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Building Habits in the Digital Age: Incorporating Psychological Needs and Knowledge from Practitioners to Inform the Design of Digital Therapeutics
International Conference on Wirtschaftsinformatik (2023)

Building Habits in the Digital Age: Incorporating Psychological Needs and Knowledge from Practitioners to Inform the Design of Digital Therapeutics

Jeannette Stark, Thure Weimann, Felix Reinsch, Emily Hickmann, Maren Kählig, Carola Gißke, and Peggy Richter
This study reviews the psychological requirements for forming habits and analyzes how these requirements are implemented in existing mobile habit-tracking apps. Through a content analysis of 57 applications, the research identifies key design gaps and proposes a set of principles to inform the creation of more effective Digital Therapeutics (DTx) for long-term behavioral change.

Problem Noncommunicable diseases (NCDs), a leading cause of death, often require sustained lifestyle and behavioral changes. While many digital apps aim to support habit formation, they often fail to facilitate the entire process, particularly the later stages where a habit becomes automatic and reliance on technology should decrease, creating a gap in effective long-term support.

Outcome - Conventional habit apps primarily support the first two stages of habit formation: deciding on a habit and translating it into an initial behavior.
- Most apps neglect the crucial later stages of habit strengthening, where technology use should be phased out to allow the habit to become truly automatic.
- A conflict of interest was identified, as the commercial need for continuous user engagement in many apps contradicts the goal of making a user's new habit independent of the technology.
- The research proposes specific design principles for Digital Therapeutics (DTx) to better support all four stages of habit formation, offering a pathway for developing more effective tools for NCD prevention and treatment.
Behavioral Change, Digital Therapeutics, Habits, Habit Apps, Non-communicable diseases
Layering the Architecture of Digital Product Innovations: Firmware and Adapter Layers
Journal of the Association for Information Systems (2025)

Layering the Architecture of Digital Product Innovations: Firmware and Adapter Layers

Julian Lehmann, Philipp Hukal, Jan Recker, Sanja Tumbas
This study investigates how organizations integrate digital components into physical products to create layered architectures. Through a multi-year case study of a 3D printer company, it details the process of embedding firmware and creating adapter layers to connect physical hardware with higher-level software functionality.

Problem As companies increasingly transform physical products into 'smart' digital innovations, they face the complex challenge of effectively integrating digital and physical components. There is a lack of clear understanding of how to structure this integration, which can limit a product's flexibility and potential for future upgrades.

Outcome - The process of integrating digital and physical components is a bottom-up process, starting with making hardware controllable via software (a process called parametrizing).
- The study identifies two key techniques for success: 1) parametrizing physical components through firmware, and 2) arranging digital functionality through higher-level adapter layers.
- Creating 'adapter layers' is critical to bridge the gap between static physical components and flexible digital software, enabling them to communicate and work together.
- This layered approach allows companies to innovate and add new features through software updates, enhancing product capabilities without needing to redesign the physical hardware.
Digital Product Innovation, Firmware, Product Architecture, Layering, Embedding, 3D Printing, Case Study
Uncovering the Structural Assurance Mechanisms in Blockchain Technology-Enabled Online Healthcare Mutual Aid Platforms
Journal of the Association for Information Systems (2025)

Uncovering the Structural Assurance Mechanisms in Blockchain Technology-Enabled Online Healthcare Mutual Aid Platforms

Zhen Shao, Lin Zhang, Susan A. Brown, Jose Benitez
This study investigates how to build user trust in online healthcare mutual aid platforms that use blockchain technology. Drawing on institutional trust theory, the research examines how policy and technology assurances influence users' intentions and actual usage by conducting a two-part field survey with users of a real-world platform.

Problem Online healthcare mutual aid platforms, which act as a form of peer-to-peer insurance, struggle with user adoption due to widespread distrust. Frequent incidents of fraud, false claims, and misappropriation of funds have created skepticism, making it a significant challenge to facilitate user trust and ensure the sustainable growth of these platforms.

