1. Home
  2. Vol 9, No 1 (2025)
  3. Pham

Unveiling the Decision-Making Process of Digital Transformation Adoption from a Behavioral-Cognitive Perspective: Mediating and Moderating Mechanisms

Thong Van Pham, Thuc Duc Tran

Abstract


Although digital transformation (DT) is an unavoidable trend today, achieving successful DT presents numerous challenges. Problem-solving skills (PSS) and knowledge barriers in the digital age are among the most pressing issues. Given this premise, this research aims to unveil the “decision-making related to digital transformation adoption (DTDM)” via the cognitive processes and PSS. The study conducted an online survey with 516 current employees of Vietnamese enterprises to evaluate the measurement and structural models and to clarify the nexuses between low cognitive level (LCL), high cognitive level (HCL), PSS, and DTDM. The research results show that LCL, HCL, and PSS are positively associated with DTDM, with HCL and PSS mediating the relationship between LCL and DTDM. In addition, the study also pointed out the moderating role of creativity (CRT) in the association between LCL and DTDM. Consequently, the study makes significant practical and theoretical contributions to DT and helps address current bottlenecks related to the barriers to DT.

 

Doi: 10.28991/ESJ-2025-09-01-023

Full Text: PDF


Keywords


Digital Transformation; Decision-Making; Problem-Solving Skills; Low Cognitive Level; High Cognitive Level; Creativity.

References


Zaman, M., Ullah, A., Pinglu, C., & Kashif, M. (2024). Sustainable Silk roads future: Examining the nexus of inflation, regional integration, globalization and sustainability in BRI economies. Sustainable Futures, 7, 100172. doi:10.1016/j.sftr.2024.100172.

Nguyen, T. L., Tran, T. A. P., Le, D. T., & Van Pham, T. (2024). Enterprise Innovation in The Distribution Sector Such as Logistics and Trade Towards Green and Sustainable Development. Journal of Distribution Science, 22(10), 1–12. doi:10.15722/jds.22.10.202410.1.

Blichfeldt, H., & Faullant, R. (2021). Performance effects of digital technology adoption and product & service innovation – A process-industry perspective. Technovation, 105, 102275. doi:10.1016/j.technovation.2021.102275.

Ta, V. A., & Lin, C. Y. (2023). Exploring the Determinants of Digital Transformation Adoption for SMEs in an Emerging Economy. Sustainability (Switzerland), 15(9), 7093. doi:10.3390/su15097093.

Vietnam Prime Minister. (2020). Decision No. 749/QD-TTg approving the “National Digital Transformation Program to 2025 with orientation to 2030. Vietnam Prime Minister, Hanoi, Vietnam. Available online: https://chinhphu.vn/default.aspx?pageid= 27160&docid=200163 (accessed on January 2025).

Hassani, S., & Babazadeh Sangar, A. (2024). Digital transformation of Tabriz, Iran by IoT adoption. Information Development, 02666669231219795. doi:10.1177/02666669231219795.

Kumar, R., Dutta, G., & Phanden, R. K. (2024). Digitalization Adoption Barriers in the Context of Sustainability and Operational Excellence: Implications for SMEs. EMJ - Engineering Management Journal, 1–17. doi:10.1080/10429247.2024.2372519.

Muduli, A., & Choudhury, A. (2024). Exploring the role of workforce agility on digital transformation: a systematic literature review. Benchmarking, 1463–5771. doi:10.1108/BIJ-02-2023-0108.

Pandey, V., Kumar, A., & Gupta, S. (2024). Assessing the need for the adoption of digitalization in Indian small and medium enterprises. Open Engineering, 14(1), 20240072. doi:10.1515/eng-2024-0072.

Serdarušić, H., Pancić, M., & Zavišić, Ž. (2024). Green Finance and Fintech Adoption Services among Croatian Online Users: How Digital Transformation and Digital Awareness Increase Banking Sustainability. Economies, 12(3), 54. doi:10.3390/economies12030054.

