Level Of Digital Transformation Research Articles

The Impact of Digital Transformation on ESGEvidence from the Listed Companies in China

In the digital economy era, the influence of digital transformation on enterprises' ESG performance has received extensive attention. This article selects Chinese A-share listed companies from 2010 to 2022 as samples, constructs a digital transformation index encompassing five dimensions: artificial intelligence, big data, cloud computing, blockchain, and digital technology application, and employs the ESG rating data from Huazheng to measure enterprises' ESG performance. The research discovers that digital transformation significantly and positively affects enterprises' ESG performance. Particularly when external supervision is relatively weak, its promoting effect is more pronounced. Digital transformation enhances enterprises' risk-taking capacity by optimizing resource allocation, strengthening green technology innovation, and improving the quality of information disclosure, thereby elevating enterprises' value creation ability. This article expands the literature research on the influencing factors of enterprises' ESG performance from the micro level of digital transformation, which holds significant importance for improving the digitalization strategies and governance systems of listed companies, further standardizing corporate governance, and enhancing enterprise value.

Does digital transformation matter for international diversification? The role of product market competition

Purpose This study aims to investigate the impact of product market competition on the relationship between firm digital transformation and international diversification. It aims to uncover how competition moderates this relationship and to reveal the nonlinear dynamics between digital transformation and international diversification in strategic decision-making processes. Design/methodology/approach Using a panel logistic regression analysis, this study examines data from 235 Malaysian nonfinancial listed companies from 2012 to 2019. The analysis focuses on the manufacturing and technology industries due to the availability of digital transformation data, leading to a data set of 1,180 year-firm observations. Findings The results reveal a nonlinear relationship between digital transformation and international diversification, intensified by product market competition. Initially, digital transformation positively affects international diversification, but this effect turns negative as competition increases. Robustness checks validate these findings, indicating that competition’s impact varies with the level of digital transformation. Research limitations/implications This study’s findings are based on text analysis as a proxy for digital transformation, which may not fully capture organizational changes. Future research could use reported transformation costs or mandatory disclosures. In addition, this study focuses solely on international diversification, excluding other forms of diversification and financial constraints. Practical implications Policymakers should recognize that high product market competition can negate the benefits of digital transformation on internationalization. They need to balance promoting digital transformation with addressing competitive challenges. Managers should analyze the competitive landscape before pursuing international expansion, as high competition can diminish the advantages of digital transformation. Originality/value This research enriches agency and resource-based view theories by revealing the complex dynamics between digital transformation, competition and international diversification. It introduces a parabolic relationship between competition and diversification, challenging traditional assumptions and providing a comprehensive framework for understanding strategic decisions in competitive environments.

Enterprise digital transformation, accounting information comparability and corporate innovation

In the evolving digital landscape, the digital shift within corporations is pivotal for fostering innovation and elevating competitiveness. This study investigates the impact of digital transformation on enterprise innovation, utilizing a dataset of A-share listed firms from 2010 to 2020. To address sample self-selection, the Propensity Score Matching (PSM) method is employed, dividing enterprises into experimental and control groups based on their level of digital transformation. Additionally, to mitigate endogeneity concerns, all explanatory variables are lagged by one period. The study employs benchmark regression analysis, considering control variables and fixed effects for year and industry, to examine the relationship between digital transformation and innovation. The study constructs models to evaluate the mediating role of accounting information comparability in the relationship between digital transformation and innovation. Notably, a strong positive link is observed between a company’s digital evolution and its innovation capacities, suggesting that this evolution substantially augments innovation. Moreover, the consistency of accounting data further amplifies this effect. Such insights offer strategic guidance for companies aiming to bolster innovation amid their digital journey and underscore the necessity for consistent accounting data.

