Exploring the Critical Success Factors Influencing the Outcome of Digital Transformation Initiatives in Government Organizations

Abstract

This study investigates the previous studies on successful digital transformation initiatives in government organizations and deduces the tangible and intangible benefits to showcase some real-life examples and evidence. This article provides a thorough evaluation of the available literature on successful digital transformation initiatives. It analyzes 53 important success elements grouped across seven dimensions, giving a conceptual framework for executing digital transformation in government organizations. The research identifies key success elements that are crucial for digital transformation, emphasizing the importance of clear planning, flexibility, agility, and robust data security measures. This study provides practical insights for organizations aiming to undertake digital transformation initiatives, highlighting strategies to overcome hurdles and maximize benefits. This study contributes a proposed conceptual framework and empirical evidence to guide academics, professionals, and decision-makers in effectively navigating and leveraging digital transformation in a rapidly evolving digital landscape.

1. Introduction

In the digital age, digital transformation (DT) functions as a strategic driver that uses the potential of digital technology to revolutionize the ways in which organizations operate, compete, and are structured [1,2,3]. DT embodies the digitalization of all components of an organization, namely, the digital transformation of processes, products, services, culture, and organization. These digital transformations enhance organizational performance and result in better customer experience and an increase in the competitiveness of the system. This paper further expands upon the fast-moving and interdisciplinary nature of digital transformation research, which thrives in the fields of technology, entrepreneurship, strategic management, operations, marketing, and organizational science, enhancing the global value chain position [4,5,6,7]. The changing environment in which digital technologies are embedded fundamentally shapes the activities of contemporary organizations. The technologies affect organizational processes, hierarchies, and various relationships with stakeholders such as partners, suppliers, and customers [3,4,5]. The origins of DT trace back to the 1980s and 1990s and were defined by the enormous impact of information technology adoption on organizational structures, innovation, and performance [6,7,8,9]. The 1990s was a period of the growing prevalence of ICT-based managerial innovations, which was due to the arrival of computer technology and the increasing number of internet users [8].

In the continuum of DT, public and private-sector entities face the same problems, though their approaches and challenges differ. Whereas private organizations, in particular, put profit maximization and competitive markets at the forefront of their digital transformation (DT) schemes, public organizations are more broadly mandated to ensure that the delivery of services is efficient, transparent, and accountable to citizens [8]. The consequence of this is that the goals, priorities, and limitations of public organizations during their DT journey differ significantly from those of their private partners. In a substantial portion of research on the topic, the goals of successful DT adoption are identified as the following: to improve operating efficiency, customer experience, business models, and business culture [9,10,11,12,13]. While there is a rich literature on digital DT, what remains largely unclear is the way digital technologies change organizational structures. This is an attempt to bridge the knowledge gap on the organizational structural changes accompanying DT, which have not yet been sufficiently investigated, particularly in the face of numerous failed initiatives in the field of DT [10,11]. Just one out of every eight digital transformation attempts is likely to fulfill its stated goals, implying an approximate failure rate of 87.5% [14,15,16]. Digital transformation failures are frequently caused by a lack of ownership and accountability, ineffective alignment between business and technology leaders, insufficient in-house technological competence, poorly defined joint objectives, inadequate cultural integration, a disregard for ambidextrous leadership development, and a failure to maintain continuous improvement and momentum [15,16,17,18]. General Electric (GE) is an example of failed digital transformation, as it struggled to match its implementation roadmap with its digital strategy objectives, citing rushed implementation and inadequate co-ordination as having contributed to the failure of its digital transformation efforts [19,20,21,22,23,24]. This line of research study is based on the discussion of critical success factors (CSFs) for successful DT implementation, the indication of their relationship with achievement rates, and the proposal of a comprehensive CSF framework for guiding organizations during this transformative process. The following work follows the systematic review approach and examines all problems connected with the organizational changes during DT in order to learn how to overcome implementation barriers. Moreover, the outcome of this investigation reveals the significance of these factors in the execution of DT initiatives and the trends that are transforming the field. The present study proceeds from the conclusions of previous literature reviews undertaken [12,13,14,15]. It adopts a holistic perspective on the essential conditions of successful digital transformation (DT) implementation. The domain of decision-making in DT is well covered by existing studies that have examined the impact on diverse areas, including both public and private organizations. By means of the investigations carried out in [12,13,14], it was determined that what digital technologies are able to change is dependent on the different areas within the organization. Nevertheless, given this extensive range of research, a significant discrepancy between the study of these specific nuances of digitalization and their unique problems and techniques in the public sector still exists. The research is aimed at bridging the gap by emphasizing digital transformation within the public sector, in particular. This study aims to offer valuable conclusions via an in-depth analysis of the obstacles, possibilities, and strategies existing in the stated context. This will assist policymakers, public administrators, and scholars when formulating policies. Understanding the different intricacies of how public organizations digitally transform their processes is of utmost importance to improve the delivery of public services and promote citizen engagement, consequently augmenting the effectiveness of governance in line with the new digital age. The remainder of this paper is structured as follows: In Section 2, the methodology of this research is discussed with the foundation of the conceptual background. These were the CSFs identified and discussed as CSFs. Section 3 mentions the model of the concept and briefly gives critical points in the form of thematic categories. Finally, in Section 4, we conclude this work with possible paths outlined for further research.

2. Materials and Methods

The approach that was taken to the DT literature followed a deductive method, which is in line with the systematic review. Topics connected to DT within firms were systematically derived from the articles. The procedure laid down [16] for systematic literature reviews was followed, and the SPAR-4-SLR protocol listed [15] was employed. To begin with, the scope of the review was well established by the authors as they conducted a thorough review of the literature and examined several survey articles, as stated in the Introduction section. In addition, an appropriate search strategy helped to produce a wide range of references, the vast majority of which were relevant to our research. Third, the inclusion of contributions was decided upon by clearly defined standards, which are explained in more detail in the parts that follow. Fourth, a content analysis was carried out on publications about DT projects and implementations both inside and between articles, and the material was arranged based on the critical success aspects of the suggested conceptual framework. Lastly, conclusions for theory and practice were drawn from the deep analysis that yielded these discoveries. Furthermore, prospective directions for further investigation were suggested in light of the results. The Scopus and Web of Science databases were used for the literature search because they are well known for their efficiency in handling research related to economics and business [16,17,18,19,20] and for offering extensive interdisciplinary coverage [20,21,22,23,24,25,26,27]. To guarantee credibility, only peer-reviewed journal articles were taken into consideration, leaving out other formats such as books or conference proceedings. This strict criterion was meant to protect integrity by removing materials that did not undergo rigorous peer review. Keywords, titles, and abstracts containing terms such as “digital transformation” AND “digitalization” or “digitalisation”, AND “Digital Transformation”, as well as “success factors” and “frameworks”, were used in the search. By means of digitalization initiatives and strategic transformations for organizational changes, DT improves corporate operations [26,27,28,29,30]. These related ideas highlight how equally important they are to the sample plan. The search was limited in time and took place between 2013 and 2024. The period from 2013 to 2024 was chosen because it marks the rise of digital transformation as a significant research topic, capturing its evolution and the latest advancements. Starting in 2013 and ending in 2024, this reflects when DT began gaining substantial academic attention, including the most recent studies, ensuring relevance and comprehensiveness. This timeframe provides a balance between capturing recent developments and maintaining a robust scope of available research. The [31] inclusion and exclusion criteria were adhered to, and 2306 articles were found at first. The database’s research field filters eliminated irrelevant topics such as “environmental sciences” and “surgery” in favor of pertinent categories. Figure 1 illustrates the selection procedure used in the study. Initially, 703 publications were considered. Some unrelated or distantly related items were excluded from the dataset after further refinement that was focused solely on articles related to digital transformation (DT). This approach produced a final selection of 303 articles. To be more precise, 115 articles were removed since they either completely ignored DT or focused mainly on specific technology applications. After removing publications that were not pertinent to the study’s objectives, a final database of 104 articles was created for thorough examination.

