THE ROLE OF ORGANIZATIONAL AGILITY IN ENHANCING FIRM PERFORMANCE
DOI:
https://doi.org/10.18623/rvd.v23.6841Palabras clave:
Digital Capability, Organizational agility, Business performance, Top Management Support, and Government SupportResumen
In many emerging economies, especially small and medium-sized enterprises (SMEs), digital transformation has emerged as a crucial strategic priority due to strong competition among firms, limited resources to implement these transformations and institutional-based issues. Despite increasing investments in digital technologies, many SMEs cannot translate their digital initiatives into better business results, therefore necessitating the understanding of how exactly a digital transformation can drive performance. The present study investigates the relationship between several key digital transformation enablers (top management support, digital capability, government support) and business performance in Iraqi SMEs with organizational agility as a mediator variable. Data was collected from 250 owners and senior managers of SMEs in Baghdad, Basra, and Erbil using a structured questionnaire and quantitative research design. To assess the hypothesized relationships, Smart (PLS-SEM) was applied due to its applicability in prediction-oriented models. The findings confirm that top management support, digital capability, and government support have a strong positive effect on organizational agility, thereby positively affecting business performance. In addition, organizational agility acts as a partial mediator in the link between digital transformation enablers and business performance. By highlighting organizational agility as a key mechanism connecting digital enablers to performance outcomes, this study extends the scope of literature on digital transformation and SMEs with empirical insights from an underrepresented emerging economy. The results provide actionable insights for SME managers and government officials who desire that business performance can be enhanced with the appropriate digital transformation
Citas
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