COVID‐19 crisis andSMEsresponses: The role of digital transformation

Vinícius Barreto Klein; José Leomar Todesco

doi:10.1002/kpm.1660

journal article Mar 10, 2021

COVID‐19 crisis andSMEsresponses: The role of digital transformation

Vinícius Barreto Klein

José Leomar Todesco

Knowledge and Process Management Vol. 28 No. 2 pp. 117-133 · Wiley

View at Publisher Save 10.1002/kpm.1660

Abstract

In addition to causing dramatic damage to people's health, the coronavirus has affected also the financial health of companies worldwide. Among them, SMEs (small and medium‐sized enterprises) tend to be more vulnerable. Characteristics such as scarcity of financial resources and lack of specialized knowledge make their situation even harder. This pandemic has resulted in increased digital transformation, changes in customer behavior and the managerial and technological knowledge gap to address them. Therefore, this article discusses the general weaknesses, strengths, challenges and opportunities for SMEs to face this pandemic, and how the field of knowledge management (KM) can help. Based on the concepts of organizational resilience, we drafted a conceptual model to illustrate how their first responses were and how they could become more adapted. First, we conducted a literature search to investigate how SMEs responded to this scenario. We found responses to the financial impacts in the form of mass layoffs, temporary and permanent closures, bootstrapping of digitalization and strategic alliances. In the discussions section, we raise some key questions to demonstrate how knowledge can improve the role of digital transformation. We approach how a KM strategy could start from organizational resilience concepts to assist SMEs to seize digital transformation opportunities. As practical implications, our research raises awareness of digital transformation's role as a set of tools to adapt during and after the pandemic, along with resilience engineering and knowledge management principles. Future researchers can use this report as a conceptual guide to start their own response and adaptation plans.

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Details

Published: Mar 10, 2021
Vol/Issue: 28(2)
Pages: 117-133
License: View

Authors

V

Vinícius Barreto Klein

Catarinense Federal Institute (IFC) Blumenau Brazil

J

José Leomar Todesco

Federal University of Santa Catarina (UFSC) Blumenau Brazil

Cite This Article

Vinícius Barreto Klein, José Leomar Todesco (2021). COVID‐19 crisis andSMEsresponses: The role of digital transformation. Knowledge and Process Management, 28(2), 117-133. https://doi.org/10.1002/kpm.1660

COVID‐19 crisis andSMEsresponses: The role of digital transformation

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