Business Systems Research : International journal of the Society for Advancing Innovation and Research in Economy

Vol 15 No 1 (2024)

Editor-In-Chief — 2024-09-27

Full Issue of Vol. 15 No. 1 (2024): A Systems View across Technology & Economics

A Systematic Review of Green and Digital Transitional Factors in the Fashion Industry

Md. Sadrul Islam Sarker — 2024-09-27

Background: The fashion industry's current manufacturing approach raises various environmental and social concerns, including but not limited to carbon emissions, resource depletion, waste generation, substantial energy consumption, and labour exploitation. Green and digital fashion can minimise these issues. However, fashion's green and digital shifts need more coverage. Objectives: This paper aims to observe and explore the key elements of green and digital transitions in the fashion industry. Methods/Approach: Following the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) 2020 guidelines, this systematic review study examined articles on green and digital transformations in the fashion supply chain from 2012 to 2022 in relevant indexation services. The researchers used descriptive and content analysis to explain the results from 46 of the 518 publications that were relevant to their study. Results: The study uncovered green transforming factors such as green materials, green energy, cleaner production, and others, as well as digital shifting factors like artificial intelligence, the Internet of Things (IoT), and robotics. Conclusions: This study's findings can assist practitioners and policymakers in integrating digital and green technologies into the fashion industry. Moreover, this study identified several research gaps that, if addressed, could have significant practical implications for the future of the fashion industry.

The Digital Transformation of European Union Countries before and during COVID-19

Ján Huňady — 2024-09-27

Background: The transformation of business and the economy is a key business problem, and its importance was further heightened during the COVID-19 pandemic, with the increased pressure on enterprises. Hence, the digital readiness of their business will likely determine its future competitiveness in the field. Objectives: The paper addresses the issue of digital readiness for business, with the aim of examining similarities and differences in the digital readiness of European Union countries. The main focus is on identifying the changes during the first two years of the pandemic. Methods/Approach: We conducted a factor analysis and hierarchical cluster analysis based on selected indicators. The results revealed some significant differences. Results: While the countries that lead in digital readiness remained the same, there were relatively large differences in the classification of other EU countries. Some countries, such as Latvia or Slovenia, significantly improved in many aspects of digital readiness during the pandemic. On the other hand, Bulgaria and Romania are still included in the same cluster, representing an overall low digital readiness. Conclusion: Enterprises in more developed countries also have a higher level of digital readiness. Although COVID-19 had a positive impact on digital readiness in some less developed countries, the impact is only partial, indicating a need for stronger actions to bridge the digital divide at the EU level. These findings provide a hopeful outlook, suggesting that with the right actions, the digital divide in the EU can be effectively bridged.

Using CNNs for Photovoltaic Panel Defect Detection via Infrared Thermography to Support Industry 4.0

Mislav Spajić — 2024-09-27

Background: This study demonstrates how convolutional neural networks (CNNs), supported by open-source software and guided by corporate social responsibility (CSR), can enhance photovoltaic (PV) panel maintenance. Connecting industrial informatics with sustainable practices underscores the potential for more efficient and responsible energy systems within Industry 4.0. The rapid expansion of solar power necessitates effective maintenance and inspection of PV panels to ensure optimal performance and longevity. CNNs have emerged as potent tools for detecting defects in PV panels through infrared thermography (IRT). Objectives: The review aims to evaluate CNNs' effectiveness in detecting PV panel defects, align their capabilities with the IEC TS 62446-3:2017 standard, and assess their economic benefits. Methods/Approach: A systematic review of literature focused on studies using CNNs and IRT for PV panel defect detection. The analysis compared performance metrics, economic benefits, and alignment with industry standards. Results: CNN models demonstrated high accuracy in defect detection, with most achieving above 90%. Integrating UAVs for image acquisition significantly reduced inspection times and costs. Conclusions: CNNs are highly effective in detecting PV panel defects, offering substantial economic benefits and potential for industry-wide standardisation. Further research is needed to enhance model robustness across diverse conditions and PV technologies.

Simulation and Optimisation of Business Process Management: Case Study of IT Company

Olena Serhiienko — 2024-09-27

Background: In managing business processes of complex hierarchical systems, primary attention is given to analysing, accelerating, and optimising the basic processes typical for any company. Objectives: The goal of this work is to prove that while managing business processes, it is crucial to consider the peculiarities of the external and internal environment to determine the effects of individual triggers. Method: An example of business process analysis was provided regarding the peculiarities of managing IT service companies operating in a dynamic environment of rapid technological changes. The business processes analysis of IT service companies in Ukraine was conducted. Business process groups characterised by low use of labour and financial resources and excessive and high levels of risk management were determined. Results: An algorithm for optimising the IT company's business processes was developed. Simulation and optimisation models for managing IT company business processes were developed using scenario modelling and simulation techniques. Conclusion: Based on these models, a predictive evaluation of management impacts on business processes was conducted, representing individual clusters according to defined management strategies.

