The Application of Digitalization in Enterprises
on the Basis of Multiple Criteria Selection Design
The Application of Digitalization in Enterprises
on the Basis of Multiple Criteria Selection Design
Author(s): Yuliia Vorzhakova, Kateryna BoiarynovaSubject(s): Business Economy / Management
Published by: Akademia Leona Koźmińskiego
Keywords: digitalization; approaches; mechanism; artificial intelligence; business processes
Summary/Abstract: Purpose: The increasing role of digitalization in the operation of enterprises actualizes theimplementation of the basic methods of proper digitalization processes. The selection of anappropriate method to introduce digitalization is crucial, as it affects the optimization level of thebusiness processes.Methodology: Specific multicriteria selection method includes five steps to identify these approaches,considering the relative error for each approach, as it affects the outcome with the performanceindicator of business process digitalization. The strongest criterion value is used to identify theoptimal approach. The evaluation of the methods showed that the performance of the logistic, administrative, and innovative methods is not worse than the Pareto principle.Findings: Introducing digitalization in the administrative method has the biggest impact. The chosenmethod showed that Human Resources processes require modification to reduce costs. A mechanism to digitalize the personnel management processes using artificial intelligence was developed.Implications: The results of multivariate multicriteria analysis show that the implementation of artificial intelligence minimizes human factors and optimizes time and costs.Originality: The main contribution is the development of the method for the selection of an appropriate digitalization approach, which encompasses an implementation mechanism that can beadapted to enterprises’ needs.
Journal: Central European Management Journal
- Issue Year: 28/2020
- Issue No: 3
- Page Range: 127-148
- Page Count: 22
- Language: English