and Value Formulation. It’s a holistic approach that puts people and processes at the center of AI deployment.
Host: Alex, thank you for making this complex topic so clear and actionable.
Expert: My pleasure, Anna.
Host: And thanks to all of you for tuning in to A.I.S. Insights, powered by Living Knowledge. Join us next time as we continue to bridge the gap between academia and business.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge. Today, we're diving into a challenge that many established companies face: making the leap into the platform economy. We're looking at a study titled "Key Lessons from Bosch for Incumbent Firms Entering the Platform Economy."

Host: It analyzes eight different platform projects within the technology giant Bosch to understand the common barriers that traditional companies face and, more importantly, provides actionable recommendations for managers. With me is our analyst, Alex Ian Sutherland. Alex, welcome.

Expert: Great to be here, Anna.

Host: So, Alex, let's start with the big picture. We see these massive, successful companies, experts in manufacturing and engineering for decades. Why do they struggle so much when trying to build a platform, like a marketplace or an app ecosystem?

Expert: That’s the core of the problem. These firms, often called incumbents, are brilliant at running linear businesses. They design a product, make it, and sell it. Their entire organization—from supply chains to sales—is optimized for that internal efficiency.

Expert: A platform business is the opposite. It doesn't create value internally; it facilitates value creation between external users. Think of drivers and riders on Uber, or developers and users in an app store. This requires a completely different mindset focused on ecosystems and network effects, which often clashes with the company's traditional DNA.

Host: So how did the researchers get inside this problem to understand it better?

Expert: They conducted an in-depth case study of the Bosch Group. They didn't just theorize; they examined eight real-world platform projects inside the company—projects in areas like IoT, connected mobility, and smart devices. They interviewed the executives and project leaders to find out what hurdles they actually faced on the ground.

Host: And after looking at all eight projects, what were the common hurdles? What were the key findings?

Expert: The study boiled it down to three primary barriers. The first was simply learning the new business logic of platforms.

Host: What does that mean in practice, 'new business logic'?

Expert: It's the shift from thinking about product margins to thinking about network effects, where the platform becomes more valuable as more people use it. A manager in the study noted that for many colleagues, it just wasn't clear why a platform was even needed. Their instinct was to build a product, not an ecosystem.

Host: So how did the successful projects at Bosch overcome that learning curve?

Expert: Through communication and analogy. One project team held company-wide town halls to openly discuss their new business model. Another team, building a platform for smart cameras, constantly used the analogy of the early smartphone ecosystem. That simple comparison helped stakeholders understand the goal was to create a common standard that everyone could build on.

Host: Okay, so first you have to learn the new rules. What was the second major barrier?

Expert: Proving the platform's value, especially to internal stakeholders who hold the purse strings. A traditional business can forecast sales and calculate a clear return on investment for a new factory. But how do you calculate the ROI of an ecosystem that doesn't exist yet?

Host: That sounds like a tough sell. What worked at Bosch?

Expert: Two things stood out. First, building a Minimal Viable Platform, or MVP, as early as possible. One project that aimed to detect traffic hazards built a simple mobile app to demonstrate how it could work. Seeing a demo, no matter how basic, makes the value tangible.

Expert: Second, using the right metrics. One transportation platform was excited about its high number of user registrations, but the study found that very few people were actually booking recurring trips. They learned that engagement is a far more important metric than sign-ups for proving a platform's health.

Host: That makes sense. Learn the logic, prove the value. What was the final barrier?

Expert: Building an organization that can actually support a platform. Corporate structures are designed for internal control and optimization. But platforms thrive on external collaboration with partners, developers, and users. There's often a fundamental mismatch.

Host: So you're fighting the company's own structure. How do you solve that?

Expert: The study found that successful platform teams were given autonomy. Some were set up as distinct "innovation projects," which gave them freedom from standard corporate rules and let them focus on building external partnerships. In one case, for an automotive data platform, they went a step further and created an entirely separate company with Bosch and other automakers as shareholders, ensuring an external focus from day one.

