Digital transformation, board structure, and organizational innovation capacity

Li-na Ma and Jing-jing Zhang

Finance Research Letters, 2025, vol. 73, issue C

Abstract: In the context of rapid development in information technology, digital transformation has become an important factor affecting the innovation ability of organizations. This paper selects listed companies on China's A-share market from 2010 to 2022 as samples to study the relationship between digital transformation, board structure, and organizational innovation capacity. The findings demonstrate that digital transformation significantly enhances the organizational innovation capacity. This conclusion remains robust after several tests for robustness and endogeneity. Furthermore, this paper analyzes the moderating effect of board structure on digital transformation and organizational innovation ability. This paper enriches the empirical evidence on organizational innovation capacity and provides guidance for corporate governance.

Keywords: Digital Transformation; Board Size; Proportion of Independent Directors; Organizational Innovation Capacity (search for similar items in EconPapers)
JEL-codes: G34 M15 O31 O33 (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:73:y:2025:i:c:s1544612324015381

DOI: 10.1016/j.frl.2024.106509

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