Creating Organizational Resilience through Digital Transformation and Dynamic Capabilities: Findings from fs/QCA Analysis on the Example of Polish CHP Plants

Digital transformation, organizational resilience, and agility are now becoming key to meeting the competitive challenges of modern organizations. It is no surprise that digital transformation and digital technologies have also begun to significantly impact the energy industry, moving towards improving the sector’s profitability and efficiency. However, to move the difficult process of digital transformation in today’s dynamically changing environment, organizations, including those in the energy sector, need to build organizational resilience. Nevertheless, the relationship between digital transformation and organizational resilience has not yet been explained in a satisfactory and sufficient manner. Focusing on the level of digital transformation, and more precisely within the two dimensions of digital maturity, i.e., digital intensity and transformation management intensity, as well as based on the perspective of dynamic capabilities, this study developed a configurational framework and proposed a theoretical model to study the equifinal paths through which digital transformation and dynamic capabilities influence organizational resilience in energy sector companies. Based on a fuzzy set qualitative comparative analysis (fs/QCA) conducted on selected companies in the energy sector, i.e., Polish CHP plants, the relationship among digital transformation, dynamic capabilities, and organizational resilience was investigated. The results show that a high level of organizational resilience is possible to achieve through two main paths based on the dominance of dynamic capabilities and the dominance of digital maturity. The results show that a high level of organizational resilience is possible to achieve through two main paths based on the dominance of dynamic capabilities and the dominance of digital maturity. The study found that digital maturity can significantly influence CHP resilience. Moreover, the transformation management intensity is strongly related to high organizational resilience. The paper concludes by describing theoretical and practical implications, as well as research limitations and prospects for future research.

Exploring the Mechanisms of Corporate Digital Transformation's Impact on ESG Performance in the Context of Dual Carbon Goals: Evidence from China

Drawing from the 2015-2021 panel data of China's A-share listed companies, this study employs multiple regression analysis to assess the impact of corporate digital transformation (CDT) on ESG performance. Findings suggest a significant positive correlation between the degree of CDT and ESG outcomes. As CDT intensifies, there's a marked improvement in ESG performance. Further analysis uncovers a threshold effect in this relationship, implying the most pronounced positive influence on ESG emerges after reaching a certain level of digital transformation. Robustness checks confirm these core findings. Moreover, the level of corporate profitability doesn't mitigate the positive correlation between CDT and ESG performance. This positive relationship remains significantly evident across both state-owned and private enterprises, with a heightened correlation observed in the state-owned segment. This research enriches the theoretical understanding of the nexus between digital transformation and corporate social responsibility, buttressed by empirical evidence.

أثر التحول الرقمي على وظائف إدارة الموارد البشرية: دراسة تطبيقية على دائرة ضريبة الدخل والمبيعات الأردنية

This study aimed to identify the impact of digital transformation and its application requirements (strategic planning, infrastructure, transformational leadership, organizational change) on human resource management functions (human resource planning, performance management, recruitment, work design, training) in the Jordanian Income and Sales Tax Department. To achieve the objectives of the study and to answer its questions, the study used the analytical-descriptive approach through a field study, and the questionnaire was used as a tool to collect data from the study sample, which is represented by employees in the directorates of the Jordanian Income and Sales Tax Department. The sampling method used was convenience sampling and consisted of 383 responses. The study reached a set of results, the most prominent of which was the presence of a medium degree in the level of digital transformation in the Jordanian Income and Sales Tax Department. The results also showed that there is a statistically significant effect at the level (0.05 ≥ α) of the digital transformation with its dimensions combined on the functions of human resources management with its dimensions combined.

The effect of maturity learn element in Enterprise risk management and corporate social responsibility on the level of digital transformation

AbstractEnterprise Risk Management (ERM) has emerged as a response to globalization and regulatory pressure on firms to manage their risk comprehensively. CSR is related to corporate risk management, as by engaging in CSR activities firms can be more effective in managing stakeholder relationships. Extant studies rarely examine both issues to the level of digital transformation. In the coming years, the issue of digital transformation will have an even bigger impact on business models. The first step in the effective implementation of ERM is the ability of the organization to learn and understand the requirements of ERM implementation in its company. Thus, it is important to examine the effect of the maturity learn element in ERM and CSR as risk management on the level of digital transformation. In addition, this paper also examines the moderating role of CSR on the association between ERM and the level of digital transformation. Our samples consist of manufacturing companies of developed countries in the European Union (which consists of Italy, Spain, Belgium Switzerland, Germany, France, and UK). The paper found evidence that enterprise risk management has a positive significant effect on the level of digital transformation. The paper also found evidence that CSR has a direct effect on the level of digital transformation. However, the paper failed to provide supporting evidence on the moderating role of CSR on the association between ERM and the level of digital transformation.

