Adopting digital transformation: An empirical study on how digital transformation shapes organizational success

This study explores how digital transformation impacts the performance of small and medium-sized enterprises (SMEs) in Kerala, India, enabling them to achieve success and remain competitive in an ever-changing business environment. A quantitative approach using Partial Least Squares Structural Equation Modeling “PLS-SEM” was employed to analyze survey data from 400 SME employees in Kerala using a purposive sampling technique. The study investigates how digital transformation shapes organizational success, grounded in dynamic capabilities theory. The findings show that digital transformation has a fundamental effect on organizational success and is crucial to enhancing organizational performance in today's competitive corporate environment. Employee perception and adaptability, and digital readiness are identified as important factors influencing digital transformation. The research takes into account the significance of fostering a digitally ready organizational culture and improving employee engagement to maximize the benefits of digital transformation. By offering practical advice for SME leaders hoping to successfully traverse the digital age, the findings add to the expanding corpus of knowledge on digital transformation.