IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i19p14075-d1245810.html
   My bibliography  Save this article

Assessing the Outcomes of Digital Transformation Smartization Projects in Industrial Enterprises: A Model for Enabling Sustainability

Author

Listed:
  • Iryna Bashynska

    (Department of Enterprise Management, AGH University of Krakow, 30-059 Krakow, Poland)

  • Sabit Mukhamejanuly

    (Department of State and Local Administration, Narxoz University, Astana 050035, Kazakhstan)

  • Yuliia Malynovska

    (Department of Foreign Trade and Customs, Lviv Polytechnic National University, 79-013 Lviv, Ukraine)

  • Maryana Bortnikova

    (Department of Foreign Trade and Customs, Lviv Polytechnic National University, 79-013 Lviv, Ukraine)

  • Mariia Saiensus

    (Department of Marketing and International Logistics, Odessa National Economics University, 65-000 Odesa, Ukraine)

  • Yuriy Malynovskyy

    (Department of Management and International Business, Lviv Polytechnic National University, 79-013 Lviv, Ukraine)

Abstract

Digital transformation and smartization projects in industrial enterprises have become increasingly prevalent in recent years, aiming to enhance operational efficiency, productivity, and sustainability. Assessing the outcomes of such projects is crucial to determine their effectiveness in enabling sustainability. In this context, a model for evaluating digital transformation smartization projects (DTSP) outcomes can be developed to provide a comprehensive assessment framework. This study aims to develop and test a model for diagnosing the results of implementing digital transformation smartization projects for industrial enterprises. The methodology presented in this article involves using statistical tests to detect multicollinearity and heteroskedasticity in regression models. It also proposes an economic–mathematical model with three objective functions to optimize the implementation of smartization projects, considering cost minimization, deviations from planned business indicators, and production rhythm disruptions. The most important results of the survey are (1) a proposed matrix for the selection of indicators for diagnosing the results of the implementation of digital transformation smartization projects for industrial enterprises, (2) a two-level model for the economic evaluation of diagnosed digital transformation smartization projects, which can be used at any stage of the digital transformation smartization project and based on it, conclusions can be drawn regarding the effectiveness of the implementation of both the entire project and its individual stages, objects, or elements. The advantage of the model is the possibility of its decomposition, that is, a division into separate parts with the possibility of introducing additional restrictions or, conversely, reducing the level of requirements for some of them. The results were tested at industrial enterprises in Ukraine and proved their practical significance.