3. Findings of the Literature Review

Figure 1 shows the distribution of articles across different subject areas that deal with issues in the field of DT. Most of the reviewed publications were published in journals pertaining to general management and technology management. From a disciplinary perspective, a significant portion of these articles fell within research domains such as management information systems, knowledge management, innovation management, and production and operations. The examination of 104 articles reveals a broad distribution across academic areas, with Computer Science being the most prominent category (33 articles). Decision Sciences, Social Sciences, and Business Management and Accounting follow closely behind, with each having 14, 13, and 12 articles, respectively. Engineering contains 24 articles, while Economics, Econometrics, and Finance each have 8 articles. Figure 2 depicts the interdisciplinary nature of digital transformation research, with a strong emphasis on computer science and significant contributions from Business Management and Accounting, Decision Sciences, Social Sciences, Engineering, and Economics, Econometrics, and Finance. This distribution emphasizes the comprehensive and multifaceted approach to studying and executing digital transformation across multiple fields of study.

Three separate sections—the organizational core, organizational hierarchies, and success factors of DT initiatives—were created to provide the content analysis findings. The theme topics found in the analysis are succinctly summarized in this format, with more in-depth discussion to come in the parts that follow.

3.1. Organizational Hierarchy

The literature review revealed that previous research articles have emphasized that organizational structure is crucial for achieving digital transformation. It was found that both top-down and bottom-up strategies can coexist with varying degrees of prominence in the redesign of organizations for digital transformation [31,32,33,34,35,36]. In order to facilitate the integration of bottom-up initiatives for quick adaptation, rigid hierarchies may not be well suited to the adaptable character needed for successful distributed technology [37]. Organizations establish independent units, such as innovation laboratories, and digital business units to facilitate the adoption of digital technologies, which increases agility [38,39]. In order to manage digital projects, top-down reorganization involves developing C-suite positions such as Chief Digital Officer (CDO) or Chief Information Officer (CIO) [38,39]. On the other hand, problems can result from disagreements and an abundance of knowledge, which can diminish value [40]. Both formal and informal changes are brought about by DT, and knowledge exchange is made easier by collaborative networks that develop from the bottom up [41,42]. Formal structure misalignments can prevent DT from progressing. It is anticipated that platforms and artificial intelligence (AI) will cause businesses, whether top-down or bottom-up, to become networked, decentralized communication channels [43,44,45,46,47]. According to [48], governance structures are essential for facilitating the production of value because they underscore the importance of dedication and confidence.

In DT, organizational culture serves as a helper as well as a hindrance. Therefore, success requires an environment that welcomes change [46]. Even while DT is crucial, core elements of a company’s culture frequently do not change [47,48,49,50]. In order to overcome obstacles such as organizational opposition and individual inertia and to synchronize changes across all departments, stakeholder involvement is essential [51,52,53,54,55,56]. Managing multiple cultures is essential in digital ecosystems, as mismatched cultural norms can have negative implications [57,58,59,60]. Particularly in supply chain management, marketing, and advertising, digital technologies require process adaptation with distinct evolutionary paths for processes [61,62,63]. According to [64,65], digitalization improves audience engagement, personalized content distribution, and the codification of hitherto informal processes. Through digital processes, DT promotes improvements in internal and customer-facing processes for quicker decision-making and co-ordination [64,65,66,67,68]. IT solutions that promote gradual replacement and an ambidextrous approach, such as ERP, MES, and SCADA, improve transparency and decision-making [69]. Agile methods are emphasized in the literature as a means of helping organizations adapt to changes in technology [70].

3.2. Engagement in Digital Infrastructure

DT is a dynamic process that emphasizes the relationship between software, services, and goods while pushing companies away from conventional product-centric models and toward integrated systems [71,72,73,74]. The notion of “digital servitization”, which is at the center of this revolution, involves manufacturing companies going through a fundamental shift in order to add value by growing the range of digital services they offer that are connected to physical products [75]. Although mass customization and differentiation offer benefits, there are drawbacks, such as the servitization dilemma, which makes it uncertain whether productivity improvements will materialize quickly [76,77,78,79,80]. Businesses that are starting their path toward digital servitization frequently work together to co-create value while overcoming obstacles pertaining to interoperability and the crucial requirement for chances for data-sharing, especially on digital platforms [81].

According to [82], digital platforms play a crucial role in promoting co-operative knowledge exchange and producing economic benefits. These platforms are distinguished by multisided market structures that maximize user engagement and are impacted by direct or indirect network effects. The emergence of digital ecosystems and an intricate web of interconnected ecosystems changes the nature of traditional connections and calls for creative managerial strategies based on self-governance and orchestration [83,84,85]. A significant change is taking place in the dynamic between organizations and customers as a result of digital transformation. Customers are now active co-creators of digital solutions rather than passive customers, strengthening the symbiotic relationship that boosts business revenues and increases customer bargaining power [86]. Fostering value co-creation becomes critical in this changing environment, as businesses use tactics such as rewards, community service, and loyalty-building exercises. Within the ecosystem of the company, these initiatives foster closeness and a sense of belonging [87,88,89]. According to the authors of [89], the subjective nature of competitive advantages in the digital economy highlights the importance of trust, reciprocity, and reputation as relational assets. According to the findings in [90], this transformative journey realigns power dynamics, encouraging enterprises to emphasize customer engagement over old product-centric models and acknowledging customers’ improved negotiating leverage in the DT landscape.

