Customer Experience and Organizational Agility Driven Business Model Innovation to Shape Sustainable Development

This research aims to observe the digital transformation model of the relationship between transformational performance (TP) that linked towards sustainability to innovate and build business models. The current business model innovation generally fails to sufficiently embrace the sustainability dimension, especially in relation with organization agility and customer experience orientation. This paper assesses the relationship TP with business model innovation (BMI), organizational agility (OA), operational efficiency (OE), and customer experience orientation (CEO) in the Indonesian ICT Industry toward sustainability development. The study used purposive sampling using sample of 195 out of a population of 542. The collected data was then analyzed using Smart PLS. Findings of the study shows that OA has directly influence to TP while CEO and OA, has an indirect significant influence on TP through BMI, but OE has no direct and indirect influence on TP. Findings of the study has implications on strengthening the transformation model based on OA and CEO toward sustainability development, while OE is found as critical part in developing BMI. © 2019, Czestochowa University of Technology. All rights reserved.