| Abstract: |
Small and medium enterprises (SMEs) in Albania, similar to other markets,
operate in complex, fast-paced and unpredictable environments due to their
size and nature. In our contemporary knowledge-based economy, business is
constantly changing, and SMEs are thus continually faced with the challenge to
find new and innovative ways to improve and adapt to the rapid
transformations. As a result, there is a growing interest and necessity for
SMEs to explore and adapt new and innovative mechanisms for better decision
making, which will then lead to improved performance and competitiveness.
Digitalization of SMEs with the use of Business Intelligence (BI) and
Knowledge Management (KM) systems is one such innovative instrument open to
SMEs for a better performance and increased competitiveness. The research for
this doctoral thesis is then set precisely in this configuration whereby: on
one hand the current level of adoption and use of advanced ICTs and
technological innovation within SMEs, or business digitalization as will be
coined later, is relatively limited due to a variety of factors; and on the
other hand ICTs themselves as technological systems or tools as well as part
of business landscape, i.e. ICT as a sector, are a major driver of innovation,
modernization and growth for the Albanian economy. This doctoral thesis
addresses the gap in the current state of research regarding the development,
adoption and use of advanced ICTs systems, i.e. business digitalization,
within SMEs. In addition, the research for the doctoral thesis expands the
challenge to the impact of business digitalization on performance of SMEs in
Albania. Clearly, SMEs have been selected as the central ground of research
not only to contribute towards filling a research gap in management and ICTs
studies in Albania, but also because of the central role that SMEs play in
Albanian economy and their future potential in the digital world. The results
show that business digitalization impacts positively the overall performance
of SMEs in Albania. Size, age and location of the SME dominate performance and
are related to the business digitalisation more than strategy. Also, the
entrepreneurial characteristics of the owner – manager also impact the
digitalization. Having a clear business plan was also found to be important
when it comes to using BI. SMEs in Albania are a vital part of the national
economy and the research shows that there is growing interest in ICTs,
digitalisation, BI and KM, but innovation is still at relatively low levels
due to financial and human resources, which are limited. However, the research
highlights that SMEs are very flexible and easy to adopt to change and when
this is combined with a visionary owner- manager they tend to move towards
business digitalisation. Another finding of this study is that digitalisation
have lead SMEs to reconsider and re-conceptualise their business models
attempting to move towards innovations that impact performance. Also, the
concept of business model innovations is also gaining ground in SMEs in
Albania. Findings show that the use of BI and other digitalisation processes
is mainly driven by strategic and innovation related motives that are internal
to the company and the owner-manager. The use of BI as a result of external
technological factors also plays a role. Analysis of the findings show that
the use of BI and digitalisation have a positive impact on business
performance. The findings of this research paper have practical implications
for the SMEs sector in Albania not only in providing an assessment of the
current use of BI, but also in exploring the benefits and potential usage of
BI as a necessary activity for deriving improved performance. Findings of this
research can be used by owners-managers to better understand how firms can
engage with digitalisation and BI and how their adoption and implementation
affect business performance. Another implication for business sector is that
digitally mature companies have better performance and thus derive more
revenue and become more competitive. Finally, the research shows that
digitization has a variety of dimensions and can be understood differently by
different SMEs, owner-managers and staff, but it is a major contributor to
business performance. Future research is needed to explore further the role of
digitalisation processes in SMEs in Albania particularly related to enabling
and hindering factors. In addition, further research is needed regarding the
business model innovations, particularly in terms of human and organizational
factors. This study is one of the first research contributions in the case of
Albania to analyse the impact of digitalization, specifically the impact of BI
on SMEs in Albania. |