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1 – 10 of over 68000Aleksandra Hauke-Lopes, Milena Ratajczak-Mrozek and Marcin Wieczerzycki
The purpose of this paper is to investigate how digital transformation changes highly traditional business processes and how it impacts value co-creation and co-destruction. More…
Abstract
Purpose
The purpose of this paper is to investigate how digital transformation changes highly traditional business processes and how it impacts value co-creation and co-destruction. More specifically, the aim is to examine, using the resource interaction approach, how the friction between non-digital and digital resources affects the co-creation and co-destruction of value in a network during digital transformation. Based on this, the authors provide managerial implications on how to handle simultaneous digital and traditional business processes to co-create value during digital transformation.
Design/methodology/approach
A case study is conducted of a digital platform provider and of three traditional confectioneries. In this analysis, the authors looked at the business processes of highly traditional confectioneries that have introduced online services through a digital platform and are undergoing digital transformation.
Findings
In some industries, it is neither possible nor advisable to fully digitalise all business processes, and companies have to partially retain their traditional, analogue character to create value. The process of value co-creation during digital transformation is affected by friction between the digital and non-digital resources and is mitigated by specific lubricants (e.g. mutual reliance, smooth personal communication, willingness to help, attitude towards change). This results in the improvement of processes and capabilities in terms of digital development and traditional production. Friction may also lead to value co-destruction, for example, as the result of transformation from face-to-face to digital interactions.
Originality/value
The authors contribute to research on the digital transformation of highly traditional companies that need to introduce new, digital technologies and resources while continuing their traditional processes. The authors develop the concept of lubricants that mitigate the friction between resources and, therefore, facilitate value co-creation in a business network. Additionally, the authors provide managerial implications for how to handle simultaneous digital and traditional business processes during digital transformation.
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This research aims to examine the effects of corporate digital transformation on firm value, with a particular focus on the mediating roles played by cost leadership and…
Abstract
Purpose
This research aims to examine the effects of corporate digital transformation on firm value, with a particular focus on the mediating roles played by cost leadership and differentiation strategies.
Design/methodology/approach
This study employs word frequency analysis to create corporate digital transformation indicators and determine how corporate digital transformation impacts firm value. The data used in the analysis comes from 2,056 listed manufacturing enterprises in China between 2010 and 2019.
Findings
This study demonstrates that digital transformation has a favorable impact on firm value, and that cost leadership strategy and differentiation strategy significantly mediate the relationship between both of them.
Research limitations/implications
This study utilized word frequency analysis to assess the state of corporate digital transformation. It lacked a more thorough description of internal production processes, operational efficiency, and the pace of digital transformation.
Practical implications
The results of this study can not only promote the digital transformation and firm value, but also provide a theoretical basis for enterprises to choose a reasonable competitive strategy in the digital transformation.
Originality/value
This study contributes significantly to the field of firm value research by including digital transformation as a fundamental component. Furthermore, it investigates how cost leadership strategy and differentiation strategy play mediating roles, providing a new perspective and explanatory mechanism for understanding the influence of digital transformation on firm value.
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The purpose of this paper is to advance a model for identifying the superior customer value proposition that evolves through a process of corporate transformation while…
Abstract
Purpose
The purpose of this paper is to advance a model for identifying the superior customer value proposition that evolves through a process of corporate transformation while simultaneously seeking to align this value proposition with regional expansion and growth of Caribbean financial firms.
Design/methodology/approach
The study utilizes a cross-sectional design. Telephone surveys were used to collect data from 80 financial firms and 243 customers across ten Caribbean countries. Structural equations modeling was employed for data analysis.
Findings
The main findings are that corporate transformation of financial firms was a significant driver of customer orientation, consumer confidence, quality, flexibility, branding, and firm capability while lower prices (such as interest rates, fees, and charges), consumer confidence, and branding were the key drivers of regional expansion and growth.
Practical implications
The study identified six value-added dimensions along with price as the superior customer value proposition of financial firms. These dimensions should be incorporated in the business model for transformation and growth of these firms.
Originality/value
The study extended the literature through development of a customer value proposition model that was primarily built on Levitt’s (1965) product life cycle conceptualization and augmented by Porter’s generic strategies.
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This paper aims to clarify that some values are the origin of the modern financial world. In this regard, they should be protected by legal and financial mechanisms. However…
Abstract
Purpose
This paper aims to clarify that some values are the origin of the modern financial world. In this regard, they should be protected by legal and financial mechanisms. However, sometimes, it is not necessary to use the entire legal arsenal to protect those values. A value can be transformed into another value or mutate into a notion and become implicitly protected by the whole system. This is called the transformation of values.