4. Critical Success Factors for Digital Transformation

4.1. Definition of Success in Digital Transformation

DT entails the comprehensive integration of digital technology into an organization’s processes, fundamentally reshaping how value is delivered to stakeholders. Defining “success” in DT is essential, especially for government organizations, where success extends beyond technical implementation to include the achievement of strategic, stakeholder-aligned goals. Success in this context means realizing well-defined objectives that enhance organizational performance, service quality, and public satisfaction [24]. A DT initiative may be technically sound, but without clear goals or alignment between these goals and the implemented solutions, it may not yield success [45]. Misalignment often leads to challenges in meeting public expectations and can result in unfulfilled transformation objectives [23].

4.2. Critical Elements for Successful Digital Transformation

For DT to be successful, certain critical elements must be present, such as strong leadership with a distinct vision [90,91,92]. Establishing a culture that embraces change, fostering strong support networks, and equipping staff with tools to adapt is vital in managing operational changes [93]. Moreover, investments in technology, skill development, and a data-driven culture are crucial for leveraging data analytics effectively [94]. Adaptability, agility, and a customer-centric approach are necessary to respond to evolving market dynamics and technological advancements [95]. Employee engagement and participation are also key, with training and open communication serving as enablers of active involvement [96,97].

4.3. Complex Environment of Digital Transformation

The complex environment surrounding DT also requires attention to security, regulatory compliance, and collaborative partnerships, which collectively contribute to sustainable success [36].

Table 1. DTIS in previous studies.

Authors (Year)	Contributions	Findings/Conclusions
[55]	Digital business strategy (DBS) framework	The study develops a DBS framework through a structured review of industry reports, offering specific actions for DBS and digital business model design.
[23]	Opportunities of DT in business	Digital businesses integrate technologies such as social, mobile, analytics/big data, and cloud to transform how they work. A clear digital strategy and risk-taking are crucial for success.
[13]	Reasons for failure in digital transformation	One of the main reasons why DT fails is the lack of clearly defined goals and a detailed digital strategy.
[33]	Factors for the perceived benefit of DT in manufacturing	Collaboration and cultural shifts are key for DT success, involving customers, suppliers, and peers.
[32]	Influencing factors for the success of DT	By reviewing empirical contributions, the study offers insights into why organizations undergo DT, how to achieve it, and its impact.
[24]	Key success factors for digitalization in public organizations	The study, based on interviews with public sector leaders, identifies key success factors for digitalization in public organizations, offering valuable insights for effective DT initiatives.
[56]	Success factors for successful DT practices	A list of seven success factors and 23 subfactors emerged from the thematic groupings, constituting the initial steps toward building a DT framework.
[98]	Influencing factors for the success of DT in financial services	The study unveils the factors that influence the success of DT, focusing on modernizing backend systems and the threat of BigTech.
[99]	Key success factors for DT start-ups	The study underscores five key success factors: lean customer orientation, entrepreneurial culture, ecosystem participation, third-party tech integration, and capital acquisition.
[100]	Six key success factors for platform-based business models	The study identifies key success factors in the business model of digital platforms in the metal and steel industry using qualitative interviews and modified concepts.
[101]	Factors influencing business innovation	Through a literature review, the study identifies strategies for business innovation amid uncertainties, exploring critical success factors for valuable insights.
[102]	Approaches to DT in international manufacturing networks	The study shows case companies’ approaches to DT in their networks, emphasizing the importance of a holistic perspective and identifying challenges.
[103]	CRM digitalization framework	The proposed framework provides practical guidance for identification, monitoring, and maximizing benefits. It is validated via a national internet and TV service company.
[72]	Ten significant critical success factors for digital transformation	As a result of surveying German companies, key DT project CSFs are identified: corporate organization, technology, emphasizing culture, top management support, and unified digital strategy.
[104]	Critical success factors for successful digital partnering	Digital partnering necessitates trust, management support, careful selection, common goals, commitment, communication, conflict resolution, and digital training, improving survival in the dynamic digital landscape, especially in developing countries.
[105]	Factors influencing digital transformation	The study focuses on factors influencing DT in a globalized context, highlighting the difference between digitalization and digitization.
[102]	Factors affecting DT in public healthcare	The study aggregates information on drivers, success factors, and challenges in public healthcare DT, providing a starting point for future research.
[106]	Factors for DT success in the Greek public sector	The study lists drivers and barriers that hinder DT success in the Greek public sector.
[107]	Factors for DT success in the public sector	The study identifies 11 key factors, including communication, leadership skills, and resistance to change, for DT success in the public sector.
[108]	Start-up survival factors in the digital era	Found the importance of innovation and risk management.
[109]	Crucial factors in ERP deployment for enterprise business	Insights for success or failure in ERP adoption.
[81]	Influence of digital transformation in Islamic banking	Found impact on operational efficiency and risk management.

provides an overview of previous research accomplishments on digital transformation initiatives’ success (DTIS), offering insights into various methodologies and approaches. These studies highlight the diverse nature of DT across industries, contributing to a nuanced understanding of DTIS. For instance, the authors of [30] proposed a CSF management framework for digital business solutions, focusing on CRM digitalization. They validated their framework with a national internet and TV service provider, underscoring the importance of tailored approaches to managing CSFs effectively.

4.4. Failure in Digital Transformation Initiatives

DT is often heralded as a pathway to innovation, efficiency, and enhanced service delivery. However, the sobering reality is that a significant percentage of DT initiatives fail to meet their intended objectives, with failure rates estimated to range between 70% across various sectors, including government organizations and smart city projects [14]. Understanding the reasons behind these failures is crucial for organizations aiming to navigate the complexities of digital transformation successfully. One primary factor contributing to the failure of DT initiatives is the lack of clearly defined strategic goals [110,111,112,113,114]. Many organizations embark on digital transformation without a coherent vision or a thorough understanding of their desired outcomes [115,116,117]. This ambiguity can lead to misaligned projects that do not address the specific needs of stakeholders. As noted by Qiao [29], a misalignment between technology solutions and organizational objectives often results in wasted resources and missed opportunities for value creation.

4.5. The Role of Organizational Culture

Organizational culture plays a significant role in the success or failure of DT efforts. A culture resistant to change can hinder the implementation of new technologies and processes [118,119,120,121,122]. Research has shown that organizations with rigid hierarchies and established ways of working are less likely to embrace digital transformation, which often requires agility and adaptability [13,14,15]. In contrast, organizations that foster a culture of innovation, where experimentation is encouraged, tend to navigate the challenges of DT more successfully [123,124,125,126,127].

4.6. Technological Risks and Challenges

Moreover, the technological landscape itself poses risks for digital transformation. Rapid advancements in technology can render existing solutions obsolete before they can be effectively implemented [128,129,130,131]. Organizations that do not invest adequately in current and future technologies may find their initiatives failing to deliver expected benefits [37]. Additionally, security and compliance issues can complicate the integration of new technologies, leading to project delays and budget overruns, further contributing to failure [132,133,134,135].

