Organisational function synergy: capabilities enabled by smart industrial products

Purpose This study examines the potential of smart industrial products (SIPs) to enhance inter-functional synergy within industrial organizations, focusing on their role in optimizing cross-functional collaboration and addressing the challenges posed by dynamic business environments. Design/methodology/approach A mixed-method approach was employed, integrating a systematic literature review (SLR), expert interviews, interpretive structural modeling (ISM) and fuzzy MICMAC analysis. This methodology enabled the identification of capabilities facilitated by SIP adoption and their impact on organizational functions, fostering synergy among production planning, maintenance, quality and sustainability. Findings The results indicated that SIPs significantly influence organizational integration by enabling capabilities such as real-time data sharing, predictive analytics and enhanced decision-making. The study presents a hierarchical framework that demonstrates how SIPs facilitate the sequential development of capabilities, thereby enhancing inter-functional collaboration and promoting strategic alignment with Industry 4.0 principles. Originality/value This research presents a unique viewpoint by emphasizing the inter-functional synergy enabled by SIP capabilities. The article presents a complete framework that integrates theoretical models with empirical insights to utilize SIPs for enhancing organizational efficiency, sustainability and creativity. This method lays the groundwork for subsequent research on the long-term effects of SIP-driven integration across various industrial environments.