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Enterprise Architecture for Sustainable SME Resilience: Exploring Change Triggers, Adaptive Capabilities, and Financial Performance in Developing Economies

Author

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  • Javeria Younus Hamidani

    (Department of Industrial & Manufacturing Engineering, NED University of Engineering & Technology, Karachi 75270, Pakistan)

  • Haider Ali

    (Department of Mechanical Engineering, NED University of Engineering & Technology, Karachi 75270, Pakistan)

Abstract

Enterprise architecture (EA) provides a strategic foundation for aligning business processes, IT infrastructure, and organizational strategy, enabling firms to navigate uncertainty and complexity. In developing economies, small and medium-sized enterprises (SMEs) face significant challenges in maintaining financial resilience and sustainable growth amidst frequent disruptions. This study investigates how EA-driven change events affect SME financial performance by activating three key adaptive mechanisms: improvisational capability, flexible IT systems, and organizational culture. A novel classification of EA change triggers is proposed to guide adaptive responses. Using survey data from 291 Pakistani SMEs collected during the COVID-19 crisis, the study employs structural equation modeling (SEM) to validate the conceptual model. The results indicate that improvisational capability and flexible IT systems significantly enhance financial performance, while the mediating role of organizational culture is statistically insignificant. This study contributes to EA and sustainability literature by integrating a typology of EA triggers with adaptive capabilities theory and testing their effects in a real-world crisis context.

Suggested Citation

  • Javeria Younus Hamidani & Haider Ali, 2025. "Enterprise Architecture for Sustainable SME Resilience: Exploring Change Triggers, Adaptive Capabilities, and Financial Performance in Developing Economies," Sustainability, MDPI, vol. 17(15), pages 1-23, July.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:15:p:6688-:d:1707408
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    References listed on IDEAS

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