Corporate digital transformation, governance shifts and executive pay-performance sensitivity

We utilized text mining techniques to gauge a company's level of digital transformation and found that the higher the degree of digitalization, the more apparent the decoupling of executive compensation from performance, indicating lower sensitivity of executive pay to performance outcomes. Within the framework of agency theory, digital technology empowers shifts in corporate governance models, enabling process-based behavioral monitoring and constraining governance mechanisms, thereby reducing reliance on outcome-based incentive mechanisms. Heterogeneous analysis reveals that the substitutive effect of digitization on the pay-performance sensitivity is more pronounced in companies with lower executive ownership. These companies often rely more on compensation incentives in the absence of digital technology. Moreover, the effectiveness of digital technology in enhancing governance depends on the user's wealth of knowledge and technical proficiency. We additionally confirmed that digital transformation has a positive impact on mitigating agency problems, as it enhances information quality, improves internal control standards, reduces excessive perk, and diminishes managerial short-termism. In essence, digital transformation indeed elevates governance regime. Furthermore, we discovered that digitalization increases the association between compensation and executive effort. Our research findings provide a fresh perspective on corporate governance and executive incentive mechanisms in emerging markets.

The impact of corporate digital transformation on firms’ performance in utilities sector

In the evolving business landscape, utility firms are undergoing transformative digital changes. The purpose of this study is to examine the unexplored link between utility firms' digital transformation and performance, by utilizing unique data from Chinese listed utilities. Empirical findings show a positive correlation between digital transformation and enhanced performance, with financial constraints and environmental performance as identified mechanisms. The research enriches understanding of digital transformation's economic consequences, providing practical insights for implementation, especially for environmentally conscious firms. Considering textual analysis and sample size limitations, future studies could assess utility firms' digital transformation across diverse economies with a more thorough evaluation of a firm's level of digital transformation.

Exploring the Impact of Artificial Intelligence and Digital Transformation on Auditing Practices in Saudi Arabia: A Cross-Sectional Study

The advent of digital technologies and the increasing adoption of artificial intelligence (AI) have transformed various industries and firms, including auditing. Manual auditing procedures have proven to be time-consuming and labor-intensive, leading to lower audit quality and higher costs. The integration of digital transformation and AI in auditing practices offers potential solutions to enhance efficiency and effectiveness in Saudi Arabia. Therefore, this research focuses on examining the impact of digital technologies and AI on audit efficiency, effectiveness, challenges faced during adoption, adjustments in auditors' roles, and the regulatory and ethical considerations arising from the integration. A cross-sectional research design was adopted to collect data from a sample of 400 participants through an online survey, analyzed by statistical tools, including descriptive statistics and correlation and examined the relationships between variables. The findings indicate a positive relationship between the level of digital transformation and the adoption of AI in auditing practices in Saudi Arabia, along with significant challenges, such as resistance to change, technological infrastructure, skills gap, and regulatory compliance concerns, paving a way for further advancements in the field of auditing and digital transformation.

Digital Maturity Assessment Model for the Organizational and Process Dimensions

(1) Background: Ongoing research indicates that it is reasonable to separate a company’s digital maturity assessment by relating it to organization and process levels. The lack of such models in the literature should be considered a research gap. This article aims to present a model framework for assessing enterprise digital maturity that considers two dimensions—organizational and process. The organizational dimension reflects the overall level of digital transformation and refers to the implemented concepts, solutions, and management tools covering the entire enterprise structure. The process dimension focuses on the level of operational divisions. (2) Methods: Analyses were conducted according to the developed research procedure, which included five steps. The research used the following methods: a critical literature analysis, an analysis of the obtained results and their synthesis for the formulated model, and verification and validation of the developed assessment tool and procedure in a selected enterprise based on interviews with managers and direct observations. (3) Results: Based on the literature review, eleven digital maturity areas of the model were defined, and five levels of assessment were formulated for each area. A diagnostic tool for enterprise self-assessment consisting of 105 questions was also developed. (4) Conclusions: The developed model was positively reviewed by the managers of the assessment team that audited the selected enterprise based on it.

