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Open Access
Article
Publication date: 11 August 2022

Mina Nasiri, Minna Saunila and Juhani Ukko

This study aims to investigate three relevant antecedents of digital transformation (digital orientation, digital intensity and digital maturity) and their influences on the…

11457

Abstract

Purpose

This study aims to investigate three relevant antecedents of digital transformation (digital orientation, digital intensity and digital maturity) and their influences on the financial success of companies.

Design/methodology/approach

Building on the strategic management and digital transformation literature, five hypotheses are developed to find the relationships between these antecedents and financial success.

Findings

Digital orientation and digital intensity alone do not contribute to the financial success of companies. Specifically, digital intensity serves as a negative moderator between digital orientation and financial success, meaning that it reduces the performance effects of digital orientation. Digital maturity acts as a mediator between digital orientation and the financial success of companies and between digital intensity and the financial success of companies.

Originality/value

This research contributes to the literature on strategic management and digital transformation by providing a further understanding of three relevant antecedents of digital transformation (digital orientation, digital intensity and digital maturity) and how they should be positioned alongside digital transformation settings to achieve financial success.

Details

International Journal of Operations & Production Management, vol. 42 no. 13
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 23 March 2023

Wantao Yu, Chee Yew Wong, Roberto Chavez and Mark Jacobs

Digitally oriented firms are faced with new opportunities and risks in today’s ever-changing world. Drawing upon organisational entrainment theory, this study investigates how…

Abstract

Purpose

Digitally oriented firms are faced with new opportunities and risks in today’s ever-changing world. Drawing upon organisational entrainment theory, this study investigates how supply chain (SC) entrainment improves the effects of digital orientation on firm performance through absorbing risks and exploiting opportunities.

Design/methodology/approach

Survey data were collected from 307 Chinese manufactures and analysed using structural equation modelling and regression analysis.

Findings

The results show digital orientation absorbs risk through evoking three SC entrainment dimensions (i.e. internal entrainment, entrainment with customers and entrainment with suppliers). Entrainment with customers and suppliers mediate the relationship between internal entrainment and firm performance. An opportunity exploitation mechanism is evidenced by the moderating effects of internal and external entrainment on the relationship between digital orientation and firm performance.

Practical implications

The empirical findings provide timely insights for managers to fully harness the benefits of digital orientation by using SC entrainment, i.e. to match the tempo and pace of internal and external cyclical activities to reduce the risks and increase the benefits of adopting advanced digital technologies. The authors show managers how to adjust their organization’s actions to keep tempo and synchronous phase with their SC partners.

Originality/value

The study introduces and conceptualizes a construct (i.e. SC entrainment) to understand how risks and opportunities arising from digital transformation can be addressed to maximize the value of advanced digital technologies.

Details

International Journal of Operations & Production Management, vol. 43 no. 12
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 4 December 2018

Sabai Khin and Theresa CF Ho

Despite the growing importance of digital innovation conceptualized as innovative digital solutions that enable digital transformation of businesses across industries, empirical…

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Abstract

Purpose

Despite the growing importance of digital innovation conceptualized as innovative digital solutions that enable digital transformation of businesses across industries, empirical study of factors related to digital innovation is still scant, creating a knowledge gap. To fill this gap, this paper aims to examine the effect of digital orientation and digital capability on digital innovation, and also the mediating effect of digital innovation on the link between organizational performance and digital orientation as well as digital capability.

Design/methodology/approach

This study tests a new conceptual framework using a survey data of 105 small to medium-sized IT firms in Malaysia and employing structural equation model (SEM) analysis from partial least square (PLS) approach.

Findings

The results show that digital orientation and digital capability have positive effect on digital innovation and also that digital innovation mediates the effect of technology orientation and digital capability on financial and non-financial performance.

Practical implications

The findings encourage the firms to take the opportunity of emerging digital technologies and digitalization trend in industries by being committed toward embracing new digital technologies and upgrading their digital capabilities to become innovation leaders and also to boost firms’ performance.

Originality/value

This study is one of the first studies that explain how emerging digital technologies can be leveraged to create innovative digital products and services and subsequently boost their business performance. It also fills the literature gaps related to driving factors of digital innovation and mediating role of digital innovation on the link between its driving factors and performance.

