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Organizational digital From evolution

to future trends
transformation: from evolution
to future trends
Edwin Juma Omol
Department of Networks and Applied Computing (NAC),
Faculty of Computer and Information Management, KCA University, Nairobi, Kenya Received 8 August 2023
Revised 9 September 2023
25 October 2023
Accepted 30 October 2023
Abstract
Purpose – This article explores the emergence of organizational digital transformation in the rapidly advancing
technological era. It discusses the origins, driving forces, strategies, challenges and broader implications.
Design/methodology/approach – The article employs a scoping review methodology that synthesizes
knowledge from the existing literature, research, case studies and other relevant sources.
Findings – The findings underscore the pivotal role that organizational digital transformation plays in an era
of relentless technological advancement. Leadership, organizational culture and technological enablers are
identified as crucial drivers of innovation and competitiveness within organizations. The article also
emphasizes ethics as a crucial element of digital transformation, focusing in particular on concerns about data
privacy and the morality of artificial intelligence. Additionally, the author talks about anticipated future trends
that are anticipated to influence the future of digital transformation, such as the growing influence of artificial
intelligence, the trend toward hyper-personalization and the emergence of quantum computing.
Research limitations/implications – The assessment has failed to provide recommendations for the actual
implementation because it has mainly concentrated on conceptual and strategic aspects. Furthermore, it does
not clearly define the criteria for choosing real-world examples, which limits the representation of the different
industries, size ranges of organizations and outcomes associated with digital transformation.
Practical implications – The article stresses the significance of paying attention to the forces driving digital
transformation while navigating ethical and societal concerns. In addition to highlighting the importance of
anticipating future trends for strategic planning in the rapidly changing digital landscape, it emphasizes the
advantages as incentives for organizations to invest in digital initiatives.
Social implications – The investigation demonstrates how technology contributes to progress while posing
complex ethical and change management issues. In light of increased connectivity, data analytics and artificial
intelligence, it highlights the crucial need for societal adaptability and highlights the crucial role that
cooperative human–machine coexistence plays in responsible development and transformative societal
evolution.

© Edwin Juma Omol. Published in Digital Transformation and Society. Published by Emerald
Publishing Limited. This article is published under the Creative Commons Attribution (CC BY 4.0)
licence. Anyone may reproduce, distribute, translate and create derivative works of this article (for both
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legalcode
With profound gratitude, the author acknowledges the significant contributions of two eminent
researchers, supervisors and mentors, Dr Lucy Mburu and Dr Paul Abuonji, whose expertise has been
instrumental in bringing the author’s academic journey to its current state. Their steadfast support and
guidance have been invaluable, and the author will forever be indebted. The author extends sincere
appreciation to the diligent reviewers whose insightful feedback has played a crucial role in elevating the
quality of this article. The author’s gratitude also goes out to the researchers, scholars and authors
whose works have been referenced in this paper, enriching the depth and breadth of this study. Finally,
the author expresses thanks to the DTS editorial board for affording the author the opportunity to share
the research findings with the esteemed DTS academic community. Their support has been a catalyst
for the dissemination of this work, and the author is truly grateful. This paper was sponsored by the Digital Transformation and
Society
Chengdu University Emerald Publishing Limited
Funding: The paper is sponsored by The Chengdu University. e-ISSN: 2755-077X
p-ISSN: 2755-0761
Conflict of interest: The author has no conflicts of interest to disclose. DOI 10.1108/DTS-08-2023-0061
DTS Originality/value – The article stands out because it examines organizational digital transformation in-depth
while considering its historical roots, ethical implications and future prospects. It is a priceless contribution to
the field because real-world case studies and a scoping review provide a distinctive viewpoint and a
comprehensive view of the effects of digital transformation on organizations and society.
Keywords Organizational digital transformation, Digital evolution, Future trends in digital transformation,
Technological innovation, Digitization case studies, Ethical considerations in digital transformation
Paper type Literature review

1. Introduction
In the rapidly evolving landscape of modern business, the winds of change are often driven
by the relentless march of digital innovation (Omol, Mburu, & Abuonji, 2023; Owoseni, 2023;
Van Veldhoven & Vanthienen, 2023). The advent of digital technologies has ushered in a new
era, compelling organizations of all sizes and industries to embark on transformative
journeys (Volberda, Khanagha, Baden-Fuller, Mihalache, & Birkinshaw, 2021; Walter, 2023).
These journeys, collectively referred to as “organizational digital transformation”, transcend
mere technological adoption. They instead represent a profound shift in how businesses
operate, engage with customers, and remain relevant in a digitally driven world.
As traditional paradigms give way to digitization, organizations are confronted with both
unprecedented opportunities and formidable challenges. The pursuit of digital
transformation is not merely an option; it is a strategic imperative for survival and
success (Fitzgerald, Kruschwitz, Bonnet, & Welch, 2014; Van Veldhoven & Vanthienen,
2023). However, this voyage is far from straightforward. It requires a deep understanding of
the intricate interplay between technology, culture, leadership, and strategy amongst other
action fields (Omol et al., 2023). It necessitates the navigation of uncharted territories where
innovation and disruption are intertwined.

