ASSESSING THE INFLUENCE OF DIGITAL TRANSFORMATION ON ORGANIZATIONAL CHANGE AND PERFORMANCE

Abstract

Background:

Digital transformation (DT) refers to integrating digital technologies into business processes, reshaping how organizations operate and deliver value. It requires not just technological adoption but also cultural and strategic shifts. Organizations today face increasing pressure to innovate and optimize operations to stay competitive in rapidly changing markets. This study investigates the impact of digital transformation on organizational change and performance across different industries, focusing on the opportunities and challenges that come with adopting new technologies.

Aims:

The goal of this research is to assess the influence of digital transformation on organizational change and performance. Specifically, it seeks to examine the adoption of digital technologies like AI and cloud computing, analyze how organizational culture and leadership are affected, explore operational efficiencies and customer satisfaction, assess innovation outcomes, and identify key challenges encountered in the transformation process.

Research Method:

A mixed-methods approach was used, combining quantitative surveys and qualitative interviews. The survey gathered data from 100 respondents across various industries, including manufacturing, healthcare, and retail. Qualitative data was collected through interviews with 15 organizational leaders. Purposive sampling was employed to select participants with direct experience in digital transformation. Statistical tools such as regression analysis were used for quantitative data, while qualitative responses were analyzed using coding techniques.

Results and Conclusion:

The study found that digital transformation significantly impacts organizational change and performance. Key technologies like AI, cloud computing, and IoT are widely adopted, improving efficiency and fostering innovation. Organizations that successfully manage cultural change, with strong leadership and clear communication, experience greater success. However, challenges such as resistance to change, skill gaps, and cybersecurity concerns remain significant barriers. Despite these challenges, organizations that embrace digital transformation see improvements in operational performance, customer satisfaction, and competitive advantage.

Contribution:

This research provides valuable insights into how digital transformation drives organizational change and performance. It offers practical strategies for companies to overcome the challenges associated with digital transformation and improve their competitive edge. The study adds to existing literature by demonstrating the importance of technology, culture, and leadership in the successful implementation of digital transformation initiatives.