Digital transformation has emerged as one of the most consequential and complex phenomena shaping contemporary organizations, industries, and economies. Far from being a purely technological shift, digital transformation represents a deep socio-technical reconfiguration that alters business strategies, organizational structures, innovation processes, and mechanisms of value creation. Drawing strictly and exclusively on the provided body of scholarly literature, this article develops an integrative and theoretically grounded examination of digital transformation in established organizations. The study synthesizes insights from strategic management, information systems, innovation studies, and operations management to conceptualize digital transformation as an ongoing, multi-layered process rather than a discrete initiative or technological upgrade.

The article begins by situating digital transformation within the historical evolution of digitization and information technology adoption, emphasizing the distinctive characteristics that differentiate contemporary digital transformation from earlier waves of automation and IT-enabled change. Building on foundational contributions, the analysis highlights how digital technologies enable new business models, reshape competitive dynamics, and redefine the boundaries of firms and markets. Particular attention is given to digital business strategy, platform-based competition, data-driven decision-making, and the emergence of ecosystems and open innovation arrangements.

Methodologically, the article adopts a qualitative, theory-synthesizing approach, systematically integrating conceptual frameworks and empirical findings from the reference literature. This approach allows for a nuanced exploration of how organizations navigate tensions between stability and change, control and openness, and efficiency and innovation during digital transformation. The results of this synthesis reveal recurring patterns related to organizational learning, capability development, governance, and human capital challenges. They also underscore the importance of leadership, participatory processes, and cultural adaptation in sustaining transformation efforts over time.

The discussion advances several theoretical contributions. First, it reframes digital transformation as a continuous process of strategic renewal embedded in socio-technical systems. Second, it highlights the interdependence between digital technologies and organizational practices, challenging deterministic and technology-centric narratives. Third, it identifies critical limitations in existing research, including underexplored issues related to ethics, workforce displacement, and long-term value appropriation. The article concludes by outlining directions for future research and offering implications for managers seeking to navigate the complexities of digital transformation in an increasingly interconnected and data-intensive world.

Digital transformation, business strategy, innovation

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