Design/methodology/approach
In this paper, it shall be analyzed how the protection of values is applied in both Shariah and conventional systems. Two Gulf countries, Iran and The United Arab Emirates (UAE), will be compared with France, which have different financial systems. How the process of transformation becomes a global norm which lead to a harmonization will also be discussed.
Findings
This paper demonstrates that divergent values in both Islamic and conventional financial system tend to be convergent and become global standard norms. In this respect, due to the transformation of values, harmonization of norms and standards will be recognized.
Originality/value
The paper fulfils an identified process in which the penal action against irregularities becomes a “dernier resort”, and it is for the protection of major global concerns, not for “little transgressions against local values”.
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Jacob Dencik and Anthony Marshall
IBM IBV research shows that interactions between several new digital technologies and between these technologies and other organizational capabilities enable and drive the…
Abstract
Purpose
IBM IBV research shows that interactions between several new digital technologies and between these technologies and other organizational capabilities enable and drive the business value needed for successful transformation.
Design/Methodology/Approach
Organizations should first identify the high value workflows and focus on what it takes to transform them.
Findings
IBM IBV analysis found that if an organization excels at implementing four key elements of transformation together with an integrated set of digital technologies, the revenue impact of a dollar invested is as much as 13 times greater than the revenue impact of a single technology such as cloud alone.
Practical/implications
Workflows provide an end-to-end perspective of what scaled transformation will look like while enabling identification of appropriate areas of immediate transformation.
Originality/Value
This paper especially valuable to practitioners and academics because it is sourced from multiple recent large-scale C-suite executive surveys conducted by the IBM Institute for Business Value, working in collaboration with Oxford Economics.
Temitayo Seyi Abiodun, Giselle Rampersad and Russell Brinkworth
The internationalization of business has grown the production value chains and created performance challenges for industrial production. Industry 4.0, the digital transformation…
Abstract
Purpose
The internationalization of business has grown the production value chains and created performance challenges for industrial production. Industry 4.0, the digital transformation of industrial processes, promises to deliver performance improvements through smart functionalities. This study investigates how digital transformation translates to performance gain by adopting a systems perspective to drive smartness.
Design/methodology/approach
This study uses qualitative research to collect data on the lived experiences of digital transformation practitioners for theory development. It uses semi-structured interviews with industry experts and applies the Gioia methodology for analysis.
Findings
The study determined that enterprise smartness is an organizational capability developed by digital transformation, it is a function of integration and the enabler of organizational performance gains in the Industry 4.0 context. The study determined that performance gains are experienced in productivity, sustainability, safety and customer experience, which represents performance metrics for Industry 4.0.
Research limitations/implications
This study contributes a model that inserts smartness in the linkage between digital transformation and organizational outcomes to the digital transformation and production management literature.
Practical implications
The study indicates that digital transformation programs should focus on developing smartness rather than technology implementations, which must be considered an enabling activity.
Originality/value
Existing studies recognized the positive impact of technology on performance in industrial production. The study addresses a missing link in the Industry 4.0 value creation process. It adopts a systems perspective to establish the role of smartness in translating technology use to performance outcomes. Smart capabilities have been the critical missing link in the literature on harnessing digital transformation in organizations. The study advances theory development by contributing an Industry 4.0 value model that establishes a link between digital technologies, smartness and organizational performance.
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Abstract
Purpose
In the context of the digital economy, information technology (IT) investment has become a necessary way for enterprises to transform digitally. However, why and how IT investment can enhance digital transformation is lacking in the literature. Based on the resource-based view (RBV), this study explored the impact mechanism of IT infrastructure on the digital transformation of enterprises from the perspective of the digital transformation strategy. Further, this study examined the moderating role of top management on the relationships between IT infrastructure and digital transformation strategy and between digital transformation strategy and enterprise's digital transformation.
Design/methodology/approach
Through a questionnaire survey of Chinese enterprises, 180 sample data were collected, and the partial least squares-structural equation modeling (PLS-SEM) method was used to test the hypothesis.
Findings
Digital transformation strategy fully mediates the relationship between IT infrastructure and enterprise digital transformation. Furthermore, top management has a significant positive moderating effect on the relationship between IT infrastructure and digital transformation strategy, as well as the relationship between digital transformation strategy and digital transformation.
