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Exploration and Exploitation within Operations
Mälardalen University, School of Innovation, Design and Engineering, Innovation and Product Realisation. Swerea IVF, Stockholm, Sweden.ORCID iD: 0000-0001-7523-7959
Mälardalen University, School of Innovation, Design and Engineering, Innovation and Product Realisation.ORCID iD: 0000-0001-8291-7362
Mälardalen University, School of Innovation, Design and Engineering, Innovation and Product Realisation.ORCID iD: 0000-0003-4308-2678
Mälardalen University, School of Innovation, Design and Engineering, Innovation and Product Realisation.ORCID iD: 0000-0003-3187-7932
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2015 (English)In: International Journal of Social, Behavioral, Educational, Economic, Business and Industrial Engineering, E-ISSN 1307-6892, Vol. 9, no 8Article in journal (Refereed) Published
Abstract [en]

Exploration and exploitation capabilities are both important within Operations as means for improvement when managed separately, and for establishing dynamic improvement capabilities when combined in balance. However, it is unclear what exploration and exploitation capabilities imply in improvement and development work within an Operations context. So, in order to better understand how to develop exploration and exploitation capabilities within Operations, the main characteristics of these constructs needs to be identified and further understood. Thus, the objective of this research is to increase the understanding about exploitation and exploration characteristics, to concretize what they translates to within the context of improvement and development work in an Operations unit, and to identify practical challenges. A literature review and a case study are presented. In the literature review, different interpretations of exploration and exploitation are portrayed, key characteristics have been identified, and a deepened understanding of exploration and exploitation characteristics is described. The case in the study is an Operations unit, and the aim is to explore to what extent and in what ways exploration and exploitation activities are part of the improvement structures and processes. The contribution includes an identification of key characteristics of exploitation and exploration, as well as an interpretation of the constructs. Further, some practical challenges are identified. For instance, exploration activities tend to be given low priority, both in daily work as in the manufacturing strategy. Also, the overall understanding about the concepts of exploitation and exploration (or any similar aspect of dynamic improvement capabilities) is very low.

Place, publisher, year, edition, pages
WASET , 2015. Vol. 9, no 8
Keywords [en]
Exploration, exploitation, improvement, innovation, operations, production system, manufacturing, change
National Category
Engineering and Technology Other Engineering and Technologies
Identifiers
URN: urn:nbn:se:mdh:diva-29646OAI: oai:DiVA.org:mdh-29646DiVA, id: diva2:876489
Projects
INNOFACTURE - innovative manufacturing developmentAvailable from: 2015-12-03 Created: 2015-11-26 Last updated: 2018-05-03Bibliographically approved
In thesis
1. Adapting to dynamic conditions through continuous innovation in manufacturing
Open this publication in new window or tab >>Adapting to dynamic conditions through continuous innovation in manufacturing
2018 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

The speed of change increases due to the pace of technological change and globalisation, and many industries that usually have acted in more stable settings will in the future act in more dynamic marketplaces. In order to be able to manage dynamic conditions, the organisation needs to continue delivering effectively in existing business areas while developing new systems, products and processes to take advantage of new opportunities in the future. This means that the organisation must be able to use abilities for exploitation and exploration simultaneously or, in other words, strive for continuous innovation including ambidexterity.

In the traditional manufacturing industry, many companies use some sort of improvement programme for achieving operational excellence. Hence, a trend among multinational manufacturing companies is also to deploy and integrate corporate improvement programmes (XPS). These are based on lean production and inspired by the Toyota Production System. Generally, improvement programmes such as XPS largely support the development of exploitation capabilities but not exploration capabilities, which instead may have to stand back. Previous research states that these are problematic and complex issues that need to be further understood and developed. Therefore, more knowledge and support needs to be developed regarding how manufacturing companies can adapt their production systems to remain resource-efficient while simultaneously adapting to more radical changes.

The overall purpose of this research project is to contribute to an increased understanding of how XPS integrations can be developed towards continuous innovation to be able to manage more dynamic conditions. Accordingly, the research objective is to develop recommendations supporting continuous innovation in manufacturing. An overall longitudinal study has been carried out containing five case studies at a manufacturing company integrating an XPS during dynamic conditions, i.e., with large variations in volumes and mixes of products together with the introduction of new products and production concepts. The studies conducted and the results are presented in five appended papers.

The research shows there is a risk that the XPS concept is abandoned due to a lack of understanding of how the XPS contributes to solve the turbulent situation that appears under dynamic conditions. At the same time, it is important to develop and support exploration skills in parallel, as these abilities are not particularly well developed in this context. Furthermore, the research shows that a strategy formulation process striving for high involvement can be used as a means of creating ambidextrous capabilities.

Place, publisher, year, edition, pages
Västerås: Mälardalen University, 2018
Series
Mälardalen University Press Dissertations, ISSN 1651-4238 ; 261
National Category
Engineering and Technology Production Engineering, Human Work Science and Ergonomics
Research subject
Innovation and Design
Identifiers
urn:nbn:se:mdh:diva-39082 (URN)978-91-7485-385-8 (ISBN)
Public defence
2018-06-15, Filen, Mälardalens högskola, Eskilstuna, 13:00 (English)
Opponent
Supervisors
Projects
INNOFACTURE - innovative manufacturing development
Available from: 2018-05-04 Created: 2018-05-03 Last updated: 2020-10-20Bibliographically approved

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Gåsvaer, DanielStålberg, LinaJackson, MatsFundin, AndersJohansson, Peter

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