ABSTRACT Food loss and waste (FLW) within agri‐food supply chains significantly impact the consumer economy, depleting natural resources and contributing to greenhouse gas emissions, thereby posing a critical challenge to sustainable development. Digital transformation is increasingly recognised as a key lever for reducing FLW in agri‐food supply chains, yet existing research presents mixed and often conflicting findings regarding its sustainability impacts. Drawing on Institutional theory and the Resource‐Based View, we examine how sustainability‐oriented institutional pressures interact with firm‐level resources and capabilities to facilitate effective digital transformation. The study is based on a qualitative multiple case study analysis of 18 Italian agribusinesses operating at various stages of the agri‐food supply chain. Data were gathered through semi‐structured interviews and analysed using an iterative coding process. The findings highlight that institutional pressures alone are insufficient to drive companies toward digitalisation and achieve positive sustainability outcomes. Instead, the critical role of top management and communication capabilities in supporting organisational sensemaking processes helps agribusinesses develop a shared understanding of the value of digitalisation, decreases resistance to change and facilitates the translation of digital technologies into daily practices. Ultimately, this fosters improved coordination, knowledge sharing, trust‐based collaboration and reduces FLW. From a policy perspective, these results suggest that public initiatives promoting digital transformation should go beyond technological incentives to also include measures supporting training and capability development within firms.
Abbate et al. (Mon,) studied this question.