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Creating digital ecosystem for small and medium enterprises: the role of dynamic capability, agile leadership and change readiness

Ardian Adhiatma (Department of Management, Universitas Islam Sultan Agung, Semarang, Indonesia)
Olivia Fachrunnisa (Department of Management, Universitas Islam Sultan Agung, Semarang, Indonesia)
Nurhidayati (Department of Management, Universitas Islam Sultan Agung, Semarang, Indonesia)
Tina Rahayu (Department of Management, Universitas Muria Kudus, Kudus, Indonesia)

Journal of Science and Technology Policy Management

ISSN: 2053-4620

Article publication date: 13 July 2022

Issue publication date: 14 August 2023

1086

Abstract

Purpose

The digitization efforts for small and medium enterprises (SMEs) as a result of advances in information technology are challenging, with one of them being the creation of digital ecosystems for SMEs. This study aims to develop a model of the relationship between SMEs’ readiness to change, agile leadership and dynamic capability to implement a digital ecosystem for SMEs in the creative industry in Semarang, Central Java, Indonesia.

Design/methodology/approach

A survey methodology was used in this study. Respondents in this study were creative industry SMEs in Semarang, Central Java, Indonesia. SMEs in the creative industry sector were chosen as samples as they require digital technology to manage their business development, production and distribution, customer relationships and to innovate in their businesses. In total, 250 creative SMEs, selected based on a purposive random sampling method, were included in this study. Data were analyzed using structural equation model-partial least square.

Findings

This study provides current insights and future needs for implementing digital ecosystems in SMEs in Indonesia’s creative industries. It also identifies three critical conditions for dealing with Industry 4.0: organizational readiness to change, agile leadership and dynamic capability.

Originality/value

In response to information technology advancements, this study proposes a new model for implementing digital ecosystems for SMEs. Furthermore, this study adds knowledge about the concept of a service-oriented technology ecosystem to help SMEs operate more efficiently. It focuses on the interaction of entities to improve the system’s utility, gain benefits and promote information exchange.

Keywords

Acknowledgements

This research is funded by Center of Research and Community Service, Universitas Islam Sultan Agung (UNISSULA), in collaboration with Universitas Muria Kudus, research grant scheme 2020.

Citation

Adhiatma, A., Fachrunnisa, O., , N. and Rahayu, T. (2023), "Creating digital ecosystem for small and medium enterprises: the role of dynamic capability, agile leadership and change readiness", Journal of Science and Technology Policy Management, Vol. 14 No. 5, pp. 941-959. https://doi.org/10.1108/JSTPM-12-2020-0171

Publisher

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Emerald Publishing Limited

Copyright © 2022, Emerald Publishing Limited

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