Identifying organizations’ dynamic capabilities for sustainable digital transformation: A mixed methods study

This study examines the structural and digital transformation within the financial industry, portraying the urging need for green sustainable digitalization within Industry 4.0. This study aims to explore the role of digital technologies, such as artificial intelligence (AI), big data analytics, and the Internet of Things (IoT), in promoting environmental sustainability in the financial sector. The study reviews the existing literature and the identified critical challenges and opportunities in sustainable digital transformation. It proposes pathways for leveraging digitalization to attain socio-environmental sustainability and green finance. Empirical evidence supports such analysis, finding positive impacts that digital finance brings to green technology innovation and carbon neutrality, emphasizing the synergy of digital development with sustainability goals. The study finds that policy and regulation will be critical in smoothing the transition and fostering diverse social and environmental implications of sustainable digital finance. In this context, the study brings a futuristic outlook on the way digital technologies are integrated within corporate strategies to be part of sustainable development.

Despite increasing curiosity in digitalization and its advantages, there has not been a clear comprehension of digital transformation in tourism. This book chapter makes a considerable contribution to fill this knowledge void through reviewing the fields where digitalization study has appeared and the related fundamental concepts. Adopting a hermeneutic method, this study first discusses how the tourism industry can achieve a sustainable digital transformation. Next, the discussion argues that a digital transformation needs to consider sociocultural, environmental, and economic sustainability in a tourist destination. The conceptual framework also proposes transformative experiences for the main stakeholders, namely, tourists, residents, and practitioners. Finally, a socio-technological sustainability concept is produced that presents a conceptual foundation for further investigation and is plausible for developing a sustainable digital transformation in the tourism industry.

This study conducts a Systematic Literature Review (SLR) and contextualizes the findings through a case study of three public senior high schools (SMAN) in Lebong Regency, Indonesia. Using a Systematic Literature Review (SLR) method adapted from the PRISMA framework, sixteen relevant studies were selected from international and national databases such as Scopus, Taylor & Francis, SpringerLink, SINTA, and Garuda. The analysis employed thematic synthesis to identify major patterns and relationships across studies. The findings reveal four dominant dimensions that influence the success of digital school transformation: leadership and organizational change, teacher competence and digital readiness, technology integration and pedagogical innovation, and sustainability supported by policy and institutional frameworks. The results indicate that effective change management serves as the foundation for achieving systemic and sustainable digital transformation in education. Strong leadership, continuous professional development, adaptive use of emerging technologies, and supportive policies are essential for improving teaching quality and institutional performance. This review concludes that digital transformation in schools is not solely a technological shift, but an organizational and cultural process that requires continuous adaptation and strategic management.

Purpose: This article addresses the digital divide in education by proposing a cost-effective, inclusive, and sustainable digital transformation paradigm for Namibian institutions. The report identifies infrastructure, socioeconomic, pedagogical, and legislative barriers to digital education inclusion in Namibia and proposes strategic solutions based on empirical data and best practices. Methodology: The research employed a descriptive, explanatory and prospective desktop research style to assess highly referenced Scopus-indexed publications, as well as international reports from the World Bank, GSMA, UNESCO, and ITU. In addition, the study utilised bibliometric techniques and extensive document analysis. Subsidiary data generated from prominent patterns and recommendations was also extracted. Key concerns like socioeconomic inequities, educational capacity, digital infrastructure constraints and policy frameworks influencing digital education were sought to be addressed by the document analysis. Findings: Namibia has infrastructure inadequacies, socio-economic inequality, teacher digital competency gaps, and policy implementation gaps, worsening the digital divide. Mobile broadband, satellite internet, TPACK-aligned teacher training, inclusive policy reform, and public-private finance models were crucial. The study also shows that digital transformation requires infrastructure, socio-economic support, teacher capacity training, and flexible governance frameworks. Contribution to Theory, Policy and Practice: The paper theoretically combines the TPACK model, Bourdieu's Theory of Capital, Van Dijk's Four Access Framework, and another contextualised conceptual framework, especially for developing nations. Practically, it offers international development partners, education stakeholders, and legislators with tangible plans to operationalise fair digital transformation in situations with limited resources. All things considered, the studies forward the conversation on digital inclusion and educational equity in the Global South by providing a scalable road map fit for like circumstances outside of Namibia.