Outcome - Both strong institutional policies (policy assurance) and reliable technical features enabled by blockchain (technology assurance) significantly increase users' trust in the platform.
- Higher user trust is directly linked to a greater intention to use the online healthcare mutual aid platform.
- The intention to use the platform positively influences actual usage behaviors, such as the frequency and intensity of use.
- Trust acts as a full mediator, meaning that the platform's assurances build trust, which in turn drives user intention and behavior.
Structural Assurance, Blockchain Technology, Healthcare, Trust, Behavioral Intention, Actual Usage Behaviors
Responsible AI Design: The Authenticity, Control, Transparency Theory
Journal of the Association for Information Systems (2025)

Responsible AI Design: The Authenticity, Control, Transparency Theory

Andrea Rivera, Kaveh Abhari, Bo Xiao
This study explores how to design Artificial Intelligence (AI) responsibly from the perspective of AI designers. Using a grounded theory approach based on interviews with industry professionals, the paper develops the Authenticity, Control, Transparency (ACT) theory as a new framework for creating ethical AI.

Problem Current guidelines for responsible AI are fragmented and lack a cohesive theory to guide practice, leading to inconsistent outcomes. Existing research often focuses narrowly on specific attributes like algorithms or harm minimization, overlooking the broader design decisions that shape an AI's behavior from its inception.

Outcome - The study introduces the Authenticity, Control, and Transparency (ACT) theory as a practical framework for responsible AI design.
- It identifies three core mechanisms—authenticity, control, and transparency—that translate ethical design decisions into responsible AI behavior.
- These mechanisms are applied across three key design domains: the AI's architecture, its algorithms, and its functional affordances (capabilities offered to users).
- The theory shifts the focus from merely minimizing harm to also maximizing the benefits of AI, providing a more balanced approach to ethical design.
Responsible AI, AI Ethics, AI Design, Authenticity, Transparency, Control, Algorithmic Accountability
Sunk Cost Fallacy, Price Adjustment, and Subscription Services for Information Goods
Journal of the Association for Information Systems (2025)

Sunk Cost Fallacy, Price Adjustment, and Subscription Services for Information Goods

Mingyue Zhang, Jesse Bockstedt, Tingting Song, Xuan Wei
This study investigates how adjusting the upfront subscription price for information goods, like a movie service, influences customer consumption behavior. Using a quasi-natural experiment involving a movie subscription service's sudden price drop and a follow-up randomized experiment, the research analyzes the impact on movie-watching habits through the lens of the sunk cost fallacy.

Problem Subscription services often adjust their pricing, but it remains unclear how changes in the fixed upfront fee—a sunk cost for the consumer—affect subsequent consumption. While traditional economic theory suggests sunk costs should be ignored, behavioral economics indicates people often try to 'get their money's worth'. This study addresses this gap by examining how a significant price reduction impacts user consumption and whether it's a profitable strategy for providers.

Outcome - A sharp downward price adjustment of a movie subscription fee increased box office revenues for an average movie by 12% to 35% in the following six months.
- The price drop primarily attracted highly price-conscious consumers who are more susceptible to the sunk cost fallacy, leading them to increase their consumption to justify the initial fee.
- Niche information goods, particularly those with high quality and narrow appeal, benefited the most from the price adjustment strategy.
- The impact of the price change on consumption decreases over time, a phenomenon known as 'payment depreciation,' as consumers gradually adapt to the initial cost.
Subscription Service, Sunk Cost, Price Adjustment, Quasi-Natural Experiment, Niche Information Goods, Consumer Behavior
Do Good and Do No Harm Too: Employee-Related Corporate Social (Ir)responsibility and Information Security Performance
Journal of the Association for Information Systems (2025)

Do Good and Do No Harm Too: Employee-Related Corporate Social (Ir)responsibility and Information Security Performance

Qian Wang, Dan Pienta, Shenyang Jiang, Eric W. T. Ngai, Jason Bennett Thatcher
This study investigates the relationship between a company's social performance toward its employees and its information security outcomes. Using an eight-year analysis of publicly listed firms and a scenario-based experiment, the research examines how both positive actions (employee-related Corporate Social Responsibility) and negative actions (employee-related Corporate Social Irresponsibility) affect a firm's security risks.

Problem Information security breaches are frequently caused by human error, which often stems from a misalignment between employee goals and a firm's security objectives. This study addresses the gap in human-centric security strategies by exploring whether improving employee well-being and social treatment can align these conflicting interests, thereby reducing security vulnerabilities and data breaches.

