The Impact of Digital Intelligence Transformation on Business Transformation: Evidence from Foxconn Industrial Internet Co., Ltd.

Abstract

In the era of the digital economy, information technology promotes the transformation of the manufacturing industry to intellectualization and high-end, and the transformation of digital intellectualization has become the key strategy for manufacturing enterprises to break through the bottleneck of development and reshape their core competitiveness. Taking Foxconn Industrial Internet Co., Ltd. as a research case, this paper uses a case analysis method to analyze the practical effect and existing problems of digital intelligence transformation from three aspects: cost control, profitability, and operational efficiency. The study found that the transformation of digital intelligence effectively optimized the cost structure of enterprises, continuously reduced the cost rate during the period, and realized lean cost control. Promote the upgrading of enterprise product structure to high-value-added AI computing products, reshapes the profit model, and offsets the short-term profit fluctuations brought about by the adjustment of business structure. This paper improves the micro case study of digital intelligent transformation of manufacturing enterprises, and also provides reference suggestions for domestic manufacturing enterprises to land digital intelligent transformation and optimize the effectiveness of transformation.