Digital Technology's Role in Sustainable Business Models and Performance Enhancement
Keywords:
Digital Technology, Sustainable Business Models, Collective Intelligence, Scaling, Business Process PerformanceAbstract
This study investigates the role of digital technology in enhancing sustainable business models, collective intelligence, and scaling to improve business process performance. Conducted as qualitative research, it employs a Systematic Literature Review (SLR) method, analyzing 20 Scopus-indexed journals ranked in Quartile 1 (Q1) to Quartile 2 (Q2) from 2019 to 2024. The data were processed using content analysis, focusing on digital technologies such as big data, the Internet of Things, cloud computing, cyber-physical systems, machine learning, artificial intelligence, and digital platforms. The findings demonstrate that digital technology supports businesses in understanding evolving customer needs, facilitating efficient and accurate decision-making, and enhancing customer engagement, crucial for business growth and scalability. Key benefits include improving customer experience, segmentation, retention, and engagement, reducing operational costs, increasing team collaboration, and evaluating environmental risks. These advantages provide businesses with a competitive edge by fostering sustainable practices and effective customer engagement. The advantages derived from the implementation of digital technologies can be felt from various economic, social, and environmental aspects. However, the study acknowledges limitations, including restricted data collection due to limited relevant research and variations in technological literacy across regions. Despite these challenges, the research underscores the transformative role of digital technology in advancing sustainable and competitive business processes
References
Antonizzi, J., & Smuts, H. (2020). The Characteristics of Digital Entrepreneurship and Digital Transformation: A Systematic Literature Review. https://doi.org/10.1007/978-3-030-44999-5_20
Audretsch, D. B., Lehmann, E. E., Paleari, S., & Vismara, S. (2016). Entrepreneurial Finance and Technology Transfer. Journal of Technology Transfer, 41(1), 1–9. https://doi.org/10.1007/s10961-014-9381-8
Boimabeau, E. (2009). Decisions 2.0: The Power of Collective Intelligence. MIT Sloan Management Review, 50(2). https://sloanreview.mit.edu/article/decisions-20-the-power-of-collective-intelligence/
Böttcher, T. P., Empelmann, S., Weking, J., Hein, A., & Krcmar, H. (2024). Digital sustainable business models: Using digital technology to integrate ecological sustainability into the core of business models. Information Systems Journal, 34(3), 736–761. https://doi.org/10.1111/isj.12436
Bradley, P., Parry, G., & O’Regan, N. (2020). A Framework to Explore the Functioning and Sustainability of Business Models. Sustainable Production and Consumption, 21, 57–77. https://doi.org/10.1016/j.spc.2019.10.007
Brehmer, M., Podoynitsyna, K., & Langerak, F. (2018). Sustainable business models as boundary-spanning systems of value transfers. Journal of Cleaner Production, 172, 4514–4531. https://doi.org/10.1016/J.JCLEPRO.2017.11.083
Briel, F. von, Davidsson, P., & Recker, J. (2017). Digital Technologies as External Enablers of New Venture Creation in the IT Hardware Sector. Https://Doi.Org/10.1177/1042258717732779, 42(1), 47–69. https://doi.org/10.1177/1042258717732779
Broccardo, L., Zicari, A., Jabeen, F., & Bhatti, Z. A. (2023). How digitalization supports a sustainable business model: A literature review. Technological Forecasting and Social Change, 187(April 2022). https://doi.org/10.1016/j.techfore.2022.122146
Brock, J. K. U., & von Wangenheim, F. (2019). Demystifying AI: What Digital Transformation Leaders Can Teach You About Realistic Artificial Intelligence. California Management Review, 61(4), 110–134. https://doi.org/10.1177/1536504219865226
Chen, A., Li, L., & Shahid, W. (2024). Digital transformation as the driving force for sustainable business performance: A moderated mediation model of market-driven business model innovation and digital leadership capabilities. Heliyon, 10(8), e29509. https://doi.org/10.1016/j.heliyon.2024.e29509
Corrales-Garay, D., Mora-Valentín, E. M., & Ortiz-de-Urbina-Criado, M. (2020). Entrepreneurship Through Open Data: An Opportunity for Sustainable Development. Sustainability (Switzerland). https://doi.org/10.3390/su12125148
Cricelli, L., Grimaldi, M., & Vermicelli, S. (2021). Crowdsourcing and Open Innovation: A Systematic Literature Review, An Integrated Framework and A Research Agenda. In Review of Managerial Science (pp. 1–42). Springer. https://doi.org/10.1007/s11846-021-00482-9
