The Synchronous Effect of AI-Driven Resource Orchestration: Evidence from Manufacturing Digital Transformation

The emergence and widespread application of artificial intelligence (AI) has important implications for the theory and practice of digital transformation (DT) in manufacturing. Based on resource orchestration (RO) theory, we seek deeper insights into how AI can orchestrate with other resources to accelerate the transformation process in the context of manufacturing DT. We conducted an in-depth longitudinal multi-case study of four furniture manufacturing firms conducting full-house customization manufacture (CM). Our findings reveal a new AI-driven RO pathway with three mechanisms: interweaving, streamlining, and pushing. At the same time, our study proposes a “synchronous effect” of key orchestration actions based on AI, highlighting the dynamic and real-time nature of AI which provides a novel perspective on RO theory.