The research on non-linear relationship between enterprise digital transformation and stock price crash risk

This paper uses data from Chinese A-share listed enterprises to examine digital transformation’s impact and intrinsic mechanisms on the risk of stock price collapse. This paper finds that the impact of digital transformation on the risk of stock price collapse follows an inverted U-shaped trend characterized by initial exacerbation followed by subsequent suppression. Furthermore, we find that as most Chinese enterprises are still positioned at the left end of the inverted U-shaped curve in terms of their level of digital transformation, the impact of digital transformation on the risk of the stock price collapse is mainly characterized by exacerbation. Moreover, we discover that digital transformation influences the risk of stock price collapse by increasing agency costs and fostering managerial overconfidence. Lastly, the heterogeneity analysis results indicate that digital transformation’s impact on the risk of stock price collapse varies among different types of enterprises. The exacerbation effect of the former on the latter is primarily observed in small-sized and non-high-tech enterprises. Additionally, as the digital transformation progresses, large-sized enterprises and high-tech enterprises can benefit more rapidly from its positive empowering effects.

Digital transformation along the supply chain

In the last two decades, digital transformation has been critical for firms' survival and development. Thus, it is important to understand what factors might help facilitate firms' digital transformation. We investigate this problem in the supply chain context by examining whether and how a supplier's major customers influence its digital transformation. Using a sample of Chinese public firms from 2007 to 2020, we document that major customers' level of digital transformation is positively associated with their supplier's level of digital transformation, and the effect is more pronounced when customers are of greater importance to suppliers. The finding holds to a battery of robustness tests. Cross-sectional tests reveal that the impact of customers' digital transformation on suppliers' digital transformation is stronger for suppliers with technology-experienced executives, more high-skilled labor, fewer financial constraints, and narrower digital gap. Moreover, suppliers headquartered in regions with more digital infrastructure also show a more pronounced effect. Further analyses show that the underlying channels through which customers impact their supplier's digital transformation are knowledge transfer and market competition. Finally, we show that suppliers' digital transformation helps increase innovation outcomes. Overall, our paper extends prior literature on the real effects of customer-supplier relationships on suppliers' digital investment decisions.

THE EVOLUTION OF DIGITAL TRANSFORMATION IN SMES IN THE MANUFACTURING INDUSTRY IN THE DIFFERENT BLOCKS OF THE BM CANVAS SINCE THE BEGINNING OF THE PANDEMIC

Purpose – The following article focuses on assessment of the evolution of digital transformation in SMEs in the manufacturing industry since the beginning of the pandemic. The digital transformation is assessed in the different blocks of the BM Canvas. The main objective of the paper is to evaluate the impact of the pandemic on the development of digital transformation, and to assess whether it is still influencing it now, or vice versa, or no longer has such an impact. Research methodology – The digital transformation is examined in each block of the Business Model Canvas (BM Canvas) from the beginning of the pandemic to the current state. The individual data is obtained from a survey conducted among 18 SMEs. Small and medium-sized enterprises in the manufacturing industry are examined. The survey is based on semi-structured interviews with SME´s management representatives. The collected data is then processed by examining the average rate of digital transformation in each block, the modus, and the median. The focus was again on developments and changes in the digital transformation of enterprises. The data was collected for three periods – before the pandemic (2019), during the pandemic (2021) and now (July 2022). Findings – The paper shows the evolution of digital transformation in the different building blocks of the BM Canvas for SMEs in the manufacturing industry since the beginning of the pandemic. The evolution of digital transformation varies across the BM Canvas blocks. For the Channels block, as of July 2022, there has been a decrease in the average digital transformation rate. The other blocks have seen an increase and continue to develop. However, the increases are no longer as high as in 2021. Whether digital transformation will continue to develop for individual blocks in future periods is a suitable research question for further research. The findings show that the changes and developments vary from building block to building block. It was found that the importance of each building block changed during the pandemic for each firm representative. The results provide the basis for the analysis of the development and change of BM Canvas for individual companies. Research limitations – At the moment, the current situation in Ukraine, in addition to the COVID-19 pandemic, is playing a major role in SMEs activities as it affects companies. This conflict was not considered in the research, and the development since the beginning of the pandemic was followed. Practical implications – This research highlights how the digital transformation of individual SMEs in the manufacturing industry is evolving. It highlights the impact of the pandemic, which has undoubtedly increased the growth of digital transformation rates. For future research, these results can be very useful, as other influences on the rates of digital transformation can be investigated. Originality/Value – The research was carried out on the basis of primary data collected by the authors themselves. The data were processed and evaluated. The results of the research show how the level of digital transformation in different blocks of the BM Canvas has evolved from the beginning for each SME in the manufacturing industry.

