Research On The Impact Of Digital Transformation On The Value Creation Of Manufacturing Enterprises

In recent years,China’s economy has turned to a stage of high-quality development.As an important part of economic system,the manufacturing industry is currently facing the problems such as insufficient capacity and weak independent innovation ability.In the context of high-quality development,how to help manufacturing companies improve their value creation capabilities has become an urgent problem to be solved.Meanwhile,the vigorous development of the digital economy has injected new impetus into traditional enterprises and provided a new direction for the upgrading of the manufacturing industry.As a representative of Chinese home appliance manufacturing industry,Midea Group started the digital transformation in 2012.To this day,Midea Group has upgraded from a traditional home appliance company to a representative of high-end advanced manufacturing enterprises,and the digital transformation strategy has contributed a lot.However,digital transformation is not an easy task.Many enterprises formulate ineffective digital transformation strategies due to lack of understanding of digital technology,which not only wastes resources,but also hinders their development.Therefore,this paper selects the Midea Group as the research object of digital transformation,analyzes the path and effect of digital transformation on value creation of manufacturing enterprises,and helps other enterprises to correctly understand digital transformation,formulate reasonable development strategies,and ultimately improve the value creation ability.The paper first expounds the connotation of value creation and digital transformation,and conducts a theoretical analysis of the path of digital transformation;then explores the motivation and process of Midea Group’s digital transformation,and then analyzes the path of digital transformation on Midea Group’s value creation ability;Finally,conclusions are drawn and relevant recommendations are given.The conclusions are:(1)Digital transformation can improve the value creation ability of manufacturing enterprises;(2)Digital transformation drives the value creation ability by improving the management of enterprises.Specifically,a unified digital infrastructure can solve the problem of internal information asymmetry,thereby promoting the operating efficiency of enterprises.In addition,online sales channels can expand new customer groups and accumulate massive customer data,thereby enhance the value creation activities of enterprises.(3)Digital transformation drives value creation capabilities by improving the innovation of enterprises.On the one hand,the high technology of digital transformation provides new direction for enterprise innovation,prompting enterprises to continuously strengthen their innovation awareness and improve their innovation level.On the other hand,the high technical barriers to digital transformation have prompted enterprises to transform their demand for human capital of knowledge-intensive,thereby providing knowledge guarantee for enterprise innovation.(4)Digital transformation drives value creation ability of enterprises by improving the development quality of enterprises.First of all,digital transformation can empower the value chain through intelligent technology,create intelligent and visualized production lines at the production end,and provide new production resource for value creation activities.In addition,digital transformation can build a company’s high-quality value creation capabilities by reconstructing a customer-oriented business model,therefore meet the increasingly escalating needs of consumers.The contributions of this paper are as follows: First,it enriches the case studies related to digital transformation.In recent years,most of the relevant research are based on theoretical perspective.There is a lack of research on the analysis of digital transformation from the perspective of a certain enterprise,and there are few literatures that combine case studies to analyze the impact of digital transformation on the value creation of manufacturing enterprises.Therefore,studying the successful application of digital transformation in manufacturing enterprises not only fills this research gap,but also provides transformation ideas for other enterprises that are implementing digital transformation.Second,it clarifies one of the paths for manufacturing enterprises to enhance value creation.As our country enters a new stage of high-quality development,the traditional manufacturing industry is facing many development problems.Through the research,it is found that digital transformation can effectively help the traditional manufacturing industry improve its value creation ability,and then break through the bottleneck of development.Third,it clarifies the mechanism of digital transformation on the value creation of manufacturing enterprises.Digital transformation can improve the value creation ability of enterprises by improving the three dimensions of enterprise management level,innovation level and quality development level,and then help manufacturing enterprises achieve high-quality development.