Transforming Power of Complementary Assets Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

Successful companies recognize that information technology can fundamentally change the nature of work. Such a transformation, however, often requires the organization to review its corporate strategy and alter its basic structure and processes. The authors, based on an interview with Schneider International as part of the management at the Massachusetts Institute of Technology in 1990 research program show that the benefits to organizations related to the extent that organizations adapt their internal structures, processes and culture to maximize the benefits of technology. While this has allowed the growth of new companies and even entire industries, these technologies have also transformed the opportunities and challenges facing the established manufacturing and service firms. This article describes the implementation of Schneider technologies such as GPS and satellite tracking not only improve dispatch, but also to provide value to the customer, such as identifying the delivery terms, driver availability, and the ability to change pick-up and delivery of the landing sites. The authors show that when organizations invest in additional assets (skills, new organizational structures, and new work processes), to support them, they can transform services into products that will be developed into an even more new services, creating a virtual spiral with a huge competitive advantage. "Hide
by Allison Hughes, Alan Hughes, Mrs. Morton, Michael S. Scott Morton Source: MIT Sloan Management Review 11 pages. Publication Date: July 13, 2006. Prod. #: SMR213-PDF-ENG