THEORETICAL BACKGROUND OF DIGITAL TRANSFORMATIONS IN COMPANIES
Abstract
The article is concerned with systematising and deepening the theoretical foundations and practical aspects of managing digital transformations in companies. The article identifies three main stages of introduction of digital technologies in them: digitisation; digitalisation; digital transformation. The author studies the views of scholars on the content of the concept of ‘digital transformation’ and determines that it is a consistent implementation of strategic changes in a company, which involves the introduction of digital technologies in all its business processes to optimise them, as well as deep integration of digital technologies into the system of organisation and management of the company's activities in order to increase its productivity and competitiveness in the market. It is proved that the most important stage of digital transformation at an enterprise is digitalisation, which affects all areas of its functioning. Approaches to its characterisation and assessment are analysed. It is determined that the driving force and key to the success of digital transformation initiatives in an organisation is its digital maturity. The approaches to the interpretation of the term ‘digital maturity’ are studied. In this article, approaches to assessing digital maturity are analysed and it is substantiated that it should be based on an analysis of the company's activities in all its key areas (in terms of various dimensions). The main ones are technology, digital culture, operational processes, digital strategy and management, innovation, value and value chains. The main tools for measuring the degree of digital transformation of an enterprise are allocated, including questionnaires, semi-structured interviews and analysis of quantitative statistics (financial and non-financial data). It is determined that, given the diversity of industries and companies, measuring digital transformation requires flexibility and selection of appropriate research methods based on the availability of data and the realism of indicators.
References
Malik Priyanka. How to Achieve Digital Maturity in 2024 (+Models, Challenges). URL: https://whatfix.com/blog/digital-maturity/
Dieffenbacher Stefan F. What is Digital Maturity, How to Measure, Tools & Models. URL: https://digitalleadership.com/blog/digital-maturity/
Cesconi F., Franzoni G. P. Measuring digital transformation. An empirical approach to measuring phygital journeys. WHITE PAPER, 2020. URL: https://sandsiv.com/wp-content/uploads/2021/08/EN-WP-Measuring-Digital-Transformation.pdf
Evangelista R., Guerrieri P., Meliciani V. The economic impact of digital technologies in Europe. Economics of Innovation and New Technology / Economics of Innovation & New Technology. 2014. Vol. 23(8). pp. 802–824.
Kotarba M. Measuring digitalization: Key metrics. Foundations of Management. 2017. Vol. 9, Iss. 1. P. 123–138. DOI: https://doi.org/10.1515/fman-2017-0010
Khaustova V., Kyzym M., Trushkina N., Khaustov M. Digital transformation of energy infrastructure in the conditions of global changes: bibliometric analysis. Proceedings of the 12th ICAIIT, 2024. Vol. 12. Is. 1. pp. 135–142.
Khaustova, V., Ilyash, O., Smoliar, L., Bondarenko, D. (2024). Digitalization and Its Impact on the Development of Society. In Applications of Synthetic High Dimensional Data, pp. 54–76. IGI Global. DOI: https://doi.org/10.4018/979-8-3693-1886-7.ch004
Kyzym M., Khaustova V., Reshetnуak O., Danko N. Significance of Developmental Science under Assimilation of the Digitalization of the Ukrainian Economy. International Journal of Advanced Science and Technology. 2020. Vol. 29(6s). pp. 1037–1042.
Wang H., Ling Y. Research on the Impact of Digital Economy on Regional Innovation Capability. Frontiers in Business, Economics and Management. 2022. Vol. 4(2). pp. 19–21.
Demidenko D., Makarov V., Malevskaia-Malevich E., Yalymov S. Economic evaluation features of management effectiveness in the enterprise in the digital transformation context. DTMIS 2020: Proceedings of the International Scientific Conference – Digital Transformation on Manufacturing, Infrastructure and Service. 2020. Vol. 43. pp. 1–5.
Usai A., Fiano F., Petruzzelli A. M., Paoloni P., Briamonte M. F., Orlando B. Unveiling the impact of the adoption of digital technologies on firms’ innovation performance. Journal of Business Research. 2021. Vol. 133. pp. 327–336.