Kallmuenzer, A., Mikhaylov, A., Chelaru, M., & Czakon, W. (2024). Adoption and performance outcome of digitalization in small and medium-sized enterprises. Review of Managerial Science, 1–28. doi:10.1007/s11846-024-00744-2.

Russell, K., O’Raghallaigh, P., McAvoy, J., & Hayes, J. (2020). A cognitive model of digital transformation and IS decision making. Journal of Decision Systems, 29(Sup1), 45–62. doi:10.1080/12460125.2020.1848388.

Tran, T. D., Doan, H. T., Pham, T. Van, & Truong, T. M. T. (2024). Social Influences, Cognitive Competence, Problem-Solving Skills: A Case Study of Problem-Solving Skills in the Context of Digitalization Adoption. International Journal of Instruction, 17(4), 195–218. doi:10.29333/iji.2024.17412a.

Chang, C. L., & Octoyuda, E. (2024). Driving Digital Transformation: How Transformational Leadership Bridges Learning Agility and Digital Technology Adoption in MSMEs. Emerging Science Journal, 8(4), 1583–1601. doi:10.28991/ESJ-2024-08-04-020.

Fenwick, A., Molnar, G., & Frangos, P. (2024). The critical role of HRM in AI-driven digital transformation: a paradigm shift to enable firms to move from AI implementation to human-centric adoption. Discover Artificial Intelligence, 4(1), 34. doi:10.1007/s44163-024-00125-4.

Kwarteng, M. A., Ntsiful, A., Diego, L. F. P., & Novák, P. (2024). Extending UTAUT with competitive pressure for SMEs digitalization adoption in two European nations: a multi-group analysis. Aslib Journal of Information Management, 76(5), 842–868. doi:10.1108/AJIM-11-2022-0482.

28-Low, M. P., Seah, C. S., Cham, T.-H., & Teoh, S. H. (2022). Digitalization adoption for digital economy: an examination of Malaysian small medium-sized enterprises through the technology–organization–environment framework. Business Process Management Journal, 28(7), 1473–1494. doi:10.1108/bpmj-06-2022-0282.

Lutfi, A., Alsyouf, A., Almaiah, M. A., Alrawad, M., Abdo, A. A. K., Al-Khasawneh, A. L., Ibrahim, N., & Saad, M. (2022). Factors Influencing the Adoption of Big Data Analytics in the Digital Transformation Era: Case Study of Jordanian SMEs. Sustainability (Switzerland), 14(3), 1802. doi:10.3390/su14031802.

Nguyen, N., Dang-Van, T., Vo-Thanh, T., Do, H. N., & Pervan, S. (2024). Digitalization strategy adoption: The roles of key stakeholders, big data organizational culture, and leader commitment. International Journal of Hospitality Management, 117, 103643. doi:10.1016/j.ijhm.2023.103643.

Al-Alawi, A. I., Messaadia, M., Mehrotra, A., Sanosi, S. K., Elias, H., & Althawadi, A. H. (2023). Digital transformation adoption in human resources management during COVID-19. Arab Gulf Journal of Scientific Research, 41(4), 446–461. doi:10.1108/AGJSR-05-2022-0069.

Al-Okaily, M. (2024). Attitudes toward the adoption of accounting analytics technology in the digital transformation landscape. Journal of Accounting and Organizational Change, 127. doi:10.1108/JAOC-04-2024-0127.

Gündoǧan, O., & Keçeci, T. (2024). A TAM-Based Study on the Adoption of Digital Transformation in the Maritime Transportation Logistics Sector. Journal of Eta Maritime Science, 12(1), 92–105. doi:10.4274/jems.2024.26680.