PurposeDigital transformation is a foundational change in how firms operate and deliver value to customers by using digital technologies to create new business opportunities. The purpose of this study is to offer a conceptual framework by reorganizing the elements of digital transformation, including resources, technology, capabilities and performance, into a workable process and investigating how firms integrate these resources, build new capabilities and transform them into enhanced performance.Design/methodology/approachThis framework builds three blocks: resource integration, organizational capabilities and outcomes, exploring the impact of resource integration on outcomes through organizational capabilities. For resource integration, this study adopts a resource-based view (RBV) and service-dominant logic (SDL) to integrate organizational resources, including information technology (IT)-based resources, which play a role in moderating the effect of resource integration. Moreover, the author argues that firms’ capabilities have two levels: higher-order capabilities and lower-order capabilities, which will convert these resources through the capabilities into organizational performance.FindingsThis framework is built to understand the process of digital transformation and its antecedents for firms’ performance in business environments. Drawing on RBV, it provides a more holistic perspective that has been linked to resource integration, organizational capabilities and outcomes at the firm level. In this way, the theoretical basis for diminishing implicitness associated with the current perspective of digital transformation can be strengthened.Originality/valueThis paper offers a coherent discussion of digital transformation and explains the process of digital transformation, thus advancing prior work. The major contribution is connecting the process of digital transformation through which firms integrate resources, i.e. digital technologies and valuable, rare, inimitable and nonsubstitutable (VRIN) and nonVRIN resources as well, to build organizational dynamic capabilities based on RBV and SDL.

The covid pandemic points out inconsistencies and points to improve in the organization of healthcare logistics. Indeed, the dangerousness and the propagation process of the virus imply to increase health security (patient and personal health). In this context, healthcare logistics flows require a new and safety organization improving the hospital performance. The purpose of this paper consists in optimizing healthcare logistics flows by solving problems associated to the internal logistics such as reduction of the personal health wasting time and the protection of both patients and personal health. Then, the methodology corresponds to the use of the hospital sustainable digital transformation as a response to healthcare flows and safety problems. Indeed, social, societal and environmental aspects have to be considered in addition to new technologies such as artificial intelligence (AI), Internet of Things (IoTs), Big data and analytics. These parameters could be used in the healthcare for increasing doctor, nurse, caregiver performance during their daily operations, and patient satisfaction. Indeed, this hospital digital transformation requires the use of large data associated to patients and personal health, algorithms, a performance measurement tool (actual and future state) and a general approach for transforming digitally the hospital flows. The paper findings show that the healthcare logistics performance could be improved with a sustainable digital transformation methodology and an intelligent software tool. This paper aims to develop this healthcare logistics 4.0 methodology and to elaborate the intelligent support system. After an introduction presenting the common hospital flows and their main problems, a literature review will be detailed for showing how existing concepts could contribute to the elaboration of a structured methodology. The structure of the intelligent software tool for the healthcare digital transformation and the tool development processes will be presented. An example will be given for illustrating the development of the tool.

The rapid pace of technological advancement in digital transformation has created new opportunities for enhancing sustainability across various sectors. This article explores the intersection of energy-efficient computing and circular design innovations, focusing on how digital technologies can contribute to reducing environmental impacts while promoting sustainable practices. By examining the role of energy-efficient computing, such as low-power processors, edge computing, and cloud optimization, alongside circular design principles like material reuse, waste reduction, and product lifecycle management, the article investigates how these innovations support a more sustainable digital economy. Drawing on case studies and recent advancements, the study highlights key benefits, including energy savings, reduced e-waste, and the potential for creating more sustainable products and services. However, the research also identifies challenges, including high implementation costs, integration complexities, and the need for industry-wide standards. The findings underscore the importance of cross-sector collaboration, policy frameworks, and investment in R&D to overcome barriers and accelerate the adoption of energy-efficient computing and circular design. The article concludes with recommendations for future research and the role of digital technologies in fostering a circular economy, ultimately contributing to a more sustainable and resource-efficient digital future.

