IDEAS home Printed from https://ideas.repec.org/a/vrs/ecoman/v17y2025i4p15-28n1002.html

Impact of AI capability, digital strategy, and digital maturity on organisational performance

Author

Listed:
  • Kwiotkowska Anna

    (Silesian University of Technology Akademicka 2A, 44-100 Gliwice, Poland)

Abstract

In the face of the inevitable digitalisation of enterprises, limited research has investigated the impact of digital strategy, digital maturity, and AI capability on organisational performance. Drawing on the resource-based theory and recent work on AI in the organisational context, this research aims to uncover the configurations under which a firm’s digital strategy, digital maturity, and AI capability would jointly lead to higher performance. This study uses a unique fuzzy-set qualitative comparative analysis methodology to analyse data collected from 56 SMEs to investigate three domains of AI capability, along with digital strategy and digital maturity. The results suggest that high organisational performance does not depend on a single condition but rather on complex synergistic interactions among the studied conditions. The results indicate that three equifinal configurations lead to high performance of SMEs. The study suggests that AI technical resources are mandatory for any viable solution. This study provides pioneering insights into the empirical contributions of AI capability, digital strategy and digital maturity and their relationships to organisational performance in SMEs, by using a configurational approach. The adopted theoretical perspective addresses the need for a holistic approach to uncover the mechanisms underlying digital strategy and digital maturity in relation to AI capabilities in SMEs, and their mutual impact on organisational performance. These results have practical implications for decision-makers and owners of SMEs, providing new insights into the combination of factors that drive high performance.

Suggested Citation

  • Kwiotkowska Anna, 2025. "Impact of AI capability, digital strategy, and digital maturity on organisational performance," Engineering Management in Production and Services, Sciendo, vol. 17(4), pages 15-28.
    • Handle: RePEc:vrs:ecoman:v:17:y:2025:i:4:p:15-28:n:1002
    DOI: 10.2478/emj-2025-0024
    as

    Download full text from publisher

    File URL: https://doi.org/10.2478/emj-2025-0024
    Download Restriction: no
    File URL: https://libkey.io/10.2478/emj-2025-0024?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Shantanu Dutta & Om Narasimhan & Surendra Rajiv, 2005. "Conceptualizing and measuring capabilities: methodology and empirical application," Strategic Management Journal, Wiley Blackwell, vol. 26(3), pages 277-285, March.
    2. Ramiro Montealegre, 2002. "A Process Model of Capability Development: Lessons from the Electronic Commerce Strategy at Bolsa de Valores de Guayaquil," Organization Science, INFORMS, vol. 13(5), pages 514-531, October.
    3. Ragin, Charles C., 2000. "Fuzzy-Set Social Science," University of Chicago Press Economics Books, University of Chicago Press, edition 1, number 9780226702773, August.
    4. Abou-Foul, Mohamad & Ruiz-Alba, Jose L. & López-Tenorio, Pablo J., 2023. "The impact of artificial intelligence capabilities on servitization: The moderating role of absorptive capacity-A dynamic capabilities perspective," Journal of Business Research, Elsevier, vol. 157(C).
    5. Matarazzo, Michela & Penco, Lara & Profumo, Giorgia & Quaglia, Roberto, 2021. "Digital transformation and customer value creation in Made in Italy SMEs: A dynamic capabilities perspective," Journal of Business Research, Elsevier, vol. 123(C), pages 642-656.
    6. repec:ucp:bkecon:9780226702766 is not listed on IDEAS
    7. Youngjin Yoo & Ola Henfridsson & Kalle Lyytinen, 2010. "Research Commentary ---The New Organizing Logic of Digital Innovation: An Agenda for Information Systems Research," Information Systems Research, INFORMS, vol. 21(4), pages 724-735, December.
    Full references (including those not matched with items on IDEAS)

