Digitization of manufacturing processes, a must, but also a Trojan horse? A firm-level study

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2018-06-26

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en

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Stories of industrial espionage are as old is the industries themselves. The different stories arise from changes in technological developments, societal happenings, and from products to manufacturing processes. A recent development, the ongoing digitization of manufacturing processes, Industry 4.0, is an example of a series of technological developments that might result in new stories of industrial espionage, as it might increase firms’ attractiveness (to be spied on) and vulnerability. This, and other forms of innovation added together, could give insights regarding why firms become targets of industrial espionage, with all the associated consequences. To find insights regarding these aspects, this research focused on the relationships between innovation forms and the probability of becoming a target of industrial espionage. A mixed-methods study was conducted, using data of the European Manufacturing Survey 2015 to conduct a logistic regression, combined with semi-structured interviews to investigate the content of the assumed relationships. A distinction was made between several forms of innovation, namely: product innovation, digitization of manufacturing processes (process innovation), and open innovation (innovation process). One finding is that if firms innovate their product incrementally or radically, the probability of becoming a target of industrial espionage respectively triples or almost quadruples. Also, the digitizing of manufacturing processes increases this probability. The results of this research not only have theoretical implications, but are also useful for firms facing strategical considerations regarding innovation forms. The findings together with the suggestions for future research will help to understand and extent the body of literature about industrial espionage and its relation to innovation.

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Faculteit der Managementwetenschappen

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