Host: Alex, this is fascinating. For the business leaders and managers listening, what are the most important takeaways? What should they be doing if they want to venture into the platform world?

Expert: The study provides a clear roadmap. First, don't assume everyone gets it. Establish what the researchers call "Platform Learning Facilitators." This could be a dedicated team or a community of practice that coaches projects and spreads knowledge across the organization. Bosch did this by creating a business model innovation department.

Host: So, institutionalize the learning process. What's next?

Expert: Clearly and consistently communicate the strategy. Use simple frameworks and a common language to explain how the platform will work and create value. This builds confidence among decision-makers who have to approve these complex, and often expensive, initiatives.

Host: And the final piece of advice?

Expert: It's about structure. You have to strike a balance between autonomy and integration. Give your platform teams the freedom to operate like a startup, to be fast and externally focused. But also build mechanisms, like an advisory board, to keep them connected to the core business so they can leverage its strengths, like its customer base or brand recognition.

Host: Fantastic. So, for established firms, building a platform is far more than a technology project. It's a fundamental challenge to your business logic, your measurement of value, and your organizational structure.

Host: The lessons from Bosch show that overcoming these hurdles requires deliberate action: fostering a new mindset through clear communication, proving value with early prototypes and the right metrics, and creating autonomous teams that can build the external ecosystems needed to succeed.

Host: Alex Ian Sutherland, thank you for breaking that down for us.

Expert: My pleasure, Anna.

Host: And thanks to all our listeners for tuning into A.I.S. Insights. Join us next time as we explore the intersection of business, technology, and Living Knowledge.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: In today’s rapidly changing digital world, how can a business not just survive, but thrive? We’re looking at that question through the lens of a fascinating study from MIS Quarterly Executive, titled "How Instacart Leveraged Digital Resources for Strategic Advantage".
Host: The study analyzes the grocery delivery giant to create a framework for how any company can gain a competitive edge in a turbulent market. And to help us unpack it, we have our expert analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: Alex, let’s start with the big picture. What’s the core problem this study tackles? It seems like every company has access to digital tools, but not everyone is a winner.
Expert: That’s exactly it. The problem isn’t a lack of technology; it’s the struggle to use it effectively. Many executives find themselves in a tough spot. They need to create value for their entire ecosystem—customers, partners, suppliers—but they also need to capture enough of that value to make their own business profitable and sustainable.
Expert: It’s a delicate balancing act. The study points out that in the digital economy, you face fast-emerging competitors and complex partnerships, so getting that balance right is critical for survival.
Host: So it's not just about having a great app, it's about the whole strategy behind it. How did the researchers approach this? How did they get inside a company like Instacart to understand its strategy?
Expert: They essentially became business detectives. The research was a deep-dive case study of Instacart. The authors analyzed press releases, public interviews with executives, and existing case materials. They mapped out the company's journey and strategic decisions, and to ensure accuracy, they even consulted with an academic researcher who was actively working with Instacart on analytics projects.
