The Impact of Digital Transformation on Business Sustainability: The Mediating Role of Organizational Innovation – an Applied Study on Small and Medium-Sized Industrial Companies in Jordan
DOI:
https://doi.org/10.59759/business.v5i3.1695Keywords:
Digital Transformation, Organizational Innovation, Business Sustainability, Industrial Firms, SMEs.Abstract
This study focused on how digital transformation can influence business sustainability and the role of organizational innovation in mediating this effect in small and medium-sized industrial enterprises in Jordan. The research problem emerges because of the lack of consistency between digital transformation initiative proliferation and the achieved degree of sustainability, which can be explained by insufficient organizational activity related to digital transformation. The research followed a descriptive-analytical design and used a questionnaire that was sent to a sample of 385 individuals. The analysis of data was performed with Smart PLS. The findings showed that there was a direct positive impact of digital transformation on organizational innovation and business sustainability, and that organizational innovation played a major mediating role. The research suggests increasing investments in digital transformation, switching to an organizational culture that promotes innovation, and incorporating sustainability objectives in strategic plans.
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