Navigating Digital Waters
Exploring the digital transformation of urban water systems
Time: Fri 2024-12-13 14.00
Location: F3 (Flodis), Lindstedtsvägen 26 & 28, Stockholm
Video link: https://kth-se.zoom.us/j/62558848215
Language: English
Subject area: Industrial Economics and Management
Doctoral student: Amelie Bennich , Industriell ekonomi och organisation (Inst.)
Opponent: Professor Harald Rohracher, Linköpings universitet
Supervisor: Professor Mats Engwall, Industriell ekonomi och organisation (Inst.); Docent David Nilsson,
Abstract
Digitalisation is frequently described as one of the most significant technology trends of our time, with grand narratives depicting an increasingly digital future. We are said to have entered a new technological era where digital technologies drive disruptive change across society. Given the nature of these technologies, digitalisation is expected to be present in virtually every industry and sector in society. In industries such as music, media, and retail, digitalisation has already had a profound impact. While these industries were among the first to digitalise, others are now following. ‘Digital’ has become synonymous with innovation and modernity, establishing a digital imperative across various settings. In some contexts, however, the transformative potential remains less evident. Consequently, we need to pay closer attention to the conditions under which different entities, whether organisations, systems, or industries, become more or less adaptive to digitalisation.
The point of departure for this thesis is the water sector. Similar to other industries, digitalisation has gained general attention in the water sector under labels such as ‘digital water’, ‘Water 4.0’, and ‘the fourth water revolution’. Digital technologies are expected to leapfrog traditional infrastructure development and drive an anticipated transformation. However, the water sector is generally known for being conservative and resistant to change. This inertia is primarily attributed to the infrastructure systems and their focal actors, where sunk investments, long-term technical durability, and vested interests create significant barriers towards change. Empirically, this thesis is based on qualitative studies from the Swedish water sector. It primarily draws upon semi-structured interviews with representatives from the sector and inquires into the respondents’ perceptions of the implementation, use, and implications of digital technologies in urban water management. Theoretically, this thesis draws upon large technical systems and sustainability transitions studies. These literature streams have well-established traditions of studying the interplay between stability and change in infrastructure sectors such as water, energy, and transportation. By depicting the infrastructure systems of the water sector as sociotechnical systems, which constitute technologies and material artefacts, actors and their networks, and institutions and rules, this thesis sets out to explore what digitalisation means in mature and stable infrastructure sectors such as the water sector.
This thesis contributes to the broader discourse on digitalisation present in both academia and practice. First, it draws attention to the dominant narrative regarding the disruptive forces of digitalisation. While this narrative applies to some settings, it is not necessarily true for all contexts. Second, it highlights the importance of contextual anchoring. Digitalisation in the water sector will naturally differ from the development we have witnessed in the music and media industries because we cannot replace either core technologies or core actors in the water sector. Rather than replacing pipes, pumps, and treatment plants with digital replicas, digital technologies are add-ons that alter the properties and functionalities of the existing technologies. Similarly, the core actors cannot be replaced by digital entrants due to the institutional environment and its established laws, regulations, and expectations. Instead, digitalisation depends on incentives and the ability of established actors to digitalise, wherein digital entrants can form new alliances and rearrange power structures. Consequently, the contextual situation shapes the very nature and scope of digitalisation and, ultimately, the possible digital transformation. Finally, this thesis emphasises adaptability over disruption. Digital technologies, with their flexible and incomplete-by-design nature, can be integrated successively into existing systems without requiring major investments or changes. Their transformative potential arises from the combination of various technologies implemented in various parts of the system. As a result, this offers an alternative narrative to the prevalent focus on disruption, suggesting that it is digital technologies’ ability to fit and conform rather than disrupt that drives widespread digitalisation in society.