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Design+ The transformation of the automotive industry

is influenced by a variety of factors, particularly the between different types of systemic change. The terms
increasing electrification, the development of autonomous transformation, transition, and structural change are
driving systems, and the shift toward mobility services. frequently used in both academic and policy discussions
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In addition, rising competition from the IT sector and to describe fundamental shifts in industries, economies,
industrial policy objectives – especially from China – is and societies. However, their precise meanings and
accelerating this shift and reshaping the future of mobility, implications vary depending on the context. This section
transportation, and logistics. Furthermore, the ongoing provides an overview of these concepts and highlights their
automation and connectivity of manufacturing processes relevance to the ongoing transformation of the automotive
are profoundly impacting value-creation networks, industry.
with significant implications for Germany’s industrial Transformation is a comprehensive term used in various
landscape. While economic dynamics and regulatory academic disciplines, such as mathematics, electrical
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frameworks influence the pace and trajectory of this engineering, biology, as well as the economic, social and
transformation, technological innovations contribute cultural sciences. These different perspectives highlight
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significantly to driving fundamental shifts within the the complexity and diversity of transformation processes
industry. In particular, advancements in electrification, by emphasizing various aspects such as the objects of
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autonomous driving, connectivity, and artificial intelligence transformation, the pace, and the necessary means
(AI) are expected to be key drivers of this transformation. to initiate these processes of change. Transformation
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These technologies not only redefine vehicle design and processes can occur both in limited systems at a short to
manufacturing processes but also influence emerging medium-term level, for example, through technological
business models and regulatory frameworks. Therefore, it innovations or changes in business models and at a long-
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is crucial to identify the technologies that will dominate 7
the automotive sector in the future to thoroughly analyze term, overall societal level.
the consequences of this shift and its impacts. 4 In the business context, transformation at the micro
level is defined as a targeted process of realigning
The present study aims to identify the technological
drivers that significantly contribute to the transformation organizational resources and capabilities to move from
an existing state to a defined target state. The term is
in the automotive industry. A deep understanding of particularly used in the context of reorganizing business
these advancements is essential to accurately assess processes and business models. For instance, automakers
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the challenges and opportunities of the transformation
process, to anticipate potential developments for industry, are redefining their business strategies to integrate
policy, and society and to develop appropriate strategies software-driven mobility solutions. At the macro level,
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and frameworks that promote sustainable and future- Wittmayer and Hölscher describe transformation as
oriented mobility. structural, radical, and paradigmatic changes in societies
and their subsystems. These changes lead to a fundamental
The central research question is: “Which technological redesign of a system’s functional objectives and their
drivers are significantly shaping the transformation in the implementation. This process can involve the coexistence
automotive industry?” To answer this question, this study of old and new elements, such as disruptive technologies
utilizes a systematic literature review following the approach or new industries. 7
outlined by vom Brocke et al., which enables a structured
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and reproducible analysis. This paper is structured as In political and academic discourses, the terms
follows: Following this introduction, Section 2 explains the “transition” and “transformation” have become key
theoretical framework concerning the transformation and concepts that are often used interchangeably to describe
its drivers. Section 3 describes the research methodology, profound processes of change in complex adaptive
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detailing the systematic literature review approach used systems. Transition refers to technology-influenced
in this study. The results of the literature review are then processes of change in socioeconomic systems, including
presented in Section 4. In Section 5, a conclusion is drawn, system innovations and functional transformations in
with limitations discussed and an outlook provided. socioeconomic fields. The term is particularly used in
sustainability research to describe profound changes
2. Theoretical background in social, technological, institutional, and economic
structures. Transition focuses on institutional and
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2.1. Transformation, transition, and structural political changes within sociotechnical and socioeconomic
change systems and analyzes changes in societal subsystems.
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Understanding the transformation of the automotive In contrast, transformation describes an extensive
industry requires a theoretical foundation that distinguishes process of change that involves widespread alterations

Volume 2 Issue 1 (2025) 2 doi: 10.36922/dp.4445