Organizational Factors in the Transformation from Traditional to Digital Organizations
Chapter from the book:
Gül,
G.
(ed.)
2025.
Transformation from Traditional Organizations to Digital Organizations - II.
Synopsis
The transition from traditional to digital organizations represents a fundamental transformation in organizational life. Digitalization is not limited to the use of new technologies; it fundamentally transforms organizational structures, cultures, leadership approaches, communication styles, strategic orientations, and management practices. With this transformation, organizations are evolving from rigid and hierarchical structures to flexible, agile, and network-based models; from centralized decision-making to data-driven and participatory processes; and from limited technological use to systems integrated with advanced digital solutions such as artificial intelligence, cloud computing, the Internet of Things, and big data.
The key factors determining the transformation of digital organizations include organizational structure, leadership, technology, strategy, management practices, organizational culture, communication and information management, human resources and talent management, and performance and measurement systems. These elements demonstrate that digitalization is not merely a technical adaptation but also a holistic restructuring process that directly impacts the sustainability and competitiveness of organizations.
Among these factors, rebuilding organizational culture with a focus on innovation and learning, executing communication and information management through transparent and multi-channel systems, reshaping human resources in line with digital competency development and flexible working models, and supporting performance measurement systems with data-based indicators are of critical importance. Digitalization is creating a paradigm shift that transforms not only the technical infrastructure of organizations but also their operational style and strategic orientation.
In conclusion, the transition to digital organizations should be addressed holistically across nine key factors: structural, leadership, technological, strategic, administrative, cultural, communication and information management, human resources, performance, and measurement. Organizations' success in the digitalization process depends on the coordinated implementation of these elements and the consideration of employees' digital competencies, trust in technology, and capacity to cope with technostress. In this way, digital organizations will be able to achieve sustainable advantage in this era of transformation and secure a strong position among the organizational structures of the future.
