PACIS 2022 Proceedings

Paper Number

1529

Abstract

The fundamental disruptions brought on by digital transformation create great uncertainties for small and medium-sized enterprises (SMEs). While the limited resources and unstructured nature of SMEs present challenges for their digital transformation efforts, these challenges can be overcome with the proper alignment of their current and future capabilities. However, several questions remain about the suitability of existing digital maturity models (DMMs) for SMEs. Our study remedies these challenges by developing an interaction-based DMM for SMEs. We identify interaction areas and dimensions based on SME-specific characteristics through interviews and find that interactions are among the most unique characteristics linking to SMEs’ maturity level. Our study contributes to DMM literature by providing an innovative model allowing SMEs to better understand their capabilities and offering an effective path toward digital transformation. Our model explores the network perspective of DMM, showing that stakeholders greatly influence SMEs’ core, strategy-planning, and decision-making capabilities.

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