1.1 The origins of digital transformation in the 21st century

In an era defined by rapid technological advancements and the digitization of nearly every
aspect of human existence, the concept of digital transformation has emerged as a clarion call
for organizations seeking to remain relevant and competitive (Owoseni, 2023; Walter, 2023;
Fitzgerald et al., 2014). As we embark on the journey of Navigating the Realm of Organizational
Digital Transformation, it becomes imperative to delve into the historical underpinnings and
the transformative journey that has brought us to the present digital landscape.
1.1.1 Origins and early stages. The roots of digital transformation can be traced back to the
emergence of computers and the digitalization of processes. In the early stages, digitization
primarily entailed the conversion of analog information into digital formats, enabling easier
storage, retrieval, and manipulation of data (Terras, 2011; Walter, 2023). This nascent phase
laid the groundwork for the digitization of operational functions and the automation of
rudimentary tasks.
The present-day phenomenon of digital transformation, however, can be attributed to
Germany’s Industry 4.0, which emerged within the context of the Fourth Industrial Revolution
and the evolution of the digital economy. Initially introduced as a policy directive in November
2011, Industry 4.0 formed a pivotal component of Germany’s High-Tech Strategy 2020, with its
primary focus on information and communications (Kim, 2021; Van Veldhoven & Vanthienen,
2023). The central objective of this strategic approach is to drive innovation within the
manufacturing sector. As outlined by Deloitte (2014), the ambition behind this policy extends
beyond the mere advancement of technological elements, encompassing a fundamental
paradigm shift within the landscape of manufacturing operations.
The inception of digital transformation as a subject of research emerged in the year 2013,
and its exploration finds resonance within the evolution of the digital economy’s
developmental trajectory. The term “digital economy” presents a conceptual dichotomy to its From evolution
analog counterpart and has garnered extensive usage since 1994, despite its origins tracing to future trends
back to the 1960s. The progression of this concept becomes evident through terminologies
such as “digitization” in the 1960s, “digitalization” in the 1990s, and finally, “digital
transformation” from the outset of the 2010s (Omol et al., 2023).
Digitization involves the conversion of offline analog data into digital values, facilitating
the migration of offline transactions into the online realm. This transition does not inherently
entail substantial alterations in process enhancement or novel business model development
within the organization; rather, it primarily denotes the conversion of its diverse resources
and assets into online formats (Van Veldhoven & Vanthienen, 2023).
On the other hand, digitalization refers to the comprehensive conversion of a company’s
assorted business activities into digital formats. These activities encompass the entire
spectrum of planning, production, and distribution of products and services. Put differently,
digitalization encompasses the conversion of both processes and tangible offerings into
digital equivalents. Process digitalization denotes the transformation of a singular analog
process executed in the physical world into multiple segments of processes in the virtual
realm. Meanwhile, product digitalization pertains to the conversion of physically tangible
products into digital counterparts, thereby rendering them tradeable within the virtual
sphere. Lastly, service digitalization involves the provisioning of services that were
traditionally offered in the physical realm, now extended into the virtual space.
1.1.2 Digitalization and beyond. With the proliferation of the internet and the advent of
interconnected technologies, digitalization leaped forward, ushering in an era of enhanced
connectivity and communication (Enaifoghe, 2021; Van Veldhoven & Vanthienen, 2023). This
phase witnessed the integration of digital technologies into core business operations, leading
to improved efficiency, streamlined workflows, and the birth of e-commerce (Gong, 2023).
Organizations began to recognize the potential of digital tools to optimize internal processes
and better serve their customers (Van Veldhoven & Vanthienen, 2023). Navigating the realms
of organizational digital transformation requires understanding four contemporary
sensations as shown in Figure 1.
The advent of the digital transformation era signifies more than just adopting digital
technologies; it represents a profound shift in how organizations operate and innovate in the

Digital
Transformation
Era

Technological Digital Cultural and

Enablers Transformation Organizational
Shifts

The Contemporary
Figure 1.
Landscape Contemporary
sensations in
organization digital
transformation
Source(s): Study’s conceptualization
DTS digital age. Beyond mere digitalization, this era heralds a holistic reimagining of business
models, processes, and customer interactions (Troise, Corvello, Ghobadian, & O’Regan, 2022).
It is a pivotal moment when organizations harness the full spectrum of digital capabilities to
drive innovation, create new value propositions, and adapt their strategies to thrive in a
rapidly evolving digital landscape. This transformation goes beyond technology; it’s a
cultural and organizational shift that reshapes the very core of how businesses function.
At the heart of this transformation are technological enablers such as cloud computing,
big data analytics, artificial intelligence, and the Internet of Things. These pillars have not
only accelerated the pace of change but have also opened up new possibilities for
organizations to reimagine their offerings and interactions with customers (Attaran, 2020;
Van Veldhoven & Vanthienen, 2023). They serve as the foundation upon which the digital
transformation journey is built, enabling organizations to leverage data-driven insights,
automate processes, and create more personalized experiences.
Crucially, the contemporary digital landscape is characterized by data-driven insights,
hyper-personalization, and ubiquitous connectivity. Organizations are now harnessing
advanced analytics and machine learning to anticipate customer needs, optimize supply
chains, and provide highly tailored experiences (Attaran, 2020). This evolution has propelled
us into an era where organizations are not merely adopting digital tools but are
fundamentally redefining how they operate, compete, and create value (Omol et al., 2023).
The digital transformation journey has become an integral part of organizational strategy,
influencing every aspect of the modern business landscape.
Furthermore, according to Research (2022) the digital transformation market has grown
exponentially, now boasting a staggering value of $588 billion. This ascent is poised to
accelerate even further, with projections indicating that global expenditure on digital
transformation will surge to a remarkable $3.4 trillion by the year 2026. The digital revolution
has firmly entrenched itself as a strategic imperative, as a remarkable 74% of organizations
have unequivocally deemed digital transformation to be of paramount importance. The
seismic impact of the COVID-19 pandemic has served as a catalyst, propelling digital
transformation initiatives forward at an unprecedented pace; an overwhelming 97% of
companies acknowledge that the pandemic has accelerated their digital transformation
efforts (Kim, Choi, & Lew, 2021). In response to this paradigm shift, a significant 77% of
companies have proactively embarked upon their digital transformation journeys,
recognizing the need to adapt and thrive in a rapidly evolving landscape. However, the
path to digital transformation is not without its challenges, as only a modest 35% of
organizations report achieving successful outcomes in their endeavors (Howarth, 2022); a
testament to the intricate complexities that underlie this transformative process.
This article explores organizational digital transformation in our era of rapid
technological advancement with the aim of answering the question: How has digital
transformation evolved and what drives, challenges, and shapes its journey?

