The role of information technologies (ITs) in firms’ resource orchestration process: A case analysis of China’s “Huangshan 168”

Abstract

This case analysis considers how digital disruption is reaching beyond technology to engulf traditionally considered low-tech industries and influence conventionally viewed non-digital businesses. For incumbent firms in these low-tech industries, the disruption brings not only plenty of opportunities but also numerous threats. Firms that quickly embrace the digital era by profoundly changing their incumbent strategies, systems, operational habits, and business models have great chances to outperform their competitors and succeed within this dynamic environment. One digital strategy that might be adopted by incumbent firms in the low-tech industries to seize the opportunities brought by digital disruption is to integrate their resource orchestration actions with advanced information technologies (ITs). Given the strong connection between firms’ resource orchestration actions and their competitive advantages, as well as the increasingly vital role of ITs in contemporary business operations, it is an imperative to investigate the impacts of ITs on the resource orchestration processes of modern enterprises. Additionally, for incumbent firms operating in the low-tech industries, integrating their resource management with modern ITs might help them effectively identify and accumulate unique resources, develop their capabilities, and create value through continuous reconfiguration of resources. Therefore, low-tech firms that strive to adopt modern information technologies in their resource orchestration process are more likely to achieve improved organizational performance and competitive advantages than their competitors.