Analyzing Critical Factors Affecting Generative AI Readiness for Product Innovation in Service Organizations

Sammanfattning

Generative Artificial Intelligence (GenAI) is rapidly transforming service organizations, yet many firms struggle to move from pilots to sustained business value. This thesis develops a readiness framework tailored to product innovation in service contexts, combining insights from the Technology–Organization–Environment (TOE) framework, dynamic capabilities, and organizational readiness for change. A qualitative, exploratory research design was employed. A systematic literature review identified candidate readiness factors, which were refined and validated through 11 semi-structured expert interviews. The analysis revealed six interdependent dimensions of readiness: (1) Strategic Imperative, (2) Leadership and Culture, (3) Data and Technology Foundations, (4) The Human Element, (5) Guardrails for Innovation, and (6) an iterative Innovation Flywheel. Readiness is presented as a systemic property: weaknesses in one dimension can block progress in others. The study's primary theoretical contribution is the synthesis of socio-technical perspectives into a GenAI-specific readiness model that highlights interdependencies across strategic, technical, human, and governance domains. Practically, the framework offers managers a structured tool to assess gaps, align investments, and scale GenAI responsibly in service innovation