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The purpose of this paper is to understand further the role played by work-based cognitive skills in the growth dynamics in Europe.

Work-based cognitive skills are studied using a factor analysis on data from the European Work Conditions Survey (Eurofound) referring to work cognitive requirements. This and other measures of education quality and quantity indicators are used to estimate growth regression models for 28 European countries, in order to test for the significance of work-based skills.

The results corroborate the hypothesis that work-based cognitive skills have been a powerful predictor of economic growth over the last decades. Countries where workplaces require and foster advanced cognitive skills tend to exhibit higher economic growth.

The Eurofound Survey on work-based skills, a major source of this study, only began in 1990 so is quite recent and covers few countries.

The results indicate that the mobilisation of the full intellectual potential of workers in their work context is essential to achieve high-economic performances. Boosting workers interactive learning and autonomy should become a key policy and organisational aim.

The authors bring a deeper approach to the way human capital is addressed by testing the relevance of work-based cognitive skills on economic performance. Hence the authors build a bridge between economic growth literature, which focuses largely on the role of formal education, and innovation studies where the emphasis is placed on the relevance of learning processes.

The current scenario is dominated by an urgent need for economic recovery caused by the global health emergency that has been at work since January 2020. Digital transformation plays a crucial role in bringing about this recovery. However, the failure rate of digital transformation projects over the last 10 years is very high. Considering the growing demand for digital transformation from businesses, the digital transformation failure rate, if unchanged, could lead to an exponential growth in technical debt. Technical debt is acquired when the digital transformation to be deployed at a business fails. The accumulation of technical debt will lead not only to economic stalemate but possibly also to yet another setback.

The developed set of methodologies form what has been termed the Digital Transformation Governance Engineering Process (DTGEP). This process can help any business wishing to undertake a digital transformation project to materialize their project in a sustainable, productive and competitive way.

DTGEP prevents the generation of technical debt because organizational knowledge is aligned with the technological solution that best suits the needs of each business in order to support its strategic or business objectives.

DTGEP has already been used to successfully discover the relationship between business features and the prospective digital transformation. However, it needs to be applied in case studies on many other businesses across the economy in order to gather more accurate information that could be clustered by sectors.

DTGEP was tested on a set of 25 projects, and this paper reports several interesting findings regarding its use, like the impact of the digital transformation on different parts of the business model canvas (BMC) and the intellectual capital of the organization developing the digital transformation, and how the status of the organization's intangible assets affects the decision-making process with respect to the prospective digital transformation.