Digital Transformation as Strategic Reconfiguration: A Business Strategy Model for System-Centric Organizations
Abstract
Digital transformation is frequently framed as technological modernization—automation initiatives, cloud migration, or analytics deployment. However, such interpretations understate its strategic significance. In system-centric organizations, digital transformation constitutes a structural reconfiguration of decision logic, governance architecture, and value creation mechanisms. It reshapes how strategy is formulated, executed, and monitored within integrated enterprise systems. This article advances the proposition that digital transformation must be conceptualized as strategic reconfiguration rather than incremental technology adoption. The study introduces a Strategic Digital Reconfiguration Model (SDRM) structured across three interdependent layers: the strategic positioning layer (defining competitive logic within digitally integrated environments), the system integration layer (harmonizing processes and data flows across the digital core), and the governance control layer (embedding performance architecture and decision rights within system logic). Drawing on strategic management theory, enterprise architecture research, and management control systems literature, the article demonstrates how system-centric organizations leverage ERP platforms and integrated digital infrastructures to realign capabilities, optimize capital deployment, and enhance cross-functional synchronization. The analysis reframes digital transformation as an architectural redesign process that institutionalizes strategic coherence. The study contributes to strategic management scholarship by linking digital integration to structural reconfiguration and governance evolution. It provides a conceptual framework for executives seeking to transition from project-based digital initiatives to enterprise-wide strategic redesign.
Keywords
Digital Transformation; Strategic Reconfiguration; System-Centric Organizations; Enterprise Architecture; ERP Governance; Dynamic Capabilities; Integrated Management Systems; Business Strategy; Digital Control Logic; Organizational Redesign
Citations
IRE Journals:
Ugur Unlu "Digital Transformation as Strategic Reconfiguration: A Business Strategy Model for System-Centric Organizations" Iconic Research And Engineering Journals Volume 8 Issue 7 2025 Page 831-841 https://doi.org/10.64388/IREV8I7-1714649
IEEE:
Ugur Unlu
"Digital Transformation as Strategic Reconfiguration: A Business Strategy Model for System-Centric Organizations" Iconic Research And Engineering Journals, 8(7) https://doi.org/10.64388/IREV8I7-1714649
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