Dynamic Capabilities Expediting the Transition to AIoT: The Convergence of AI and IoT
SPARC 2022 Poster Number 16
Customer preferences for personalisation, environmental sustainability and convenience are forcing organisations to create personalised experiences and deliver better value with products and services. In response to the evolving landscape, organisations are compelled to unlock the potential of technology and data to innovate and create cutting edge products and services. An outcome of that is the expediting transition to smart living, connected mobility, connected industry and smart cities, yielding improved operational efficiency and sustainability. Innovations such as these are an outcome of harnessing key technologies such as cloud computing, big data, Internet of Things (IoT) and Artificial Intelligence (AI) to name a few.
IoT encompasses the ecosystem of devices, applications and services developed using the data collected from sensors, which sense information surrounding the environment they are embedded in. By undertaking a systematic literature review this research outlines the phases of evolution of IoT. This is further corroborated by adopting a case study research strategy that studies how organisations embrace IoT and AI to undergo a transformation through the confluence of resources and capabilities.
By applying the lens of dynamic capabilities and resource-based view theories, early inferences reveal that dynamic organisations sense opportunities arising from the evolving technology landscape, strategise, commit resources and develop capabilities to seize opportunities thus snowballing a transformation. The resources and capabilities thus developed are deployed in value creating strategies which foster innovation and deliver upon operational efficiency. The personalised and differentiated value thus generated for customers are enabling organisations to achieve a competitive advantage.