Digital Transformation in Modern Business Management: Strategies for Sustainable Competitive Advantage
DOI:
https://doi.org/10.65405/z7m07760Keywords:
Digital Transformation, Business Management, Sustainable Competitive Advantage, Organizational Innovation, Artificial Intelligence (AI), Cloud Computing, and Internet of Things (IoT).Abstract
Digital transformation has become a key focus area for companies nowadays. Organisations that resist the transformation may lose to their competitors. In this article, we are going to find out how digital transformation strategies could lead to an advantage in today’s business management. This study aims to combine current understanding of how businesses use digital technology to secure a sustainable advantage over competitors. By analysing the theories, strategies, implementation, and cases, we will conduct a study. The article examines a number of basic issues, which include changes happening in the organisation, key digital technologies (artificial intelligence, cloud computing, and Internet of Things), imperatives around change management, algorithms and data-driven decision making, workforce re-skilling, and technology frontiers. Furthermore, it highlights essential impediments to change. This includes resistance from below, technical obstacles, financial constraints, cybersecurity hurdles, and further challenges. It also provides recommendations for sustainable success. This enables a process of clarification for academic rigour and actionable insight for scholars, practitioners and organisational leaders alike in their quest for digital transformation.
Downloads
References
Alkhattali, M. S. (2024). Impact of Modern Technologies and Artificial Intelligence Responsible Employees: Risks and Solutions. African Journal of Advanced Pure and Applied Sciences (AJAPAS), 469-477.
Bakka, J., K S, P., Alkhattali, M. S., & Nandhakumar, D. (2024). Principles of Database Management: Integrating Cloud Computing Solutions. A2Z. Retrieved from https://is.gd/lLBRyf
Barbieri, C., Neri, L., Stuard, S., Mari, F., & Martín-Guerrero, J. D. (2023). From electronic health records to clinical management systems: how the digital transformation can support healthcare services. Clinical Kidney Journal, 16(11), 1878-1884.
Cao, G., Duan, Y., & Edwards, J. S. (2025). Organizational culture, digital transformation, and product innovation. Information & Management, 62(4), 104135.
Chugunov, A. (2025). Digital Transformation in Governance and Society: 7th International Conference, DTGS 2024, St. Petersburg, Russia, June 24--26, 2024, Revised Selected Papers. Springer Nature.
Eisenhardt, K. M., & Martin, J. A. (2017). Dynamic capabilities: what are they?. The SMS Blackwell handbook of organizational capabilities, 341-363.
K. Alog, K. Atiya, R. Zentani, and M. Alkhattali, “Impact of Digital Integration on the Small and Medium-sized Enterprises in Arab countries,” AAJSR, pp. 41–54, 2025.
Khoshroo, M., & Talari, M. (2024). Discovery and analysis of global studies trend on digital transformation strategy: exploring challenges and opportunities. Kybernetes.
Kiran Mallidi, R., Sharma, M., & Singh, J. (2021). Legacy digital transformation: TCO and ROI analysis. International journal of electrical and computer engineering systems, 12(3), 163-170.
Kotter, J. P. (2012). Leadership and leading change.
Liu, S. (2025). Digital Transformation and Data Privacy and Security: Challenges and Strategies for Enterprises. Law and Economy, 4(5), 65-70.
Mahoney, J. T., & Pandian, J. R. (1992). The resource‐based view within the conversation of strategic management. Strategic management journal, 13(5), 363-380.
Pacolli, M. (2022). Importance of change management in digital transformation sustainability. IFAC-PapersOnLine, 55(39), 276-280.
Panda, S. P., & Padhy, A. (2025). Business Intelligence with Power BI and Tableau: Cloud-Based Data Warehousing, Predictive Analytics, and Artificial Intelligence-Driven Decision Support. Deep Science Publishing.
Penrose, E. T. (2009). The Theory of the Growth of the Firm. Oxford university press.
Person, L. (2023). Business Plan Development for an Artificial Intelligence Based Legal Chatbot Startup: Porter´ S Five Forces (Master's thesis, Universidade NOVA de Lisboa (Portugal)).
Porter, M. E., & Strategy, C. (1980). Techniques for analyzing industries and competitors. Competitive Strategy. New York: Free, 1, 76.
Quach, S., Thaichon, P., Martin, K. D., Weaven, S., & Palmatier, R. W. (2022). Digital technologies: tensions in privacy and data. Journal of the academy of marketing science, 50(6), 1299-1323.
Rahman, M. M. (2025). Data analytics for strategic business development: a systematic review analyzing its role in informing decisions, optimizing processes, and driving growth. Journal of Sustainable Development and Policy, 1(01), 285-314.
Rizaldi, A., Spremić, M., & Jaković, B. (2025, June). B-SLR on Digital Transformation to Firm Performance of SMEs. In Proceeding of International Conference on Business, Economics, Social Sciences, and Humanities (Vol. 8, pp. 76-94).
Rodriguez, E. (2024). Strategic risk, intelligence and digital transformation (Vol. 6). World scientific.
Rumelt, R. P. (1984). Towards a strategic theory of the firm. Competitive strategic management, 26(3), 556-570.
SAWAN, A. M. M. M. (2024). Change management in digital supply chains: a literature review, case study and framework development.
Simanungkalit, R. H. M., Jumono, S., Adhikara, M. F. A., Munandar, A., & Earltina, I. (2025, July). INTEGRATION OF DIGITAL TECHNOLOGY IN GREEN FINANCE: ASystematic ANALYSIS OF GREEN DIGITAL FINANCE. In CS & IT Conference Proceedings (Vol. 15, No. 13). CS & IT Conference Proceedings.
Stark, J. (2020). Digital transformation of industry (p. 17). Geneva: Springer International Publishing.
Teece, D. J. (2007). Explicating dynamic capabilities: the nature and microfoundations of (sustainable) enterprise performance. Strategic management journal, 28(13), 1319-1350.
Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic management journal, 18(7), 509-533.
Tran-Dang, H., Kim, J. W., Lee, J. M., & Kim, D. S. (2025). Shaping the future of logistics: Data-driven technology approaches and strategic management. IETE Technical Review, 42(1), 44-79.
van Tonder, C., Bossink, B., Schachtebeck, C., & Nieuwenhuizen, C. (2024). The effect of digitally-driven business model innovation on business performance. Journal of Small Business & Entrepreneurship, 36(6), 944-977.
Wang, J., Pawar, P. S., Alnafrah, I., & Muzaffar, A. (2025). Linking organizational dynamics to digital capabilities and ESG outcomes: a market-oriented approach. International Entrepreneurship and Management Journal, 21(1), 107.
Winter, S. G. (2003). Understanding dynamic capabilities. Strategic management journal, 24(10), 991-995.
Yaqub, M. Z., & Alsabban, A. (2023). Industry-4.0-enabled digital transformation: Prospects, instruments, challenges, and implications for business strategies. Sustainability, 15(11), 8553.Mamun, M. N. H. (2025). Role of AI and Data Science in Data-Driven Decision-Making for it Business Intelligence: A Systematic Literature Review. Available at SSRN 5402976.
Zabalawi, I., Kordahji, H., & Aftimos, S. (2024). Digital transformation in universities: Strategic framework, implementation tools, and leadership. In Higher Education in the Arab World: Digital Transformation (pp. 145-210). Cham: Springer Nature Switzerland.
Downloads
Published
Issue
Section
License
Copyright (c) 2025 Comprehensive Journal of Science
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
