Strategic Orientation, Digital Transformation Capabilities, and Their Impact on Organizational Performance: A Comprehensive Analysis

Abstract

The concept of digital transformation, emphasizing its essential role in reshaping the modern business environment. Digital transformation involves the integration of digital technologies into all aspects of business operations, fundamentally changing the way organizations deliver value to customers and adapt to evolving market demands. The research looks at how organizations need to align their digital strategies with broader business objectives to succeed in a rapidly changing technology environment. Specifically, the study examines the relationship between strategic orientation, digital transformation capabilities, and organizational performance. It examines how customer-centricity and technology-centricity, when effectively integrated into business strategies, can provide competitive advantage in the digital age. The paper also explores key digital transformation capabilities, such as the ability to sense technological shifts, adapt organizational structures and restructure resources, which are key to improving operational efficiency and customer satisfaction. In addition, it highlights the importance of continuously improving the customer experience as a direct result of successful digital transformation initiatives. Through rigorous analysis and sophisticated measurement models, the study offers useful insights for managers looking to leverage digital capabilities to drive sustainable performance improvement. In conclusion, the findings contribute to the literature by clarifying the complex dynamics of digital transformation and suggesting future research directions, particularly regarding sector-specific digital adaptation strategies