The Influence of Consumer Motivation on Engagement with Sports Club Social Media: An Intrinsic and Extrinsic Analysis

Željka Marčinko Trkulja — 2024-09-27

Background: Understanding the motivations behind consumer engagement on sports club social media can help clubs and marketers tailor their strategies to better connect with fans, fostering deeper loyalty and more meaningful interactions. By identifying what drives fans to engage—whether it is a genuine love for the brand or the pursuit of rewards—clubs can create more targeted content that not only boosts engagement but also strengthens the overall fan experience and community. Objectives: This study explores the impact of intrinsic and extrinsic motivation on consumer engagement with sports club social media, utilising the theoretical framework of Uses and Gratifications Theory. Methods/Approach: Using structural equation modelling and network analysis, different motivational factors, such as internal and external motivation, were analysed to determine their influence on engagement behaviours. Results: The findings reveal that both intrinsic motivations (e.g., personal identity, entertainment, and brand love) and extrinsic motivations (e.g., rewards, empowerment, and social interaction) significantly affect consumer engagement. Intrinsic motivations were strong predictors of high-quality engagement behaviours, including meaningful commenting and active participation in discussions. In contrast, extrinsic motivations, particularly the role of social interaction, were more associated with the frequency of posting and sharing content. Conclusions: These results underscore the importance of understanding the diverse motivational drivers behind consumer interactions with sports club social media to enhance fan engagement and loyalty.

Operational Employability Model: A Case Study of Graduate Employability in Croatia

Ana Tecilazić — 2024-09-27

Background: The employability of graduates has become a central topic in higher education policy and research. However, the construct still needs to be clarified. Objectives: The objective of this paper is to demonstrate the applicability of an operational employability model in analysing the transition from study to work on a sample of graduates in Croatia as part of a larger Eurograduate pilot survey. The model has been rooted in the theories of human capital, cultural and social capital and constructivist educational theory. Methods/Approach: Factor analysis was applied to reduce the number of measured variables into factor scores that were used as predictors in multiple regression analysis. Cox regression, logistic regression and linear regression were applied to test the employability model. Results: The results showed that cultural capital, human capital, and bridging social capital, as well as high-impact practises during studies, such as volunteering and internships, have a positive impact on the likelihood of finding employment in less time after graduation in an occupation that vertically matches the qualification, and in a job with a higher monthly income. Conclusions: The results have shown that cultural capital, human capital, and bridging social capital influence the probability of finding employment in a job that matches the level of qualification in a shorter time after graduation and in a job with a higher monthly income. These findings have practical implications for educators, policymakers, and employers, providing insights into the factors that can enhance graduate employability.

Opportunities or Challenges? The Interplay between Artificial Intelligence and Corporate Social Responsibility Communication

Xiang zhou Hua — 2024-09-27

Background: The rapid development of Artificial Intelligence (AI) offers both opportunities and challenges for its application in Corporate Social Responsibility (CSR) communication. While AI can enhance CSR initiatives, its impact on consumer relations and brand perception remains inconsistent. Objectives: This study aims to explore the academic landscape of AI's role in CSR communication, focusing on publication trends, key authors, research topics, and future directions. Methods/Approach: A bibliometric analysis was conducted on 1,094 articles related to AI and CSR communication, retrieved from the Web of Science database from 2000 to February 2024. Using CiteSpace software, the study mapped research trends by analysing disciplines, countries, institutions, authors, references, and keywords. Results: The United States and China lead in publication output, with key research themes including social media impact, management strategies, and consumer trust. Emerging trends point to the importance of privacy, service quality, and perceived value in AI-driven CSR initiatives. Conclusions: The integration of AI in CSR communication is an evolving field, with significant contributions from social media research and consumer behaviour studies. Future research should address ethical concerns and long-term effects on consumer trust and engagement.

Exploring the Link between Sustainable Practices and Corporate Performance Across Industries

Iris Maria Velez Osorio — 2024-09-27

Background: The adoption of the Sustainable Development Goals (SDGs) has set a global standard for promoting sustainable practices. However, manufacturing companies need help in adopting these practices due to differences between industries, the need for research and development, and variations in corporate sizes. Objectives: This analysis aims to study sustainability practices and their impact on corporate performance across different industries. It seeks to identify whether there is a relationship between sustainability practices and corporate performance in manufacturing companies and if the type of industry affects this relationship. Methods/Approach: To achieve this goal, a multivariate analysis was conducted using hierarchical regression. Results: The research indicates a direct connection between sustainability practices and corporate performance. It highlights the importance of creating distinctive sustainability practices that cater to the specific needs and characteristics of each industry. Conclusions: Developing corporate strategies around sustainability is imperative. Additionally, public policies should be implemented to encourage the adoption of such practices, reinforcing the need for industry-specific approaches to enhance both sustainability and corporate performance.

