Digitalization is the procedure of converting hard/paper files and documents into digital formats. This allows info and information to be accessed instantly. This makes it easier for businesses to manage the operations and helps to create fresh opportunities to get revenue generation. Whether you could have outdated legal systems, manual operations that can be automated or perhaps inefficient connection between employees and managers, business digitization can help you solve these issues and boost productivity.
The COVID-19 outbreak exhibited the sensible value of digitalization in public areas crisis board room response approaches. However , digitalization is there are not enough to respond to ongoing threats. Instead, organizations need to seek to turn dangers into chances through tactical responses. Because of this it is important for companies to have dynamic capabilities – a combination of operations and resources that enables them to adapt in the face of disruption (George et ing. 2014; Nylen and Holmstrom 2015).
Existing research has found that digitalization can improve firm’s active capacities by raising their capability to sense environmental surroundings, to catch opportunities, and to reconfigure assets. Moreover, these types of capabilities will be critical for firms’ ability to effectively manage people crises. Based on these conclusions, this article explores the connections between digitalization, dynamic capacities, and people crisis response strategies with a survey involving 518 SMEs in China. The results show that SMEs with high levels of digitalization have better crisis response performances than patients with low-level of digitalization. Further, a qualitative analysis suggests that digitalization can help SMEs develop and implement short-term emergency reactions and long term crisis administration approaches.