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From automation to databased business models - digitalization and its links to innovation in small and medium-sized enterprises

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  • Thomä, Jörg
  • Bischoff, Thore S.

Abstract

In order to provide a better basis for measuring the complex interplay between digital technologies, competences and innovation, the present paper examines the digitalization-innovation link in small and medium-sized enterprises (SMEs). Starting from a review of the fourth edition of the Oslo Manual, a qualitative content analysis of interview data on innovating German SMEs is conducted to derive a category system that covers the multidimensional relationship between digitalization and firm-level innovation. Its empirical application confirms the heterogeneity of innovating SMEs with regard to digital transformation. While some SMEs are slow to find their way into digitalizing their innovation processes, others have started to use new digital technologies for efficiency reasons in the sense of "doing the same with less", while still others are aligning their entire business model with the requirements of digital environments based on the innovation principle of "doing something new". The paper concludes with implications for innovation measurement, managers, policy and research.

Suggested Citation

  • Thomä, Jörg & Bischoff, Thore S., 2022. "From automation to databased business models - digitalization and its links to innovation in small and medium-sized enterprises," ifh Working Papers 31/2022, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh), revised 2022.
    • Handle: RePEc:zbw:ifhwps:312021
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    References listed on IDEAS

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    Cited by:

    1. Bischoff, Thore Sören & Alhusen, Harm & Dilekoglu, Kübra, 2021. "Digitalisierung des Handwerks im ländlichen Raum - Relevanz, Prozesse, Treiber und Handlungsbedarfe," Göttinger Beiträge zur Handwerksforschung 61, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh).
    2. Runst, Petrik & Thomä, Jörg, 2021. "Strukturwandel im Zulieferhandwerk: Auswertung der ZDH-Sonderumfrage "Handwerkliche Zulieferer" 2021," Göttinger Beiträge zur Handwerksforschung 60, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh).
    3. Bischoff, Thore Sören & Thonipara, Anita, 2023. "Digitalisierung des Handwerks auf dem Land: Ergebnisse und Handlungsempfehlungen," ifh Forschungsberichte 12, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh).

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    More about this item

    Keywords

    Digitalization; Digital innovation; Innovation measurement; Qualitative content analysis; SMEs;
    All these keywords.

    JEL classification:

    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes

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