Innovation diffusion: A stakeholder and social network view

Abstract

<jats:sec><jats:title content-type="abstract-heading">Purpose</jats:title><jats:p>The adoption of XBRL presents new opportunities for considerably enhancing the business information supply chain. However, its diffusion has proved to be very challenging. The purpose of this paper is to draw upon stakeholder and social network theories to evaluate issues surrounding the diffusion of XBRL in Australia.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Design/methodology/approach</jats:title><jats:p>Qualitative empirical evidence collected via interviews is used to identify XBRL stakeholders and to assess their salience which is considered to be a key characteristic of stakeholder networks.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Findings</jats:title><jats:p>It was found that there is a lack of salience among the current XBRL stakeholders in Australia. While all stakeholders were found to have a legitimate basis for adopting XBRL, most lack power or centrality and none possesses urgency claims for XBRL which collectively are likely to have a significant impact on its diffusion. As a remedy, instrumental measures, such as knowledge building and deployment, subsidy, mobilisation, and innovation directive, by way of which organizational stakeholders can positively affect XBRL diffusion, are critically assessed. The need for normative action is also highlighted.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Practical implications</jats:title><jats:p>This paper contributes to the existing body of knowledge by enhancing understanding of the complex phenomenon of the diffusion of network innovations, such as XBRL. This helps recognize the potential of individual stakeholders to effect innovation diffusion using their salience. Taken together, this information can help in designing proactive adoption and diffusion strategies for network innovations.</jats:p></jats:sec><jats:sec><jats:title content-type="abstract-heading">Originality/value</jats:title><jats:p>There is a paucity of research in the area of the diffusion of network innovations. This work constitutes, therefore, an extension to the existing body of knowledge.</jats:p></jats:sec>