Digital transformation is a strategic necessity for traditional businesses to survive and compete in the digital era. This research aims to identify the challenges and opportunities faced by traditional businesses in the digitalization process. Using a qualitative approach, this study analyzes data from several case studies of traditional businesses in the trade and services sectors that are undergoing the digital transformation process. The results show that the main challenges include technological limitations, low digital competence of human resources, organizational culture resistance, and limited capital. On the other hand, opportunities that can be utilized include broader digital market access, operational efficiency through automation, and product innovation based on customer needs. Successful strategies include HR training, adaptation of organizational culture, selection of appropriate technology, and collaboration with external parties. This research contributes to the digital transformation literature and offers practical recommendations for businesses and policymakers in supporting inclusive and sustainable digital transformation in the traditional business sector.

PurposeIn the landscape created by digital transformation, developing the ability to adapt and innovate by absorbing and generating new knowledge has become a strategic priority for organizations. The theory of dynamic capabilities, especially from a knowledge-based perspective, has proven particularly useful in studying the phenomena of transformation and change. Moving from this premise, this paper aims to map the state of research and to define guidelines for the actualization of dynamic capabilities theory in the digital transformation era.Design/methodology/approachA structured literature review of 75 papers, using descriptive, bibliographic and content analysis, was performed to analyze the evolution of dynamic capabilities in the context of digital transformation.FindingsStudies concerning knowledge-based dynamic capabilities for digital transformation have been clustered into five main research areas: the micro-foundation of dynamic capabilities for digital transformation; dynamic capabilities for value creation in digital transformation; dynamic capabilities for digital transition in specific industries; dynamic capabilities for “data-driven organizations”; and dynamic capabilities for digital transformation in SMEs and family firms. A future research agenda for scholars in strategic management is presented.Practical implicationsA conceptual framework and a future research agenda are presented to highlight directions for this promising research field concerning the renewal of dynamic capabilities in the context of digital transformation.Originality/valueThe originality of the paper lies in the conceptual framework aiming to systematize current research on knowledge-based dynamic capabilities for digital transformation and to provide a new conceptualization of digital dynamic capabilities, clarifying how organizations create and share knowledge in the era of digitalization.

This study investigates managers’ perceptions of digitalization and artificial intelligence (AI) adoption within the framework of Industry 4.0, emphasizing the relationship between technological modernization, organizational culture, and sustainability. Drawing on empirical data collected in 2025 from 150 Romanian companies ’managers by applying a structured questionnaire, followed by a multivariate analytical approach supported by the Benjamini–Hochberg correction, the research identifies critical managerial perceptions that influence the success of digital transformation. The findings show that managers recognize digitalization as a strategic opportunity for process optimization and competitiveness. At the same time, they perceive it as a structural challenge driven by legacy systems, financial constraints, and limited digital competencies. Similarly, managers view AI as a valuable tool for data analysis and market forecasting, while also expressing concerns related to ethical, technical, and cybersecurity risks. The study further reveals managerial ambivalence toward Industry 4.0. Although automation and IoT are considered inevitable for maintaining competitiveness, their implementation remains constrained by logistical and cultural barriers. By integrating technological, organizational, and human dimensions, this research contributes to the literature on sustainable digital transformation. It provides an in-depth understanding of how managerial perceptions mediate the balance between innovation, responsibility, and long-term resilience. Finally, the results offer actionable insights for policymakers and business leaders seeking to align digitalization and AI initiatives with sustainable development objectives.

The digital transformation of financial services has emerged as a strategic pathway to bridge economic inclusion gaps in historically marginalized urban areas. This study examines the structural barriers faced by micro and small enterprises (MSEs) in the Historic Center of San Salvador, particularly regarding access to traditional financial services and the adoption of digital technologies. Using a qualitative, exploratory-descriptive approach, the research combines documentary analysis and a comparative review of FinTech ecosystems in Latin America and Spain to identify key components and enabling conditions. Findings highlight persistent challenges in access to financing, financial literacy, digital infrastructure, and regulatory adaptation, which hinder financial inclusion for MSEs. In response, the study proposes an integrated FinTech ecosystem model that connects public institutions, private actors, academia, and end-users to foster innovation, intersectoral collaboration, and economic resilience. Although grounded in the Salvadoran context, the model offers a replicable framework for other urban regions facing similar constraints. The research contributes to ongoing debates on digital inclusion and provides actionable insights for designing public policies that promote inclusive and sustainable digital transformation in emerging economies.