Outcome - A firm's engagement in positive, employee-related corporate social responsibility (CSR) is associated with reduced information security risks.
- Conversely, a firm's involvement in socially irresponsible activities toward employees (CSiR) is positively linked to an increase in security risks.
- The impact of these positive and negative actions on security is amplified when the actions are unique compared to industry peers.
- Experimental evidence confirmed that these effects are driven by changes in employees' security commitment, willingness to monitor peers for security compliance, and overall loyalty to the firm.
Information Security, Data Breach, Employee-Related Social Performance, Corporate Social Responsibility, Agency Theory, Cybersecurity Risk
What Is Augmented? A Metanarrative Review of AI-Based Augmentation
Journal of the Association for Information Systems (2025)

What Is Augmented? A Metanarrative Review of AI-Based Augmentation

Inès Baer, Lauren Waardenburg, Marleen Huysman
This paper conducts a comprehensive literature review across five research disciplines to clarify the concept of AI-based augmentation. Using a metanarrative review method, the study identifies and analyzes four distinct targets of what AI augments: the body, cognition, work, and performance. Based on this framework, the authors propose an agenda for future research in the field of Information Systems.

Problem In both academic and public discussions, Artificial Intelligence is often described as a tool for 'augmentation' that helps humans rather than replacing them. However, this popular term lacks a clear, agreed-upon definition, and there is little discussion about what specific aspects of human activity are the targets of this augmentation. This research addresses the fundamental question: 'What is augmented by AI?'

Outcome - The study identified four distinct metanarratives, or targets, of AI-based augmentation: the body (enhancing physical and sensory functions), cognition (improving decision-making and knowledge), work (creating new employment opportunities and improving work practices), and performance (increasing productivity and innovation).
- Each augmentation target is underpinned by a unique human-AI configuration, ranging from human-AI symbiosis for body augmentation to mutual learning loops for cognitive augmentation.
- The paper reveals tensions and counternarratives for each target, showing that augmentation is not purely positive; for example, it can lead to over-dependence on AI, deskilling, or a loss of human agency.
- The four augmentation targets are interconnected, creating potential conflicts (e.g., prioritizing performance over meaningful work) or dependencies (e.g., cognitive augmentation relies on augmenting bodily senses).
Augmentation, Artificial Intelligence, Human-AI Interaction, Metanarrative Review, Cognitive Augmentation, Work Augmentation, Organizational Performance
Capturing the “Social” in Social Networks: The Conceptualization and Empirical Application of Relational Quality
Journal of the Association for Information Systems (2025)

Capturing the “Social” in Social Networks: The Conceptualization and Empirical Application of Relational Quality

Christian Meske, Iris Junglas, Matthias Trier, Johannes Schneider, Roope Jaakonmäki, Jan vom Brocke
This study introduces and validates a concept called "relational quality" to better understand the social dynamics within online networks beyond just connection counts. By analyzing over 440,000 messages from two large corporate social networks, the researchers developed four measurable markers—being personal, curious, respectful, and sharing—to capture the richness of online relationships.

Problem Traditional analysis of social networks focuses heavily on structural aspects, such as who is connected to whom, but often overlooks the actual quality and nature of the interactions. This creates a research gap where the 'social' element of social networks is not fully understood, limiting our ability to see how online relationships create value. This study addresses this by developing a framework to conceptualize and measure the quality of these digital social interactions.

Outcome - Relational quality is a distinct and relevant dimension that complements traditional structural social network analysis (SNA), which typically only focuses on network structure.
- The study identifies and measures four key facets of relational quality: being personal, being curious, being polite, and sharing.
- Different types of users exhibit distinct patterns of relational quality; for instance, 'connectors' (users with many connections but low activity) are the most personal, while 'broadcasters' (users with high activity but few connections) share the most resources.
- As a user's activity (e.g., number of posts) increases, their interactions tend to become less personal, curious, and polite, while their sharing of resources increases.
- In contrast, as a user's number of connections grows, their interactions become more personal and curious, but they tend to share fewer resources.
Enterprise Social Network, Social Capital, Relational Quality, Social Network Analysis, Linguistic Analysis, Computational Research
Toward Triadic Delegation: How Agentic IS Artifacts Affect the Patient-Doctor Relationship in Healthcare
Journal of the Association for Information Systems (2025)

