Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing

In the context of digital intelligence, innovation is vital for manufacturing enterprises to establish sustainable competitive advantages. As the cornerstone of decision-making, the information-processing capability of top management teams plays an essential role in driving organizational success. U...

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Main Authors: Kangli Zhang, Jinwei Zhu
Format: Article
Language:English
Published: MDPI AG 2025-04-01
Series:Information
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Online Access:https://www.mdpi.com/2078-2489/16/5/346
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author Kangli Zhang
Jinwei Zhu
author_facet Kangli Zhang
Jinwei Zhu
author_sort Kangli Zhang
collection DOAJ
description In the context of digital intelligence, innovation is vital for manufacturing enterprises to establish sustainable competitive advantages. As the cornerstone of decision-making, the information-processing capability of top management teams plays an essential role in driving organizational success. Using panel data from A-Share manufacturing listed companies between 2015 and 2023, we conducted programming in the R language employing hierarchical clustering and k-means algorithms for faultline grouping calculations. The empirical analysis portion utilized STATA software, where the Hausman test was implemented to determine the use of a fixed-effects model for computation. The results demonstrate that task-related faultlines, driven by factors such as educational background, tenure, career experience, and years of service, have a positive impact on innovation performance. In contrast, relationship-related faultlines influenced by gender and age exhibit a negative effect. Furthermore, long-term investment decision preferences mediate the relationship between faultlines and innovation performance. Performance expectation gaps amplify the positive influence of task-related faultlines and mitigate the negative effects of relationship-related faultlines. In comparison with the majority subgroup, when the chairperson is part of a minority subgroup, the faultline has a more significant impact on innovation performance. This study presents a novel framework for fostering innovation within the manufacturing industry under the digital intelligence context. By combining R programming with empirical analysis, we thoroughly examine how the characteristics of top management teams’ faultlines influence innovation performance through an information processing perspective. Our findings provide actionable insights for optimizing executive structures and aligning decision-making strategies, thereby advancing organizational effectiveness.
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spelling doaj-art-86b62243b9254fea950f6fc4a65023d32025-08-20T03:47:54ZengMDPI AGInformation2078-24892025-04-0116534610.3390/info16050346Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information ProcessingKangli Zhang0Jinwei Zhu1School of Business, Jiangnan University, Wuxi 214122, ChinaSchool of Business, Jiangnan University, Wuxi 214122, ChinaIn the context of digital intelligence, innovation is vital for manufacturing enterprises to establish sustainable competitive advantages. As the cornerstone of decision-making, the information-processing capability of top management teams plays an essential role in driving organizational success. Using panel data from A-Share manufacturing listed companies between 2015 and 2023, we conducted programming in the R language employing hierarchical clustering and k-means algorithms for faultline grouping calculations. The empirical analysis portion utilized STATA software, where the Hausman test was implemented to determine the use of a fixed-effects model for computation. The results demonstrate that task-related faultlines, driven by factors such as educational background, tenure, career experience, and years of service, have a positive impact on innovation performance. In contrast, relationship-related faultlines influenced by gender and age exhibit a negative effect. Furthermore, long-term investment decision preferences mediate the relationship between faultlines and innovation performance. Performance expectation gaps amplify the positive influence of task-related faultlines and mitigate the negative effects of relationship-related faultlines. In comparison with the majority subgroup, when the chairperson is part of a minority subgroup, the faultline has a more significant impact on innovation performance. This study presents a novel framework for fostering innovation within the manufacturing industry under the digital intelligence context. By combining R programming with empirical analysis, we thoroughly examine how the characteristics of top management teams’ faultlines influence innovation performance through an information processing perspective. Our findings provide actionable insights for optimizing executive structures and aligning decision-making strategies, thereby advancing organizational effectiveness.https://www.mdpi.com/2078-2489/16/5/346faultlinesdigital intelligenceinnovation performanceinformation processinginvestment decision preferencesexpectation gap
spellingShingle Kangli Zhang
Jinwei Zhu
Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing
Information
faultlines
digital intelligence
innovation performance
information processing
investment decision preferences
expectation gap
title Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing
title_full Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing
title_fullStr Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing
title_full_unstemmed Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing
title_short Innovation in Manufacturing Within the Digital Intelligence Context: Examining Faultlines Through Information Processing
title_sort innovation in manufacturing within the digital intelligence context examining faultlines through information processing
topic faultlines
digital intelligence
innovation performance
information processing
investment decision preferences
expectation gap
url https://www.mdpi.com/2078-2489/16/5/346
work_keys_str_mv AT kanglizhang innovationinmanufacturingwithinthedigitalintelligencecontextexaminingfaultlinesthroughinformationprocessing
AT jinweizhu innovationinmanufacturingwithinthedigitalintelligencecontextexaminingfaultlinesthroughinformationprocessing