Supply chain digitalization, dynamic capabilities and firm green technological innovation – the moderating effect of managerial attention to digitalization

Purpose – The purpose of this study is to investigate how supply chain digitalization addresses the “knowledge silos” challenge in firm green technological innovation. It further explores the pathways through which supply chain digitalization promotes green technological innovation, such as innovation capability, absorptive capability and adaptive capability, while considering managerial attention and firm heterogeneity. Design/methodology/approach – Using data from A-share listed manufacturing firms in China between 2013 and 2023, this study is grounded in dynamic capabilities theory and the attention-based view. This study systematically examines how supply chain digitalization influences the green technological innovation of focal firms. Findings – This study finds that supply chain digitalization significantly enhances green technological innovation in focal firms. The pathways through which this occurs include innovation capability, absorptive capability and adaptive capability. Managerial attention to digitalization positively moderates the impact of supply chain digitalization on green technological innovation. In addition, the research reveals that supply chain digitalization has a stronger impact on nonstate-owned firms than on state-owned ones. Moreover, when firms have closer relationships with their upstream and downstream supply chain partners, the effect of supply chain digitalization on green technological innovation is more pronounced. Originality/value – This study provides novel insights into the relationship between supply chain digitalization and green technological innovation. It emphasizes the importance of managerial attention and supply chain proximity in leveraging digitalization for promoting green innovation. The study offers valuable theoretical guidance for firms in formulating strategies that coordinate supply chain digitalization and sustainability efforts, highlighting differences between state-owned and nonstate-owned firms in the context of green innovation.