A Digital Transformation Index for Business Organisations: Reckoning the Extraverted Change in Pillars

Abstract

Digital transformation (DT) is an emergent concept with definitions and measurements as a work in progress. During nearly two decades of growing interest in the concept, studies in both industry and academia created different scales and indices to measure DT, using varying conceptualizations and coming up with different underlying dimensions and indicators. The aim of this paper is to take stock of this growing body of work through a systematic review in order to first determine dimensions and indicators of an encompassing DT index, and then identify the contemporary change in underlying dimensions of DT. After reviewing 219 research articles on DT measurement in the first phase, we have identified 80 indicators falling under 14 different dimensions. In the second phase, we have compared our results with scales commonly used in the field and identified several emergent dimensions, such as cyber security, investment and finance operations, and partnerships. Emergence of these contemporary dimensions indicate an 'extrovert' shift in DT concept which is extending beyond organisational boundaries, with important implications regarding how businesses strategize and take action in today's DT driven business environment.