Abstract

This paper aims to study how firms must be agile to overcome risks and manage cost repercussions. Specifically, it focuses on promoting digitalization in Indian food SMEs for greater competitiveness. The main purpose is to design a model for implementing robust interventions in a rational manner. To achieve this, a mixed approach, including a literature review and the Decision-Making Trial and Evaluation Laboratory (DEMATEL) method, was chosen. This approach is recommended for addressing barriers to digital transformation in SMEs. The results suggest that the absence of internet connectivity and problems related to organization impede the efficiency of operations in small and medium-sized Indian food businesses. By overcoming these obstacles and allocating resources to enhance their digital capacities, stakeholders can effectively shape their future business operations. In addition, it is imperative for the stakeholders to actively adopt and utilize a range of digital tools such as blockchain, IoT, Big Data, and cloud computing. To implement and sustain digital transformation effectively, three foundational elements are crucial: internet availability, financial resources, and employee training. This research offers an innovative approach to the practiceners and mangers to adopt digital transformation of Indian food SMEs.

Abstract

Digital transformation (DT) is widely acknowledged as a pivotal factor for business growth and competitiveness across various sectors. Nevertheless, its adoption among small- and medium-sized enterprises (SMEs) remains a considerable challenge, often constrained by a lack of resources and technical expertise. This study seeks to address this gap by examining the key drivers, barriers, and enablers influencing DT adoption in SMEs within the food manufacturing (FM) sector, an industry characterised by stringent regulatory requirements and limited resources. A systematic literature review was conducted, covering publications from 2000 to 2025. The review synthesised the findings using six theoretical frameworks: technology–organisation–environment, resource-based view, dynamic capabilities, institutional theory, sociotechnical systems theory, and diffusion of innovation. The review identified that the adoption of DT in food manufacturing SMEs (FM-SMEs) is primarily driven by the need to enhance operational efficiency, ensure regulatory compliance, and meet consumer demands for transparency and sustainability. However, its adoption has been hindered by financial constraints, regulatory complexity, and limited digital expertise. Practical strategies to address these challenges include adopting modular technologies, enhancing workforce capabilities, and implementing supportive policy measures. Unlike prior cross-sector reviews, this study provides a sector-specific roadmap for DT in FM-SMEs. It offers actionable recommendations for researchers, practitioners, and policymakers and identifies future research priorities, such as the development of tailored evaluation models and the promotion of multi-stakeholder collaboration.

Abstract

Purpose: The new competitive environment characterized by innovation and constant change is forcing a new organizational behavior. This requires a digital transformation of SMEs based on collective performance determinants. SMEs have particular characteristics that differentiate them from large companies and a model that allows them to identify, leverage and develop their digital capabilities can help them to advance in digital maturity.Design/methodology/approach: An in-depth review of the existing literature on digital transformation and organizational competence was carried out on Scopus and Web of Science to identify the digital challenges faced by SMEs, and what digital capabilities they have to develop to face these challenges. In order to obtain the necessary information for the refinement of organizational competence for digital transformation model, six experts were interviewed; three of them are academics and the other three are professionals with management responsibilities in SMEs. We used semi-structured interviews, to keep the interviews focused and facilitate cross-data analysis between experts. In addition, it allowed us the possibility of analyzing new relevant aspects that could arise during the interview.Findings: As a result of this study we have developed a refined model of organizational competence for digital transformation that allows SMEs to identify and develop the digital capabilities necessary to advance in the digital transformation, refined with the opinions of six experts consulted. We were able to observe the importance of organizational learning and organizational knowledge to advance the digital transformation of SMEs.Originality/value: The developed model is useful for SME managers to know what the initial starting situation is, what the digital gaps are and to be able to plan the actions to develop the necessary digital capabilities to advance towards digital maturity.

Abstract

ABSTRACT The study explores digital transformation in agrifood small and medium enterprises (SMEs) through a framework of dynamic capabilities. The research question is addressed to identify unique firms’ capabilities to face the change in agrifood environments. The study adopts a qualitative approach and is based on in-depth interviews of 21 key respondents such as CEOs, owners, and managers of both public bodies and agrofirms in Sardinia (Italy). As new concepts, the study finds that distinctive dynamic capabilities are led by a sense of belonging in territorial value-oriented enterprises and collaboration among firms’ stakeholders, who feel as members of an extended family. It also shows that personal capabilities are associated with a gender domain and that digitalization reshapes not only organizational structures but also societal ones. The study aims to contribute theoretically and empirically through novel meanings of dynamic capabilities for digital transformation in the context of small and medium-sized agrofirms.