Influence of Demand on Supplier Selection Using the Analytic Hierarchy Process: A Case Study Validation in the Textile Industry

Bruna Ramos — 2024-09-27

Background: Supplier selection has emerged as an important activity regarding strategic purchasing with implications for the operational efficiency of both organisations and supply chains. Given the need to evaluate both qualitative and quantitative criteria for different supply alternatives, the decision-making process became more complex. Objectives: In the present work, an adapted Analytic Hierarchy Process model is proposed for supplier selection, which is being validated within the context of a textile company. The multi-criteria decision support model was coded in Python and encompasses criteria, cost, quality, delivery time, sustainability, and history. Methods/Approach: This model allocates weights to individual suppliers based on the diverse criteria considered. Four alternatives were considered as the chemical fabric dyeing pigment suppliers. Two different scenarios were considered to understand the influence of demand on the supplier selection problem. Results: The cost is the most valued criterion in the supplier selection (0.493 for Scenario 1 and 0.426 for Scenario 2). The second most important criterion for regular demand is quality (0.224), whereas, for the increased demand scenario, delivery time (0.301) is the second most impactful criterion. Conclusions: The application of the AHP for both tested scenarios resulted in a different priority, highlighting the adjustment capacity of the implemented model to different search parameterisations.

How did Hotels Measure Performance during Covid-19? Insights from Central and Eastern Europe

Tijana Jugovic — 2024-09-27

Background: One of the industries that was among the most disrupted by the Covid-19 pandemic was the tourism industry. Hotel owners and managers needed guidelines on how to combat the “new normal” and enable the sustainable economic operation of the hotels they managed. Objectives: This paper addresses the problem of identifying performance management (PM) indicators hotel managers turned to during the pandemic and the factors which motivated them to do so. Methods/Approach: Managers of hotels in winter destinations in Serbia and Bosnia and Herzegovina were surveyed on the performance measures they implemented in the hotels they managed. Results: The results of the research show that in the era of the Covid-19 pandemic, hotel managers relied on both organisational and operational measures but found operational indicators more useful. The characteristics of managers, such as business position in the hotel, age, level of education and level of work experience, are related to the choice of indicators and levels of their implementation. Also, the hotel's characteristics, such as size, revenue, and growth rate, proved to have an impact on the level of PM indicators measured. Conclusions: In times of crises, such as pandemics, organisational PM indicators that rely mainly on financial results are not as useful as operational ones. The reliance on operational measures of indicators increased the resilience of hotels.

Integrated Communications Management in Organisations: Bibliometric Insight into Past and Future

Francisco Javier Varona Silva — 2024-09-27

Background: Integrated Communications Management (ICM) has emerged as a critical strategy in the evolving economy of organisational dynamics. This paper delves into its evolution, challenges, and thematic axes, addressing theoretical controversies and practical applications. Objective: This paper aims to conduct a comprehensive bibliometric analysis of ICM literature from 1989 to June 2023, scrutinising 971 publications from Elsevier Scopus. The study seeks to unveil patterns in productivity, authorship, collaboration networks, international contributions, and thematic structures. Methods/Approach: Employing systematic bibliometric methodology, this study analyses selected publications from the Scopus database. It integrates quantitative productivity metrics, citation analysis, qualitative mapping, and network exploration. Results: The findings highlight a significant surge in ICM studies since 2009, delineating thematic axes such as strategic communication, integrated marketing communications, social media, and public relations. Philip J. Kitchen is the most prolific author, while the most productive source, the Journal of Communication Management, plays a significant role in shaping the field of ICM. Remarkable collaboration networks are led by P. J. Kitchen, A. Siano, and A. Moreno. Conclusions: The analysis underscores the growing interest in ICM, emphasising ongoing interdisciplinary research and theoretical refinement. It advocates for further exploration to enhance both theoretical understanding and practical applications.

Scaling Up Organic Agricultural Enterprises: An Empirical Study of the Role of Associations of Micro Producers

Jasmina Božić — 2024-09-27

Background: Development of organic agricultural entrepreneurship often requires “scaling up” from a multitude of individual, largely disconnected micro organic enterprises with haphazard achievements, toward more integrated units, operating more systematically and allowing for replication of their achievements on a larger territorial and temporal scale. Objectives: The current states of activity, sectoral and inter-sectoral cooperation of Croatian associations of micro organic producers are assessed with a view to instigate and facilitate scaling up processes. Methods/Approach: The inquiry is based on thematic analysis of qualitative data collected through semi-structured interviews with representatives of Croatian associations of micro organic producers. Results: Lessening of tension between farmers’ strivings for autonomy and their need for mutual cooperation, trust in interpersonal relationships and organizational structures, and integration through value-based supply chains (VBSCs) are identified as important aspects of scaling-up. Conclusions: Scaling-up processes are distinctly path-dependent and, although examples of earlier working practices are welcome, they can seldom be carbon copied in different developmental contexts. Conceptualization of scaling up as intensification of relational interdependencies among various organizational units at several levels of aggregation underlines the need for strengthening the role of associations of micro producers as intermediaries between family farms and other, more complex, inter-sectoral organizational forms.