Host: That’s quite thorough. So after all that digging, what did they find? What are the key ingredients to Instacart's success?
Expert: The study boils it down to four key achievements. First, they didn't just build a business model and then add technology to it. Their digital infrastructure and their business model grew up together, co-evolving.
Host: What does that look like in practice?
Expert: Well, by outsourcing the physical assets—the warehouses and inventory—to local grocers, Instacart could focus all its energy on building a superior digital platform. The tech and the business model were perfectly in sync from day one.
Host: Okay, that makes sense. What was the second achievement?
Expert: They call it 'technology ambidexterity'. It's a fantastic term. It means they were skilled at doing two things at once: exploiting their existing tech to make it better and more efficient, while also exploring brand new, innovative technologies.
Expert: So, they were constantly tweaking the app for a smoother user experience, but they also made big moves like acquiring other platform companies to offer new services to their retail partners. It’s about perfecting the present while building the future.
Host: And the last two? I imagine data plays a big role.
Expert: Absolutely. The third achievement was managing dynamic knowledge flows. Instacart uses its vast stream of data on orders, deliveries, and customer habits to optimize its logistics engine and predict shopping trends. This knowledge is a core competitive asset.
Expert: And finally, they built a dynamic relationship portfolio. They understand that in the digital world, a partner today might be a rival tomorrow. When Amazon, an early partner, bought Whole Foods, Instacart didn't panic. They quickly established a new partnership with Walmart to counter the threat. It's about being strategically agile.
Host: This is all a brilliant analysis of Instacart, but let's get to the bottom line for our listeners. Why does this matter for a business leader in, say, manufacturing or finance? What are the practical takeaways?
Expert: This is the most important part. The study offers five clear, actionable recommendations for any manager. First, take bold risks. The digital world doesn't have the same physical constraints, so don't box in your thinking.
Expert: Second, build resilience by viewing failures as experiments. Not every initiative will succeed, but every failure provides data and a lesson. Instacart constantly experimented to find what worked.
Host: So it’s a culture of learning, not a fear of failure. What else?
Expert: Third, leverage third-party services to fill gaps. Instacart didn’t build its own massive server farms; it used Amazon Web Services to scale quickly. You don’t have to do everything in-house.
Expert: Fourth, view rivals and partners as a continuum. The lines are blurry and can change overnight. And finally, create future opportunities by making small, strategic investments in new ventures, whether that's acquiring a small startup or even just its talented team.
Host: So, if I were to summarize, it’s not just about having the right digital tools. It's about orchestrating them—making your technology, your business model, your data, and your partnerships work together as a single, agile system.
Expert: That's the perfect summary, Anna. It’s about orchestration, not just implementation.
Host: Alex, thank you for making this complex study so clear and actionable for us.
Expert: My pleasure.
Host: And thanks to all of you for tuning in to A.I.S. Insights. We’ll see you next time.