Abstract

Digital transformation is a challenge that many SMEs find difficult to embrace. This difficulty is not due to a lack of will or resources but to the lack of the right strategies for the type of organisation that is an SME. It is a common and accepted opinion that many of the digital transformation projects fail or do not achieve the proposed objectives because of the chosen strategy. Digital transformation cannot be seen as a mere evolution of technologies but as a need to shape the entire business of the organisation. The increase in e-commerce has forced SMEs to embark on this disruptive process based on globalisation and digital business. In this work, we seek to understand what kind of strategy an SME in the retail industry should follow for a correct digital transformation of its business model. Studies on digital transformation in SMEs from various economic industries were analysed to obtain knowledge and examples of strategies used in digital transformation implementation projects. This preparatory work was used to propose an appropriate conceptual model for the digital transformation of retail SMEs and to create a prototype script to support the choice of the digital transformation strategy for these companies. To prove the validity of the prototype, we applied the support guide in a practical case of digital transformation of a business process in a retail SME.

Abstract

In addition to causing dramatic damage to people's health, the coronavirus has affected also the financial health of companies worldwide. Among them, SMEs (small and medium‐sized enterprises) tend to be more vulnerable. Characteristics such as scarcity of financial resources and lack of specialized knowledge make their situation even harder. This pandemic has resulted in increased digital transformation, changes in customer behavior and the managerial and technological knowledge gap to address them. Therefore, this article discusses the general weaknesses, strengths, challenges and opportunities for SMEs to face this pandemic, and how the field of knowledge management (KM) can help. Based on the concepts of organizational resilience, we drafted a conceptual model to illustrate how their first responses were and how they could become more adapted. First, we conducted a literature search to investigate how SMEs responded to this scenario. We found responses to the financial impacts in the form of mass layoffs, temporary and permanent closures, bootstrapping of digitalization and strategic alliances. In the discussions section, we raise some key questions to demonstrate how knowledge can improve the role of digital transformation. We approach how a KM strategy could start from organizational resilience concepts to assist SMEs to seize digital transformation opportunities. As practical implications, our research raises awareness of digital transformation's role as a set of tools to adapt during and after the pandemic, along with resilience engineering and knowledge management principles. Future researchers can use this report as a conceptual guide to start their own response and adaptation plans.

Abstract

This study explores critical factors influencing digital transformation in small and medium-sized enterprises (SMEs), focusing on management support, employee skill development, and technology adoption. Drawing on the Technology-Organization-Environment (TOE) framework and Organizational Learning Theory, three hypotheses were tested using survey data from 303 SMEs across manufacturing, services, retail, and IT sectors in emerging industrial regions of central and western of China. Through correlation analysis and multiple regression analysis, results reveal that (1) digital leadership enhances technology adoption, (2) employee skill development is vital to transformation success, and (3) technology adoption improves financial performance. The study highlights challenges such as uneven digital infrastructure and policy disparities and offers region-specific strategies to address them. These insights serve as a practical roadmap for policymakers and SME leaders, stressing the need to align digital initiatives with local socio-economic conditions. The findings also have global relevance, as SMEs in developing regions like Southeast Asia, Latin America, Eastern Europe, and Africa face similar obstacles including limited infrastructure, skill shortages, uneven policy support, and resource constraints. This makes these findings widely applicable insights for international policymakers and business leaders.

Abstract

In today’s digital landscape, Small and Medium Enterprises (SMEs) face numerous opportunities and challenges. Digital transformation has become essential for these enterprises to enhance competitiveness, expand market reach, and foster innovation, especially in urban settings. This study examines how digital transformation can optimize economic potential for SMEs in Banda Aceh, Indonesia—a region with a vibrant yet digitally underserved SME sector. Despite contributing significantly to Indonesia’s Gross Domestic Product (GDP) and employment, digital adoption among local SMEs is hindered by infrastructural limitations, low digital literacy, and financial constraints. Employing a qualitative methodology, this research analyzes data from a stratified random sample of 100 SMEs across key sectors, including food, handicrafts, and textiles—core components of Banda Aceh’s local economy. Findings reveal that SMEs utilizing digital tools report sales increases of up to 60%, highlighting the substantial impact of digital integration on business performance. However, the study also identifies persistent barriers to digitalization, primarily involving inadequate infrastructure and skill gaps. To address these issues, the study offers evidence-based recommendations for enhancing digital infrastructure, expanding access to training, and fostering public-private partnerships aimed at accelerating digital transformation within Banda Aceh’s SME sector. By providing insights into the digitalization of urban SMEs, this research contributes to a broader understanding of how emerging economies can leverage digital transformation to drive sustainable growth. These findings have significant implications for policymakers, business leaders, and stakeholders seeking to build a more inclusive digital economy.