Transformation from Traditional Organizations to Digital Organizations: Financial Institutions
Chapter from the book:
Gül,
G.
(ed.)
2025.
Transformation from Traditional Organizations to Digital Organizations - II.
Synopsis
This chapter examines the effects of digital transformation in the field of finance from a management and organizational perspective within a historical context. Digital technologies have profoundly altered not only the operations of financial institutions but also their structures, leadership approaches, and employee roles. In this regard, the impact of digitalization on financial organizations is regarded as a paradigm shift that goes beyond technological innovation. The chapter explores the structural evolution of financial organizations during the digitalization process within the frameworks of classical, neo-classical, modern, and post-modern organizational theories. Furthermore, it discusses the significance of practices such as open banking, AI-supported services, and digital customer experience in transforming financial institutions into more flexible, agile and customer-oriented structures. In conclusion, the chapter emphasizes that digital transformation represents not merely a technological innovation but also a managerial and strategic restructuring process for financial organizations.