Host: Welcome to A.I.S. Insights — powered by Living Knowledge. I’m your host, Anna Ivy Summers.
Host: Today, we're diving into a fascinating case study titled "How Walmart Canada Used Blockchain Technology to Reimagine Freight Invoice Processing."
Host: It details how Walmart Canada and its 70 third-party carriers completely overhauled their freight invoicing system using a shared, blockchain-enabled platform to create a single, trusted source of information for every shipment.
Host: And to help us unpack this, we have our analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Thanks for having me, Anna.
Host: So, Alex, before we get into the high-tech solution, let's talk about the problem. What was so broken about the old system?
Expert: It was a massive headache, Anna. The study highlights that up to 70% of freight invoices were disputed. Imagine that—seven out of every ten invoices caused a problem.
Host: Seventy percent? That sounds incredibly inefficient.
Expert: Exactly. This created huge administrative costs and long payment delays. The process of reconciling who was right and who was wrong was manual, complex, and could take weeks, sometimes months.
Expert: It wasn't just about money; it was straining relationships. The study notes the situation had reached a 'breaking point', with carriers threatening to stop working with Walmart because they weren't getting paid on time.
Host: So it was a financial drain and a relationship killer. A classic supply chain nightmare.
Expert: Precisely. As the former CIO described it, it involved "a small army of people on both sides" just chasing down facts.
Host: So Walmart Canada knew they needed a drastic change. How did they approach this? What does the study describe?
Expert: They didn't just want to patch the old system. The study points out a senior executive asked a key question: ‘Instead of reducing reconciliations, can we remove them altogether?’ That reframed everything.
Expert: They partnered with a technology firm, DLT Labs, to build a platform called DL Freight. The core idea was to stop creating separate invoices after delivery. Instead, they would jointly build one single, shared invoice on the blockchain while the shipment was in progress.
Host: So it's like both parties are looking at the same digital document from start to finish?
Expert: That's the perfect way to put it. A single source of truth, updated in near real-time with data from GPS and other IoT devices on the trucks.
Host: And the results were... pretty impressive, from what the study found.
Expert: Impressive is an understatement. The study reported that disputed invoices dropped from that 70% figure down to under 2%.
Host: Wow. From 70 percent to less than two. What did that do for the payment timeline?
Expert: It completely changed the game. Invoice finalization went from taking weeks or even months to happening within 24 hours of delivery. This meant carriers got paid on time, dramatically improving their cash flow and financial stability.
Host: And the process itself must have gotten simpler.
Expert: Absolutely. The study visually shows how the old, manual workflow had 11 complex steps. The new, automated process on the blockchain has just five efficient steps, eliminating all the manual checking and arguing.
Expert: And just as importantly, it rebuilt trust. With full transparency, those strained relationships improved dramatically.
Host: This is the key question for our listeners, Alex. It's a great story for Walmart, but what are the broader takeaways for other businesses, even those outside of logistics?
Expert: The first big takeaway is that this is a prime example of blockchain solving a tangible, expensive business problem. It’s a model for any industry where multiple companies need to trust the same set of data.
Expert: Think about royalty payments, insurance claims, or complex manufacturing. Anywhere you have disputes and reconciliation costs, a shared, distributed ledger could be the answer.
Host: So it’s about identifying that costly friction that happens between companies.
Expert: Exactly. And the study offers another critical strategic lesson: reengineer the process *before* you automate. They didn't just digitize a broken 11-step process. They re-imagined a better 5-step process and then built the technology to support it.
Expert: One final point: the data becomes a new strategic asset. The study notes that Walmart is now using the trusted, real-time data to run predictive analytics and find new efficiencies in their business.
Host: This has been incredibly insightful. So, to sum up: Walmart Canada faced a massive invoice dispute problem that was costing them money and damaging partnerships.
Host: They implemented a blockchain solution, not just to speed things up, but to fundamentally reengineer the process, creating a single, trusted source of truth for themselves and their 70 carriers.
Host: The results were a staggering drop in disputes, faster payments, and stronger relationships. And the key lesson for all businesses is to look for that friction between companies and consider how a shared, trusted system could eliminate it.
Host: Alex Ian Sutherland, thank you so much for breaking this down for us.
Expert: My pleasure, Anna.
Host: And thank you for tuning in to A.I.S. Insights — powered by Living Knowledge. Join us next time as we translate academic research into actionable business intelligence.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge. I'm your host, Anna Ivy Summers.