Research on measurement and disequilibrium of manufacturing digital transformation: Based on the text mining data of A-share listed companies

<abstract> <p>Quantitative analysis of digital transformation is an important part of relevant research in the digital field. Based on the annual report data of China's manufacturing listed companies from 2011 to 2019, this study applies cloud computing to the mining and analysis of text data, and uses the Term Frequency-Inverse Document Frequency method under machine learning to measure the digital transformation index value of manufacturing enterprises. The results show that: (1) On the whole, the current pace of digital transformation of manufacturing enterprises continues to accelerate, and the digital transformation of manufacturing has gradually spread from the eastern coastal areas to the central and western inland areas. (2) In horizontal comparison, among the five types of "ABCDE" digital modules constructed, artificial intelligence develops the fastest, cloud computing index value is second, and block chain value is the smallest. In vertical comparison, the leading provinces such as Beijing, Guangdong, and Shanghai have certain stability and a solid leading position, and there are occasional highlights in the central and western provinces. (3) In terms of polarization distribution, the digitalization of the manufacturing industry has obvious multi-peak patterns, showing the phenomenon of multi-polarization of digital services. The eastern region has both aggregate advantages and equilibrium disadvantages. (4) In terms of industry differences, the level of digital transformation in the high-end manufacturing industry is significantly higher than that in the mid-end and low-end industries. On the ownership attributes of enterprise digital transformation, private enterprises are the highest, followed by foreign-funded enterprises, and state-owned enterprises are the lowest. This research provides theoretical enlightenment and factual reference for manufacturing enterprises to carry out digital activities.</p> </abstract>

Nano-Scale Ga2O3 Interface Engineering for High-Performance of ZnO-Based Thin-Film Transistors

Thin-film transistor (TFT) is a essential device for future electronics driving the next level of digital transformation. The development of metal-oxide-semiconductor (MOS) TFTs is considered one of the most advantageous devices for next-generation, large-area flexible electronics. This study demonstrates the systematic study of the amorphous gallium oxide (a-Ga2O3) and its application to nanocrystalline ZnO TFTs. The TFT with a-Ga2O3/c-ZnO-stack channel exhibits a field-effect mobility of ∼41 cm2 V-1 s-1 and excellent stability under positive-bias-temperature stress. The a-Ga2O3/c-ZnO-stack TFT on polyimide (PI) substrate exhibits a negligible threshold voltage shift upon 100k bending cycles with a radius of 3 mm and is very stable under environmental test. The smooth morphology with tiny grains of ∼12 nm diameter with fewer grain boundary states improves the charge transport in Ga2O3/ZnO-stack TFT. The existence of amorphous a-Ga2O3 in between very thin ZnO layers helps to enhance the heterointerfaces and reduce the defect density in Ga2O3/ZnO interface. Therefore, integrating a-Ga2O3 in the ZnO channel in stacked TFT can increase mobility and enhance stability for next-generation flexible TFT electronics.

