Chairman's IT background and enterprise digital transformation: Evidence from China

This paper explores the impact of the chairman's IT background on the digital transformation of enterprise. We find that the chairman's IT background helps facilitate the digital transformation of enterprises. This effect is more pronounced in firms with more powerful chairmen and higher u...

Full description

Saved in:
Bibliographic Details
Published in:Pacific-Basin finance journal 2024-02, Vol.83, p.102220, Article 102220
Main Authors: Cai, Yongbin, Luo, Na, Xie, Xuejing, Gong, Yukai
Format: Article
Language:English
Subjects:
Chairman's power
Digital transformation
Environmental uncertainty
IT background
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:This paper explores the impact of the chairman's IT background on the digital transformation of enterprise. We find that the chairman's IT background helps facilitate the digital transformation of enterprises. This effect is more pronounced in firms with more powerful chairmen and higher uncertainty in the firm's environment. Further evidence suggests that chairmen with IT career experience are more effective in leading the digital transformation of enterprises than chairmen with IT educational experience. This study contributes to the existing literature on the economic implications of a board chairman's personal attributes, offers insights into Chinese business leaders' IT practices. •Chairmen with IT background significantly enhance corporate digital transformation.•The impact of the chairman's IT background is more pronounced when the chairman holds higher power, and the industry environment uncertainty is elevated.•The study reveals that having practical IT career experience significantly enhances the chairman's ability to lead and drive successful digital transformations in enterprises.
ISSN:0927-538X
1879-0585
DOI:10.1016/j.pacfin.2023.102220