Title: Digital transformation in enterprises: Does leaders' digital literacy matter?

Authors: Ope Destrian; Sudarma

Addresses: Faculty of Communication Science, Communication Management Department, Padjadjaran University, Kecamatan Jatinangor, Kabupaten Sumedang, Jawa Barat, 45363, Indonesia ' Faculty of Communication Science, Communication Management Department, Padjadjaran University, Kecamatan Jatinangor, Kabupaten Sumedang, Jawa Barat, 45363, Indonesia

Abstract: The current body of literature has emphasised the importance of digital transformation in small and medium-sized enterprises (SMEs). Unfortunately, not much concern has been laid on how SMEs undertake digital transformation. This study examines how the digital transformation of SMEs will be affected by leaders' digital literacy (LDG). Applying survey data from 277 SMEs in Indonesia, this paper evaluates a moderated mediation paradigm. The empirical outcomes show that LDG affects digital transformation through digital-technology utilisation (DTU). Furthermore, leaders' characters (e.g., age, educational degree, and gender) further influence the association between DTU and LDG. This work is among initial endeavours to assess the digital transformation among SMEs in a developing country such as Indonesia. Outcomes like digital transformation and DTU have not yet been surveyed in existing publications on digital literacy.

Keywords: Indonesia; SMEs; small and medium-sized enterprises; leader's characteristics; digital literacy; digital transformation; digital technology use.

DOI: 10.1504/IJISCM.2024.140619

International Journal of Information Systems and Change Management, 2024 Vol.14 No.2, pp.121 - 145

Received: 15 Feb 2024
Accepted: 11 Apr 2024
Published online: 28 Aug 2024 *

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