2. The review method

Utilizing the scoping review methodology, this analysis employed a comprehensive and
expansive approach to literature examination, promptly aligning key variables and essential
terms with relevant literature sources (Kibuku, Ochieng, & Wausi, 2020). The objective of this
review was to undertake a comparative and integrative analysis of prior research endeavors,
employing content analysis to unearth prevailing themes or constructs that permeate the
extant corpus of literature. After the identification of pertinent materials, a process of
synthesis ensued, culminating in the creation of a thematic narrative encapsulating the
findings (Omol & Ondiek, 2021). As expounded by Kalogiannakis, Papadakis, and
Zourmpakis (2021), the scoping review methodology proves particularly invaluable in
scrutinizing trends within contemporary domains, such as Digital Transformation, where From evolution
concepts remain in a state of fluidity. The variety of reviewed papers was acquired through to future trends
Google Scholar, with a focus on English language resources. Additionally, select materials
germane to the realm of Digitization statistics were sourced from specific websites. The scope
of the search was delimited by the utilization of the key terms delineated in Table 1, combined
with the conjunction “AND,” to pinpoint materials published during the span from 2014 to
2023. While the initial queries yielded a substantial volume of papers and materials, a process
of refinement transpired, focusing the investigation on the transformational journey,
exploring its origins, drivers, strategies, challenges, and the far-reaching implications it poses
for organizations and society (Omol, Abeka, & Wauyo, 2017). A subset of materials was
discarded in favor of more contemporaneous publications, guided by considerations of
relevance to content and context. In total, a comprehensive review of 40 documents was
conducted. This review dutifully adhered to the sequential phases prescribed by the scoping
review methodology, as outlined by Kibuku et al. (2020), and briefly synthesized the outcomes
of each phase, as summarized in Table 1 below.

SN Steps Outcomes

1 Identification of the research question How has digital transformation evolved and what drives,
challenges and shapes its journey?
2 Identify essential terms and employ The strings of key terms used for the primary search of
them to locate relevant research materials include
1. Evolution of digital transformation
2. Drivers and challenges of organizational digitization
3. Strategies for successful digital transformation
4. Digitization case studies in organizations
5. Impact and benefits of organizational digitization
6. Ethical and societal considerations
7. Future trends and implications
Additional secondary exploration was conducted based on
primary search outcomes
3 Choose the relevant research articles A comprehensive literature review encompassed a total of 57
documents. The subsequent breakdown is as follows:
1 29 Journals articles
2 15 official publications
3 2 Conference paper
4 3 Thesis document
5 2 Book
NB: An additional set of six scholarly articles contributed to
shaping the scoping review approach
4 Capture the primary themes and 1. The prevailing themes consistently present across the
concepts accessible literature comprise:
2. There exist numerous strategies, drivers, benefits and
challenges in organizational digital transformation
3. The organization must be aware of ethical and societal
considerations even as they digitize
4. Emerging trends will impact future organizational
digital transformation
5 Combine, condense and present the The research fused and condensed outcomes in ensuing
results sections, culminating in a narrative presentation within this
article Table 1.
Source(s): Adapted from Kibuku et al. (2020) and aligned with the study’s context Review methodology
DTS 3. Drivers and challenges
This section presents the major drivers and challenges in the realm of organizational digital
transformation.