Dellermann, D., Lipusch, N., Ebel, P., & Leimeister, J. M. (2020). The Potential of Collective Intelligence and Crowdsourcing for Opportunity Creation. International Journal of Entrepreneurial Venturing, 12(2), 183–207. https://doi.org/10.1504/IJEV.2020.105569
Elia, G., & Margherita, A. (2016). A Collective Intelligence Platform for Developing Technology Entrepreneurship Ecosystems. Creating Technology-Driven Entrepreneurship, 195–220. https://doi.org/10.1057/978-1-137-59156-2_7
Elia, G., Margherita, A., & Passiante, G. (2020). Digital Entrepreneurship Ecosystem: How Digital Technologies and Collective Intelligence are Reshaping the Entrepreneurial Process. Technological Forecasting and Social Change. https://doi.org/10.1016/j.techfore.2019.119791
Frank, A. G., Mendes, G. H. S., Ayala, N. F., & Ghezzi, A. (2019). Servitization and Industry 4.0 Convergence in the Digital Transformation of Product Firms: A Business Model Innovation Perspective. Technological Forecasting and Social Change, 141, 341–351. https://doi.org/10.1016/j.techfore.2019.01.014
Garrido, P. (2009). Business Sustainability and Collective Intelligence. Learning Organization, 16(3), 208–222. https://doi.org/10.1108/09696470910949935
Gavriushenko, M., Kaikova, O., & Terziyan, V. (2020). Bridging Human and Machine Learning for the Needs of Collective Intelligence Development. Procedia Manufacturing, 42, 302–306. https://doi.org/10.1016/j.promfg.2020.02.092
Grandhi, B., Patwa, N., & Saleem, K. (2021). Data-Driven Marketing for Growth and Profitability. EuroMed Journal of Business, 16(4), 381–398. https://doi.org/10.1108/EMJB-09-2018-0054
Gregori, P., & Holzmann, P. (2020). Digital sustainable entrepreneurship: A business model perspective on embedding digital technologies for social and environmental value creation. Journal of Cleaner Production, 272, 122817. https://doi.org/10.1016/j.jclepro.2020.122817
Hajishirzi, R., Costa, C. J., & Aparicio, M. (2022). Boosting Sustainability through Digital Transformation’s Domains and Resilience. Sustainability (Switzerland), 14(3), 1822. https://doi.org/10.3390/su14031822
He, J., & Ortiz, J. (2021). Sustainable Business Modeling: The Need for Innovative Design Thinking. Journal of Cleaner Production, 298, 126751. https://doi.org/10.1016/J.JCLEPRO.2021.126751
Jafari-Sadeghi, V., Garcia-Perez, A., Candelo, E., & Couturier, J. (2021). Exploring the Impact of Digital Transformation on Technology Entrepreneurship and Technological Market Expansion: The Role of Technology Readiness, Exploration and Exploitation. Journal of Business Research. https://doi.org/10.1016/j.jbusres.2020.11.020
Kelestyn, B., Henfridsson, O., & Nandhakumar, J. (2017). Scaling the User Base of Digital Ventures through Generative Pattern Replication: The Case of Ridesharing. Proceedings of the Annual Hawaii International Conference on System Sciences, 2017-Janua, 4776–4785. https://doi.org/10.24251/hicss.2017.581
Khan, I. S., Ahmad, M. O., & Majava, J. (2021). Industry 4.0 and sustainable Development: A Systematic Mapping of Triple Bottom Line, Circular Economy and Sustainable Business Models Perspectives. In Journal of Cleaner Production (Vol. 297, p. 126655). Elsevier. https://doi.org/10.1016/j.jclepro.2021.126655
Lai, W. H., & Lin, C. C. (2015). Constructing business incubation service capabilities for tenants at post-entrepreneurial phase. Journal of Business Research, 68(11), 2285–2289. https://doi.org/10.1016/j.jbusres.2015.06.012
Li, X., Zhang, L., & Cao, J. (2023). Research on the mechanism of sustainable business model innovation driven by the digital platform ecosystem. Journal of Engineering and Technology Management, 68(March 2022), 101738. https://doi.org/10.1016/j.jengtecman.2023.101738
Melegati, J., Chanin, R., Wang, X., Sales, A., & Prikladnicki, R. (2019). Enablers and Inhibitors of Experimentation in Early-Stage Software Startups. Lecture Notes in Computer Science (Including Subseries Lecture Notes in Artificial Intelligence and Lecture Notes in Bioinformatics), 11915 LNCS, 554–569. https://doi.org/10.1007/978-3-030-35333-9_39
Mukti, I. Y., Wibowo, A. P. W., & Galih, S. (2019). Lessons learned to increase the digital startupssuccess rate. Journal of Advanced Research in Dynamical and Control Systems, 11(3 Special Issue), 322–329. https://www.proquest.com/docview/2236131884?pq-origsite=gscholar&fromopenview=true
Nambisan, S. (2017). Digital Entrepreneurship: Toward a Digital Technology Perspective of Entrepreneurship. Entrepreneurship: Theory and Practice. https://doi.org/10.1111/etap.12254
O’reilly, C., & Binns, A. J. M. (2019). The three stages of disruptive innovation: Idea generation, incubation, and scaling. California Management Review, 61(3), 49–71. https://doi.org/10.1177/0008125619841878