Руденко М.В. Методичні підходи до оцінки впливу цифровізації на функціонування сільськогосподарських підприємств. Науковий вісник Одеського національного економічного університету. 2021. № 7–8. С. 284–285. DOI: 10.32680/2409-9260-2021-7-8-284-285-94-102
Aras A., Büyüközkan G. Digital Transformation Journey Guidance: A Holistic Digital Maturity Model Based on a Systematic Literature Review. Systems. 2023. Vol. 11. 213. DOI: https://doi.org/10.3390/systems11040213
Gökalp E., Martinez V. Digital transformation capability maturity model enabling the assessment of industrial manufacturers. Comput. Ind. 2021. Vol. 132. 103522. DOI: https://doi.org/10.1016/j.compind.2021.103522
Warner K.S.R., Wäger M. Building dynamic capabilities for digital transformation: An ongoing process of strategic renewal. Long Range Plann. 2018. Vol. 52. pp. 326–349. DOI: https://doi.org/10.1016/j.lrp.2018.12.001
Reis J., Amorim M., Melão N., Matos P. Digital transformation: A literature review and guidelines for future research. In Trends and Advances in Information Systems and Technologies. Springer International Publishing: Cham, Switzerland, 2018. pp. 411–421.
Zou L., Li W., Wu H., Liu J., Gao P. Measuring Corporate Digital Transformation: Methodology, Indicators and Applications. Sustainability. 2024, Vol. 16, 4087. DOI: https://doi.org/10.3390/su16104087
Gollhardt T., Halsbenning S., Hermann A., Karsakova A., Becker J. Development of a Digital Transformation Maturity Model for IT Companies // IEEE 22nd Conference on Business Informatics (CBI), 2020. 1, Р. 94–103. DOI: https://doi.org/10.1109/CBI49978.2020.00018
Berghaus S., Back A. Stages in Digital Business Transformation: Results of an Empirical Maturity Study. Tenth Mediterranean Conference on Information Systems (MCIS) Proceedings. Paphos, Cyprus, September 2016. University of St. Gallen, St. Gallen. URL: https://www.researchgate.net/publication/310477531_Stages_in_Digital_Business_Transformation_Results_of_an_Empirical_Maturity_Study
Buntak K., Kovačić M., Mutavdžija M. Measuring Digital Transformation Maturity of Supply Chain. Technical journal. 2021. Vol. 15(2). pp. 199-204. DOI: https://doi.org/10.31803/tg-20200414191933
Зінюк М.С. Оцінка ефективності цифрової трансформації бізнесу. Економіка та суспільство. 2021. Вип. 29. DOI: https://doi.org/10.32782/2524-0072/2021-29-57
Македон В.В., Байлова О.О. Планування і організація впровадження цифрових технологій в діяльність промислових підприємств. Науковий вісник Херсонського державного університету. 2023. Вип. 47. DOI: https://doi.org/10.32999/ksu2307-8030/2023-47-3
Голіонко Н., Кондратьєва К. Методичні підходи до оцінювання цифрової зрілості організації. Молодий вчений. 2023. №1(113). С. 145–150. DOI: https://doi.org/10.32839/2304-5809/2023-1-113-29
Schumacher A., Erol S., Sihn W. A maturity model for assessing industry 4.0 readiness and maturity of manufacturing enterprises. Procedia CIRP. 2016. Vol. 52. pp. 161–166.
Gartner. Gartner IT Glossary: Digital Maturity. 2020. URL: https://www.gartner.com/en/information-technology/glossary/digital-maturity
Kljajić Borštnar M., Pucihar A. Multi-attribute assessment of digital maturity of SMEs. Electronics. 2021. Vol. 10(8), 885. DOI: https://doi.org/10.3390/electronics10080885
Ochoa-Urrego R.L., Peña-Reyes J.I. Digital Maturity Models: A Systematic Literature Review. In: Schallmo D.R.A., Tidd J. (eds.) Digitalization. Management for Professionals. Springer, Cham, 2021. DOI: https://doi.org/10.1007/978-3-030-69380-0_5
Chen C.Y., Xu J.H. Manufacturing Enterprise Digital Transformation Ability Evaluation System and Application. Sci. Technol. Manag. Res. 2020. Vol. 40. pp. 46–51.
The model for businesses’ digital maturity level assessment, 2022. URL: https://digital.fpt.com/en/industries/digital-maturity-assessment.html
Da Silva José Luiz, Lopes Vieira A. C., Vasconcelos Silva S. Digital Maturity Models: A Characterisation Study Based on a Systematic Literature Review. BBR, Braz. Bus. Rev. 2024. № 21 (2).
Liu Z., Yao, Y.X., Zhang G.S. Firm’s Digitalization, Specific Knowledge and Organizational Empowerment. China Ind. Econ. 2020. Vol. 9. pp. 156–174.