3.1 Drivers of organizational digital transformation

In the dynamic landscape of digital transformation, several compelling factors come to the
forefront as shown in Figure 2 above, driving organizations to embark on this transformative
journey. First and foremost, market dynamics and customer expectations exert a profound
influence. The relentless pace of technological advancement has fundamentally reshaped
consumer behaviors and expectations. In an era characterized by the prevalence of instant
gratification, organizations find themselves compelled to embrace digital transformation to
meet the demands of an increasingly tech-savvy and digitally connected customer base. The
allure of seamless online experiences, personalized interactions, and rapid service delivery
propels organizations to digitize their offerings, ensuring they remain in sync with the
evolving needs and desires of their clientele (Kraus et al., 2021).
Another formidable driver is the competitive landscape. The digital realm has effectively
eroded geographical boundaries, granting nimble startups and tech-driven disruptors the
ability to challenge established industry players. In this highly competitive arena,
organizations must harness digital technologies not only to stay relevant but also to foster
resilience. They must differentiate themselves by creating innovative value propositions,
leveraging digital tools, and gaining a competitive edge in an environment characterized by
constant evolution (Attaran, 2020).
Technological Innovation serves as an irresistible force beckoning organization to
reimagine their operational paradigms. Cutting-edge technologies such as artificial
intelligence, data analytics, cloud computing, and the Internet of Things offer
organizations the means to optimize their processes, extract actionable insights from data,

Competitive
Landscape

Market Digital
Dynamics and Technological
Customer Transformation Innovation
Expectations Drivers

Operational
Efficiency and
Agility
Figure 2.
Organizational digital
transformation drivers
Source(s): Study’s conceptualization
and pioneer novel business models that were once considered inconceivable. These From evolution
technological marvels provide the tools needed to navigate the digital landscape successfully, to future trends
enabling organizations to thrive in an era of continuous innovation and transformation (Omol
et al., 2023).
Furthermore, digital transformation provides a pathway to bolster Operational Efficiency
and Agility. By harnessing digital tools, organizations can streamline their workflows,
automate processes, and optimize their supply chains. This leads to reduced costs, minimized
inefficiencies, and the ability to respond swiftly to shifts in the market. The result is the
cultivation of an agile operational ecosystem that enables organizations to thrive in the ever-
changing digital landscape (Grover, Tseng, & Pu, 2022).

3.2 Challenges of organizational digital transformation

In the realm of organizational digital transformation, there exist several pivotal factors that
shape the journey, each laden with its distinct challenges and implications (see Figure 3
above). First and foremost, the formidable challenge of cultural resistance to change emerges
as a formidable obstacle. The profound shift from conventional practices to a digital-first
mindset necessitates a profound alteration in attitudes, behaviors, and approaches.
Oftentimes, organizations grapple with resistance to change, a prevailing fear of
technology, and the allure of well-established routines, all of which tend to obstruct the
seamless adoption of digital initiatives (Hai, Van, & Thi Tuyet, 2021).
Another intricate facet in this landscape is the issue of legacy systems and integration
complexities. Numerous organizations find themselves wrestling with the enduring presence
of legacy systems that may not readily align with contemporary digital solutions. The
intricate nature of integrating novel technologies with pre-existing infrastructure can
consume substantial time and resources, making it a multifaceted challenge demanding
meticulous attention (Zaki, 2019).
Furthermore, the rapid evolution of digital technologies has given rise to a pressing
concern: Skill Gaps and Talent Acquisition. The demand for skilled professionals adept at
navigating the digital landscape has surged, creating a scarcity of such individuals.
Organizations now face the arduous task of bridging skill gaps within their current
workforce and attracting new talent proficient in specialized domains such as data analytics,
artificial intelligence, and cybersecurity (Mart
ınez-Mor
an, Urgoiti, D
ıez, & Solabarrieta, 2021).

Digital
Transformation
challenges

Cultural Legacy Systems

Resistance to and Integration
Change Complexities

Skill Gaps and Overcoming Data Privacy Figure 3.

Talent Short-Term and Security Organizational digital
Acquisition Mindset Concerns
transformation
challenges
Source(s): Study’s conceptualization
DTS 4. Strategies for successful digital transformation
This section presents strategies for successful digital transformation within organizations.
They are summarized in Figure 4 below.
In the intricate landscape of digital transformation, several key factors emerge as pillars of
success, each playing a pivotal role in reshaping organizational paradigms. First and
foremost, leadership and vision stand as the cornerstone. Visionary leadership, as articulated
by top executives, lays the foundation by imparting a clear, forward-looking vision. This
vision becomes the rallying point, imbuing the organization with a shared digital purpose.
Moreover, leaders serve as the champions of change, cultivating a culture of innovation,
experimentation, and continuous learning, driving the transformation journey forward (Omol
et al., 2023; Brock & Von Wangenheim, 2019).
Another essential facet is the establishment of a culture of adaptability. This cultural
transformation forms the bedrock upon which digital success is built. It involves nurturing a
culture that not only embraces change but actively encourages risk-taking and rewards
agility. This entails breaking down traditional silos, promoting open lines of communication,
and fostering an environment where employees feel empowered to contribute novel ideas and
challenge the status quo. This cultural shift empowers organizations to swiftly adapt to a
rapidly evolving digital landscape (Teichert, 2019).
Customer-centricity emerges as a defining characteristic of prosperous digital
transformation. Placing the customer at the core of this journey is a hallmark of success.
Leveraging digital tools to gain deep insights into customer preferences, behaviors, and pain
points empowers organizations to tailor products, services, and experiences that resonate
with their target audience. This data-driven approach cultivates customer loyalty and strong
brand affinity, ultimately driving success in the digital era (Peter, Kraft, & Lindeque, 2020;
Omol et al., 2023; Ellitan, 2020; Sandeep & Pohutezhini, 2019).
These elements, combined with data-driven decision-making (Peter et al., 2020), agile
methodologies (Moi & Cabiddu, 2021), technology integration, change management,
ecosystem collaboration, and continuous monitoring, form a robust framework for
organizations to navigate the complexities of digital transformation successfully (Attaran,
2020; Brock & Von Wangenheim, 2019; Omol et al., 2023). Digital transformation is not a final
destination but an ongoing voyage, demanding visionary leadership and a culture of
adaptability while keeping the customer at the heart of the journey.