Suggested Citation

  • Iryna Bashynska & Sabit Mukhamejanuly & Yuliia Malynovska & Maryana Bortnikova & Mariia Saiensus & Yuriy Malynovskyy, 2023. "Assessing the Outcomes of Digital Transformation Smartization Projects in Industrial Enterprises: A Model for Enabling Sustainability," Sustainability, MDPI, vol. 15(19), pages 1-46, September.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:19:p:14075-:d:1245810
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/19/14075/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/19/14075/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ekele Alih & Hong Choon Ong, 2015. "An outlier-resistant test for heteroscedasticity in linear models," Journal of Applied Statistics, Taylor & Francis Journals, vol. 42(8), pages 1617-1634, August.
    2. Armaghan Chizaryfard & Paolo Trucco & Cali Nuur, 2021. "The transformation to a circular economy: framing an evolutionary view," Journal of Evolutionary Economics, Springer, vol. 31(2), pages 475-504, April.
    3. Almazbek Dooranov & Kateryna Doroshkevych & Svitlana Cherkasova & Oleh Skasko & Yuliia Malynovska & Yuriy Malynovskyy, 2023. "Assessment and Forecasting of the Effectiveness of the Agricultural Company's Innovation and Foreign Economic Activity Strategy," Journal of Agriculture and Crops, Academic Research Publishing Group, vol. 9(1), pages 78-84, 01-2023.
    4. Foucart, Renaud & Li, Qian Cher, 2021. "The role of technology standards in product innovation: Theory and evidence from UK manufacturing firms," Research Policy, Elsevier, vol. 50(2).
    5. Kusa, Rafał & Duda, Joanna & Suder, Marcin, 2022. "How to sustain company growth in times of crisis: The mitigating role of entrepreneurial management," Journal of Business Research, Elsevier, vol. 142(C), pages 377-386.
    6. Yuliia Malynovska & Iryna Bashynska & Dariusz Cichoń & Yuriy Malynovskyy & Dariusz Sala, 2022. "Enhancing the Activity of Employees of the Communication Department of an Energy Sector Company," Energies, MDPI, vol. 15(13), pages 1-16, June.
    7. Herwartz, Helmut, 2006. "Testing for random effects in panel data under cross sectional error correlation--A bootstrap approach to the Breusch Pagan test," Computational Statistics & Data Analysis, Elsevier, vol. 50(12), pages 3567-3591, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Maurizio Dallocchio & Marcello Lambri & Emiliano Sironi & Emanuele Teti, 2024. "The Role of Digitalization in Cross-Border E-Commerce Performance of Italian SMEs," Sustainability, MDPI, vol. 16(2), pages 1-17, January.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kusa, Rafał & Suder, Marcin & Duda, Joanna, 2023. "Impact of greening on performance in the hospitality industry: Moderating effect of flexibility and inter-organizational cooperation," Technological Forecasting and Social Change, Elsevier, vol. 190(C).
    2. Amanda De Pirro & Renaud Foucart, 2022. "Of Shrimp and Men," Working Papers 352589140, Lancaster University Management School, Economics Department.
    3. Kumar, V. & Sunder, Sarang & Sharma, Amalesh, 2015. "Leveraging Distribution to Maximize Firm Performance in Emerging Markets," Journal of Retailing, Elsevier, vol. 91(4), pages 627-643.
    4. Suciu Marta-Christina & Mitucă Mircea-Ovidiu & Stativă Alexandru-Gheorghe & Bocăneală Ana-Maria & Mihai Dănuț-Georgian, 2022. "An empirical analysis of modern employees and their demands. How well-established enterprises cope with their expectations," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 16(1), pages 149-158, August.
    5. Azimi, Mohammad Naim, 2016. "An economic growth model: Evaluating the interaction of market consumption with GDP growth rate in Afghanistan," MPRA Paper 69517, University Library of Munich, Germany, revised 11 Jan 2016.
    6. Mendonça, Sandro & Damásio, Bruno & Charlita de Freitas, Luciano & Oliveira, Luís & Cichy, Marcin & Nicita, António, 2022. "The rise of 5G technologies and systems: A quantitative analysis of knowledge production," Telecommunications Policy, Elsevier, vol. 46(4).
    7. Ahmad, Farhan & Bask, Anu & Laari, Sini & Robinson, Craig V., 2023. "Business management perspectives on the circular economy: Present state and future directions," Technological Forecasting and Social Change, Elsevier, vol. 187(C).
    8. Yongming Zhang & Mohsen Imeni & Seyyed Ahmad Edalatpanah, 2023. "Environmental Dimension of Corporate Social Responsibility and Earnings Persistence: An Exploration of the Moderator Roles of Operating Efficiency and Financing Cost," Sustainability, MDPI, vol. 15(20), pages 1-18, October.
    9. Valéry Dongmo Jiongo, 2017. "The Bank of Canada 2015 Retailer Survey on the Cost of Payment Methods: Estimation of the Total Private Cost for Large Businesses," Technical Reports 110, Bank of Canada.
    10. Blind, Knut & Krieger, Bastian & Pellens, Maikel, 2022. "The interplay between product innovation, publishing, patenting and developing standards," Research Policy, Elsevier, vol. 51(7).
    11. Jian-Hang Wang & Yu-Hsien Wu & Phil Yihsing Yang & Hsiang-Yi Hsu, 2023. "Sustainable Innovation and Firm Performance Driven by FinTech Policies: Moderating Effect of Capital Adequacy Ratio," Sustainability, MDPI, vol. 15(11), pages 1-15, May.
    12. Askar B. Sembin & Leila A. Tussupova & Irina V. Selezneva & Marina V. Shtiller & Madina S. Tulegenova, 2021. "Project management in the context of digital transformation of the economy for the sustainable development of Kazakhstan," RIVISTA DI STUDI SULLA SOSTENIBILITA', FrancoAngeli Editore, vol. 0(2), pages 217-229.
    13. Vanessa Berenguer Rico & Ines Wilms, 2018. "White heteroscedasticty testing after outlier removal," Economics Series Working Papers 853, University of Oxford, Department of Economics.
    14. Dariusz Sala & Kostiantyn Pavlov & Olena Pavlova & Anton Demchuk & Liubomur Matiichuk & Dariusz Cichoń, 2023. "Determining of the Bankrupt Contingency as the Level Estimation Method of Western Ukraine Gas Distribution Enterprises’ Competence Capacity," Energies, MDPI, vol. 16(4), pages 1-13, February.
    15. Bürgel, Tobias R. & Hiebl, Martin R.W. & Pielsticker, David I., 2023. "Digitalization and entrepreneurial firms' resilience to pandemic crises: Evidence from COVID-19 and the German Mittelstand," Technological Forecasting and Social Change, Elsevier, vol. 186(PA).
    16. Helmut Herwartz & Yabibal M. Walle, 2018. "A powerful wild bootstrap diagnosis of panel unit roots under linear trends and time-varying volatility," Computational Statistics, Springer, vol. 33(1), pages 379-411, March.
    17. Deng, Xin & Li, Qian Cher & Mateut, Simona, 2022. "Participation in setting technology standards and the implied cost of equity," Research Policy, Elsevier, vol. 51(5).
    18. Mashiho Mihalache & Oli Mihalache & Jan Ende, 2021. "International Diversification and MNE Innovativeness: A Contingency Perspective of Foreign Subsidiary Portfolio Characteristics," Management International Review, Springer, vol. 61(6), pages 769-798, December.
    19. Charles G. Renfro, 2009. "The Practice of Econometric Theory," Advanced Studies in Theoretical and Applied Econometrics, Springer, number 978-3-540-75571-5, July-Dece.
    20. Jie Gao & Wu Zhang & Chunbaixue Yang & Qun Wang & Rui Yuan & Rui Wang & Limiao Zhang & Zhijian Li & Xiaoli Luo, 2023. "A Comparative Study of China’s Carbon Neutrality Policy and International Research Keywords under the Background of Decarbonization Plans in China," Sustainability, MDPI, vol. 15(17), pages 1-23, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:15:y:2023:i:19:p:14075-:d:1245810. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.