This project aims to explore how firms leverage and exploit the potential benefits of digitalization of manufacturing. Whereas digitalization is not new and many companies have already taken advantage of increasingly digitally controlled processes in and around manufacturing, this study will address the following research question: What managerial skills, organizational processes, and business models do companies need to accomplish the transition to digitalization? Specifically, we wish to identify potential bottlenecks in the digitalization-productivity relationship in Swedish and Finnish manufacturing firms.