Toward Triadic Delegation: How Agentic IS Artifacts Affect the Patient-Doctor Relationship in Healthcare

Pascal Fechner, Luis Lämmermann, Jannik Lockl, Maximilian Röglinger, Nils Urbach
This study investigates how autonomous information systems (agentic IS artifacts) are transforming the traditional two-way relationship between patients and doctors into a three-way, or triadic, relationship. Using an in-depth case study of an AI-powered health companion for managing neurogenic lower urinary tract dysfunction, the paper analyzes the new dynamics, roles, and interactions that emerge when an intelligent technology becomes an active participant in healthcare delivery.

Problem With the rise of artificial intelligence in medicine, autonomous systems are no longer just passive tools but active agents in patient care. This shift challenges the conventional patient-doctor dynamic, yet existing theories are ill-equipped to explain the complexities of this new three-part relationship. This research addresses the gap in understanding how these AI agents redefine roles, interactions, and potential conflicts in patient-centric healthcare.

Outcome - The introduction of an AI agent transforms the dyadic patient-doctor relationship into a triadic one, often with the AI acting as a central intermediary.
- The AI's capabilities create 'attribute interference,' where responsibilities and knowledge overlap between the patient, doctor, and AI, introducing new complexities.
- New 'triadic delegation choices' emerge, allowing tasks to be delegated to the doctor, the AI, or both, based on factors like task complexity and emotional context.
- The study identifies novel conflicts arising from this triad, including human concerns over losing control (autonomy conflicts), new information imbalances, and the blurring of traditional medical roles.
Agentic IS Artifacts, Delegation, Patient-Doctor Relationship, Personalized Healthcare, Triadic Delegation, Healthcare AI
Digital Infrastructure Development Through Digital Infrastructuring Work: An Institutional Work Perspective
Journal of the Association for Information Systems (2025)

Digital Infrastructure Development Through Digital Infrastructuring Work: An Institutional Work Perspective

Adrian Yeow, Wee-Kiat Lim, Samer Faraj
This paper investigates the complexities of developing large-scale digital infrastructure through a case study of an electronic medical record (EMR) system implementation in a U.S. hospital. It introduces and analyzes the concept of 'digital infrastructuring work'—the combination of technical, social, and symbolic actions that organizational actors perform. The study provides a framework for understanding the tensions and actions that shape the outcomes of such projects.

Problem Implementing new digital infrastructures in large organizations is challenging because it often disrupts established routines and power structures, leading to resistance and project stalls. Existing research frequently overlooks how the combination of technical tasks, social negotiations, and symbolic arguments by different groups influences the success or failure of these projects. This study addresses this gap by providing a more holistic view of the work involved in digital infrastructure development from an institutional perspective.

Outcome - The study introduces 'digital infrastructuring work' to explain how actors shape digital infrastructure development, categorizing it into three forms: digital object work (technical tasks), DI relational work (social interactions), and DI symbolic work (discursive actions).
- It finds that project stakeholders strategically combine these forms of work to either support change or maintain existing systems, highlighting the contested nature of infrastructure projects.
- The success or failure of a digital infrastructure project is shown to depend on how effectively different groups navigate the tensions between change and stability by skillfully blending technical, relational, and symbolic efforts.
- The paper demonstrates that technical work itself carries institutional significance and is not merely a neutral backdrop for social interactions, but a key site of contestation.
Digital Infrastructure Development, Institutional Work, IT Infrastructure Management, Healthcare Information Systems, Digital Objects, Case Study
Understanding the Ethics of Generative AI: Established and New Ethical Principles
Communications of the Association for Information Systems (2025)

Understanding the Ethics of Generative AI: Established and New Ethical Principles

Joakim Laine, Matti Minkkinen, Matti Mäntymäki
This study conducts a comprehensive review of academic literature to synthesize the ethical principles of generative artificial intelligence (GenAI) and large language models (LLMs). It explores how established AI ethics are presented in the context of GenAI and identifies what new ethical principles have surfaced due to the unique capabilities of this technology.

