Assessing the readiness of municipalities for digital process innovation

Abstract

Pre-adoption phases of innovation are understudied in the innovation literature. This article addresses pre-adoption phases of innovation by running a prospective analysis. We assess the readiness of municipalities for the adoption of a digital tool that brings about process innovation concerning stakeholder management. Through an online survey, we elicit the public managers’ attitudes and their adoption expectation towards the tool. By drawing on insights from Diffusion of Innovation Theory and Theory of Planned Behaviour, we investigate which attributes of innovation along with managerial, organisational and environmental factors, contribute to a favourable attitude and an increased likelihood of innovation adoption. Our analysis reveals that while the perceived attributes of innovation such as its relative advantage and compatibility are major determinants of attitude formation and adoption expectation, pro-digitalisation beliefs, innovation-oriented organisational culture and environmental context factors such as high population and rates of new residential growth are critical in translation of positive attitudes to increased likelihood of adoption. Hence, in addition to perceived attributes of innovation and managerial characteristics, our findings also highlight the importance of organisational and environmental factors to the adoption expectation, and thus provide a more nuanced understanding of pre-adoption phases of innovation.