He M., Wang Y.M. How Does the Digital Transformation of Manufacturing Firms Affect Employees’ Wage? Financ. Trade Econ. 2023. Vol. 44. pp. 123–139.
Guo J.H., Zhu C.L. Digital transformation, human capital structure adjustment and manufacturing enterprise value chain upgrading. Econ. Manag. 2024, pp. 1–21.
Malik Priyanka. How to Achieve Digital Maturity in 2024 (+Models, Challenges). Available at: https://whatfix.com/blog/digital-maturity/ (accessed June 18, 2024)
Dieffenbacher Stefan F. What is Digital Maturity, How to Measure, Tools & Models. Available at: https://digitalleadership.com/blog/digital-maturity/ (accessed June 11, 2024)
Cesconi F., Franzoni G. P. (2020) Measuring digital transformation. An empirical approach to measuring phygital journeys. WHITE PAPER. Available at: https://sandsiv.com/wp-content/uploads/2021/08/EN-WP-Measuring-Digital-Transformation.pdf (accessed June 29, 2024)
Evangelista R., Guerrieri P., Meliciani V. (2014) The economic impact of digital technologies in Europe. Economics of Innovation and New Technology / Economics of Innovation & New Technology, no. 23(8), pp. 802–824.
Kotarba M. (2017) Measuring digitalization: Key metrics. Foundations of Management, 2017, no. 9, Iss. 1, pp. 123–138. DOI: https://doi.org/10.1515/fman-2017-0010
Khaustova V., Kyzym M., Trushkina N., Khaustov M. (2024) Digital transformation of energy infrastructure in the conditions of global changes: bibliometric analysis. Proceedings of the 12th ICAIIT. Vol. 12, Is.1, pp. 135–142.
Khaustova, V., Ilyash, O., Smoliar, L., Bondarenko, D. (2024). Digitalization and Its Impact on the Development of Society. In Applications of Synthetic High Dimensional Data, pp. 54–76. IGI Global. DOI: https://doi.org/10.4018/979-8-3693-1886-7.ch004
Kyzym M., Khaustova V., Reshetnуak O., Danko N. (2020) Significance of Developmental Science under Assimilation of the Digitalization of the Ukrainian Economy. International Journal of Advanced Science and Technology, no. 29(6s), pp. 1037–1042.
Wang H., Ling Y. Research on the Impact of Digital Economy on Regional Innovation Capability. Frontiers in Business, Economics and Management, 2022, no. 4(2), pp. 19–21.
Demidenko D., Makarov V., Malevskaia-Malevich E., Yalymov S. (2020) Economic evaluation features of management effectiveness in the enterprise in the digital transformation context. DTMIS 2020: Proceedings of the International Scientific Conference – Digital Transformation on Manufacturing, Infrastructure and Service, no. 43, pp. 1–5.
Usai A., Fiano F., Petruzzelli A. M., Paoloni P., Briamonte M. F., Orlando B. (2021) Unveiling the impact of the adoption of digital technologies on firms’ innovation performance. Journal of Business Research, no. 133, pp. 327–336.
Rudenko M.V. Metodichni pidhodi do ocinki vplivu cifrovizaciyi na funkcionuvannya silskogospodarskih pidpriyemstv [Methodological approaches to assessing the impact of digitalization on the functioning of agricultural enterprises]. Naukovij visnik Odeskogo nacionalnogo ekonomichnogo universitetu, no. 7–8, pp. 284–285. DOI: 10.32680/2409-9260-2021-7-8-284-285-94-102
Aras A., Büyüközkan G. (2023) Digital Transformation Journey Guidance: A Holistic Digital Maturity Model Based on a Systematic Literature Review. Systems, no. 11, 213. DOI: https://doi.org/10.3390/systems11040213
Gökalp E., Martinez V. (2021) Digital transformation capability maturity model enabling the assessment of industrial manufacturers. Comput. Ind, no. 132, 103522. DOI: https://doi.org/10.1016/j.compind.2021.103522
Warner K.S.R., Wäger M. (2018) Building dynamic capabilities for digital transformation: An ongoing process of strategic renewal. Long Range Plann, no. 52, pp. 326–349. DOI: https://doi.org/10.1016/j.lrp.2018.12.001
Reis J., Amorim M., Melão N., Matos P. (2018) Digital transformation: A literature review and guidelines for future research. In Trends and Advances in Information Systems and Technologies. Springer International Publishing: Cham, Switzerland, pp. 411–421.