Details

International Journal of Innovation Science, vol. 11 no. 2
Type: Research Article
ISSN: 1757-2223

Keywords

Article
Publication date: 23 January 2024

Benjamin Biesinger, Karsten Hadwich and Manfred Bruhn

(Digital) servitization, referring to service-driven strategies and their increasing implementation in manufacturing, is one of the most rapidly growing areas in industrial…

Abstract

Purpose

(Digital) servitization, referring to service-driven strategies and their increasing implementation in manufacturing, is one of the most rapidly growing areas in industrial service research. However, the cultural change involved in successful servitization is a phenomenon that is widely observed but poorly understood. This research aims to clarify the processes of social construction as manufacturers change their organizational culture to transform into industrial service providers.

Design/methodology/approach

This research takes a systematic approach to integrate disparate literature on servitization into a cohesive framework for cultural change, which is purposefully augmented by rationale culled from organizational learning and sensemaking literature.

Findings

The organizational learning framework for cultural change in servitization introduces a dynamic perspective on servitizing organizations by explaining social processes between organizational and member-level cultural properties. It identifies three major cultural orientations toward service, digital and learning that govern successful servitization.

Originality/value

This research contributes to the servitization literature by presenting a new approach to reframe and explore cultural change processes across multiple levels, thus providing a concrete starting point for further research in this area.

Details

Journal of Service Theory and Practice, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 2055-6225

Keywords

Article
Publication date: 10 June 2022

Nitin Upadhyay, Shalini Upadhyay, Mutaz M. Al-Debei, Abdullah M. Baabdullah and Yogesh K. Dwivedi

This study aims to investigate the adoption intention of artificial intelligence (AI) in family businesses through the perspectives of digital entrepreneurship and…

3521

Abstract

Purpose

This study aims to investigate the adoption intention of artificial intelligence (AI) in family businesses through the perspectives of digital entrepreneurship and entrepreneurship orientation.

Design/methodology/approach

The study examines contributing factors explaining the adoption intention of AI in the context of family businesses. The developed research model is examined and validated using structural equation modelling based on 631 respondents' data. Purposeful sampling is used to collect the respondents' data.

Findings

The proposed model included two endogenous (i.e. business innovativeness and adoption intention) and six exogenous variables (i.e. affordances, culture and flexible design, entrepreneurial orientation, generativity, openness and technology orientation) through ten direct paths and three indirect paths. The results depicted the significant influence of all the exogenous variables on the endogenous variable reflecting support of all the hypotheses. The business innovativeness partially mediates the relationships of culture and flexible design, entrepreneurial orientation and technology orientation with adoption intention. Further, the results demonstrated a model variance of 24.6% for business innovativeness and 64.2% for adoption intention of artificial intelligence in the family business.

Research limitations/implications

The study contributes to theoretical developments in entrepreneurship and family business research and AI's theoretical progress, especially to digital entrepreneurship.

Originality/value

Theoretically, it contributes to the literature of entrepreneurship, particularly digital entrepreneurship. Additionally, the research model adds to the role of entrepreneurial orientation and digital entrepreneurship in the emerging family entrepreneurship literature. Considering the scarcity of research in this field, the empirically validated model explaining critical antecedents of AI adoption intention in the family business is a foundation for discussion, critique and future research.

Details

International Journal of Entrepreneurial Behavior & Research, vol. 29 no. 1
Type: Research Article
ISSN: 1355-2554

Keywords

Open Access
Article
Publication date: 1 February 2022

Ratri Wahyuningtyas, Ganjar Disastra and Risris Rismayani

Economic Society 5.0 is the answer to the challenges of the Industrial Revolution 4.0 through the creation of new value from the development of advanced technology that aims to…

4584

Abstract

Purpose

Economic Society 5.0 is the answer to the challenges of the Industrial Revolution 4.0 through the creation of new value from the development of advanced technology that aims to reduce the gap between human and economic problems. Excellent human resources and adequate digital infrastructure are requirements in an Economic Society 5.0. Cooperatives as community economic organizations are players in the Industrial Revolution 4.0. Because of low competitiveness, cooperatives cannot create new and sustainable income streams, particularly digitalization capabilities. This study aims to encourage the competitiveness of cooperatives in the West Java region, Indonesia, in an Economic Society 5.0 by identifying the correlation between digital capabilities, digital orientation, employee resistance, government support, digital innovation and competitiveness.

