Disrupt through digital: a study on the challenges faced when digitalizing R&D

Abstract

Digitalization and automation represent potential sources of disruption to the organization and practice of research and development (R&D). Digitalization has the potential to revolutionize future R&D, as digitalized R&D may improve efficiency and minimize risk thus reducing cycle and development times. However, companies expect organizational challenges in their R&D organization when they start to implement and work with digital technologies. Through an in‐depth case analysis, we investigate these organizational challenges at Unilever, one of the world's leading fast‐moving consumer goods (FMCG) companies. Three challenges were identified: (1) managerial challenges; (2) behavioral challenges; and (3) digital technology skills challenges. Based on the identified challenges within the context of digitalizing an R&D center, our study provides some practical advice to R&D managers.

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