Problem The rapid development and widespread adoption of powerful GenAI tools like ChatGPT have introduced new ethical challenges that are not fully covered by existing AI ethics frameworks. This creates a critical gap, as the specific ethical principles required for the responsible development and deployment of GenAI systems remain relatively unclear.

Outcome - Established AI ethics principles (e.g., fairness, privacy, responsibility) are still relevant, but their importance and interpretation are shifting in the context of GenAI.
- Six new ethical principles specific to GenAI are identified: respect for intellectual property, truthfulness, robustness, recognition of malicious uses, sociocultural responsibility, and human-centric design.
- Principles such as non-maleficence, privacy, and environmental sustainability have gained heightened importance due to the general-purpose, large-scale nature of GenAI systems.
- The paper proposes 'meta-principles' for managing ethical complexities, including ranking principles, mapping contradictions between them, and implementing continuous monitoring.
Generative AI, AI Ethics, Large Language Models, AI Governance, Ethical Principles, AI Auditing
Conceptualizing IT Artefacts for Policymaking – How IT Artefacts Evolve as Policy Objects
Communications of the Association for Information Systems (2025)

Conceptualizing IT Artefacts for Policymaking – How IT Artefacts Evolve as Policy Objects

Karin Väyrynen, Sari Laari-Salmela, Netta Iivari, Arto Lanamäki, Marianne Kinnula
This study explores how an information technology (IT) artefact evolves into a 'policy object' during the policymaking process, using a 4.5-year longitudinal case study of the Finnish Taximeter Law. The research proposes a conceptual framework that identifies three forms of the artefact as it moves through the policy cycle: a mental construct, a policy text, and a material IT artefact. This framework helps to understand the dynamics and challenges of regulating technology.

Problem While policymaking related to information technology is increasingly significant, the challenges stemming from the complex, multifaceted nature of IT are poorly understood. There is a specific gap in understanding how real-world IT artefacts are translated into abstract policy texts and how those texts are subsequently reinterpreted back into actionable technologies. This 'translation' process often leads to ambiguity and unintended consequences during implementation.

Outcome - Proposes a novel conceptual framework for understanding the evolution of an IT artefact as a policy object during a public policy cycle.
- Identifies three distinct forms the IT artefact takes: 1) a mental construct in the minds of policymakers and stakeholders, 2) a policy text such as a law, and 3) a material IT artefact as a real-world technology that aligns with the policy.
- Highlights the significant challenges in translating complex real-world technologies into abstract legal text and back again, which can create ambiguity and implementation difficulties.
- Distinguishes between IT artefacts at the policy level and IT artefacts as real-world technologies, showing how they evolve on separate but interconnected tracks.
IT Artefact, IT Regulation, Law, Policy Object, Policy Cycle, Public Policymaking, European Al Act
Digital Sustainability Trade-Offs: Public Perceptions of Mobile Radiation and Green Roofs
Communications of the Association for Information Systems (2025)

Digital Sustainability Trade-Offs: Public Perceptions of Mobile Radiation and Green Roofs

Laura Recuero Virto, Peter Saba, Arno Thielens, Marek Czerwiński, Paul Noumba Um
This study investigates public opinion on the trade-offs between digital technology and environmental sustainability, specifically focusing on the effects of mobile radiation on green roofs. Using a survey and a Discrete Choice Experiment with an urban French population, the research assesses public willingness to fund research into the health impacts on both humans and plants.

Problem As cities adopt sustainable solutions like green roofs, they are also expanding digital infrastructure such as 5G mobile antennas, which are often placed on rooftops. This creates a potential conflict where the ecological benefits of green roofs are compromised by mobile radiation, but the public's perception and valuation of this trade-off between technology and environment are not well understood.

Outcome - The public shows a significant preference for funding research on the human health impacts of mobile radiation, with a willingness to pay nearly twice as much compared to research on plant health.
- Despite the lower priority, there is still considerable public support for researching the effects of radiation on plant health, indicating a desire to address both human and environmental concerns.
- When assessing risks, people's decisions are primarily driven by cognitive, rational analysis rather than by emotional or moral concerns.
- The public shows no strong preference for non-invasive research methods (like computer simulations) over traditional laboratory and field experiments.
- As the cost of funding research initiatives increases, the public's willingness to pay for them decreases.
Digital Sustainability, Green Roofs, Mobile Radiation, Risk Perception, Public Health, Willingness to Pay, Environmental Policy
Exploring Concerns of Fake News on ChatGPT: A Network Analysis of Social Media Conversations
Communications of the Association for Information Systems (2025)