Zakaria, M., Ahmad, W. N. W., Hussin, N. C., Hassan, R. A., Marzuki, M. M., Syukur, M., & Sari, E. N. (2024). Adoption of tax digitalisation among Malaysian tax practitioners. Telkomnika (Telecommunication Computing Electronics and Control), 22(3), 567–575. doi:10.12928/TELKOMNIKA.v22i3.25959.

Tran, T. D., & Pham, T. Van. (2024). The Relationship Between Thinking Ability, Emotional Intelligence, and Decision-Making. Emerging Science Journal, 8(2), 644–657. doi:10.28991/ESJ-2024-08-02-017.

Bruch, E., & Feinberg, F. (2017). Decision-making processes in social contexts. Annual Review of Sociology, 43(1), 207–227. doi:10.1146/annurev-soc-060116-053622.

Alkhwaldi, A. F. (2024). Digital transformation in financial industry: antecedents of fintech adoption, financial literacy and quality of life. International Journal of Law and Management. doi:10.1108/IJLMA-11-2023-0249.

Tran, T. D., Truong, T. D., Pham, T. Van, & Pham, D. H. (2024). Cognitive Competency, Problem-Solving Skills and Decision-Making: A Case Study of Students’ Extracurricular Activities in The Distribution Chains Sector. Journal of Distribution Science, 22(2), 71–82. doi:10.15722/jds.22.02.202402.71.

Baah, C., Agyabeng-Mensah, Y., Afum, E., & Lascano Armas, J. A. (2024). Exploring corporate environmental ethics and green creativity as antecedents of green competitive advantage, sustainable production and financial performance: empirical evidence from manufacturing firms. Benchmarking, 31(3), 990–1008. doi:10.1108/BIJ-06-2022-0352.

Bloom, B. S. (1956). Handbook I: Cognitive Domain. David McKay Company, Toronto, Canada.

Qudrat-Ullah, H. (2024). Creativity Loops–Based Decision Making. Springer Nature Switzerland, Cham, Switzerland. doi:10.1007/978-3-031-70270-9.

Felicetti, A. M., Corvello, V., & Ammirato, S. (2024). Digital innovation in entrepreneurial firms: a systematic literature review. Review of Managerial Science, 18(2), 315–362. doi:10.1007/s11846-023-00638-9.

Hoang, H. (2024). Navigating the Digital Landscape: An Exploration of the Relationship Between Technology-Organization-Environment Factors and Digital Transformation Adoption in SMEs. SAGE Open, 14(4), 1-19. doi:10.1177/21582440241276198.

Nadkarni, S., & Prügl, R. (2021). Digital transformation: a review, synthesis and opportunities for future research. Management Review Quarterly, 71(2), 233–341. doi:10.1007/s11301-020-00185-7.

Kim, S., Choi, B., & Lew, Y. (2021). Where is the age of digitalization heading? The meaning, characteristics and implications of contemporary digital transformation. Sustainability (Switzerland), 13(16), 8909. doi:10.3390/su13168909.

Gong, C., & Ribiere, V. (2021). Developing a unified definition of digital transformation. Technovation, 102, 102217. doi:10.1016/j.technovation.2020.102217.

Kao, L. J., Chiu, C. C., Lin, H. T., Hung, Y. W., & Lu, C. C. (2024). Unveiling the dimensions of digital transformation: A comprehensive taxonomy and assessment model for business. Journal of Business Research, 176, 114595. doi:10.1016/j.jbusres.2024.114595.

24-Khalilzadeh, J., Kozak, M., & Del Chiappa, G. (2024). Tourism motivation: A complex adaptive system. Journal of Destination Marketing & Management, 31, 100861. doi:10.1016/j.jdmm.2024.100861.

Xicang, Z., Bilal, M., Jiying, W., Sohu, J. M., Akhtar, S., & Itzaz Ul Hassan, M. (2024). Unraveling the Factors Influencing Digital Transformation and Technology Adoption in High-Tech Firms: The Moderating Role of Digital Literacy. SAGE Open, 14(4), 21582440241300188. doi:10.1177/21582440241300189.