Host: In today's fast-paced digital world, many established companies are trying to pivot into new arenas like the Internet of Things, or IoT. But it's a difficult transition.
Host: We're going to explore a study that provides a roadmap for success, titled "How an Incumbent Telecoms Operator Became an IoT Ecosystem Orchestrator." It's a fantastic case study on how a large telecoms company successfully moved into the IoT space.
Host: And to help us break it down, we have our expert analyst, Alex Ian Sutherland. Welcome, Alex.
Expert: Great to be here, Anna.
Host: So, Alex, let's start with the big picture. Why is this such a challenge for established companies? They have resources, customers... why do they struggle with something like IoT?
Expert: It's a great question. The study points out that the IoT landscape is dominated by a different business model—the digital platform. Think Google or Amazon. Established firms are often built to sell products or services in a linear way, not to manage a complex network of partners and customers.
Expert: They face huge hurdles in building the right technology, creating a collaborative ecosystem, and figuring out how to co-create new value. The study even quotes an industry source saying that up to 80% of IoT projects fail, often because companies simply can't connect their devices to get the data they need.
Host: Eighty percent is a staggering number. So how did the researchers in this study figure out what makes a company succeed where so many others fail?
Expert: They did a deep dive. It's a case study that followed one large European company, which they call "TelcoCorp," over a five-year period, from 2015 to 2020. They interviewed executives, partners, and customers to get a complete picture of the journey.
Host: A five-year journey. That must have yielded some incredible insights. What was the most important thing TelcoCorp did right?
Expert: The absolute key was a shift in mindset. They decided not to be just another technology provider. Instead, they aimed to become an "ecosystem orchestrator."
Host: Orchestrator. That sounds powerful, but what does it actually mean in a business context?
Expert: It means they became the central hub that connects everyone. They managed the platform, brought in third-party technology providers, and worked directly with customers to develop solutions. They weren't just selling a product; they were enabling a network of companies to create value together.
Host: Okay, so to be an orchestrator, you need a central platform. Did TelcoCorp spend a fortune and years building one from scratch?
Expert: That's the second crucial finding. No, they didn't. They licensed an existing IoT platform from a technology provider—what's known as a "white-label" approach. This dramatically shortened their time-to-market and saved them from a massive upfront investment.
Host: That’s a very pragmatic move. But a platform is useless without people using it. How did they solve that classic "chicken-and-egg" problem of attracting both users and developers?
Expert: They focused on the "chickens" they already had: their massive existing base of business customers. Instead of trying to attract a new audience, they went to their current clients and showed them how IoT could solve their problems—moving them from just buying mobile connectivity to connecting all their industrial assets. This created immediate demand, which then made the platform very attractive to third-party developers and hardware partners.
Host: And I imagine once you have customers and partners, the next challenge is getting them to work together effectively.
Expert: Exactly. And that’s the final piece of the puzzle. TelcoCorp took an active role. They established clear rules for governance, created new roles like "ecosystem managers" to coordinate projects, and even co-financed promising but risky use cases to get them off the ground.
Expert: They also used a hybrid strategy, balancing deep, custom solutions for specific industries with creating scalable, generic components that could be reused across different projects.
Host: This is a fantastic roadmap. Alex, let’s get to the bottom line. For the business leaders listening, what are the key takeaways from TelcoCorp's success?
Expert: I think there are three main lessons. First, you don't have to build everything yourself. Licensing a white-label platform can be a brilliant strategic shortcut that lets you focus on your customers.
Expert: Second, your existing customer base is your most powerful asset. Start there. Solve their problems and use that momentum to build out your ecosystem.
Expert: And finally, change your mindset. Don't think like a traditional seller. Think like an orchestrator. Your job is to create the environment, the rules, and the connections that allow your partners and customers to build the future together.
Host: So the core message is to leverage your strengths, partner smartly, and shift from being a simple provider to the central orchestrator of your ecosystem. A powerful lesson for any incumbent company looking to innovate.
Host: Alex, thank you so much for clarifying this for us.
Expert: My pleasure, Anna.
Host: And thank you to our audience for tuning in to A.I.S. Insights — powered by Living Knowledge. Join us next time as we decode another key study shaping the future of business and technology.

