INDIVIDUAL DIGITAL CAPABILITIES AS AN ANSWER TO BUSINESS CHALLENGES OF SMALL AND MEDIUM ENTERPRISES: A case study in a software company based on microfoundations theory
Digital Transformation (DT); Individual digital capabilities; Small and Medium Enterprises (SMEs); Software development; Microfoundation theory
For Digital Transformation (DT) to be successful, organizations are required to integrate business planning with the implementation of Information and Communication Technologies (ICTs). In this sense, companies with individual digital capabilities may be able to carry out this process more effectively. While there is consensus on the importance of developing digital capabilities among employees, there is still a lack of studies on the impacts of individual digital capabilities aimed at organizational problems. This fact is even more evident in Small and Medium Enterprises (SMEs) of software development, which face diverse challenges and fundamentally depend on individual knowledge for their efficiency. Based on this research gap, this research aims to analyze how individual digital capabilities can mitigate the business challenges of software SMEs. To achieve this end, we propose qualitative research, of an applied nature and with an exploratory objective, incorporating a Systematic Literature Review (SLR) and a case study with a company in this segment and size. This research is based on the theoretical lens of microfoundations, which observe individual-level aspects that shape elements and characteristics at the group level. As a result, this study seeks to contribute to the guidance of managers, entrepreneurs, and researchers about the role of individual digital capabilities in solving organizational problems based on DT.