Digital transformation in an emerging economy: exploring organizational drivers

Figures & data

Figure 1. Conceptual framework.

Table 1. Participants’ details.

Details	Groups	Frequency	Percentage
Age	20–30years	142	30.08
	31–40years	177	37.50
	41–50years	101	21.40
	51 above	52	11.02
Gender	Male	302	63.98
	Female	170	36.02
Academic Qualifications	Cert/Diploma/HND	105	22.26
	Degree	195	41.31
	Masters/PhD	95	20.18
	Others	77	16.31
Work Experience	1–5years	189	40.04
	6–10years	145	30.72
	15 years or more	138	29.24
Employees Size	Micro (1–10) employees	65	13.77
	Small (11–60) employees	185	39.19
	Medium (61–100) employees	141	29.87
	Large (above 100) employees	81	17.16
Industry Categories	Financial Service sector	289	61.23
	Non–Financial service	183	38.77
Respondents Segmentation	Finance Department	75	15.89
	Marketing Department	86	18.22
	Customer Service Department	130	28.26
	Operations Department	132	27.54
	Others	49	10.38
Sample	Total	472	100

Source: (field data from January to June 2023).

Table 2. Test of validity and reliability research constructs.

Constructs	Cronbach’s Alpha	Jöreskog’s rho (ρc)	Composite Reliability	Average Variance Extracted (AVE)
Attitude toward Digital innovation integration	0.795	0.803	0.866	0.619
Knowledge Digital Innovation	0.704	0.758	0.833	0.629
IT Competencies	0.814	0.721	0.709	0.452
Availability of IT Infrastructure	0.823	0.835	0.884	0.657
Digital Innovation Investment	0.778	0.852	0.866	0.686
Digital innovation management	0.701	0.699	0.809	0.514

Source: Field data (January–June 2023), retrieved from Google form and offline.

Table 3. Construct items, loading factor, and Variance Inflation Factor (VIF).

Construct	Indicator	Loading	VIF
Availability of IT Infrastructure (AIT)	AIT1: My organization has firm-wide or business unit applications and databases.	0.844	2.139
	AIT2: My organization has business-unit-specific applications, usually on a chargeback or contractual basis.	0.850	2.084
	AIT3: My organization has the electronic provision of management information e.g. EIS or DSS	0.849	1.978
	AIT4: My organization has a firm-wide communication network services; e.g. LAN and wireless.	0.687	1.380
Digital innovation investment (DII)	DII1: My organization has a strong emphasis on projects on unique, one-of-a-kind approaches rather than revisiting tried and true approaches used before.	0.695	1.412
	DII2: My organization always tries a unique way when learning new things rather than doing it as everyone else does.	0.881	1.890
	DII3: My organization favors experimentation and original approaches to problem-solving rather than using methods others generally use for solving their problems	0.895	1.783
Digital innovation management (DIM)	DIM1: My organization always co-creates with customers to solve important problems.	0.719	1.507
	DIM2: My organization firm has an efficient and flexible approach to development projects.	0.731	1.703
	DIM3: My organization implements a profitable digital business.	0.686	1.082
	DIM4: My organization makes quick consistent and clear digital business decisions.	0.732	1.597
Knowledge of digital Innovation (KDI)	KDI1: We are committed to using digital technologies in developing our new solutions.	0.631	1.207
	KDI2: New digital technology is readily accepted in our organization.	0.871	1.656
	KDI3: We always look out for opportunities to use digital technology in our innovation.	0.855	1.581
IT competencies (ITC)	ITC1: My organization optimizes the use of external digital resources.	0.714	1.059
	ITC2: My organization ensures proactive awareness of trends and relevant opportunities.	0.747	1.065
	ITC3: My organization is adaptable to digital transformation	0.637	1.073
Attitude Towards Digital Innovation Integration (ATD)	ATD1: My organization is happy at the prospect of this change.	0.773	1.516
	ATD2: My organization thinks that the changes arising from this innovation program will be stimulating.	0.740	1.808
	ATD3: This change will probably enable me to work better.	0.853	2.203
	ATD4: My organization believes that this innovation program can contribute to improving unsatisfactory work situations.	0.778	1.565

Source: Authors’ processing from SmartPLS 4.0 software.

Table 4. Test of discriminant validity – fornell-larcker criterion.

S/N	Constructs	1	2	3	4	5	6
1	Attitude toward Digital innovation integration	0.787
2	Knowledge of Digital Innovation	0.266	0.793
3	IT Competencies	0.442	0.448	0.673
4	IT Infrastructure Availability	0.593	0.425	0.497	0.811
5	Digital Innovation Investment	0.405	0.226	0.382	0.409	0.829
6	Digital Innovation Management	0.305	0.340	0.519	0.248	0.408	0.717

Source: processing from Smart PLS 4 software. The diagonal (in bold) is the average variance extracted (AVE).

Table 5. Hypothetical path coefficient -PLS-SEM.

Constructs	Original sample	Sample mean	Stand. Dev	T-Stat	P-Values	Decision
H1: IT Infrastructure availability → Attitude toward Digital innovation integration	0.471	0.469	0.065	7.283	0.000	Accepted
H2: Digital Innovation Investment → Attitude toward Digital Innovation Integration	0.140	0.147	0.062	2.273	0.023	Accepted
H3: Digital Innovation Management → Attitude toward Digital Innovation Integration	0.077	0.077	0.079	0.976	0.330	Rejected
H4: Knowledge of Digital Innovation → Attitude toward Digital innovation integration	−0.054	−0.056	0.058	0.933	0.351	Rejected
H5: Knowledge of Digital Innovation → Innovation Management	0.340	0.345	0.057	5.923	0.000	Accepted
H6: Knowledge of Digital Innovation → IT Competencies	0.448	0.454	0.045	9.897	0.000	Accepted
H7: IT Competencies → Attitude toward Digital Innovation Integration	0.138	0.138	0.076	1.804	0.072	Rejected
		R^2	Adjust. R^2
Attitude toward Digital innovation integration		0.407	0.396
IT Competencies		0.200	0.197
Innovation Management		0.116	0.112

Source: Author’s processing from SmartPLS version 4.0.

Figure 2. Estimated research model. Source: Authors’ processing from SmartPLS 4.0 software.