Competence development from an institutional perspective in the light of Industry 4.0 - A qualitative study in the industry sector

Abstract

Purpose: The purpose of this study is to explore how external pressures such as industry 4.0 and the increased demands for digitalised practices this brings, has affected the investment in competence development at organisation X and how this is perceived by the managers. Neo- institutional theory is used to explain the relationship between the organization and external demands from society, such as industry 4.0 and how the attitudes of different actors can be explained based on institutional work. Theory: This study is based on a neo-institutional theory with nuanced perspectives as institutional work. Method: The research method is based on a qualitative approach with primary data from 19 semi-structured interviews. The target group was managers from different managerial levels. Result: Investing in competence development can be interpreted as a way for organisations to become legitimised by adapting to industry 4.0 and digitalisation. Given the difficulties encountered by the company in terms of employee commitment, the investment can be interpreted as a way of externally maintaining a façade that adapts to society's expectations but internally it has been demonstrably more difficult to meet those requirements in view of the resistance the employees have shown. The study further describes what challenges the organisation has met linked to institutional work, in terms of creation, maintenance, and disruption of institutions.