Originality/value
This study explores the moderating role of top management in the relationship between IT and enterprise performance, as well as the mediating role of digital transformation strategy in the relationship between IT infrastructure investment and digital transformation performance. As a result, the study adds significantly to the body of knowledge on IT business value, digital transformation and strategic management. The authors' findings can help update managers' perceptions of IT value and provide theoretical guidance on deriving digital transformation performance from IT infrastructure investments.
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Bernard Cova and Bernard Paranque
– The purpose of this paper is to explore brand transformation and the value slippage that can ensue.
Abstract
Purpose
The purpose of this paper is to explore brand transformation and the value slippage that can ensue.
Design/methodology/approach
This is a conceptual paper drawing upon a solid bibliographic base; its intended contribution is to create a linkage among constructs. It mobilizes a socio-economic framework which enables the multiple transformations of the brand to be monitored. Two case vignettes of Nutella brand are used to discuss this brand transformation framework.
Findings
The framework identifies four key brand transformation practices: brand appropriation by consumers forming a brand community, brand “surfeiting” through brand community actions, brand genericization throughout the society and brand regeneration in the market. The discussion highlights four categories of value slippage effects that enable us to ascertain whether the use value generated by the brand community slips – or does not – to another actor who captures it in the form of use or exchange value.
Research limitations/implications
This paper is a conceptual paper.
Practical implications
The challenge for the firm is, therefore, to play an active role in these dynamics to gain ownership of new value that emerges beyond its confines and to offer its shareholders and/or external investors with new spaces within which to grow the value of their capital.
Originality/value
Value slippage concerns the way any actors involved in these processes, particularly brand community members, exploit brand transformation for their own benefit.
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Bo Edvardsson and Bård Tronvoll
The paper aims to conceptualize how behavioral shifts in times of crisis drive the transformation of value co-creation.
Abstract
Purpose
The paper aims to conceptualize how behavioral shifts in times of crisis drive the transformation of value co-creation.
Design/methodology/approach
Referencing two empirical contexts, the paper explores how digital service platforms facilitate changes in actors’ mental models and institutional arrangements (legal, social, technological) that drive transformation of value co-creation in service ecosystems.
Findings
The proposed conceptual framework contributes to existing research by identifying micro-level changes in actors’ mental models and macro-level changes in institutional arrangements enabled by digital service platforms in service ecosystems. In particular, the framework identifies motivation, agility and resistance as moderators of behavioral shifts in times of crisis. This account offers a finer-grained theorization of the moderating factors and underlying mechanisms of service ecosystem transformation but does not extend to the ensuing “new normal.”
Practical implications
The proposed framework indicates how digital platforms support shifts in actors’ behavior and contribute to the transformation of value co-creation. While the enablers are situation-specific and may therefore vary according to the prevailing conditions, the actor-related concepts advanced here seem likely to remain relevant when analyzing the transformation of value co-creation in other crisis situations.
Originality/value
The new conceptual framework advanced here clarifies how behavioral shifts during a crisis drive the transformation of value co-creation and suggests directions for future research.
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Although the generation of social value is the focus of social entrepreneurship, little research attention is paid on how social value and transformation can be created. By…
Abstract
Purpose
Although the generation of social value is the focus of social entrepreneurship, little research attention is paid on how social value and transformation can be created. By adopting a market approach, this study aims to develop a framework showing how social enterprises in tourism/hospitality can generate social value and transformation.
Design/methodology/approach
A thorough literature review revealed that a market approach is an appropriate lens for understanding social entrepreneurship. Consequently, a framework based on “learning with the market” is proposed as a useful tool for identifying, managing and also creating (new) opportunities for social ventures. The justification and the theoretical underpinnings of the market-based framework are further supported by discussing various other theories and concepts.
Findings
The framework identifies three capabilities that social entrepreneurs need to develop for generating social value and transformation: network structure, market practices and market pictures. Several examples from tourism and hospitality social enterprises are analyzed for showing the applicability and usefulness of the framework.
Research limitations/implications
The paper proposes a conceptual framework as well as several research directions for further testing, refining and expanding it.
Practical implications
By applying the framework on several tourism and hospitality social enterprises, the paper provides practical implications about the capabilities that social enterprises should develop for engaging with other market actors to identify and exploit (new) market opportunities for social value co-creation, and influence market plasticity for forming new markets and driving social change.
Social implications
The suggested framework identifies the capabilities and the ways in which (tourism/hospitality) social enterprises can engage with and form markets for co-creating social value and escalating their social impacts through social transformation.
Originality/value
The paper provides a new marketing approach (that overcomes the limitations of traditional economic theories) for understanding how social enterprises can shape, manage and engage with social markets for generating social value.
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