Enhancing a Capability Maturity Model for the Smartification of Products by a Generic Approach and a Third Dimension

Since decades, two-dimensional capability as well as maturity model (CMM) based approaches next to the simpler version of readiness checks are a common and structured method - within the specific focus subject and its thematic indicators (1st CMM dimension) - to determine the approximate current maturity, competence and/or capability level (2nd CMM dimension) of an organization. Hundreds of CMMs have been developed - all being made up of indicators to be fulfilled on a certain level - shown in numerous CMM literature review publications let alone in 2022 (Hoang 2022, Ünal 2022, Mirihagalla 2022). This indicates the diversity but also relevance and importance of their application domains of identifying optimization potentials (SEI 2010, Becker 2009) and delivering a structured way for transformation and change. Nevertheless, the situation with most academic two-dimensional CMMs today, is that the models 1) are very general for the subject at hand; 2) usually do not deliver understandable guidance how to define which level it needed for the intended change; 3) usually do not deliver specific measures to reach the next levels; 4) are mostly designed in such a way, that the user is not able to use them without external support; and, most importantly for this paper, 5) mix the process, human, and technology related base capability criteria within the capabilities necessary for the subject at hand. They are not separated enough which blurs the assessment result. When developing a new CMM-based method to support SMEs in the strategic decision process of the currently not very widespread subject of smartifying products, a well-balanced approach is required which also takes into account the explicitness and definiteness of the underlying dimensions as well as an acceptable effort needed for their specification. Further requirements towards such an approach are already outlined within our previous work (Frings 2021). For this paper, we focus on the need for explicitness and introduce a third dimension in our CMM. We separate the thematic aspects defined within the 11 areas of action within smartification (Frings 2022) from the cross-sectoral base capabilities grouped into general process-, human- and technology-oriented criteria - these coming from the corresponding core components of organizations. For each of the derived base capabilities which include business process integration, human competencies and capacities, as well as technological capabilities and capacities, we defined specific criteria, i. e. documentation/reporting, responsibilities and governance, rules and guidelines (compliance), and scalability. The paper will give insights into these criteria and their six different assessment levels – both specifically formulated for the smartification intent of the SME. This multi-dimensional approach contributes to more transparency in the assessment result, being able to derive more specific and appropriate measures, deliver input for completeness of the assessment topics, as well as underlines the modular approach of the smartification tool kit (Frings 2021). Our work will bring SMEs a large step closer to their strategic decisions by considering the integration of people and intelligent systems in a competitive manner to develop future service business and make more use of the advantages of the digital transformation.