4.7. Broader Implications of Digital Transformation Failures

Failures in DT are not merely individual occurrences but can have broader implications for the organizations involved [136,137,138,139,140]. They can result in financial losses, diminished stakeholder trust, and a tarnished reputation. The lessons learned from these failures underscore the importance of adopting a comprehensive approach that considers both the success factors and potential pitfalls [141,142,143,144,145]. Organizations must conduct thorough risk assessments, define clear objectives, engage stakeholders, and cultivate a supportive organizational culture to increase the likelihood of successful digital transformation [32].

4.8. Perspectives on Critical Success Factors

In contrast, the authors of [66] surveyed German companies to identify key CSFs for DT projects, emphasizing corporate organization, technology, culture, and unified digital strategy. This discrepancy suggests varying perspectives on the essential factors driving digital transformation success [84]. The authors of [59] delved into the superiority of digital platforms in the metal and steel industry, identifying four key success factors, including value, delivery, capture, and digital transformation. Their qualitative approach of using interviews provides a rich understanding of platform-based business models. Conversely, the work in [44] explored strategies for innovative business models, emphasizing value creation, innovativeness, resilience, and sustainability. This combination of industry-specific success determinants and larger strategy concerns highlights the complexities of digital transformation. The authors of [58] employed a qualitative approach by using the Delphi method to analyze critical success factors for digital partnering in the South African construction sector. Their emphasis on collaboration and expert opinions contrasts with another study [88], which identified the key success factors for digitalization in public organizations through interviews with public sector leaders [146,147,148,149,150,151,152]. The authors of [90] highlighted the necessity of adjustments in business and IT strategies, organizational structure, and processes for successful digital transformations [34]. The work in [79] provided a theoretical perspective on the differences between DT and digitization, focusing on the role of digitalization in converting physical products/services into digital formats [153,154]. This contrasts with the findings in [13], which explored the reasons behind DT failures, emphasizing the importance of clear goals and detailed digital strategies. These differing viewpoints shed light on the theoretical underpinnings and practical challenges of digital transformation. The authors of [55] developed a digital business strategy (DBS) framework based on a structured review of industry reports, highlighting 40 critical success factors (CSFs) for DBS and digital business model design. Their comprehensive approach contrasts with that in [99], where the opportunities of DT in business were explored, focusing on the changes brought by digital technology. This debate between specific CSFs and broader strategic insights offers a comprehensive view of digital transformation [94].

The authors of [24] identified key drivers, success factors, and challenges in DT in public healthcare through a literature review and case studies [155,156,157,158]. Their findings are juxtaposed with those in [99], which assessed the status of DT in Greece, comparing success factors and obstacles across different European countries. This comparison highlights the contextual nuances and challenges in implementing digital transformation strategies [100]. The authors of [101] explored the drivers, objectives, success factors, and implications of DT based on a systematic literature review. In contrast, the work in [102] was focused on challenges in DT for manufacturing networks, emphasizing a holistic approach and cultural shift. This debate between broad strategies and industry-specific challenges provides a comprehensive understanding of digital transformation [103]. The authors of [106] identified key success factors for DT start-ups, focusing on customer orientation and technological integration. Conversely, the authors of [32] investigated factors influencing DT in the public sector, highlighting communication, leadership skills, and resistance to change. This debate between start-up strategies and public sector challenges offers insights into the diverse landscapes of digital transformation [66]. The work in [58] analyzed the challenges in the financial services sector using a PEST-model and Porter’s five forces, highlighting the responses of incumbents to digital disruption. This contrasts with an econometric analysis [33] of start-up survival factors, emphasizing innovation, risk management, and effective HR management. These contrasting viewpoints provide a holistic view of digital transformation from both established institutions and emerging start-ups [55]. The authors of [22] identified the crucial success and failure factors in ERP deployment for enterprise business, offering insights for stakeholders and ERP service providers. In contrast, the authors of [83] conducted a poll on employees from Jordanian Islamic banks, highlighting the substantial influence of digital transformation on operational efficiency and risk management. This comparison offers insights into the diverse impacts of digital transformation across different sectors and organizations [77].

The findings of the research reported in Table 1 show that critical CSFs include strong leadership, effective change management, data analytics capabilities, flexibility and agility, customer-centricity, employee engagement, security and compliance, and partnerships and co-operation. For example, Leyh et al. [72] emphasized the significance of corporate organization, technology, and a unified digital strategy, whereas Rohn et al. [114] identified specific success factors for platform-based business models in the metal and steel industries. Furthermore, the authors of [133] identified common issues in the financial services sector, underlining the importance of a systematic approach to updating backend systems in response to the threat of BigTech market entry.

Table 2. CSFs of DTIS.

No	Critical Success Factors for Digital Transformation	Authors
1	Innovation culture	[22,23,24,25,26,27]
2	Embracing change
3	Collaboration and teamwork
4	Learning and development	[16,19,44,56,63]
5	Customer-centricity
6	Clear communication
7	Data-driven decision-making
8	Digital-minded leadership	[33,55]
9	Stakeholders involvment
10	Stakeholder identification
11	Active engagement
12	Collaboration and partnership	[21,64,73]
13	Inclusion
14	Continuous engagement
15	Measuring progress and evaluating success
16	Effective change management	[44,86]
17	Clear governance structure
18	Executive sponsorship
19	Risk management	[33,34,35,65]
20	Compliance with laws and regulations
21	Data governance
22	Compliance with industry standards
23	IT governance
24	Performance measurement
25	Funding	[103,104,105,106,107,112,113,114]
26	Technology
27	Skilled workforce
28	Infrastructure
29	Training and development	[13,15,19,27]
30	Data analytics
31	Cloud computing
32	Security
33	Adaptability
34	Agile methodologies	[76,83]
35	Continuous improvement
36	Innovation
37	Scalability
38	Resilience
39	Cross-functional teams	[14,18,77,82]
40	Flexible resources
41	Willingness to embrace technological change
42	Employee digital skills and competencies
43	Organizational adaptability	[23,63,88]
44	Resource allocation for digital initiatives
45	Stakeholder involvement and support
46	Organizational change management
47	Achievement of objectives
48	User satisfaction and adoption	[56,66,73]
49	Impact on operational efficiency
50	Business performance enhancements
51	Digital integration and connectivity
52	Employee empowerment and collaboration	[22,36,72]
53	Long-term sustainability and adaptability

contains a thorough list of the critical success factors (CSFs) required for DTIS, as well as the related authors who have contributed to understanding these factors. A comprehensive examination of these CSFs yields important insights into the need for successful digital transformation programs. Smith and Beretta [129] and Purwanto et al. [108] identify “innovation culture” as a core CSF. This element emphasizes the importance of corporations creating settings that promote creativity and adaptation. Embracing innovation allows businesses to remain competitive and responsive in today’s fast-changing digital market. Vial [144], Şimşek et al. [126], Rohn et al. [114], and Leyh et al. [72] all highlight the “Learning and Development” CSF. Continuous investment in workforce development and upskilling is critical for firms to ensure their staff have the skills needed to effectively move digital initiatives forward. This element acknowledges that knowledgeable and adaptable staff represents a critical component of effective digital transformation.

