How does digital technology usage benefit firm performance? Digital transformation strategy and organisational innovation as mediators
Hung‐Tai Tsou, Ja‐Shen Chen
Abstract
Digital technology usage has been extensively studied in academic research and industry. A deeper look at firm performance shows that digital transformation strategy and organisational innovation are facilitated by digital technology usage. This study further examined the mediating effects of digital transformation strategy and organisational innovation on the relationship between digital technology usage and firm performance. An empirical study was performed based on a survey of supervisors from financial industries in Taiwan. Two hundred twenty-seven companies responded to the questionnaires. The findings indicated that digital technology usage has positive influences on digital transformation strategy and organisational innovation, which in turn influence firm performance. Furthermore, digital transformation strategy and organisational innovation played full mediating roles between digital technology usage and firm performance.