Digital Leadership : When Implementing Digital Transformation in the Pulp and Paper Industry

Abstract: Over the past few years, there has been a surge in literature regarding the digital transformation. Its popularity derives from the tremendous potential it has proven in production companies, in previous studies. This has increased its attention among actors within the industrial business area. Despite this overwhelming popularity, the literature does not address the research area in relation to the slow-moving pulp and paper industry. At the same time, incumbent companies within the industry have proven to be incapable of adopting the digital transformation in the rapid pace of today’s volatile environment. This research therefore intends to investigate the crucial factors an incumbent company within the pulp and paper industry needs to adopt to achieve a higher absorption of novel digital trends.  In order to investigate the subject, a qualitative case study was applied to a company within the category. The material was retrieved through semi-structured interviews with relevant actors within the case company and analyzed through thematic analysis. This revealed nine clearly outlined themes of insufficient corporate infrastructure that emphasizes essential organizational capabilities. These findings suggest that there are a number of capabilities that leaders and decision-makers need to adopt in order for the organization to conduct a more efficient and sustainable approach of digital transformation. This research therefore proposes a framework with outlined leadership capabilities to consider in transformation initiatives, within the pulp and paper industry. The framework will help leaders in shaping the process of implementing and maintaining digital transformation. These capabilities stimulate the support activities, which are the surrounding procedures and activities that support the organization in transformation initiatives, and are imperative for an organization to possess within the given context. By reducing the ambiguity and resistance to change the framework will help leaders in improving the decision making of transformation initiatives. The ultimate goal is to establish a unified organizational vision, based on digital transformation, to strengthen the overall long-term sustainability.