Design/methodology/approach

This study uses a quantitative method through surveys as data collection techniques by distributing questionnaires to 386 leaders of cooperatives in West Java. Hypothesis testing uses analysis technique of structural equation modeling with partial least squares tool.

Findings

There are five hypotheses that are supported in the proposed model in this study. Digital orientation and government support have a positif and significant effect on digital innovation, in contrary; digital capability and employee resistance do not show any effect. Digital orientation, government support and digital capability also have a positive and significant effect on competitiveness. Meanwhile, employee resistance and digital innovation have no significant effect on competitiveness. Digital innovation was also found not to mediate the relationship between digital orientation, government support, digital capability and employee resistance with competitiveness.

Originality/value

This study provides new insights into the study of cooperatives as community’s economic institutions. This study adds empirical evidence of the factors that influence the competitiveness of cooperative institutions in Indonesia as a driver of the community’s economy. This study also provides practical implications for the development of cooperative competitiveness in developing countries, particularly in Indonesia.

Details

Journal of Enterprising Communities: People and Places in the Global Economy, vol. 17 no. 3
Type: Research Article
ISSN: 1750-6204

Keywords

Article
Publication date: 14 November 2023

It Nguyen Van, Anna Kotaskova, Alberto Ferraris and Thanh Tiep Le

This study investigates the impact of human capital (managers' capital, employees' capital) and orientation (market orientation, entrepreneurial orientation) for accelerating the…

Abstract

Purpose

This study investigates the impact of human capital (managers' capital, employees' capital) and orientation (market orientation, entrepreneurial orientation) for accelerating the digitalization process and improving the firm performance. It also studies the role of supply chains as both direct and indirect mediators of the correlation between digitalization and business performance.

Design/methodology/approach

This article aims to develop an empirical study using a random sampling technique and survey data collected from 368 managers and owners of different food enterprises in Vietnam. The study adopted a methodological approach quantitatively. Analysis of the relationships and confirmatory factors was performed using structural equation modeling (SEM), a technique to evaluate the proposed relationships.

Findings

In line with expectations, the findings emphasize the impact of human capital (managers' capital, employees' capital) and orientation (market orientation, entrepreneurial orientation) for accelerating the digitalization process and the role of supply chains as both direct and indirect mediators of the correlation between digitalization and improving the firm performance, in the context of emerging markets.

Originality/value

This is an important investigation, according to the authors' knowledge, regarding the role of developing human capital (managers' capital, employees' capital) and orientation (market orientation, entrepreneurial orientation) as a key strategy for accelerating the digitalization process and improving the firm performance. Further, the study's novelty reinforces the role of supply chains as both direct and indirect mediators of the correlation between digitalization and business performance in the Vietnamese food companies, where a market economy is emerging.

Details

European Journal of Innovation Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 15 May 2020

Fatima Wang

Differences in digital adoption between firms call for a clearer conceptualization of digital marketing capabilities (DMCs). The purpose of this paper is twofold: (1) to offer a…

4982

Abstract

Purpose

Differences in digital adoption between firms call for a clearer conceptualization of digital marketing capabilities (DMCs). The purpose of this paper is twofold: (1) to offer a conceptualization of DMCs from a relational dynamic capabilities perspective and (2) to explore performance outcomes of DMCs for international firms, taking into account firm size and entrepreneurial orientation.

Design/methodology/approach

A survey on a sample of 167 international firms is used and analyzed using hierarchical regression.

Findings

DMCs contribute positively to performance. Firms with greater entrepreneurial orientation leverage DMCs more effectively and have better performance. Small firms with strong digital capabilities perform as well as medium-sized firms. Large firms perform marginally better than small and medium-sized firms.