Data-Driven Change
Leadership and
Decision- Management &
Vision
Making: Communication

Culture of Agile Ecosystem

Adaptability Methodologies Collaboration

Technology Continuous
Customer-
Figure 4. Integration and Monitoring and
Centricity
Organizational digital Scalability Optimization
transformation
strategies
Source(s): Study’s conceptualization
5. Case studies From evolution
Through the lens of case studies, we uncover diverse trajectories, challenges, and triumphs to future trends
that organizations have encountered as they navigated the uncharted waters of the digital
revolution. These stories serve as beacons of insight, shedding light on the strategies,
adaptations, and innovations that propelled these organizations from conventional
paradigms to the forefront of digital excellence. These cases offer tangible insights,
showcasing the application of strategies and the navigation of complexities in the pursuit of
digital excellence.

5.1 Successful case studies

5.1.1 Case study 1: Amazon’s retail revolution. Challenge: In the late 20th century, the retail
landscape was marred by geographical limitations and traditional shopping models.
Amazon, founded by Jeff Bezos, embarked on a digital transformation journey that aimed to
revolutionize retail through e-commerce and technology (Ellitan, 2020). Strategy: Amazon’s
relentless focus on customer-centricity and convenience became the cornerstone of its
strategy. The company embraced advanced data analytics to understand customer
behaviors, refine recommendations, and optimize the user experience. Amazon Prime, a
subscription service offering expedited shipping and digital content, further solidified
customer loyalty (Ellitan, 2020; Sandeep & Pohutezhini, 2019). Impact: Amazon’s digital
transformation catapulted it into a global e-commerce giant, reshaping how consumers shop
and altering the retail landscape. The company’s emphasis on technology-driven efficiency,
logistics optimization, and personalized shopping experiences set new standards for the
industry (Sandeep & Pohutezhini, 2019).
5.1.2 Case study 2: GE’s industrial IoT transformation. Challenge: General Electric (GE), a
conglomerate with a legacy in manufacturing and industrial operations, faced the challenge
of staying relevant in the digital age (Budagov & Sukhova, 2020). Strategy: GE embraced the
Industrial Internet of Things (IoT) by embedding sensors and connectivity into its industrial
equipment. This allowed real-time data collection, predictive maintenance, and operational
optimization. The company also developed Predix, an IoT platform, to offer industrial data
analytics and insights to clients (Ghosh, Hughes, Hodgkinson, & Hughes, 2022). Impact: GE’s
digital transformation empowered its clients with data-driven insights, enabling them to
optimize operations, reduce downtime, and enhance efficiency. The shift toward service-
based revenue models, enabled by IoT connectivity, transformed GE’s business approach
and solidified its foothold in the digital era (Ghosh et al., 2022).
5.1.3 Case study 3: starbucks’ digital experience enhancement. Challenge: As a leader in the
global coffee market, Starbucks sought to enhance customer engagement, loyalty, and
convenience in an increasingly digitized world (Santos, 2020). Strategy: Starbucks leveraged
digital tools to create a seamless omnichannel experience. Its mobile app allows customers to
place orders, make payments, and earn rewards digitally. The company also integrated data
analytics to personalize offers, promotions, and menu recommendations based on individual
preferences (Santos, 2020; Kim & Park, 2021). Impact: Starbucks’ digital transformation
redefined the coffeehouse experience. The mobile app’s success led to increased customer
engagement, shorter wait times, and streamlined operations. The company’s digital loyalty
program further nurtured brand loyalty, contributing to sustained growth and market
dominance (Santos, 2020; Kim & Park, 2021).
5.1.4 Case study 4: Tesla’s electric revolution. Challenge: In the automotive industry, Tesla
challenged the conventional combustion engine paradigm by introducing electric vehicles
(EVs) and reimagining the driving experience (Smith, 2019). Strategy: Tesla combined cutting-
edge electric propulsion with digital innovation. The company’s over-the-air software updates
allowed continuous improvement and new feature rollouts. Autopilot technology represented
DTS a pioneering step towards autonomous driving (Minchin, 2021; Smith, 2019). Impact: Tesla’s
digital transformation disrupted the automotive landscape, accelerating the adoption of EVs
and reshaping consumer expectations. The company’s emphasis on software-enabled features
and autonomy positioned it as a technological leader, pushing traditional automakers to
accelerate their digital transformations (Minchin, 2021; Smith, 2019).
5.1.5 Case study 5: ford. Challenge: Ford needed to respond to the changing landscape of
transportation, including the rise of electric vehicles and autonomous driving technology.
Strategies: Ford invested in electric vehicle development, with the launch of the Mustang
Mach-E and the upcoming electric Ford F-150. They also partnered with Argo Artificial
Intelligence (AI) to develop autonomous vehicle technology. Impacts: Ford’s commitment to
electric vehicles and autonomous driving has positioned it as a leader in the future of mobility.
These innovations have attracted investment and helped maintain their competitiveness in
the automotive industry (Naor, Coman, & Wiznizer, 2021).
5.1.6 Case study 6: McDonald’s. Challenge: McDonald’s aimed to stay relevant in a digital
world where consumer preferences were shifting towards healthier and more customized
dining experiences. Strategies: McDonald’s introduced self-service kiosks and a mobile app
for ordering and payment. They also acquired Dynamic Yield, a personalization and decision
logic technology company, to provide personalized menu recommendations based on factors
like weather and customer preferences. Impacts: These digital initiatives enhanced customer
convenience and improved order accuracy. McDonald’s saw an increase in sales as customers
embraced the convenience of mobile ordering and personalized menu recommendations (Har,
Rashid, Te Chuan, Sen, & Xia, 2022; Ishak, Lah, Samengon, Mohamad, & Bakar, 2021).
5.1.7 Case study 7: Volkswagen’s european electric initiative. Challenge: Volkswagen, a
European automotive giant, aimed to lead the electric vehicle revolution and enhance its global
sustainability efforts. Strategy: Volkswagen invested heavily in electric vehicle development,
launching a series of electric models, such as the ID.3 and ID.4, to establish a strong foothold in
the European electric vehicle market. Impact: Volkswagen’s commitment to electric vehicles
has contributed to the transformation of the European automotive industry and positioned the
company as a key player in sustainable transportation (Lopez, 2022).
5.1.8 Case study 8: Alibaba’s E-commerce dominance in Asia. Challenge: Alibaba, a Chinese
e-commerce conglomerate, aimed to become a dominant force in the Asian and global e-commerce
landscape. Strategy: Alibaba leveraged its digital platforms, including Taobao and Tmall, to
provide a wide range of products and services to consumers across Asia. The company embraced
cloud computing and artificial intelligence to enhance its platform’s efficiency. Impact: Alibaba’s
digital transformation efforts have led to its dominant position in Asian e-commerce and a
significant global footprint, transforming the way consumers shop in the region (L€ ucke, 2021).