Exploring Concerns of Fake News on ChatGPT: A Network Analysis of Social Media Conversations

Pramukh N. Vasist, Satish Krishnan, Thompson Teo, Nasreen Azad
This study investigates public concerns regarding ChatGPT's potential to generate and spread fake news. Using social network analysis and text analysis, the authors examined social media conversations on Twitter over 22 weeks to identify key themes, influential users, and overall sentiment surrounding the issue.

Problem The rapid emergence and adoption of powerful generative AI tools like ChatGPT have raised significant concerns about their potential misuse for creating and disseminating large-scale misinformation. This study addresses the need to understand early user perceptions and the nature of online discourse about this threat, which can influence public opinion and the technology's development.

Outcome - A social network analysis identified an engaged community of users, including AI experts, journalists, and business leaders, actively discussing the risks of ChatGPT generating fake news, particularly in politics, healthcare, and journalism.
- Sentiment analysis of the conversations revealed a predominantly negative outlook, with nearly 60% of the sentiment expressing apprehension about ChatGPT's potential to create false information.
- Key actors functioning as influencers and gatekeepers were identified, shaping the narrative around the tool's tendency to produce biased or fabricated content.
- A follow-up analysis nearly two years after ChatGPT's launch showed a slight decrease in negative sentiment, but user concerns remained persistent and comparable to those for other AI tools like Gemini and Copilot, highlighting the need for stricter regulation.
ChatGPT, Disinformation, Fake News, Generative Al, Social Network Analysis, Misinformation
The Digital Language of Emotion: Cautions and Solutions for Strategic Use of Emoji in Responding Information System Incidents
Communications of the Association for Information Systems (2025)

The Digital Language of Emotion: Cautions and Solutions for Strategic Use of Emoji in Responding Information System Incidents

Soojin Roh, Shubin Yu
This paper investigates if, when, and how organizations can strategically use emojis in online communications when responding to information system (IS) incidents. Through three experimental studies conducted with Chinese and U.S. participants, the research examines how cultural context, the source of the message (CEO vs. company account), and incident type influence public perception.

Problem As companies increasingly use emojis in professional communications, there is a risk of missteps, especially in crisis situations. A lack of understanding of how emojis shape public perception across different cultures can lead to reputational harm, and existing research lacks empirical evidence on their strategic and cross-cultural application in responding to IS incidents.

Outcome - For Chinese audiences, using emojis in IS incident responses is generally positive, as it reduces psychological distance, alleviates anger, and increases perceptions of warmth and competence.
- The positive effect of emojis in China is stronger when used by an official company account rather than a CEO, and when the company is responsible for the incident.
- In contrast, U.S. audiences tend to evaluate the use of emojis negatively in incident responses.
- The negative perception among U.S. audiences is particularly strong when a CEO uses an emoji to respond to an internally-caused incident, leading to increased anger and perceptions of incompetence.
Emoji, Information System Incident, Social Media, Psychological Distance, Warmth, Competence
Fostering Group Work in Virtual Reality Environments: Is Presence Enough?
Communications of the Association for Information Systems (2025)

Fostering Group Work in Virtual Reality Environments: Is Presence Enough?

Ayushi Tandon, Yogini Joglekar, Sabra Brock
This study investigates how working in Virtual Reality (VR) affects group collaboration in a professional development setting. Using Construal Level Theory as a framework, the research qualitatively analyzed the experiences of participants in a VR certification course to understand how feelings of spatial, social, and temporal presence impact group dynamics.

Problem Most research on Virtual Reality has focused on its benefits for individual users in fields like gaming and healthcare. There is a significant gap in understanding how VR technology facilitates or hinders collaborative group work, especially as remote and hybrid work models become more common in professional settings.

