Digital Transformation of Organizational Entities

Digital transformation is fundamental to organizational competitiveness, driving innovation, efficiency, and adaptability. While extensive research has explored digital transformation strategies at the enterprise level, there remains a significant gap in structured models that guide implementation at the department level, where many transformation initiatives take place. This paper addresses this gap by developing a comprehensive process model that systematically structures digital transformation within organizational entities - like departments or teams. The model is derived from a systematic literature review and refined through expert feedback via a focus group workshop with industry professionals. It comprises 39 key process steps planning corporate and departmental levels, emphasizing critical factors such as strategic alignment, cultural transformation, stakeholder engagement, and iterative adaptation. The findings reveal that while corporate strategies provide essential direction, successful transformation depends on localized, bottom-up initiatives within departments that require tailored approaches. Additionally, the study highlights key challenges, including managing interdependencies between corporate and departmental levels, fostering cross-functional collaboration, and ensuring long-term sustainability. The proposed model serves as a practical framework for organizations seeking to navigate digital transformation at an operational level while contributing to the academic discourse by identifying avenues for future research. The study underscores the necessity of a balanced approach that integrates strategic vision with actionable steps, enabling organizations to achieve sustainable digital transformation.