“Digital-minded leadership” emphasizes the importance of leaders who are forward-thinking, embrace digital methods, and set the tone for their organization’s digital transformation. Strong leadership is essential for inspiring and organizing the workforce to achieve digital goals. The data-driven decision-making element emphasizes the necessity of using data analytics to make educated judgments [133]. To effectively drive their digital strategy, organizations must build robust data collection, analysis, and leveraging processes. Data-driven insights allow businesses to discover trends, make predictions, and enhance their operations. Change management is another crucial issue, as stressed by Gurbaxani and Dunkle [48], where “Effective change management” is critical for dealing with the human aspects of digital efforts. To achieve successful digital transformation, organizations must overcome resistance, get stakeholder support, and ensure smooth transitions. Palaskas [102] emphasized the importance of risk mitigation and compliance in digital efforts. The terms “risk management” and “compliance with laws and regulations” emphasize the importance of firms identifying and mitigating risks connected with digital projects while adhering to legal and regulatory frameworks. This factor acknowledges that a proactive approach to risk management is critical for protecting digital ventures.

Tischlinger and Van Wordragen [136] underlined the need for technological preparedness and infrastructure for digital transformation. Organizations must emphasize “technology”, “infrastructure”, and “IT governance” in order to properly support their digital efforts. Investing in the proper technology and developing a strong infrastructure are the foundations of successful digital transformation initiatives. According to Palaskas [102], successful digital efforts rely heavily on user pleasure and uptake. “User Satisfaction and Adoption” emphasizes the necessity of optimizing user experience and ensuring that new digital tools and procedures are adopted by employees and stakeholders. This element underlines the need for enterprises to prioritize user wants and preferences throughout the transformation process in order to drive acceptance and optimize benefits. Successful digital transformation requires employee skills and empowerment, as stressed by Manfreda and Štemberger [79] and other researchers. “Employee digital Skills and Competencies” emphasizes the significance of upskilling employees to ensure they have the appropriate digital skills to properly use new technologies. Empowering people to accept digital tools and procedures is critical to driving digital transformation ahead.

4.9. Empirical Research Insights

The comprehensive assessment of many studies on DTIS has provided useful insights into the key success factors (CSFs) for successful digital transformation initiatives in diverse industries. This analysis identified over 53 CSFs that have a substantial impact on the success of DT activities, as shown in Table 2. The selection of the 7 CSFs from the initial 53 was conducted through a systematic and rigorous process to ensure their relevance and applicability to DT success. The process began with a thorough literature review, where each of the 53 CSFs was evaluated for its relevance to DT, based on the frequency and quality of its appearance in high-quality, peer-reviewed studies. This was followed by expert consultation involving a panel of digital transformation experts who provided valuable insights on the most impactful CSFs. Their feedback was instrumental in refining and prioritizing the factors according to practical experience and theoretical importance. Additionally, the data quality and consistency of each CSF were scrutinized, with factors less supported by empirical evidence or found in fewer reputable sources being deprioritized. This methodical approach ensured that the final selection of CSFs was both theoretically robust and practically significant. These aspects include strong leadership, effective change management, data analytics capabilities, flexibility and agility (FA), customer-centricity, employee engagement, security and compliance, and partnerships and co-operation. Based on the findings of this research, it is clear that these criteria have continually emerged as critical components for firms looking to manage the obstacles and opportunities of digital transformation.

5. Critical Success Factors for Conceptual Modeling

According to Teixeira et al. [134], conceptual model development is the act of putting a system or concept into a visual representation that shows how its various components relate to one another. With disciplines such as system design, engineering, and management, it is a technique that aids with the understanding and communication of complicated concepts and systems [44]. The process of developing a thorough model that shows the connections between the various CSFs and the overall performance of DT is referred to as conceptual model development in the context of CSFs for DT. The aforementioned model functions as a framework for comprehending and executing digital transformation endeavors, considering the distinct obstacles and prospects involved. As indicated in Table 2, the first step in developing a conceptual model for DT success is identifying the crucial elements. For DT projects to be driven and ensured to be in line with the organization’s aims and objectives, strong leadership and a clear vision are essential [67]. This includes directing the group, bringing everyone together, and making difficult decisions. According to Correani et al. [24], digital transformation (DT) frequently entails substantial modifications to an organization’s systems and procedures. Effective change management is crucial to guarantee that these changes are properly adopted and executed. The technique involves recognizing and conveying the modifications, educating the staff, and offering continuous assistance and direction to guarantee the new procedures are embraced and integrated into the company. Making educated decisions and advancing DT projects require the ability to gather, process, and utilize data. Data security, data governance, data quality, and data analytics skills are all included in this. According to Mehadjebia et al. [84], organizations must possess flexibility and agility in order to promptly adjust to evolving market conditions and client demands. This involves the capacity to change course swiftly and the risk-free experimentation and testing of novel concepts. In order to meet their needs and enhance the entire customer experience, DT efforts should be created with the needs of the consumer in mind. This entails figuring out what the needs of the consumer are, creating solutions to suit those needs, getting feedback frequently, and modifying the solutions in response to that input. To guarantee that DT activities are successfully executed and embraced by the workforce, employee involvement is essential [77]. Employee engagement is increased through motivating employees to participate, giving them chances to learn and develop, and creating an innovative work environment. Since DT projects frequently use technology and sensitive data, it is crucial to make sure they are safe and adhere to all applicable laws and standards [23]. In order to effectively share resources and information, collaboration and partnerships are frequently necessary for digital transformation. Following their identification, the CSFs are arranged in a conceptual model that shows how they relate to the overall performance of DT.

6. Aggregating and Modeling CSFs

Grouping, classification, clustering, and modeling are all techniques used in data science to analyze and make predictions about data [44]. These techniques can be applied to the CSFs of DT to help organizations understand and optimize their digital initiatives. An organization may group its DT initiatives by department, project type, or budget. Classification is the process of categorizing data into predefined groups based on specific characteristics. For example, an organization may classify its DT initiatives as “high-priority”, “medium-priority”, or “low-priority” based on their expected impact on the business. Clustering is a technique used to identify patterns or groups within a dataset. For instance, an organization may use clustering to identify similarities between different DT initiatives or to identify the key drivers of success for a particular initiative. Modeling is the process of creating a mathematical representation of a system or process [33]. In particular, an organization may use a predictive model to forecast the impact of a DT initiative on key performance indicators such as revenue or customer satisfaction. Overall, grouping, classification, clustering, and modeling are powerful techniques that can help organizations better understand and optimize their DT initiatives. Modeling is the process of creating a mathematical representation of a system or process. As an illustration, an organization may use a predictive model to forecast the impact of a DT initiative on key performance indicators such as revenue or customer satisfaction [23]. Overall, grouping and modeling are powerful techniques that can help organizations better understand the CSFs of DT, identify areas for improvement, and make more informed decisions about their digital initiatives [90]. While grouping the CSFs mentioned in the CSFs section, it was observed that only 53 of them were applicable to the study’s scope. Consequently, in this study, the 53 valid CSFs were organized into seven categories, as depicted in

Table 3. Classified CSFs affecting DT success.