Host: Welcome to A.I.S. Insights, the podcast where we connect Living Knowledge with business strategy. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a fascinating study titled "Acquisition of Complementors as a Strategy for Evolving Digital Platform Ecosystems."
Host: With me is our expert analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Great to be here, Anna.
Host: So, in simple terms, this study is about how digital platforms, like Salesforce, can grow faster and smarter by buying other companies that build products for their ecosystem. Is that right?
Expert: Exactly. It's about using acquisitions as a strategic tool for evolution, not just expansion.
Host: Let’s start with the big problem. Why is this such a critical issue for platform companies today?
Expert: Well, we're in a 'winner-take-all' digital world. If you're running a platform, you're in a race. Relying only on your own team to build new features is often too slow. Your competitors are moving fast, and customer demands change in a heartbeat.
Host: So, you risk falling behind.
Expert: Precisely. The challenge is, how do you quickly bring in new technologies and services by acquiring other companies, without creating a messy, confusing product portfolio for your customers?
Host: A very real challenge. How did the researchers go about studying this?
Expert: They conducted an in-depth case study on one of the most successful companies at this: Salesforce. They didn't just look at public data; they conducted 19 detailed interviews with senior people at Salesforce, as well as with their partners and major clients.
Host: So they got the full picture from every angle.
Expert: That's right. It allowed them to understand not just what Salesforce did, but why they did it and how it impacted the entire ecosystem.
Host: Let's get to the findings. What was the first key insight from the study?
Expert: The first is that successful acquisitions aren't random. Salesforce made them across three distinct strategic directions. First, extending their core technology—like buying MuleSoft to handle data integration.
Expert: Second, expanding their functional scope—like acquiring Demandware to launch a full e-commerce solution, which they called Commerce Cloud. And third, widening their industry specialization, which they did by buying Vlocity to get deeper into specific sectors like communications and healthcare.
Host: So it's about being very deliberate in how you grow. What was the next major finding?
Expert: The study found that acquisitions were used in two main ways: either to boost an existing product or to create a brand-new one.
Host: Can you give us an example?
Expert: Of course. To boost an existing product, they bought ExactTarget to supercharge their Marketing Cloud. But to create a whole new capability, like that e-commerce platform I mentioned, they bought Demandware and used it as the foundation for their new Commerce Cloud. It's a dual strategy for innovation.
Host: Now, you mentioned the risk of confusing customers. How did the study say Salesforce managed that?
Expert: This is critical. As they acquired more companies, functionalities started to overlap, and customers were getting confused. To solve this, Salesforce created what they call the 'Customer 360' overview.
Host: A single source of truth?
Expert: Exactly. It's a unified dashboard that presents all their services, including the newly acquired ones, in one coherent package. It creates the feeling of a one-stop shop, even if the technologies behind the scenes are from different companies.
Host: And the final key finding?
Expert: That there is no one-size-fits-all approach to integration. Salesforce adopted a very flexible, case-by-case strategy.
Host: What does that mean in practice?
Expert: It means they looked at each acquired company individually. For some, like Demandware, they absorbed the company completely and the brand disappeared. For others with huge brand recognition, like Tableau and Slack, they kept the original brand. They tailored the technical, branding, and even the licensing models to what made the most sense.
Host: This is incredibly practical. So, Alex, let’s boil it down. What is the number one takeaway for a business leader listening right now who is thinking about their own acquisition strategy?
Expert: The biggest takeaway is to think of acquisitions as a portfolio. Don't just buy what's hot. Deliberately invest in companies that strengthen your core tech, add broad new features, and give you industry-specific depth.
Host: And what about after the deal is signed?
Expert: The work is just beginning. You must have a plan to communicate a simple, unified value proposition to your customers. If you don't, you risk confusing them and destroying the value you just bought.
Host: And be flexible in how you integrate.
Expert: Yes. That flexibility is key. What worked for one acquisition may not work for the next. You need to adapt your integration strategy for branding, technology, and licensing each time.
Host: So, a smart acquisition strategy is about more than just buying growth. It’s a deliberate process of evolving your platform, integrating new pieces thoughtfully, and always, always communicating clearly with your customers.
Host: Alex, thank you for breaking down this complex topic into such clear, actionable insights.
Expert: My pleasure, Anna.
Host: And thank you to our listeners for tuning in to A.I.S. Insights, powered by Living Knowledge. Join us next time as we explore the latest research shaping the future of business.