Outcome - A heightened sense of 'spatial presence' (feeling physically there) in VR positively improves group communication, collaboration, and overall performance.
- 'Social presence' (feeling connected to others) in VR also enhances group cohesion and effectiveness at both immediate (local) and long-term (global) levels.
- The experience of 'temporal presence' (how time is perceived) in VR, which can feel distorted, positively influences immediate group coordination and collaboration.
- The effectiveness of VR for group work is significantly influenced by 'task-technology fit'; the positive effects of presence are stronger when VR's features are well-suited to the group's task.
Virtual Reality, VR Campus, Presence, Group-Work, Construal Level Theory, Group Dynamics
Frugal Fintech Ecosystem Development: A Resource Orchestration Perspective
Communications of the Association for Information Systems (2024)

Frugal Fintech Ecosystem Development: A Resource Orchestration Perspective

Prakash Dhavamani, Barney Tan, Daniel Gozman, Leben Johnson
This study investigates how a financial technology (Fintech) ecosystem was successfully established in a resource-constrained environment, using the Vizag Fintech Valley in India as a case study. The research examines the specific processes of gathering resources, building capabilities, and creating market value under significant budget limitations. It proposes a practical framework to guide the development of similar 'frugal' innovation hubs in other developing regions.

Problem There is limited research on how to launch and develop a Fintech ecosystem, especially in resource-scarce developing countries where the potential benefits like financial inclusion are greatest. Most existing studies focus on developed nations, and their findings are not easily transferable to environments with tight budgets, a lack of specialized talent, and less mature infrastructure. This knowledge gap makes it difficult for policymakers and entrepreneurs to create successful Fintech hubs in these regions.

Outcome - The research introduces a practical framework for building Fintech ecosystems in resource-scarce settings, called the Frugal Fintech Ecosystem Development (FFED) framework.
- The framework identifies three core stages: Structuring (gathering and prioritizing available resources), Bundling (combining resources to build capabilities), and Leveraging (using those capabilities to seize market opportunities).
- It highlights five key sub-processes for success in a frugal context: bricolaging (creatively using resources at hand), prioritizing, emulating (learning from established ecosystems), extrapolating, and sandboxing (safe, small-scale experimentation).
- The study shows that by orchestrating resources effectively, even frugal ecosystems can achieve outcomes comparable to those in well-funded regions, a concept termed 'equifinality'.
- The findings offer an evidence-based guide for policymakers to design regulations and support models that foster sustainable Fintech growth in developing economies.
Fintech Ecosystem, India, Frugal Innovation, Resource Orchestration, Case Study
TSAW Drones: Revolutionizing India's Drone Logistics with Digital Technologies
Communications of the Association for Information Systems (2025)

TSAW Drones: Revolutionizing India's Drone Logistics with Digital Technologies

Rakesh Gupta, Sujeet Kumar Sharma, Stevelal Stevelal
This case study examines TSAW Drones, an Indian startup transforming the country's logistics sector with advanced drone technology. It explores how the company leverages the Internet of Things (IoT), big data, cloud computing, and artificial intelligence (AI) to deliver essential supplies, particularly in the healthcare sector, to remote and inaccessible locations. The paper analyzes TSAW's technological evolution, its position in the competitive market, and the strategic choices it faces for future growth.

Problem India's diverse and challenging geography creates significant logistical hurdles, especially for the timely delivery of critical medical supplies to remote rural areas. Traditional transportation networks are often inefficient or non-existent in these regions, leading to delays and inadequate healthcare access. This study addresses how TSAW Drones tackles this problem by creating a 'fifth mode of transportation' to bridge these infrastructure gaps and ensure rapid, reliable delivery of essential goods.

Outcome - TSAW Drones successfully leveraged a combination of digital technologies, including AI, IoT, and a Drone Cloud Intelligence System (DCIS), to establish itself as a key player in India's healthcare logistics.
- The company pioneered critical services, such as delivering medical supplies to high-altitude locations and transporting oncological tissues mid-surgery, proving the viability of drones for time-sensitive healthcare needs.
- The study highlights the strategic crossroads faced by TSAW: whether to deepen its specialization within the complex healthcare vertical or to expand horizontally into other growing sectors like agriculture and infrastructure.
- Favorable government policies and the rapid evolution of smart-connected product (SCP) technologies are identified as key drivers for the growth of India's drone industry and companies like TSAW.
Drone Logistics, Drone Technology, Artificial Intelligence, Cloud Computing, Smart Connected Products (SCPs), Case Study, Logistics Innovation
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