Dimension	Description	CSFs Affecting DT Success
Organizational culture of continuous improvement (OCCI)	OCCI in DT initiatives cultivate a culture of continuous learning, innovation, and adaptability. This culture encourages employees to actively contribute to the transformation process, fostering enhanced agility and long-term success	Innovation culture: An organizational culture that encourages experimentation and innovation can help drive DT success. Embracing change: A culture that is open to change and adaptable to new technologies can help the organization to successfully implement DT. Collaboration and teamwork: A culture that promotes collaboration and teamwork can help foster a sense of shared ownership and buy-in for DT initiatives. Learning and development: A culture that encourages continuous learning and development can help ensure that the organization has the necessary skills to successfully implement DT. Customer-centricity: A culture that prioritizes the needs of customers can help ensure that DT initiatives are aligned with customer needs and goals. Clear communication: A culture of clear and transparent communication can help ensure that all stakeholders are informed and engaged in the DT process. Data-driven decision-making: A culture that values data and encourages data-driven decision-making can help ensure that DT initiatives are informed by data and analysis. Digital-minded leadership: A culture of digital-minded leadership can help ensure that the organization has the necessary vision and leadership to drive DT forward.
Stakeholder engagement (SE)	SE in DT initiatives entail active involvement and collaboration with relevant stakeholders. This ensures their feedback is considered, fostering support, shared ownership, and driving sustainable transformation	Stakeholders can help keep everyone informed and engaged in the DT process. Stakeholder identification: Identifying all relevant stakeholders and understanding their needs and concerns is essential to align DT initiatives with their goals. Active engagement: Actively engaging stakeholders through workshops, focus groups, and consultations helps gather valuable feedback for informed DT decision-making. Collaboration and partnership: Building collaboration and partnerships with stakeholders fosters a sense of shared ownership and commitment to DT initiatives. Inclusion: Involving stakeholders from diverse backgrounds and perspectives ensures that DT initiatives are inclusive and considerate of different needs. Continuous engagement: Consistently involving stakeholders throughout the DT process enables real-time adjustments and addresses their evolving needs and concerns. Measuring progress and evaluating success: Regularly measuring and evaluating the progress of DT initiatives allows organizations to make data-driven decisions and adjustments as needed. Effective change management: Managing and communicating changes effectively to all stakeholders eases the transition to a digital environment and minimizes resistance.
Robust leadership governance (RG)	RG in DT involve strong, effective leadership guiding the organization’s digital journey with clear goals and strategies. It fosters a shared vision, commitment to change, and effective challenge and risk management. RG promotes alignment, accountability, and collaboration for a smooth DT implementation, delivering value and sustainable transformation	Clear governance structure: Having a clear governance structure ensures that DT initiatives align with organizational goals and priorities. Executive sponsorship: Strong executive sponsorship provides the necessary support and resources for successful DT implementation. Risk management: Identifying and mitigating potential risks associated with DT is crucial for ensuring its success. Compliance with laws and regulations: Ensuring DT initiatives comply with relevant laws and regulations ensures their sustainability and long-term success. Data governance: Robust data governance ensures data is used and shared in a compliant, secure, and responsible manner. Compliance with industry standards: Adhering to industry standards ensures DT initiatives are aligned with best practices. IT governance: IT governance ensures DT initiatives align with IT strategy and are efficiently and effectively delivered. Performance measurement: Measuring performance and evaluating the success of DT initiatives allows for informed decision-making and adjustments as needed.
Adequate resources and learning (ARL)	ARL for DT initiatives involve allocating sufficient financial and human resources and focusing on continuous learning and development. This includes investing in technology, training in digital skills, and providing ongoing learning opportunities to ensure the organization has the capabilities and knowledge to drive innovation and achieve sustainable growth in the digital era	Funding: Adequate funding is necessary to ensure that DT initiatives have the necessary resources to be successful. Technology: Access to the latest technology and tools is necessary for successful DT. Skilled workforce: A skilled workforce with the necessary knowledge, skills, and experience to implement DT is essential. Infrastructure: Having the necessary infrastructure in place, such as a robust IT network, is crucial for successful DT. Training and development: Providing training and development opportunities to employees can help ensure that they have the necessary skills to successfully implement DT. Data and analytics: Having access to high-quality data and analytics tools can help organizations make informed decisions and optimize their DT initiatives. Cloud computing: Adopting cloud computing can help ensure that DT initiatives have the necessary scalability and flexibility to be successful. Security: Having robust security measures in place can help ensure that DT initiatives are protected from cyber threats and data breaches.
Flexibility and agility (FA)	FA in DT initiatives reflect an organization’s capacity to swiftly adapt to evolving challenges and opportunities. It fosters a culture of experimentation, change, and innovation, enabling quick adjustments to strategies, processes, and technologies, ensuring competitiveness and readiness in a rapidly changing digital landscape	Adaptability: Being able to adapt to change and be flexible in the face of challenges is critical for successfully implementing DT. Agile methodologies: Adopting agile methodologies can help organizations respond quickly to changes and deliver DT initiatives in a more iterative and flexible way. Continuous improvement: Continuously improving processes and technologies can help ensure that DT initiatives stay up-to-date and competitive. Innovation: Encouraging innovation and thinking outside the box can help organizations find new and creative solutions to DT challenges. Scalability: Having the ability to scale DT initiatives up or down as needed can help ensure that they are flexible and responsive to changing needs. Resilience: Having a resilient organization that can quickly recover from disruptions or failures can help ensure that DT initiatives stay on track. Cross-functional teams: Building cross-functional teams can help organizations respond to changes more quickly and effectively. Flexible resources: Having flexible resources such as cloud-based services can help organizations respond to changes quickly and efficiently.
Role of organizational readiness for digital transformation (RORDT)	ORDT assesses an organization’s preparedness for DT, ensuring a smooth transition and enabling innovation	Willingness to embrace technological change. Employee digital skills and competencies. Organizational adaptability. Resource allocation for digital initiatives. Stakeholder involvement and support. Organizational communication and change management.
Digital transformation initiatives success	DT initiatives integrate advanced technologies for growth, efficiency, and improved customer experiences through AI, analytics, and automation	Achievement of objectives. User satisfaction and adoption. Impact on operational efficiency. Business performance enhancements. Digital integration and connectivity. Employee empowerment and collaboration. Long-term sustainability and adaptability.