Organisations faces issues and challenges in the rapidly evolving digital landscape when they align their business strategy with environmental sustainability. Sustainability objectives and digital technology are converging, and a strategic management approach is required to minimises environmental impact and simultaneously fostering innovation. This chapter aims to explore how digital transformation (DT) can enhance environmental sustainability. It delves into the strategic management approaches that facilitate both sustainability and digital transformation. This chapter also highlights the prospects, challenges, and future course of direction. Based on the case study findings and PESTEL analysis, the chapter will discuss the strategic management approaches that have proven effective in achieving ESDT. Through a combination of case study analysis and PESTEL analysis, this chapter is an original attempt to seek innovative approaches for creating a sustainable environment.

This study conducts a systematic literature review (SLR) to examine how digital transformation intersects with sustainability agendas at the corporate strategy level. The SLR follows evidence-informed management principles, including research question formulation, inclusion–exclusion criteria, systematic searching, and thematic synthesis. A total of 20 selected articles were analyzed and classified into five clusters: Digital Transformation (DT), Sustainability Strategy (SS), Digital–Sustainability Integration (INT), SLR Methodology (MET), and Strategic Theoretical Foundations (THEO). The review reveals a shift in the literature from parallel approaches toward strategic integration through the concept of twin transformation/twin transition, where digital and sustainability transformations should be designed and implemented simultaneously. Digital technologies (AI, IoT, big data, cloud, platforms) act as enablers of ESG performance, mainly through process efficiency, data transparency, green innovation, and ecosystem orchestration. However, DT does not automatically generate positive sustainability outcomes, as environmental trade-offs, rebound effects, and non-linear impacts may arise when digitalization is not aligned with ESG objectives. This study highlights the importance of aligning digital and sustainability strategies, strengthening ethical technology governance, developing dynamic capabilities, and designing digital-sustainable business models as a basis for sustainable competitive advantage. The findings also suggest future research agendas on measuring integration of digital transformation and business sustainability.

Digital transformation in education has become a critical response to the demands of the increasingly technology-driven era. This article aims to examine and compare the implementation of learning technologies in Indonesia and Japan—two countries with distinct cultural, infrastructural, and educational policy backgrounds. Employing a qualitative descriptive approach, this study utilizes literature review and secondary data analysis to explore how each country integrates digital tools into its educational systems. The findings reveal that Japan has systematically implemented digital learning through strong infrastructure, government support, and continuous teacher training programs. In contrast, Indonesia still faces challenges such as technological access gaps, uneven digital literacy, and limited infrastructure, particularly in rural areas. Nevertheless, Indonesia’s ongoing initiatives, such as the Merdeka Belajar program and national e-learning platforms, reflect promising progress. This study suggests that international collaboration, strategic planning, and local capacity development are essential to accelerate equitable and sustainable digital transformation in Indonesia’s education sector

This study investigates the dynamics of policy implementation and regulatory challenges in managing civil service resources within the evolving framework of digital governance. The research aims to interpret how digital transformation reshapes administrative structures, human resource management, and regulatory coherence in the public sector. Employing a qualitative descriptive approach based on a systematic literature review, the study synthesizes empirical and conceptual evidence from recent academic and institutional publications between 2013 and 2025. Data were analyzed thematically through interpretive synthesis to identify recurring patterns of policy adaptation, institutional capacity, and regulatory reform across different governance contexts. The findings reveal that digital governance transforms policy implementation from a linear bureaucratic process into an adaptive, data-driven, and network-based system that demands interagency coordination and technological proficiency. Regulatory challenges emerge from outdated legal frameworks, fragmented institutional mandates, and limited digital literacy among civil servants, leading to uneven implementation outcomes. The study highlights that effective civil service resource management requires integrating digital competency frameworks, ethical data governance, and agile leadership within coherent regulatory systems. Theoretically, this research contributes to modernizing implementation theory by embedding digital institutionalism and adaptive capacity concepts, while managerially, it offers a model for aligning human resource policies with sustainable digital transformation. The results affirm that sustainable digital governance depends on the continuous interaction between policy innovation, regulatory adaptability, and institutional learning.