Organizational competencies toward digital transformation at the events of disruptive changes: an operational process innovation perspective

Abstract

Purpose Digital transformation becomes the future path for all organizations. Organizations are in need to progress the technology in the event of rapid environmental changes in all aspects. This implies the essential need to adapt to these changes, not only to benefit from the vast opportunities it offers yet even to stay relevant in this instability, complexity, uncertainty and vagueness environment. This paper aims to examine the impact of different variables such as disruptive change, technological process innovation and industry 4.0 (I4.0) on digital transformation. It helps identify the different capabilities needed for digitalization and digital maturity, identify the supporting methods for adopting different technologies and offer answers to overwhelmed those challenges and obstacles resulting in this environment. Design/methodology/approach A quantitative approach was used in conducting this research, whereas a questionnaire survey strategy was used for this investigation. In total, 450 participants have been surveyed from three major private mining organizations in the Jordanian context. Structural equation modeling was used for the analysis stage and hypotheses testing. Findings The results of the analysis revealed that support the direct impact of the event of disruptive change, technological process innovation on digital transformation. In addition, the results showed that there is a positive direct impact of the event of disruptive change on technological process innovation. While I4.0 was found to moderate the relationship between the event of disruptive change and digital transformation. Practical implications Decision-makers are responsible for directing their organization toward digitalization. This transformation needs capabilities that help organizations in competing and survive in this challenging environment. That is, it is essential to increase process innovation and moving toward more adoption of I4.0. However, the event of disruptive change should be considered as a motivation for the organizations rather than an obstacle. Moreover, different populations, methods and other variables that may affect digitalization may generate novel insights in further research. Originality/value Theoretically, novel insights into the event of the disruptive change and its implications have been added to the literature. The models used in the current examination provide new directions for understanding and studying digital transformation and organizational capabilities that are needed for transformation. From the managerial perspective, these findings enhance understanding of practices in which the event of disruptive change supports innovation and highlight the values added through recommending more adopting of I4.0 applications to yield more innovative harvests.