Passaro, R., Quinto, I., Rippa, P., & Thomas, A. (2020). Evolution of Collaborative Networks Supporting Startup Sustainability: Evidences from Digital Firms. Sustainability (Switzerland), 12(22), 1–20. https://doi.org/10.3390/su12229437
Peeters, M. M. M., van Diggelen, J., van den Bosch, K., Bronkhorst, A., Neerincx, M. A., Schraagen, J. M., & Raaijmakers, S. (2021). Hybrid collective intelligence in a human–AI society. AI and Society, 36(1), 217–238. https://doi.org/10.1007/s00146-020-01005-y
Perry, A., & Hammond, N. (2002). Systematic Reviews: The Experiences of a PhD Student. Psychology Learning & Teaching, 2(1), 32–35. https://doi.org/10.2304/plat.2002.2.1.32
Petru, N., Pavlák, M., & Polák, J. (2019). Factors impacting startup sustainability in the Czech Republic. In Innovative Marketing (Vol. 15, Issue 3, pp. 1–15). https://doi.org/10.21511/im.15(3).2019.01
Piaskowska, D., Tippmann, E., & Monaghan, S. (2021). Scale-up modes: Profiling activity configurations in scaling strategies. Long Range Planning, 54(6), 102101. https://doi.org/10.1016/j.lrp.2021.102101
Prasanna, R. P. I. R., Jayasundara, J. M. S. B., Gamage, S. K. N., Ekanayake, E. M. S., Rajapakshe, P. S. K., & Abeyrathne, G. A. K. N. J. (2019). Sustainability of SMEs in the competition: A systemic review on technological challenges and SME performance. In Journal of Open Innovation: Technology, Market, and Complexity (Vol. 5, Issue 4, p. 100). Multidisciplinary Digital Publishing Institute. https://doi.org/10.3390/joitmc5040100
Rangaswamy, A., Moch, N., Felten, C., van Bruggen, G., Wieringa, J. E., & Wirtz, J. (2020). The Role of Marketing in Digital Business Platforms. Journal of Interactive Marketing, 51, 72–90. https://doi.org/10.1016/j.intmar.2020.04.006
Reinhard, G., Jesper, V., & Stefan, S. (2016). Industry 4.0: Building the digital enterprise. 2016 Global Industry 4.0 Survey, 1–39. www.pwc.com/industry40
Secundo, G., Riad Shams, S. M., & Nucci, F. (2021). Digital technologies and collective intelligence for healthcare ecosystem: Optimizing Internet of Things adoption for pandemic management. Journal of Business Research, 131, 563–572. https://doi.org/10.1016/j.jbusres.2021.01.034
Siedschlag, I., Mohan, G., & Yan, W. (2024). Twin Transitions Across Enterprises: Do Digital Technologies and Sustainability Go Together? SSRN Electronic Journal, 481(October), 144025. https://doi.org/10.2139/ssrn.4912063
Skala, A. (2019). The Startup as a Result of Innovative Entrepreneurship. In Digital Startups in Transition Economies (pp. 1–40). Palgrave Pivot, Cham. https://doi.org/10.1007/978-3-030-01500-8_1
Thames, L., & Schaefer, D. (2016). Software-defined Cloud Manufacturing for Industry 4.0. Procedia CIRP, 52, 12–17. https://doi.org/10.1016/j.procir.2016.07.041
Uma, S., & Roger, B. (2016). Research Methods for Business: A Skill-Building Approach. John Wiley & Sons Ltd., 7, 113.
Von Kutzschenbach, M., & Daub, C. H. (2021). Digital Transformation for Sustainability: A Necessary Technical and Mental Revolution. In Studies in Systems, Decision and Control (Vol. 294, pp. 179–192). Springer. https://doi.org/10.1007/978-3-030-48332-6_12
Wamba-Taguimdje, S. L., Fosso Wamba, S., Kala Kamdjoug, J. R., & Tchatchouang Wanko, C. E. (2020). Influence of Artificial Intelligence (AI) on Firm Performance: The Business Value of AI-Based Transformation Projects. Business Process Management Journal, 26(7), 1893–1924. https://doi.org/10.1108/BPMJ-10-2019-0411
Yu, C., Chai, Y., & Liu, Y. (2018). Literature Review on Collective Intelligence: A Crowd Science Perspective. International Journal of Crowd Science, 2(1), 64–73. https://doi.org/10.1108/ijcs-08-2017-0013
Zhang, Z., Jin, J., Li, S., & Zhang, Y. (2023). Digital transformation of incumbent firms from the perspective of portfolios of innovation. Technology in Society, 72(October 2022), 102149. https://doi.org/10.1016/j.techsoc.2022.102149
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Fatma Satyani, Mohamad Trio Febriyantoro
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
Authors who publish with this journal agree to the following terms:
a. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License - Share Alike that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.
b. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this journal.
c. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.
USER RIGHTS
All articles published Open Access will be immediately and permanently free for everyone to read and download. We are continuously working with our author communities to select the best choice of license options, currently being defined for this journal as follows: Creative Commons Attribution-Share Alike (CC BY-SA)
