Abstract
Over the past four years, research and observations at Walton Institute (Ireland) have highlighted a critical issue: Digital Innovation Hubs (DIHs), without sufficient funding and strategic support, have struggled to effectively transform new ideas into viable innovations (Van de Ven, 1984). This lack of coordination and investment has limited their ability to facilitate digital adoption among Small and Medium Enterprises (SMEs) and Public Service Organisations (PSOs). The European Commission has responded to this challenge by establishing the European Digital Innovation Hubs (EDIHs), a structured initiative to address regional innovation and digital transformation barriers.
EDIHs have been developed as part of a coordinated EU-wide policy framework, selected by national governments and, in Ireland, led by universities (Faccin & Asheim, 2021). They are designed to play a substantial role in regional innovation landscapes. The European Commission has invested over €350 million into EDIHs, aiming to accelerate AI adoption, improve digital skills, and support SMEs and PSOs with challenges they face in driving digitalisation at a regional level.
One of the critical factors shaping the effectiveness of EDIHs is the strategic decision-making of their top managers. The micro-level choices made by top managers will have significant implications for macro-level regional policies, economic resilience, and innovation outcomes (Audretsch, Cunningham, Kuratko, Lehmann, & Menter, 2019).
This research focuses on the role of EDIH top managers in influencing regional innovation ecosystems, specifically examining how their strategic choices impact SME and PSO engagement with digital technologies. Adopting a Strategy-as-Practice (SAP) lens, the study will explore the relationship between decision-making, regional innovation performance and the evolution of entrepreneurial ecosystems.