5.2 Unsuccessful case studies

5.2.1 Case study 1: blockbuster. Challenge: Blockbuster, a once-dominant video rental chain,
faced the challenge of adapting to the shift toward digital streaming and online movie rentals.
Strategies: Blockbuster attempted to compete with digital streaming services by launching its
online platform and DVD-by-mail service. However, these efforts were late and unable to
match the convenience and content libraries of emerging streaming giants like Netflix.
Impacts: Blockbuster’s late entry into digital streaming and its inability to compete effectively
led to the company’s decline. Blockbuster filed for bankruptcy in 2010 and closed most of its
stores, illustrating the negative consequences of failing to adapt to the digital revolution
(Vaz, 2021).
5.2.2 Case study 2: Kodak. Challenge: Kodak, a pioneer in photography, faced the challenge
of transitioning from film-based photography to digital imaging. Strategies: Kodak invested
in digital imaging technology but struggled to adapt its business model effectively. They
launched digital cameras and printers, but their focus on maintaining film sales and From evolution
reluctance to fully embrace digital photography hindered their progress. Impacts: Kodak’s to future trends
slow response to the digital revolution led to a significant decline in its market share and
revenue. The company filed for bankruptcy in 2012, illustrating the importance of fully
embracing digital transformation and adapting business models to new technologies
(Prenatt, Ondracek, Saeed, & Bertsch, 2015).
5.2.3 Case study 3: Nokia. Challenge: Nokia, once a dominant player in the mobile phone
industry, faced the challenge of competing with the rise of smartphones, particularly the
iPhone and Android devices. Strategies: Nokia attempted to compete by launching its line of
smartphones running on the Symbian operating system. However, these devices failed to
gain traction in the market due to their limited app ecosystem and outdated user interfaces.
Impacts: Nokia’s inability to adapt to the smartphone era resulted in a significant decline in
market share and revenue. The company eventually sold its phone business to Microsoft,
marking the end of its dominance in the mobile phone industry (West & Wood, 2014).
5.2.4 Case study 4: toys “R” US. Challenge: Toys “R” Us, a major toy retailer, faced the
challenge of competing with e-commerce giants like Amazon and adapting to changing
consumer shopping habits. Strategies: Toys “R” Us partnered with Amazon to handle its
online sales, but this partnership did not yield the desired results. The company also invested
heavily in its e-commerce platform but struggled to compete effectively. Impacts: Toys “R” Us
filed for bankruptcy in 2017 and ultimately closed all of its U.S. stores. The failure to navigate
the shift to digital retailing and the inability to compete with online giants contributed to its
downfall (Lee & Raziff, 2021).
In the successful case studies, we observe a dynamic interaction among vision, strategic
planning, technology adoption, and execution within the context of organizational digital
transformation. Each organization’s unique journey provides valuable insights,
underscoring the significance of innovation, flexibility, and customer-centric approaches
when maneuvering through the digital landscape. Conversely, the unsuccessful case studies
highlight the critical importance of implementing timely and effective strategies for digital
transformation. Organizations that do not adapt and innovate in response to the digital
revolution face adverse consequences, including diminishing market share, revenue decline,
and even the risk of bankruptcy. These narratives emphasize the profound impact of digital
technologies, propelling organizations towards a future where not only is evolution
embraced, but it is also navigated with intention and achievement.