Research limitations/implications

This paper complements previous IB studies that only study customer-related or supplier- and channel-related IT adoption. It is based on a more holistic conceptualization of DMCs, and draws on market sensing, customer-linking, customer retention, supplier relationship and channel bonding capabilities. It offers new empirical evidence for the positive impact of DMCs on firm performance. It also contributes to small and medium-sized enterprise and digital entrepreneurship literature by comparing the performance outcomes of DMCs for different size firms with varying degrees of entrepreneurial orientation.

Practical implications

This study provides implementable measures of DMCs. The findings encourage firms to develop entrepreneurial orientation alongside DMCs.

Originality/value

This paper presents DMCs as relational dynamic capabilities and shows the moderating effect of entrepreneurial orientation and firm size on the DMCs–performance relationship.

Details

International Marketing Review, vol. 37 no. 3
Type: Research Article
ISSN: 0265-1335

Keywords

Open Access
Article
Publication date: 16 December 2022

Ismail Juma Ismail

The combination of strategic orientation and digitalization for sustainable competitive advantage among small businesses is still not given much…

1802

Abstract

Purpose

The combination of strategic orientation and digitalization for sustainable competitive advantage among small businesses is still not given much attention in the literature. Therefore, this study aims to understand the influence of strategic orientation on sustainable competitive advantage while mediating the relationship with digitalization.

Design/methodology/approach

This study used a cross-sectional design. This design helped collect data from 234 small businesses in Arusha city, Tanzania. Since the study used latent variables, structural equation modeling (SEM) was used to analyze relationships and conduct confirmatory factor analysis. Through bootstrapping confidence intervals, Hayes's Process was also used to test how digitalization mediates the relationship between strategic orientations and sustainable competitive advantage.

Findings

The strategic orientation attributes that include market orientation, entrepreneurial orientation and learning orientation were positively and significantly related to digitalization. Furthermore, the results on digitalization and sustainable competitive advantage show a significant positive relationship. Finally, digitalization was analyzed to mediate the relationship between strategic orientation, market orientation, entrepreneurial orientation, learning orientation and sustainable competitive advantage. Hence, all hypotheses were supported.

Research limitations/implications

This study adopted a cross-sectional design that helped to capture the quantitative information. In addition, the current study is limited to Tanzania's small businesses; thus, the findings cannot assure generalization of the conclusion to other countries because of the differences in social, cultural and technology across countries.

Originality/value

This study integrates the concepts of strategic orientation from the strategic management discipline and digitalization from a technology perspective. As a result, the study adds new knowledge about combining two aspects and determining whether they add value in terms of providing a sustainable competitive advantage. This knowledge comes from digitalization, which acts as a mediator between strategic orientation dimensions and a sustainable competitive advantage.

Article
Publication date: 19 December 2023

Yanzhe Liu, Minrui Guo, Zhongyi Han, Beata Gavurova, Stefano Bresciani and Tao Wang

This study aims to investigate the impact of digital orientation (DO) on organizational resilience (OR) and explore the contingency effects of human resource slack and nature of…

Abstract

Purpose

This study aims to investigate the impact of digital orientation (DO) on organizational resilience (OR) and explore the contingency effects of human resource slack and nature of enterprise ownership.

Design/methodology/approach

The model hypotheses were tested using fixed effects regression on panel data collected from Chinese A-share listed manufacturing firms spanning from 2007 to 2020.

Findings

DO has a positive effect on OR. Human resource slack positively moderates the relationship between DO and OR. Additionally, DO enhances OR more effectively in non-state-owned firms than in state-owned firms.

Research limitations/implications

This study relies on data from a single industry from a single country.

Practical implications

The study supports that firms facing uncertainty, risk and pressure should promptly develop their DO strategy. Firms can derive greater resilience from implementing a DO strategy when they have a high-level human resource pool. State-owned enterprises will benefit from a DO strategy if they make some adaptive changes in leadership, structure, culture and mindset aspects.

Originality/value

This study is the first to examine the relationship between DO and OR, contributing to the existing literature on digital transformation and organizational resilience. It offers valuable insights for practitioners and policymakers seeking to adapt their organizations for the digital era and foster predictive, defensive and growth responses strategies in a dynamic business environment.

Details

Journal of Manufacturing Technology Management, vol. 35 no. 2
Type: Research Article
ISSN: 1741-038X

Keywords

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