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Digital transformation, board structure, and organizational innovation capacity

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  • Ma, Li-na
  • Zhang, Jing-jing

Abstract

In the context of rapid development in information technology, digital transformation has become an important factor affecting the innovation ability of organizations. This paper selects listed companies on China's A-share market from 2010 to 2022 as samples to study the relationship between digital transformation, board structure, and organizational innovation capacity. The findings demonstrate that digital transformation significantly enhances the organizational innovation capacity. This conclusion remains robust after several tests for robustness and endogeneity. Furthermore, this paper analyzes the moderating effect of board structure on digital transformation and organizational innovation ability. This paper enriches the empirical evidence on organizational innovation capacity and provides guidance for corporate governance.

Suggested Citation

  • Ma, Li-na & Zhang, Jing-jing, 2025. "Digital transformation, board structure, and organizational innovation capacity," Finance Research Letters, Elsevier, vol. 73(C).
    • Handle: RePEc:eee:finlet:v:73:y:2025:i:c:s1544612324015381
    DOI: 10.1016/j.frl.2024.106509
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Digital Transformation; Board Size; Proportion of Independent Directors; Organizational Innovation Capacity;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives

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