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

Ardian Adhiatma · Olivia Fachrunnisa · Nurhidayati Nurhidayati · Tina Rahayu

51 citations0/0 files storedJournal of Science and Technology Policy Management

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Corporate Management and Leadership Innovation and Knowledge Management Collaboration in agile enterprises

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.

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References

1981Evaluating Structural Equation Models with Unobservable Variables and Measurement Error 1986Self-Reports in Organizational Research: Problems and Prospects 2002Deliberate Learning and the Evolution of Dynamic Capabilities 2003A Partial Least Squares Latent Variable Modeling Approach for Measuring Interaction Effects: Results from a Monte Carlo Simulation Study and an Electronic-Mail Emotion/Adoption Study 2017Business models and dynamic capabilities 2009A theory of organizational readiness for change 1993Creating Readiness for Organizational Change 2005The Problem of Measurement Model Misspecification in Behavioral and Organizational Research and Some Recommended Solutions.

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