Jibril, A. B., Amoah, J., Panigrahi, R. R., & Gochhait, S. (2024). Digital transformation in emerging markets: the role of technology adoption and innovative marketing strategies among SMEs in the post – pandemic era. International Journal of Organizational Analysis, 4509. doi:10.1108/IJOA-05-2024-4509.

Rana, S., Singh, J., Mishra, V., Khan, S., Quttainah, M., & Prashar, S. (2024). How digital transformation impact firm performance? The unmet needs of Indian exporting firms. Journal of Strategic Marketing, 32(8), 1317–1335. doi:10.1080/0965254x.2024.2318216.

Zhou, F., & Xu, S. (2024). How digitalization and information technology adoption affect firms’ innovation performance: evidence from Chinese automotive firms. European Journal of Innovation Management, 0788. doi:10.1108/EJIM-09-2023-0788.

Omari, R. Al, Sweis, G., Abu-Khader, W., & Sweis, R. (2023). Barriers to the Adoption of Digitalization in the Construction Industry: Perspectives of Owners, Consultants, and Contractors. Construction Economics and Building, 23(3–4), 87–106. doi:10.5130/AJCEB.v23i3/4.8636.

Munzenmaier, C., & Rubin, N. (2013). Bloom’s taxonomy: What’s old is new again. The eLearning Guild, Santa Rosa, United States.

Duc, T. T., Van, P. T., Thi, N. P. C., Tan, L. L., & Thi, L. N. N. (2024). A Case Study of Decision-Making Towards Using Online Food Distribution Services After Covid-19 In Vietnam. Journal of Distribution Science, 22(3), 33–47. doi:10.15722/jds.22.03.202403.33.

Wallsten, T. S. (2024). Cognitive Processes in Choice and Decision Behavior. Routledge, London, united Kingdom. doi:10.4324/9781003469544.

Wang, Y., & Ruhe, G. (2007). The Cognitive Process of Decision Making. International Journal of Cognitive Informatics and Natural Intelligence (IJCINI), 1(2), 73–85. doi:10.4018/jcini.2007040105.

Eskiyurt, R., & Özkan, B. (2024). Exploring the impact of collaborative learning on the development of critical thinking and clinical decision-making skills in nursing students: A quantitative descriptive design. Heliyon, 10(17), e37198. doi:10.1016/j.heliyon.2024.e37198.

Purnamasari, V., Seprillina, L., Mukhlis, I., Yusida, E., & Cahayati, N. (2024). Implementation of the Financial Technology Industry on MSMEs in Malang, Indonesia: A Phenomenological Analysis Using Critical Thinking Model. Board Diversity and Corporate Governance. CSR, Sustainability, Ethics & Governance. Springer, Cham, Switzerland. doi:10.1007/978-3-031-53877-3_41.

Hair, J. F., Hult, G. T. M., Ringle, C. M., Sarstedt, M., Danks, N. P., & Ray, S. (2021). Partial Least Squares Structural Equation Modeling (PLS-SEM) Using R. Classroom Companion: Business, Springer International Publishing, Cham, Switzerland. doi:10.1007/978-3-030-80519-7.

Bransford, J. D., & Stein, B. S. (1993). The IDEAL problem solver. Centers for Teaching Excellence - Book Library. 46, Georgia Southern University, Statesboro, United States.

Nadeem, K., Wong, S. I., Za, S., & Venditti, M. (2024). Digital transformation and industry 4.0 employees: Empirical evidence from top digital nations. Technology in Society, 76, 102434. doi:10.1016/j.techsoc.2023.102434.

Siebel, T. M. (2019). Digital transformation: survive and thrive in an era of mass extinction. Rosetta Books, New York, United States.


Full Text: PDF

DOI: 10.28991/ESJ-2025-09-01-023

Refbacks

  • There are currently no refbacks.