Functional analysis of technological innovation systems enabling digital transformation: A semi-quantitative multicriteria framework applied in the olive sector

Abstract

CONTEXTTechnological innovation systems (TIS) play a key role in facilitating digital transformation (DT) in various sectors. In agriculture in particular, traditional qualitative assessments of TIS fall short of providing actionable insights. The olive sector in Andalusia, a world leader in olive cultivation, is a case where DT is essential for long-term competitiveness and sustainability. OBJECTIVEThe objective of this article is twofold: 1) to provide a comprehensive methodological framework for the functional analysis of a TIS, which allows a semi-quantitative assessment of the performance of a TIS at subfunctional, functional and global levels; and 2) to illustrate the application of this framework to the case of the TIS for the DT of the olive sector in Andalusia. METHODSUsing the Analytic Hierarchy Process (AHP), the framework allows the performance of the TIS for the DT of the olive sector in Andalusia to be measured along different functions, providing a nuanced and actionable assessment. AHP is a multicriteria decision making methodology that allows the decomposition of a discrete decision problem into a hierarchical structure. Expert knowledge was used to evaluate the proposed AHP model of the performance of the TIS for the DT of the olive sector, in particular a panel of 34 experts. RESULTS AND CONCLUSIONSThe application of the framework identified the main weaknesses in the functions of knowledge transfer, business activities and resource mobilisation within the TIS for the DT of the olive sector of Andalusia. Conversely, strengths were identified, particularly in the areas of market formation and knowledge development. Policy recommendations are made to address these weaknesses and capitalise on the strengths identified, thereby accelerating the DT of the sector. SIGNIFICANCEThis study adds to the TIS literature by providing a semi-quantitative, multicriteria, replicable and adaptable framework for agricultural innovation policy. The framework provides actionable insights for policy makers and stakeholders in the olive sector to foster an environment conducive to DT and thereby steer agriculture towards an innovative, competitive and sustainable trajectory. Insights from the olive case offer lessons for DT in similar contexts.