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Scandinavian Journal of Information Systems

Abstract

In this study, we investigate the relationship between organizational culture and digital innovation, with a particular focus on understanding firms’ abilities to achieve a balance between stability and flexibility. On the background of an in-depth case study of the development of a digital news service in one of the largest media companies in Denmark, we rely on the widely used Competing Values Framework and the Organizational Culture Assessment Instrument to identify the dominant organizational culture as a basis for understanding the challenges of transforming the company by using digital technology to innovate existing product and service offerings. Our study shows that the digital news service and the emerging work practices associated with it were negatively influenced by an imbalance towards the control-oriented dominant culture of the company, leading to limited heterogeneity within the innovation network and the digital innovation processes. The article contributes to the body of knowledge on digital innovation by investigating how organizational culture influence a firm’s ability to engage in digital innovation. Implications for both practitioners and researchers are discussed

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