6. Impact and benefits

The profound and transformative power of digital technologies extends far beyond their
technical capabilities, fundamentally reshaping the very essence of how businesses operate.
This section illuminates the profound changes brought about by digital transformation,
highlighting its far-reaching impact on organizational success. From heightened operational
efficiency and innovation to the revolutionized landscape of customer experiences and
competitive advantage, digital transformation is not merely a technological shift but a
profound restructuring of modern business practices.
First and foremost, Enhanced Operational Efficiency is a hallmark of digital
transformation. It acts as a catalyst for streamlining processes, removing bottlenecks, and
optimizing workflows. Utilizing automation, data analytics, and digital tools, organizations
can achieve remarkable efficiency gains, reducing operational costs and significantly
increasing productivity across all facets of their operations (Minchin, 2021; Smith, 2019).
Moreover, digital transformation brings about Improved Customer Experiences that meet the
soaring expectations of today’s consumers. In this digital era, customers demand personalized,
seamless, and responsive interactions. Through data-driven insights, organizations can deliver
DTS tailored experiences, intuitive interfaces, and timely responses, thereby fostering customer
loyalty and satisfaction (Ellitan, 2020; Sandeep & Pohutezhini, 2019).
Furthermore, digital transformation serves as a crucible for Innovation and Competitive
Advantage. It nurtures a culture of creativity and experimentation within organizations.
Those who embrace digital technologies have the potential to pioneer novel products, services,
and business models. By remaining agile and responsive to market dynamics, they gain a
competitive edge and establish themselves as industry leaders (Minchin, 2021; Smith, 2019).

7. Ethical and societal considerations

Amid the enticing promises of innovation and efficiency that digital transformation brings, it
is paramount to take a discerning look at the ethical and societal implications that accompany
this transformative journey into the digital era. This section delves into these vital
considerations:
Data Privacy and Security are a pressing concern as organizations handle vast amounts of
data. The potential for breaches, unauthorized access, and misuse of sensitive information
underscores the critical need for robust cybersecurity measures and stringent data protection
protocols (Nambisan, Wright, & Feldman, 2019; Da˛ browska et al., 2022). Digital Divide and
Inclusivity is a challenge exacerbated by digital transformation. While it has the potential to
empower and connect, it also highlights the digital divide. Unequal access to digital tools,
technologies, and information can worsen societal disparities. Organizations must prioritize
inclusivity, ensuring that their digital initiatives do not inadvertently marginalize segments
of the population (Jamil, 2021; Da˛ browska et al., 2022).
Job Disruption and Reskilling are a consequence of automation and digitization,
potentially leading to job displacement in certain sectors. Organizations bear an ethical
responsibility to reskill and upskill their workforce, equipping employees with the
capabilities needed to thrive in a technology-driven landscape (Da˛ browska et al., 2022).
Moreover, organizations must grapple with Algorithmic Bias and Fairness, as the algorithms
powering digital systems can unintentionally perpetuate biases and reinforce societal
inequalities. Scrutinizing these algorithms becomes imperative to mitigate bias and ensure
that digital transformation does not perpetuate discrimination in decision-making processes
(Weber-Lewerenz & Vasiliu-Feltes, 2022).
The rapid proliferation of digital technologies also has an Environmental Impact, leading to
increased energy consumption and electronic waste. Organizations should embrace
sustainable practices, striving to minimize their carbon footprint and adopt
environmentally responsible approaches (Da˛ browska et al., 2022). Additionally, the
integration of Artificial Intelligence and Automation raises ethical questions about their
use. Organizations must ensure that AI-driven decisions are transparent, explainable, and
aligned with ethical principles, particularly in critical areas like healthcare, finance, and
criminal justice (Nambisan et al., 2019).
Furthermore, the pervasive nature of digital technologies can contribute to Digital
Addiction and Mental Well-being concerns. Organizations should promote digital wellness,
balance screen time, and consider the societal implications of technologies designed to
capture and hold users’ attention (Da˛ browska et al., 2022). As organizations embrace digital
transformation, questions of Accountability and Liability arise. Establishing clear lines of
accountability and liability becomes crucial in the digital realm, especially when digital
systems fail or make incorrect decisions (Saarikko, Westergren, & Blomquist, 2020).
Lastly, digital transformation can reshape cultural norms, practices, and traditions,
potentially affecting Cultural Preservation and Identity. Organizations should be mindful of
preserving cultural heritage and identity in the face of technological advancement, ensuring
that digital initiatives respect and honor diverse cultures (Jamil, 2021; Da˛ browska et al., 2022).
8. Future trends and implications From evolution
The future of organizational digital transformation promises a dynamic and transformative to future trends
landscape shaped by a multitude of emerging trends. Artificial Intelligence (AI) and Machine
Learning (ML) will play a central role, as they become increasingly intertwined with organizational
processes. The fusion of data analytics and artificial intelligence will enable organizations to make
augmented decisions, revolutionizing their strategies and operations (Owoseni, 2023). Hyper-
Personalization and Customization will gain prominence, as advanced analytics and artificial
intelligence empower organizations to tailor their offerings with remarkable precision, creating
deeply resonant experiences for customers (Jain, Paul, & Shrivastava, 2021).
Quantum Computing is poised to make a quantum leap in the digital landscape, offering
unparalleled processing power for intricate simulations and problem-solving tasks that were
once deemed insurmountable. Ethical Tech and Responsible artificial intelligence will take
center stage as artificial intelligence integration deepens. Organizations will prioritize ethical
considerations, addressing bias, transparency, and fairness to ensure Artificial Intelligence-
driven decisions align with societal values. The experience of remote work during global
events will lead to a lasting shift towards Distributed and Remote Work Ecosystems, with
organizations continuing to embrace remote collaboration tools and flexible work models that
blend physical and virtual presence (Dornberger & Schwaferts, 2021; Nambisan et al., 2019).
Augmented Reality (AR) and Virtual Reality (VR) will redefine how organizations engage
with customers and train their employees. These immersive technologies will bridge the gap
between the physical and digital worlds, enhancing customer experiences and training
programs. Blockchain will extend its influence beyond cryptocurrency applications, offering
enhanced supply chain transparency, secure data sharing, and trust-based ecosystems.
Sustainable and Green Tech Initiatives will become integral to digital transformation
strategies, with organizations prioritizing eco-friendly practices in data centers, energy
usage, and design principles (Li, 2020; Koohang et al., 2023; Tsampoulatidis, Bechtsis, &
Kompatsiaris, 2019; Da˛ browska et al., 2022).
The future will witness a deeper Human-Machine Collaboration, with humans focusing on
creativity, critical thinking, and complex problem-solving as automation and artificial
intelligence take over routine tasks. Lastly, as digital transformation reshapes industries,
Regulatory and Legal Framework Evolution will be essential. Organizations must stay
informed about evolving regulations related to data privacy, cybersecurity, and technology
governance (Koohang et al., 2023; Omol et al., 2023).

