Digital Transformation: A Strategic Imperative for Modern Enterprises

Fayza Namira Musahid; Fiddini Sharika  Fawzi; Alfi Maghfuriyah; Revita Desi Hertin; Hadi Wijaya; Febria Anjara; Feri Nugroho; Nora Listiana; Nurul Aslamiah Istiqomah

doi:10.47134/jeae.v2i1.456

Authors

Fayza Namira Musahid Universitas Global Jakarta
Fiddini Sharika Fawzi Universitas Global Jakarta
Alfi Maghfuriyah Universitas Global Jakarta
Revita Desi Hertin Universitas Global Jakarta
Hadi Wijaya Universitas Global Jakarta
Febria Anjara Universitas Global Jakarta
Feri Nugroho Universitas Global Jakarta
Nora Listiana Universitas Global Jakarta
Nurul Aslamiah Istiqomah Universitas Global Jakarta

DOI:

https://doi.org/10.47134/jeae.v2i1.456

Keywords:

Digital transformation, digital maturity, strategic alignment, implementation challenges, technology integration

Abstract

Digital transformation has become essential for businesses across various sectors, significantly impacting customer relationships, internal processes, and value creation. This paper reviews the critical insights and frameworks related to digital transformation, focusing on strategic alignment, digital maturity, and implementation challenges. It synthesizes findings from recent studies to offer a comprehensive understanding of the process and its implications. Key literature highlights the necessity of a clear, well-defined strategy that integrates digital initiatives with broader business objectives. The study employs a systematic literature review method, collecting data from scientific articles, industry reports, and conference proceedings. It analyzes this data through thematic and comparative approaches to develop a structured roadmap for digital transformation. The findings emphasize the importance of assessing digital maturity, addressing resistance to change, and ensuring interoperability between new and existing systems. Challenges such as organizational resistance and lack of strategic direction are discussed, along with recommendations for a phased implementation approach. Additional insights into the unique challenges faced by SMEs, advocating for tailored digital strategies. The paper concludes that successful digital transformation requires a holistic approach that encompasses strategy, technology, and organizational culture. Future research should focus on providing detailed guidelines for SMEs and exploring the long-term effects of digital transformation on organizational culture and employee engagement.

References

Balashov, A. M. (2022). Introduction of modern digital technologies at mining enterprises. Gornaya Promyshlennost, 2022(6), 83–86. https://doi.org/10.30686/1609-9192-2022-6-83-86 DOI: https://doi.org/10.30686/1609-9192-2022-6-83-86

Bharadwaj, A., El Sawy, O. A., Pavlou, P. A., & Venkatraman, N. (2013). Digital business strategy: Toward a next generation of insights. MIS Quarterly, 37(2), 471-482. https://doi.org/10.25300/MISQ/2013/37.2.03 DOI: https://doi.org/10.25300/MISQ/2013/37:2.3

Correia, A. (2023). Innovation, strategy, and transformation frameworks for the modern enterprise. Innovation, Strategy, and Transformation Frameworks for the Modern Enterprise, 1–431. https://doi.org/10.4018/979-8-3693-0458-7 DOI: https://doi.org/10.4018/979-8-3693-0458-7

DIGITRANS Project. (2016). Digital Transformation in the Danube Region.

Ding, Y. (2024). Digital transformation of supply chains for modern enterprises operations: Challenges and solutions. Exploring the Financial Landscape in the Digital Age - Proceedings of the International Conference on Financial Management and the Digital Economy, ICFMDE 2023, 670–675. https://doi.org/10.1201/9781003508816-96 DOI: https://doi.org/10.1201/9781003508816-96

Feng, Y. (2021). Data collection methods for studying pedestrian behaviour: A systematic review. Building and Environment, 187. https://doi.org/10.1016/j.buildenv.2020.107329 DOI: https://doi.org/10.1016/j.buildenv.2020.107329

Fitzgerald, M., Kruschwitz, N., Bonnet, D., & Welch, M. (2013). Embracing digital technology: A new strategic imperative. MIT Sloan Management Review, 55(2), 1-12.

Haffke, I., Kalgovas, B., & Benlian, A. (2016). The role of the CIO and the IT function in digital transformation. The Journal of Strategic Information Systems, 25(4), 273-292. https://doi.org/10.1016/j.jsis.2016.09.003

Jonathan, S., & Timothy, S. (2017). Digital transformation in business and society: A systematic review. European Journal of Information Systems, 26(3), 289-319.

Liu, X., & Zhang, Y. (2018). The role of digital transformation in enhancing business performance: Evidence from Chinese SMEs. Journal of Business Research, 86, 263-271. https://doi.org/10.1016/j.jbusres.2017.12.038 DOI: https://doi.org/10.1016/j.jbusres.2017.12.038

Purdy, J., & Daugherty, P. (2020). Digital transformation: How technology is reshaping the future of business. Deloitte Insights.

Rogers, D. L. (2016). The digital transformation playbook: Rethink your business for the digital age. Columbia Business School Publishing. DOI: https://doi.org/10.7312/roge17544

Schwertner, K. (2017). Digital Transformation of Business. Trakia Journal of Sciences, 15(Suppl. 1), 388-393. DOI: https://doi.org/10.15547/tjs.2017.s.01.065

Schwertner, K. (2017). Digital transformation: Conceptual framework and its implications. Procedia Computer Science, 121, 1016-1023. https://doi.org/10.1016/j.procs.2017.11.146 DOI: https://doi.org/10.1016/j.procs.2017.11.146

Smagowicz, J. (2024). Development of a systematic approach to the implementation of modern information technologies in manufacturing enterprises. Production Engineering Archives, 30(1), 36–47. https://doi.org/10.30657/pea.2024.30.3 DOI: https://doi.org/10.30657/pea.2024.30.3

Stern, C. (2021). Methodological guidance for the conduct of mixed methods systematic reviews. JBI Evidence Implementation, 19(2), 120–129. https://doi.org/10.1097/XEB.0000000000000282 DOI: https://doi.org/10.1097/XEB.0000000000000282

Verevka, T. (2020). Digital transformation of the russian agricultural sector: Technological and economic barriers. ACM International Conference Proceeding Series. https://doi.org/10.1145/3444465.3444497 DOI: https://doi.org/10.1145/3444465.3444497

Vinnyk, O. M. (2021). Economic and legal policy of the state in the field of digital economy. International Journal of Criminology and Sociology, 10, 383–392. https://doi.org/10.6000/1929-4409.2021.10.46 DOI: https://doi.org/10.6000/1929-4409.2021.10.46

Vial, G. (2019). Understanding digital transformation: A review and a research agenda. The Journal of Strategic Information Systems, 28(2), 118-144. https://doi.org/10.1016/j.jsis.2019.01.003 DOI: https://doi.org/10.1016/j.jsis.2019.01.003

Zaoui, F., & Souissi, N. (2020). Roadmap for digital transformation: A literature review. Procedia Computer Science, 175, 621-628. DOI: https://doi.org/10.1016/j.procs.2020.07.090