Zou L., Li W., Wu H., Liu J., Gao P. (2024) Measuring Corporate Digital Transformation: Methodology, Indicators and Applications. Sustainability. no. 16, 4087. DOI: https://doi.org/10.3390/su16104087
Gollhardt T., Halsbenning S., Hermann A., Karsakova A., Becker J. (2020) Development of a Digital Transformation Maturity Model for IT Companies // IEEE 22nd Conference on Business Informatics (CBI), no. 1, pp. 94–103. DOI: https://doi.org/10.1109/CBI49978.2020.00018
Berghaus S., Back A. (2016) Stages in Digital Business Transformation: Results of an Empirical Maturity Study. Tenth Mediterranean Conference on Information Systems (MCIS) Proceedings. Paphos, Cyprus, University of St. Gallen, St. Gallen. Available at: https://www.researchgate.net/publication/310477531_Stages_in_Digital_Business_Transformation_Results_of_an_Empirical_Maturity_Study (accessed June 3, 2024)
Buntak K., Kovačić M., Mutavdžija M. (2021) Measuring Digital Transformation Maturity of Supply Chain. Technical journal, no. 15(2), pp. 199–204. DOI: https://doi.org/10.31803/tg-20200414191933
Zinyuk M. S. (2021) Ocinka efektivnosti cifrovoyi transformaciyi biznesu [Evaluation of the effectiveness of digital business transformation]. Ekonomika ta suspilstvo, no. 29. DOI: https://doi.org/10.32782/2524-0072/2021-29-57
Makedon V.V., Bajlova O.O. (2023) Planuvannya i organizaciya vprovadzhennya cifrovih tehnologij v diyalnist promislovih pidpriyemstv [Planning and organization of digital technologies implementation in the activities of industrial enterprises]. Naukovij visnik Hersonskogo derzhavnogo universitetu, no. 47. DOI: https://doi.org/10.32999/ksu2307-8030/2023-47-3
Golionko N., Kondratyeva K. (2023) Metodichni pidhodi do ocinyuvannya cifrovoyi zrilosti organizaciyi [Methodological approaches to assessing the digital maturity of an organization]. Molodij vchenij, no. 1(113), pp. 145–150. DOI: https://doi.org/10.32839/2304-5809/2023-1-113-29
Schumacher A., Erol S., Sihn W. (2016) A maturity model for assessing industry 4.0 readiness and maturity of manufacturing enterprises. Procedia CIRP, no. 52, pp. 161–166.
Gartner. Gartner IT Glossary: Digital Maturity 2020. Available at: https://www.gartner.com/en/information-technology/glossary/digital-maturity (accessed June 14, 2024)
Kljajić Borštnar M., Pucihar A. (2021) Multi-attribute assessment of digital maturity of SMEs. Electronics, no. 10(8), 885. DOI: https://doi.org/10.3390/electronics10080885
Ochoa-Urrego R.L., Peña-Reyes J.I. (2021) Digital Maturity Models: A Systematic Literature Review. In: Schallmo D.R.A., Tidd J. (eds.) Digitalization. Management for Professionals. Springer, Cham. DOI: https://doi.org/10.1007/978-3-030-69380-0_5
Chen C.Y., Xu J.H. (2020) Manufacturing Enterprise Digital Transformation Ability Evaluation System and Application. Sci. Technol. Manag. Res, no. 40, pp. 46–51.
The model for businesses’ digital maturity level assessment, 2022. Available at: https://digital.fpt.com/en/industries/digital-maturity-assessment.html (accessed July 4, 2024)
Da Silva José Luiz, Lopes Vieira A. C., Vasconcelos Silva S. (2024) Digital Maturity Models: A Characterisation Study Based on a Systematic Literature Review. BBR, Braz. Bus. Rev, no. 21(2).
Liu Z., Yao, Y.X., Zhang G.S. (2020) Firm’s Digitalization, Specific Knowledge and Organizational Empowerment. China Ind. Econ, no. 9, pp. 156–174.
He M., Wang Y.M. (2023) How Does the Digital Transformation of Manufacturing Firms Affect Employees’ Wage? Financ. Trade Econ, no. 44, pp. 123–139.
Guo J.H., Zhu C.L. (2024) Digital transformation, human capital structure adjustment and manufacturing enterprise value chain upgrading. Econ. Manag, pp. 1–21.
This work is licensed under a Creative Commons Attribution 4.0 International License.
