Realizing Digital Transformation in Vessel Management

Abstract

Digital Transformation is a phenomenon being witnessed across all industries. The disruption caused by the adoption of digital technologies is having wide ranging impact on organizational structures and work cultures. It lures with benefits such as increased efficiency, business transparency, cost-savings providing a competitive edge when successfully implemented. Ship Managers, Operators and Owners have been following this digital journey, however cross-sector studies have shown that the likelihood of success in digital transformation projects in achieving the initial goals lies around 30%. Vessels consist of several highly complex systems that enable their operation and management including the interaction between department within the shipping company and third party service providers. Seagoing vessels are exposed to limited internet access which further complicates the use of online applications and systems. Therefore, the imperative question is: how can digital transformation be realized for Ship Owners, Managers and Operators? To address this question this research has undertaken a case study of three organizations in different stages of digital maturity and explored their recent experience in introducing digital projects from perspectives of managers ashore and end-users at sea. The findings present determinant factors for successful implementation of digital transformation projects provides practical guidance towards the cultural readiness, and improvement processes for the implementation of integrated systems. The encountered obstacles, and critical considerations are discussed in the context of recent literature and comparing it to the actual experience of the case organizations. The outcome is a key contribution in the form of strategic guidance for successfully utilizing the potential in their digital transformation journey.