DEVELOPMENT OF A DIGITAL TRANSFORMATION MODEL FOR FOOD AND BEVERAGE SMES DURING PANDEMIC CONSIDERING LEADERSHIP, ORGANIZATIONAL AGILITY, AND THEIR IMPACT ON SMES PERFORMANCE

• Main Author: Sidabutar, Apriliene
• Format: Theses
• Language: Indonesia
• Subjects: Teknologi
• Online Access: https://digilib.itb.ac.id/gdl/view/77831
• Institution: Institut Teknologi Bandung

The COVID-19 pandemic has reshaped the global economic landscape, including in Indonesia, resulting in a decline in economic growth and significant impacts on SMEs. SMEs have faced various challenges, including difficulties in sustaining their traditional businesses and changes in consumer behavior that favor digital platforms. The digitalization of SMEs, especially through food delivery applications, has become crucial in adapting to these changes, with the use of digital platforms assisting SMEs in conducting their businesses. However, effective leadership also plays a vital role in managing this digital transformation. In the uncertain circumstances of the pandemic, the leadership's role in guiding change and being responsive to shifts in the market becomes the key to SMEs' success in this digital era. This study aims to examine the impact of digital transformation on food and beverage SMEs while considering variables such as leadership, organizational agility, and their effects on SMEs' performance. The research methodology employed is descriptive quantitative, with a sample size of 98 data samples. The study encompasses indicators, all of which have been validated and proven reliable. Data collected will be processed using the Partial Least Square Structural Equation Modeling (PLS-SEM) method with the assistance of SmartPLS version 4 software. Non-probability sampling, specifically purposive sampling, is utilized in this research. This research has yielded several important findings. Firstly, the research model encompassing the variables of leadership, organizational agility, digital transformation, and SME performance has been successfully constructed with strong validity and reliability. Secondly, the hypothesis analysis has shown a positive and significant relationship between these variables. Leadership has a positive and significant impact on digital transformation and organizational agility, while organizational agility also has a positive and significant impact on digital transformation and SME performance. Additionally, digital transformation also has a positive and significant impact on SME performance. These findings underscore the importance of effective leadership in adapting to environmental changes, as well as the roles of organizational agility and digital transformation in enhancing SME performance. Therefore, this research provides deeper insights into how these factors are interconnected and contribute to the success of SMEs in the digital era. The findings of this research offer several relevant recommendations for SMEs in facing the era of digital transformation. Firstly, SMEs should prioritize digital transformation as an effort to enhance their competitiveness in rapidly changing markets. Secondly, it is crucial for SMEs to have strong leadership and leaders who understand their role in guiding the organization towards success. Thirdly, SMEs that have undergone digital transformation should continue to evaluate and adjust to remain relevant and effective in a dynamic business environment. Furthermore, future research should consider using larger samples, adding other variables that influence digital transformation, and exploring different contexts and sectors to deepen the understanding of factors affecting SME performance in the digital era. Longitudinal studies can also provide insights into the development of these factors over time. Thus, the results of this research can provide valuable guidance for SMEs in addressing the challenges of digital transformation.