    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. Cong Cheng & Hongfang Cui, 2024. "Combining digital and legacy technologies: firm digital transformation strategies—evidence from Chinese manufacturing companies," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 11(1), pages 1-14, December.
    2. Di Paola, Nadia & Chari, Simos & Iannacci, Federico & Kraus, Sascha, 2025. "Configurational theory in business and management research: Status quo and guidelines for the application of qualitative comparative analysis (QCA)," Technological Forecasting and Social Change, Elsevier, vol. 211(C).
    3. Zhou, Zhongsheng & Li, Zhuo, 2023. "Corporate digital transformation and trade credit financing," Journal of Business Research, Elsevier, vol. 160(C).
    4. Brice Dattée & Oliver Alexy & Erkko Autio, 2018. "Maneuvering in Poor Visibility : How Firms Play the Ecosystem Game when Uncertainty is High," Post-Print hal-02276702, HAL.
    5. Changwei Pang & Qiong Wang, 2024. "How Digital Transformation Promotes Disruptive Innovation? Evidence from Chinese Entrepreneurial Firms," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 7788-7818, June.
    6. Li, Min & Liu, Na & Kou, Aiju & Chen, Wenchuan, 2023. "Customer concentration and digital transformation," International Review of Financial Analysis, Elsevier, vol. 89(C).
    7. Zhang, Ping & Yang, Huilin & Chen, Chen & Wang, Tao & Jia, Ximeng, 2025. "The impact of population aging on corporate digital transformation: Evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 214(C).
    8. Cheng, Cong & Wang, Limin, 2022. "How companies configure digital innovation attributes for business model innovation? A configurational view," Technovation, Elsevier, vol. 112(C).
    9. Samuel Fosso Wamba & Maciel M. Queiroz & Ilias O. Pappas & Yulia Sullivan, 2024. "Artificial Intelligence Capability and Firm Performance: A Sustainable Development Perspective by the Mediating Role of Data-Driven Culture," Information Systems Frontiers, Springer, vol. 26(6), pages 2189-2203, December.
    10. Roy, Sanjit K. & Tehrani, Ali N. & Pandit, Ameet & Apostolidis, Chrysostomos & Ray, Subhasis, 2025. "AI-capable relationship marketing: Shaping the future of customer relationships," Journal of Business Research, Elsevier, vol. 192(C).
    11. Wan, Liangyong & Xu, Xiaowei & Ou, Jianyou & Lin, Bingxuan, 2026. "How digital transformation shapes corporate venture capital: Insights from China," Pacific-Basin Finance Journal, Elsevier, vol. 96(C).
    12. Merín-Rodrigáñez, Joan & Dasí, Àngels & Alegre, Joaquín, 2024. "Digital transformation and firm performance in innovative SMEs: The mediating role of business model innovation," Technovation, Elsevier, vol. 134(C).
    13. Tortora, Debora & Chierici, Roberto & Farina Briamonte, Massimiliano & Tiscini, Riccardo, 2021. "‘I digitize so I exist’. Searching for critical capabilities affecting firms’ digital innovation," Journal of Business Research, Elsevier, vol. 129(C), pages 193-204.
    14. Plekhanov, Dmitry & Franke, Henrik & Netland, Torbjørn H., 2023. "Digital transformation: A review and research agenda," European Management Journal, Elsevier, vol. 41(6), pages 821-844.
    15. Liang, Lin & Sun, Ruxue, 2026. "Does artificial intelligence facilitate the balancing of short-term returns and long-term growth in firms? Evidence from China," Technological Forecasting and Social Change, Elsevier, vol. 223(C).
    16. Maria Orero-Blat & Daniel Palacios-Marqués & Antonio Luis Leal-Rodríguez & Alberto Ferraris, 2025. "Beyond digital transformation: a multi-mixed methods study on big data analytics capabilities and innovation in enhancing organizational performance," Review of Managerial Science, Springer, vol. 19(2), pages 649-685, February.
    17. Kollmann, Tobias & Stöckmann, Christoph & Niemand, Thomas & Hensellek, Simon & de Cruppe, Katharina, 2021. "A configurational approach to entrepreneurial orientation and cooperation explaining product/service innovation in digital vs. non-digital startups," Journal of Business Research, Elsevier, vol. 125(C), pages 508-519.
    18. Chen, Weimin & Lu, Haiyan & Mora, Luca & Chen, Ting & Beckers, Dominik & Hu, Mengyun, 2025. "Linking manufacturing digitalization and technological Innovation: The mediating role of dynamic capabilities," Technology in Society, Elsevier, vol. 83(C).
    19. Liu, Zhiyang & Liu, Jianyi & Zhao, Chenfang & Qiu, Zhenyu, 2025. "Business model innovation in the age of metaverse," Technovation, Elsevier, vol. 143(C).
    20. Yang (Eric) Zhou & Jingjun (David) Xu & Zhiying Liu, 2024. "The impact of digital transformation on corporate innovation: Roles of analyst coverage and internal control," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 45(1), pages 373-393, January.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    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:vrs:ecoman:v:17:y:2025:i:4:p:15-28:n:1002. 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: Peter Golla (email available below). General contact details of provider: https://reference-global.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.