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Making digital technology innovation happen: The role of the CEO's information technology backgrounds

Author

Listed:
  • Zhao, Shuang
  • Guan, Yunfang
  • Zhou, Haiyan
  • Hu, Feng

Abstract

Chief executive officers (CEOs) are the leaders of corporate innovation, but little is known about which types of CEOs are more conducive to digital technology innovation. Based on Chinese listed manufacturing companies from 2013 to 2020, we examine the effect of the information technology (IT) background of CEOs on digital technological innovation. The results show that CEOs' IT backgrounds significantly promote digital technology innovation. Curbing managerial myopia is the mechanism involved while strengthening digital sensemaking does not exist. Heterogeneity analysis reveals that the facilitating role of CEOs' IT background is more pronounced when their power is more extensive, the company is nonstate-owned, mature, and large, and the region is highly marketized. Our findings contribute to the literature on the impact of executive characteristics on innovation and provide a reference for companies to promote digital technology innovation through the employment of specific CEOs.

Suggested Citation

  • Zhao, Shuang & Guan, Yunfang & Zhou, Haiyan & Hu, Feng, 2024. "Making digital technology innovation happen: The role of the CEO's information technology backgrounds," Economic Modelling, Elsevier, vol. 140(C).
    • Handle: RePEc:eee:ecmode:v:140:y:2024:i:c:s0264999324002232
    DOI: 10.1016/j.econmod.2024.106866
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    More about this item

    Keywords

    Chief executive officer; Information technology background; Upper echelons theory; Digital technology innovation; Digital sensemaking; Managerial myopia;
    All these keywords.

    JEL classification:

    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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