. The groups were named based on the relevance of the CSFs to the suggested name. This approach aids in identifying patterns and trends in CSFs, facilitating the development of a comprehensive framework for DT initiatives. Following a meticulous evaluation and grouping process, this study identified seven clusters, which are discussed in subsequent sections. This research builds upon and extends the existing body of literature on DT by offering a more nuanced and integrated perspective on CSFs and their impact. Previous studies have explored various dimensions of DT separately, often focusing on specific aspects such as organizational culture or stakeholder engagement [77]. This research synthesizes these disparate elements into seven comprehensive theoretical viewpoints: OCCI, SE, RG, AR, FA, RORDT, and DTIS. By integrating these perspectives, the study provides a more holistic understanding of the factors influencing DT success, aligning with and expanding upon earlier work. While the existing literature has highlighted the importance of factors such as innovation culture and effective governance, it often lacks a detailed examination of the practical challenges and interplay between these factors [66,88]. This research addresses these gaps by exploring the specific difficulties organizations face in maintaining an innovation culture, engaging stakeholders, and balancing governance with flexibility. This deeper analysis adds to the existing knowledge by providing a clearer picture of the complexities involved in DT. Building on prior research that emphasizes the theoretical aspects of DT, this study provides practical implications and actionable recommendations for organizations [55]. For example, it highlights the importance of continuous learning and effective stakeholder engagement as critical for DT success, echoing but expanding upon earlier findings. The practical recommendations offered are informed by empirical evidence and theoretical analysis, bridging the gap between theory and practice. The study’s development of a comprehensive conceptual model that includes OCCI, SE, RG, AR, and FA as mediators, with DT impact on DTIS as the dependent variable, extends previous theoretical frameworks [22]. This model builds on earlier work by integrating the multiple dimensions of DT into a cohesive structure, providing a more detailed and practical framework for understanding and implementing digital transformation.

6.1. Organizational Culture of Continuous Improvement (OCCI)

A key factor contributing to DT performance is organizational culture, which is defined as the common beliefs and norms influencing both employee conduct and corporate operations [11]. Eight CSFs are highlighted in Table 3 to emphasize the importance of company culture to DT success. It is believed that an innovative and experimental culture is essential to enabling staff members to participate in the DT process [22]. In order to create a common vision for DT and implement broad change throughout the company, co-operation and teamwork—which are fostered by a positive culture—are essential. On the other hand, cultures that are distrustful or isolated or that are reluctant to change can impede the adoption of digital transformation (DT) [33]. Leaders play a crucial role in forming the culture of their organizations. They should set a clear example, encourage learning and innovation, and convey the DT vision. In summary, leaders have a crucial role in cultivating a positive corporate culture that fosters creativity, co-operation, and learning, as it has been shown to be a major element determining the success of digital transformation [56].

6.2. Stakeholder Engagement (SE)

Among the five CSFs included in the DT effort, SE is a key factor in determining its effectiveness. Stakeholders include employees, consumers, suppliers, shareholders, and other impacted parties. Stakeholders are individuals or groups with a vested interest in the initiative’s result [55]. In order to minimize resistance and promote buy-in, effective SE is essential since it guarantees that the initiative and stakeholders’ requirements are aligned [44]. The results are more likely to be understood, supported, and successful when stakeholders are actively involved. A clear vision for DT that emphasizes its connection to stakeholder involvement is crucial for leaders who play a critical role in promoting effective SE. To ensure alignment with overall corporate objectives and achieve desired outcomes, it is imperative to create an environment that values stakeholder input, as noted by Cichosz et al. [22].

6.3. Robust Leadership Governance (RG)

Effective governance ensures that initiatives are aligned with the organization’s goals and objectives and that they are carried out in a controlled and consistent manner. It also promotes ethical and responsible execution and ensures compliance with legal and regulatory requirements [66]. They provide clear policies, processes, and guidelines for DT efforts to ensure successful communication with stakeholders. Leaders also ensure that the required processes and controls are in place to monitor and manage DT activities, which are constantly reviewed and updated as needed. To summarize, RG is a vital component of successful DT programs [22]. It guarantees that organizational goals are met, that implementation is regulated, that compliance is followed, and that execution is carried out responsibly. Leaders play an important role in implementing RG to support DT success [64].

6.4. Adequate Resources and Learning (ARL)

Financial, technological, and human resources are essential for launching and maintaining digital transformation (DT) efforts. ARL is critical to DT performance; without them, DT activities may be delayed or fail entirely [12]. Leaders must ensure that they have access to the necessary technology, tools, and resources to effectively implement DT projects. Additionally, securing a sufficient budget to fund these initiatives and having the appropriate personnel to manage and execute them is crucial [22]. Learning is a vital component of this dimension, as it fosters a culture of continuous improvement and adaptability within the organization. By prioritizing learning and development, organizations empower their teams to acquire new skills and knowledge that are essential for navigating the complexities of digital transformation. This proactive approach not only enhances employee competencies but also ensures that the organization can swiftly adapt to evolving market demands and technological advancements. Effective resource management, therefore, extends beyond allocation to include robust learning opportunities that prepare employees to tackle challenges and innovate solutions. Additionally, leaders should implement strategies for ongoing training and professional development, ensuring that employees are well equipped to drive successful DT initiatives. Backup strategies must also be developed to address any unanticipated incidents that may disrupt DT efforts, reinforcing the organization’s agility and resilience in the face of change.

6.5. Flexibility and Agility (FA)

Flexibility is the ability to adapt to change and respond to new possibilities or problems, whereas agility is the ability to react rapidly and efficiently to changes in the environment [33]. In the context of DT, FA are crucial because they enable firms to adapt to new technologies and trends while also responding rapidly to market changes. When a company is adaptable and nimble, it is better prepared to seize new opportunities and mitigate the impact of potential risks. Leaders play an important role in promoting FA inside their firms [33]. They must build an environment that welcomes change and stimulates experimentation [25]. They should also aggressively seek out new technologies and trends and make sure their teams have the resources they need to test and deploy them. Furthermore, they should create a culture that encourages the team to learn and adapt fast [42]. Flexible and agile organizations are better positioned to capitalize on new possibilities while minimizing the effect of possible dangers.

