In the classic structure, a business is divided into functional units, such as R&D, manufacturing, logistics, sales, marketing, after-sale service, finance, and IT. These functional units enjoy substantial autonomy. Though integration across them is essential, much of it tends to be relatively episodic and tactical.
With the emergence of smart, connected products, however, this classic model breaks down. In this MIT Sloan Management Review webinar, James Heppelmann, co-author of the HBR article “How Smart, Connected Products Are Transforming Companies,” discusses the new need for companies to coordinate across product design, cloud operation, service improvement, and customer engagement.
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