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COVID-19 and digitalization: The great acceleration.

Joseph Amankwah-Amoah1, Zaheer Khan2,3, Geoffrey Wood4

  • 1Kent Business School, University of Kent, Chatham, Kent ME4 4TE, Canada.

Journal of Business Research
|September 20, 2021
PubMed
Summary

The COVID-19 pandemic accelerated business digitalization globally, acting as a catalyst for adopting emerging technologies. However, this digital transformation presents challenges, including risks to employee well-being and work-life balance.

Keywords:
Business modelBusiness strategiesCOVID-19DigitalizationEmerging technologiesWork and organization

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Area of Science:

  • Business and Management
  • Information Systems
  • Sociology of Work

Background:

  • The COVID-19 pandemic spurred significant interest in digitalization's role in global business.
  • Existing trends towards embracing emerging technologies were amplified by the pandemic.

Purpose of the Study:

  • To examine how the COVID-19 pandemic drives or constrains business digitalization worldwide.
  • To develop a conceptual model linking forces for and against digitalization during the pandemic.

Main Methods:

  • Conceptual analysis and model development.
  • Literature review on digitalization, COVID-19, and business transformation.

Main Results:

  • COVID-19 acted as a "great accelerator" and "catalyst" for digitalization, transforming work and business strategies.
  • Digitalization adoption faces hindrances like external interests, nostalgia, and employer opportunism.
  • Negative impacts on employee well-being, productivity, and work-life balance pose risks.

Conclusions:

  • Digitalization presents both opportunities and significant risks, with potential negative feedback loops.
  • The pandemic's impact on digitalization necessitates careful consideration of employee well-being and future work dynamics.
  • Theoretical and practical implications for businesses navigating digital transformation are discussed.