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Digital strategy implementation: the role of individual entrepreneurial orientation and relational capital

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journal contribution
posted on 19.07.2021, 13:09 authored by Paavo Ritala, Abayomi Baiyere, Mathew HughesMathew Hughes, Sascha Kraus
In transformational strategy contexts such as digitalization, the entrepreneurial behavior of the firm’s employees is crucial. This study examines the role of employees’ individual-level entrepreneurial orientation (IEO) in terms of proactiveness, risk-taking, and innovativeness, and their relational capital within the organization, on their performance in achieving organizations’ digital strategy goals. We hypothesize that all IEO dimensions are positively associated with employees’ digital strategy performance and that relational capital positively moderates the effect of proactiveness and risk-taking but negatively moderates the effect of innovativeness. The results of an intra-organizational survey of 166 employees at a medium-sized Northern European manufacturing firm provide partial support for our hypotheses. As part of the empirical design, we introduce a four-dimensional scale for organizational and individual digital strategy performance (Digital – Management, Infrastructure, Networking, and development – MIND). With this scale, we contrast the informants’ self-assessment of their individual performance against the assessment of the overall organizational performance. Our study is one of the first to investigate IEO in a digital strategy context and provides implications for harnessing employees' entrepreneurial and innovative potential in digital transformation.

Funding

PoDoCo – Post Docs in Companies

History

School

  • Business and Economics

Department

  • Business

Published in

Technological Forecasting and Social Change

Volume

171

Publisher

Elsevier

Version

VoR (Version of Record)

Rights holder

© The authors

Publisher statement

This is an Open Access Article. It is published by Elsevier under the Creative Commons Attribution 4.0 Unported Licence (CC BY). Full details of this licence are available at: http://creativecommons.org/licenses/by/4.0/

Acceptance date

11/06/2021

Publication date

2021-06-25

Copyright date

2021

ISSN

0040-1625

Language

en

Depositor

Prof Mat Hughes. Deposit date: 14 June 2021

Article number

120961