Employee acceptance of digital transformation strategies: A paradox perspective
Sascha P. Klein, Patrick Spieth, Matthias Söllner
kHUB post date: March 18, 2024
Originally published: January 10, 2024 (PDMA JPIM • Vol. 41, Issue 1 • January 2024)
Read time: 60 minutes
Access the Full Article
Digital transformation (DT) strategies often aim at innovating an organization's business models (BMs) and developing digital innovations. However, most of the DT strategies fail or result only in incremental innovation. Research predominantly identified critical management capabilities for DT success, neglecting the role of employees, although employee support is vital for the successful implementation of DT strategies. We conceptualize employee acceptance of DT strategies and draw on paradox theory and organizational change literature to shed light on the antecedents of employee acceptance. Using survey-based data from an incumbent introducing a DT strategy, we find empirical support that employees with a paradox mindset are likely to accept the DT strategy regardless of the expected scope of change, while a high scope of expected changes weakens the effect of a positive attitude toward change on acceptance. The findings contribute to understanding the micro-level aspects of DT and extend research emphasizing top-down management approaches in DT with an employee perspective. This study extends previous findings in innovation management that predominantly provide evidence on the acceptance of specific digital technologies and offer insights into the antecedents of DT strategy acceptance. We offer managers insights into how employees perceive DT strategies, which can help to leverage the potential of digital innovation.
Practitioner points
- A paradox mindset supports the efficient implementation of a digital transformation (DT) strategy.
- Managers need to pay attention to provide valuable information concerning the changes associated with the DT strategy in order to gain support.
- When employees expect complex business model changes, managers should provide additional information about the DT strategies' objectives, concrete outcomes, and implications for the business model and organizational structure.
- Managers should support the ability of paradoxical thinking within the workforce, helping employees to accept and understand tensions, as these are inherent in DT and surface through change.