6.6. Role of Organizational Readiness for Digital Transformation (ORDT)

Alkhamery [3] strongly advocated for the significant impact of organizational readiness on the success of DT initiatives. Through extensive study, he highlighted the crucial role that a well-prepared and adaptive organizational structure plays in the effective implementation of digital transformation strategies. The research underscores the importance of developing specific capabilities within organizations to navigate the challenges posed by digital disruption and to ensure a smoother and more successful transition to the digital era. It aligns with the study’s focus on “DT and its Critical Success Factors”. The inclusion of OCCI, SE, RG, AR, and FA as independent variables (IVs) is crucial in understanding their impact on ORDT. OCCI fosters a change-friendly culture, SE involves stakeholders, RG supports DT vision, AR provides learning opportunities, and FA encourages adaptability. The proposed model, depicting relationships between IVs, ORDT as the mediator, and the dependent variable (DV) as DTIS, allows for comprehensive analysis. Overall, selecting ORDT as the mediator enhances understanding of how CSFs impact the success of DT initiatives in public organizations. The conceptual framework is shown in Figure 3. Organizational preparedness also plays a major role in the digital transformation of governments. For instance, the preparedness of EU Member States for a socially equitable digital transformation is measured across four important dimensions: labor market, digital skills, social protection, and digital infrastructure [136].

Table 4. Dimensions of digital transformation and their roles in the success of the initiative transformation framework.

Dimension	Description	Role in the Model
Organizational culture of continuous improvement (OCCI)	Cultivating an environment that promotes ongoing improvement and innovation.	Independent variable
Stakeholder engagement (SE)	Actively involving stakeholders in the transformation process to ensure buy-in and support.	Independent variable
Robust leadership governance (RG)	Establishing strong leadership and governance structures to guide transformation efforts.	Independent variable
Flexibility and agility (FA)	The ability of an organization to adapt quickly to changes in the environment or market.	Independent variable
Adequate resources and learning (AR)	Ensuring that sufficient resources (financial, human, technological) are available while promoting continuous learning.	Independent variable
Role of organizational readiness for digital transformation (ORDT)	The extent to which an organization is prepared for digital transformation initiatives.	Mediator
Digital transformation initiatives success (DTIS)	The outcomes of digital transformation efforts, measuring their success.	Dependent variable

summarizes the key dimensions identified in the framework for successful digital transformation initiatives. Each dimension represents a critical area that organizations must address to foster an effective transformation process. By categorizing these dimensions, we can clearly see how they function as independent variables influencing the overall success of DTIS. Additionally, ORDT acts as a mediator in this framework, highlighting its importance in linking the independent dimensions to the outcomes of digital transformation. This structured presentation aims to clarify the relationships between the various components and enhance the understanding of how organizations can effectively navigate their digital transformation journeys.

7. Research Implications and Contributions

This study illuminates seven distinct theoretical viewpoints on DT and the CSFs that influence its success, offering valuable insights into the multifaceted nature of DT projects. The OCCI viewpoint emphasizes the importance of fostering an organizational culture centered on continuous learning, innovation, and adaptability, which requires ongoing commitment from all levels of the organization. Future research should explore strategies for sustaining an innovation culture and overcoming the challenges of long-term implementation. The SE perspective highlights the necessity of active stakeholder participation throughout the DT process. Effective stakeholder engagement is crucial, but identifying and fully involving all relevant stakeholders remains complex, warranting further investigation into enhancing engagement, addressing diverse demands, and maintaining effective communication. The RG dimension underscores the critical role of leadership in guiding DT efforts, where balancing governance with flexibility is essential. Overemphasis on governance can lead to rigidity, impeding adaptability. Research should focus on achieving this balance and integrating leadership practices into DT strategies. AR highlights the need for efficient resource allocation and continuous learning. Managing resources while promoting development presents a key challenge, and future studies should explore how to optimize resource allocation and learning opportunities. FA reflects an organization’s ability to respond swiftly to evolving challenges, though maintaining agility within larger organizations can be difficult. Research should address how to sustain agility while balancing stability in dynamic environments. Lastly, the ORDT perspective evaluates organizational readiness for DT initiatives, stressing the importance of thorough data collection and analysis to measure the impact of DT on operational efficiency. Overall, these perspectives offer a comprehensive understanding of the critical success factors in DT, though the complexities involved must not be underestimated. Achieving DT success requires a balanced and context-specific approach aligned with each organization’s unique characteristics. A significant contribution of this research is the development of a detailed conceptual model incorporating OCCI, SE, RG, AR, FA, and ORDT as mediators, with DTIS as the dependent variable. This model elucidates the interplay between these factors and their collective impact on DT outcomes, offering a structured approach to analyzing and implementing DT strategies. The study also identifies gaps in the current literature, proposing future research directions such as examining the effects of DT-induced decentralization on productivity and performance and employing SEM and AMOS to explore the relationships between CSFs and DT outcomes. These insights and recommendations enrich the theoretical framework of DT and provide practical guidance for organizations aiming to enhance their DT efforts.

8. Conclusions and Future Investigation

This study conducted a thorough literature analysis to evaluate the impact of success variables on the advancement of digital technology projects within corporations, as well as how this influences corporate strategy and the theoretical underpinnings of these organizations. Initially, we discovered and examined a collection of published studies on DT inside organizations, resulting in three main dimensions. Subsequently, we created a comprehensive conceptual model that comprises eight important constructs: OCCI, SE, RG, AR, FA as IVs, and the role of ORDT as a mediator, with DTIS as the DV. This paradigm revealed various theoretical implications that can help guide future studies. We argue that enterprises engaging in DT efforts frequently face competing dynamics during their implementation. By addressing the CSFs that are important to our created conceptual model, policymakers and decision-makers should be able to make educated decisions before implementing DT in their companies. Notably, this movement undermines the traditional demarcations of business borders, as organizations progressively extend to include external actors. This growth is primarily driven by the profound relationships and exchanges that digital communication channels enable with the outside world. As a result, this change represents a divergence from the traditional concept of independent enterprises in favor of the emergence of interconnected networks of firms. These networks collaborate, share resources, and function in a dispersed context to generate value collectively. In essence, our findings highlight the urgent need for a comprehensive rethinking of the traditional notion of enterprises in the context of DT. Examining the influence of DT on dual inclinations and CSFs is crucial, indicating a divergence from typical conflict-oriented viewpoints. Exploring interactions between coexisting forces yields prospective results such as substitution, conflict, or moderation dynamics. Future studies should look at the impact of DT-induced decentralization on company productivity and performance. This includes investigating how formal and informal acts fit within the DT landscape. Given that DT contradicts conventional theories, new methodologies are required to examine how companies adapt to the digital economy. In digital ecosystems, where power dynamics are based on technological control and relational centrality, in-depth investigations become critical. Theories should be developed by assessing organizational power while taking cognitive and behavioral implications into account. A thorough investigation of the impact of technology affordances on power distribution within ecosystems is necessary. To fit with the principles of achieving DT success in today’s changing digital ecosystem, theoretical frameworks should change to a greater emphasis on interorganizational linkages. Future research should focus on modeling the CSFs found in this study and implementing them in case studies within organizations. The use of structural equation modeling (SEM) and analysis of moment structures (AMOS) is recommended to thoroughly explore the links and impacts within the context of the organizations under consideration.