Host: Welcome to A.I.S. Insights, powered by Living Knowledge, the podcast where we connect academic research to real-world business strategy. I’m your host, Anna Ivy Summers.
Host: Today, we’re diving into a study called “Models for API Value Generation.” It investigates how traditional, non-tech companies can effectively use Application Programming Interfaces—or APIs—to create tangible business value.
Host: With me is our analyst, Alex Ian Sutherland. Alex, welcome.
Expert: Thanks for having me, Anna.
Host: Alex, many of our listeners hear the term 'API' and think it’s purely a technical concern for the IT department. But this study suggests that’s a big misunderstanding. What’s the real-world problem it’s trying to solve?
Expert: Exactly. The problem is that while we know APIs can drive cost savings and create new revenue streams, there’s very little guidance on *how* traditional firms can actually achieve this. They know the tool exists, but they don't have a blueprint for using it.
Expert: The study uses the example of Walgreens in the early 2010s. They had photo printing machines in every store, but customers were all using smartphones. By creating a photo printing API, they allowed hundreds of app developers to connect directly to their printers. This drove a huge increase in photo printing and store revenue. That’s the potential, but most non-tech firms struggle to make that leap.
Host: So they needed a bridge between their existing assets and new technology. How did the researchers explore this challenge? What was their approach?
Expert: They took a very practical, real-world approach. They went inside three large, established companies in very different sectors: education, distribution, and healthcare. They conducted in-depth interviews with executives and managers to understand their API journeys from the ground up—what worked, what didn't, and what value was created.
Host: And by looking at those different journeys, what were the main findings?
Expert: The core finding is that companies evolve. There isn't just one way to use APIs. The research identified three distinct models that represent a spectrum of maturity. They call them the Efficiency Value Model, the Focused Value Model, and the Transformed Value Model.
Host: Okay, let's break those down. What is the Efficiency Value Model?
Expert: Think of this as the entry point. It’s the most common model, where firms use APIs primarily for internal efficiency. This means connecting different systems faster, speeding up application development, and reducing maintenance costs. The educational services firm in the study used this to make it much easier for developers to access data, saving huge amounts of time and effort.
Host: So, starting with internal housekeeping. What's the next step up, the Focused Value Model?
Expert: The Focused model is where a company starts being truly strategic. They make a significant investment in an API infrastructure, but they target it at a specific, high-value business area, like their e-commerce platform or supply chain.
Expert: The building supplies distributor in the study did this. They created a robust API platform centered on their B2B sales, which not only made them more efficient but also opened up a platform for innovation and new services for their business customers. Security and governance become much more serious at this stage.
Host: And that brings us to the final model, which sounds like the ultimate goal: the Transformed Value Model.
Expert: It really is. In the Transformed model, APIs are no longer just an IT initiative; they are at the heart of the company's entire business strategy. The firm uses a comprehensive, enterprise-wide API infrastructure to fundamentally change how it operates, create new services, and position itself as an industry leader.
Expert: The healthcare provider in the study, Sentara Healthcare, is a perfect example. They used APIs to build what they call "capabilities-as-a-service." This agility meant that during the COVID-19 pandemic, they were able to scale their telehealth appointments by 100 times in just one week—a feat their competitors couldn't match.
Host: That’s a powerful example. So, Alex, this is the most important question for our audience: why does this matter for business? What is the key takeaway for a leader listening right now?
Expert: The single most important takeaway is that a successful API strategy requires a holistic infrastructure of people, processes, and technology. You can't just buy a software platform and expect results. You need the right skills, the right governance, and a business-first mindset.
Host: So it's a cultural shift as much as a technical one.
Expert: Precisely. These three models give leaders a roadmap. They can audit their current activities to understand where they are today—are they an Efficiency firm? And then they can align their API strategy with their broader business goals to decide where they need to be.
Expert: The study also recommends a crucial mental shift from treating APIs as IT projects to treating them as business products, with dedicated managers and a clear vision. They even suggest appointing an "API Evangelist" to champion this vision across the entire organization.
Host: A fascinating framework. So, to summarize for our listeners: successfully leveraging APIs is a journey of maturity. Firms often move from using them for internal **Efficiency**, to targeting a **Focused** business area for strategic gain, and ultimately, to using them to **Transform** their entire business model and lead their industry.
Host: And the key to making that journey successful isn't just the tech, but creating a holistic strategy that combines people, processes, and a clear vision from leadership.
Host: Alex, thank you for decoding this complex topic for us.
Expert: My pleasure, Anna.
Host: And thank you all for tuning into A.I.S. Insights, powered by Living Knowledge. Join us next time for more actionable insights from the world of research.