The Impact of Digital Transformation on Organizational Performance: A Conceptual Framework Examining the Mediating Role of Data-Driven Decision-Making

Mansour Khalifa Hamad; Abdulathim Abduljalil Ahmed

Abstract:

In an era of rapid technological advancement, digital transformation (DT) has emerged as a critical driver of organizational performance, enabling innovation, operational efficiency, and enhanced decision-making processes. While DT provides the technological infrastructure for success, its full potential is often mediated by data-driven decision-making (DDD), which translates data insights into strategic and operational improvements. This study examines the mediating role of DDD in the relationship between DT and organizational performance, drawing on theoretical frameworks such as the Resource-Based View (RBV) and Dynamic Capabilities Theory. Findings highlight that organizations leveraging DT alongside robust DDD practices experience superior performance outcomes by fostering agility, adaptability, and evidence-based decision-making. Furthermore, leadership and organizational culture are identified as key moderating factors that influence the success of DT and DDD initiatives. By addressing barriers such as resistance to change, ethical concerns, and technological complexity, this study provides a conceptual framework for organizations to align DT initiatives with strategic objectives and foster a data-centric culture.                                                           

FULL TEXT PDF 1-6] DOI: 10.30566/ijo-bs/2024.10.139

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