Intelligent evaluation method of bank digital transformation credibility based on big data analysis

In order to measure the quality and level of digital transformation of banks, we evaluate its credibility. Due to the backwardness of data processing technology, the existing credibility evaluation methods have the defects of low validity of evaluation results, which indicates that the evaluation results are one-sided and can not meet the needs of today’s digital transformation of banks. Therefore, this paper proposes an intelligent evaluation method for the credibility of digital transformation of banks based on big data analysis. This paper analyzes the digital transformation strategy of banks in detail. On this basis, it introduces big data analysis technology, selects credibility intelligent evaluation index, constructs credibility intelligent evaluation model, formulates credibility intelligent evaluation steps of digital transformation of banks according to the construction model, and implements the steps to realize the intelligent evaluation of digital transformation credibility of banks. The experimental data show that: compared with the existing methods, the validity data of the evaluation results of the proposed method is larger, which fully confirms the effectiveness and feasibility of the proposed method and is suitable for vigorously promoting and applying.

New Clinical Research Methods and Technologies

What types of innovative clinical studies are we expecting for the coming years? Four main trends are becoming clear.
 Firstly, we will see technological solutions, apps and platforms, becoming widely available to support trial designs. Electronic informed consent (eConsent) and web-based questionnaires are two new trial elements to influence methodologies. Especially relevant is that eConsent, the digital consent process for patient enrolment to confirm participant comprehension is significantly streamlining clinical research overall.
 A second key trend, is the adoption of decentralised and hybrid clinical research design. Decentralised designs are expected to reduce research costs and te adoption of telehealth will significantly reduce study administration costs, and improve recruitment and participant retention
 A third key trend is the adoption of electronic patient-reported outcome (ePRO), another technology that will gain significance in parallel to the growth of real-world evidence (RWE) and real-world data (RWD) which are more widely accepted as methodologies. One procedure that will become common being ePRO allowing patients to complete and submit information about symptoms, side effects, drug timing and more, using electronic devices related to clinical research.
 A fourth key trend, will be adoption of artificial intelligence (AI), Big Data, application programming interfaces (APIs) and digital platforms expected to improve patient selection, enhance data collection, integration and analysis, while at the same time reduce time, this level of digital transformation would improve both pre-clinical and clinical research.
 Clinical trial data is diverse and multi-modal. It can come from patients, clinicians, devices such as wearables and other sources. This being a key change in clinical research occurring at fast pace, will change clinical research publishing too.

The interplay of digital transformation and employee competency: A design science approach

Businesses and academia alike agree upon the significant influence of digitalization on the business world. Hence, digital transformation is a very topical issue. While researchers underline that the movement toward digitalization is a challenge influencing various dimensions, studies to date have largely focused on the technological and organizational aspects of digitalization. Consequently, there is a gap in digital transformation concerning the role of human resources and employee competency. This paper adopts a human-centered view of digitalization at the intersection of digital and human transformation. Drawing on design science research (DSR), we developed a framework as an artifact that takes into account individual employee competency related to an organization's level of digital transformation. As suggested by DSR, the framework was developed in iterations and refined after evaluation by various domain experts in academia and business. The final framework illustrates the interplay between the individual and organizational levels; in particular, employees’ transformation competency (intrapreneurial and digital competencies) driving digital transformation. Our findings suggest that the development of intrapreneurial competencies is dynamic. Based on an intrapreneurial journey, employee competencies function as triggers to reach the next level of digital transformation. As such, employee competency is crucial in enabling an organization's transformation toward digitalization.

Leadership in the face of digital transformation in an Ecuadorian manufacturing company in 2020

The present research focused on determining the predominant leadership style in the productive areas of an Ecuadorian manufacturing company, and the level of digital transformation during the year 2020. The study was developed through cross-sectional descriptive research. The multifactorial leadership questionnaire and key performance indicators were used as instruments, which were applied digitally using Google forms. The population studied was 151 workers and the sampling technique was probabilistic. The results allowed determining that 74% of the transformational leadership guidelines are practiced, 77% of transactional leadership and 9% of laissez-faire. The level of digital transformation had an increase of 19% in the fourth quarter compared to the first quarter of the year, evidencing in practice the implementation of automation mechanisms, use of digital media and documents and implementation of technology. It was concluded throughnthe literature and theoretical review that to face the technological advance, the transformation leadership style with all its dimensions is the most appropriate because it promotes development, innovation and knowledge management