How an industrial internet platform empowers the digital transformation of SMEs: theoretical mechanism and business model

PurposeThe purpose of this paper is to reveal the inner mechanisms of the role of industrial internet platforms in empowering the digital transformation of SMEs. This ROOTCLOUD-based case study shows that knowledge integration and knowledge sharing and driving play essential empowering roles in the impact of industrial internet platforms on the digital transformation of SMEs. The industrial internet platform promotes knowledge integration on the supply side, empowers cross-domain knowledge sharing and shapes the knowledge-driven digital supply chain system in the digital transformation processes of SMEs. Design/methodology/approachThis paper presents a qualitative analysis of the knowledge empowerment role played by industrial internet platforms in the digital transformation process of SMEs. Based on theoretical sampling, this paper selects ROOTCLOUD as a typical case to analyse the implementation mechanism of the industrial internet platform in solving the digital transformation problems and challenges faced by SMEs. FindingsKnowledge management (knowledge integration, sharing and driving) plays an important intermediary role between the empowerment of industrial internet platform and the digital transformation of SMEs. Specifically, the industrial internet platform empowers SMEs with knowledge, empowers supply-side knowledge integration, empowers cross-domain knowledge sharing and facilitates the formation of knowledge-driven supply chain systems. Research limitations/implicationsThis study clarifies the mechanism underlying the digital transformation of SMEs empowered by industrial internet platforms, that is, the empowerment of industrial internet platform enhances the level of knowledge integration and sharing of SMEs, thus improving the effectiveness of SMEs in achieving digital transformation. Further empirical studies should be conducted on the above mechanism. Originality/valueBased on the theoretical perspective of knowledge management, this paper discusses the problems and challenges faced in the digital transformation of SMEs through knowledge empowerment by the industrial internet platform ROOTCLOUD and proposes that knowledge empowerment in the industrial internet platform helps supply-side knowledge integration, promotes cross-domain knowledge sharing and contributes to forming a knowledge-driven supply chain system, thereby promoting the digital transformation of SMEs. System architects and relevant policy departments should pay attention to data-centred system construction, improve the construction of data-based collaborative application ecology and encourage industrial internet platforms to provide more targeted knowledge empowerment solutions for SMEs.