9. Conclusion
In conclusion, our exploration of the digital transformation landscape has illuminated the
intricate interplay between technology and human creativity. From the inception of
digitization to the realization of true transformation, we have delved into the multifaceted
dimensions of this evolutionary process. Market dynamics, technological innovation, and
evolving customer expectations propel organizations forward, while ethical dilemmas and
the challenges of change management cast shadows on this transformative path.
Nevertheless, the benefits of digital transformation are unequivocal, encompassing
enhanced efficiency, innovation, customer-centricity, and resilience. Within this landscape,
artificial intelligence, data analytics, and pervasive connectivity amplify human potential,
with adaptation and agility serving as essential guiding principles. As we cast our gaze
toward the horizon, the future promises the ascendance of artificial intelligence, the era of
hyper-personalization, and the advent of quantum computing, all underscored by ethical
considerations and a commitment to sustainable practices. Organizations must assume the
dual roles of creators and stewards, ensuring that technology enriches humanity. Our
conclusion, rather than marking an end, represents a moment of reflection on our discoveries
DTS and a contemplation of what lies ahead. The journey of organizational digital transformation
is an enduring saga, guided by innovation and adaptation.
Future research endeavors in the domain of digital transformation should strive to deepen
our comprehension of the intricate dynamics between technological innovation,
organizational intricacies, and societal repercussions. Specifically, these investigations
should concentrate on elucidating ethical frameworks to navigate the complex terrain of
digital transformation, addressing the inherent challenges of managing change in the digital
age, and scrutinizing the evolving relationships between humans and advanced technologies
like artificial intelligence and quantum computing. Furthermore, studies should explore the
enduring consequences of sustained digital innovation on both businesses and society,
yielding valuable insights into sustainable practices and the potential for hyper-
personalization to enhance customer experiences. Additionally, researchers should
endeavor to establish robust metrics for assessing the success of digital transformation
initiatives and uncover how organizational culture can either foster or impede innovation.
Ultimately, this research will serve as a guiding compass, steering organizations toward
responsible and impactful digital journeys that enrich humanity through technology.

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Further reading
Gopal, G., Suter-Crazzolara, C., Toldo, L., & Eberhardt, W. (2019). Digital transformation in
healthcare–architectures of present and future information technologies. Clinical Chemistry and
Laboratory Medicine (CCLM), 57(3), 328–335. doi: 10.1515/cclm-2018-0658.
Shahi, C., & Sinha, M. (2020). Digital transformation: Challenges faced by organizations and their
potential solutions. International Journal of Innovation Science, 13(1), 17–33. doi: 10.1108/IJIS-09-
2020-0157.

About the author

Edwin Juma Omol is currently pursuing a Ph.D. degree in Information Systems as a student within the
Department of Networks and Applied Computing (NAC) at the School of Technology, KCA University,
and Lecturer at Kenya Highlands University. He is a dedicated researcher with a passion for the field of
digital transformation technologies. His current research is focused on the development of digital
maturity models customized for application in both small and medium-sized enterprises and larger
organizations. Edwin’s academic interests extend to advanced models rooted in deep learning, with a
strong emphasis on areas such as business intelligence, artificial intelligence and data analytics. Edwin
Juma Omol can be contacted at: [email protected]

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