Abstract
PurposeThe purpose of this paper is to identify sensing, seizing and reconfiguring routines of dynamic capabilities that enable digital transformation in firms.Design/methodology/approachA qualitative approach is used. Representatives from a firm going through digital transformations are interviewed, and focus groups have been carried out with a consultancy firm experienced in giving advice to firms going through digital transformation.FindingsSix routines identified as relevant specifically for digital transformation are identified. These are cross-industrial digital sensing, inside-out digital infrastructure sensing, digital strategy development, determination of enterprise boundaries, decomposition of digital transformation into specified projects and creation of a unified digital infrastructure.Practical implicationsThe authors provide direction for managers on how to approach digital transformation. In relation to previous research, the authors provide more specific guidance regarding how to reconfigure the organization in digital transformation.Originality/valueThe paper uses a novel context for digital transformation and complements the very few studies available using dynamic capabilities to understand digital transformation.
Highlights
Corporate transformation is required to meet changes in the business environment over time (Tushman et al, 1986; Weick and Quinn, 1999) and may entail radical changes to both firm strategy and capabilities (Pearce and Robbins, 2008)
This paper has identified six routines required for digital transformation
5.1 Research contribution Successfully carrying out digital transformation places demands on firms in terms of continuous flexibility and adaptability
Summary
Corporate transformation is required to meet changes in the business environment over time (Tushman et al, 1986; Weick and Quinn, 1999) and may entail radical changes to both firm strategy and capabilities (Pearce and Robbins, 2008). The development of digital technologies over the past decades has been a major force reshaping business models in various industries (Bharadwaj et al, 2013; Liu et al, 2011), and countless firms express a need for digital transformation. Warner and W€ager (2019) highlight the need for more research on how firms digitally transform since this is a field with only limited empirical and conceptual studies. 889), who define digital transformation as “a change in how a firm employs digital technologies, to develop a new digital business model that helps to create and appropriate more value for the firm”. Liu et al (2011) emphasize that digital transformation is facilitated by digital technologies and carried out in order to attain. The full terms of this licence may be seen at http://creativecommons.org/licences/by/4.0/ legalcode
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