Ref: IMD-7-2142

Case study

Reference: IMD-7-2142

Order this case study


XCMG: Digital business transformation of a manufacturing giant

Mark J. Greeven

By Professor Mark J. GreevenMark J. Greeven and Yunfei Feng

This case was written in 2019, 10 years after Xuzhou Construction Machinery Group Co. Ltd. (XCMG) initiated its SAP ERP project in 2009. The digital transformation of XCMG has been so fast, that within less than 10 years, it developed from this internal IT project to a digital platform that provides services to many external enterprises.

The case study shows the digital transformation of XCMG, the leading construction equipment manufacturing company in China and helps discover the factors that enabled this rapid digital business transformation.

Established in 1943, before the establishment of the People’s Republic of China, for past over 66 years, XCMG was a traditional manufacturing company, and enjoyed the dividends of the China’s economic development.

XCMG was so successful in its manufacture B2B business not only domestically, but also internationally, by learning from oversee companies and continuous innovating. Until recently, China’s economic development slowed down, and the China–US trade friction emerged, however, XCMG had already prepared for this situation, and started its digital transformation 10 years ago.

Learning Objective

This case addresses how XCMG, the traditional B2B industry, manufacturing company, successfully embrace digital technology and adopt a platform business model.

It invites participants to discuss and discover the factors enabled the rapid digital business transformation of XCMG, and thus to learn:

  • The six stages of digital transformation of B2B manufacturing companies.
  • Factors enabled the successful digital business transformation of B2B manufacturing companies.
  • Challenges of B2B digital business transformation.
SettingsAsia, China
Construction and Engineering
2009-2019
TypePublished Sources
Copyright©2020
Order this case study

Reference: IMD-7-2142

IMD case studies are distributed through case clearing houses. In order to browse the collection and purchase copies please visit the links below.

The Case Centre Cranfield University

Wharley End Beds MK43 0JR, UK
Tel +44 (0)1234 750903
Fax +44 (0)1234 751125
Email [email protected]

The Case Centre Babson College

Babson Park Wellesley MA 02457, USA
Tel +1 781 239 5884
Fax +1 781 239 5885
Email [email protected]

Harvard Business School Publishing

60 Harvard Way Boston, MA 02163, USA
Tel (800) 545-7685 Tel (617)-783-7600
Fax (617) 783-7666
Email [email protected]

Case Center Japan

2nd Floor, Toranomon Jitsugyokaikan,
1-1-20 Toranomon, Minato-ku,
Tokyo 105-0001 Japan
Tel +81 3 3503 6621
Fax +81 3 3501 0550
Email [email protected]

Copyright information

IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information, please contact IMD's Information Center Copyrights Services.

Contact our Knowledge Center for additional information on IMD publications

Case study

Reference: IMD-7-2142

Order this case study

Looking for something specific?

Keep reading

Back to top