Is Data the New Oil? A Case Study Analysis of Strategic Transformation Paths Toward Data-Driven Organizations

Many companies follow the vision of becoming Data-Driven Organizations (DDOs). Research continuously accentuates that DDOs work more efficiently, make better decisions and overall characterize them as more successful. The thesis at hand investigates the transitions of firms into DDOs as well as the strategic, cultural, and operational implications arising from this paradigm shift. Moreover, it is explored which Digital Transformation Strategies (DTS) are mostly utilized in Data-Driven Transformations. Furthermore, it is examined which AI and ML use cases are commonly implemented on a DDOs robust data infrastructure. In addition, common success factors and challenges emerging on this transformation path are presented. Thereby, a research gap is inspected, as despite the promising success, only 24% of companies report having successfully become data-driven. To examine these issues, this research uses a case study approach and investigates Siemens, Siemens Energy, FMCG and FSN Capital Partners as four multinational firms operating in different sectors where diverse types of data are present. For the data collection, a comprehensive desk research including text, document and audiovisual materials was conducted. Further, one expert interview per company was executed. In order to quantitively compare the four case studies in terms of Data Maturity, a comparative framework was developed measuring each of their six pivotal DDO dimensions. The strategic findings of this thesis are that the four firms show different paths towards approaching Data-Drivenness and that the DTS hence must align with firm-specific structures and the respective sectoral logic. Moreover, a visionary and adaptable leadership and culture are more critical for driving the transformation than the strategy or technology adoption. It was also stressed that AI can only be impactful when it is built on a high-quality, and accessible data architecture. This further underlines the need for a comprehensive data governance, also including initiatives to enhance the Data Literacy among all employees through Data Democratization. This research offers strategic recommendations for managers and contributes to the academic understanding of DDO pathways, which are yet scarcely studied. By presenting a practical framework to assess the data maturity, gaps as well as next steps towards data-drivenness can be determined.