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Journal : Aptisi Transactions on Management

Navigating the Challenges of Digital Transformation in Traditional Organization Maratis, Jerry; Ramadan, Ahmad; Rahmania Az Zahra, Achani; Ahsanitaqwim, Ridhuan; Bennet, Daniel
APTISI Transactions on Management (ATM) Vol 8 No 3 (2024): ATM (APTISI Transactions on Management: September)
Publisher : Pandawan

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.33050/atm.v8i3.2349

Abstract

Digital transformation has become a critical strategy for traditional organiza- tions to maintain competitiveness in an increasingly technology-driven market. Technologies such as fintech, blockchain, artificial intelligence (AI), and cloud computing have significantly reshaped operational efficiency and customer en- gagement within these organizations. However, traditional organizations, characterized by their legacy systems and hierarchical structures, encounter various challenges in adopting these technologies. This study primarily aims to explore the key barriers that hinder digital transformation in traditional organizations and to propose effective strategies for overcoming these challenges. Utilizing a comprehensive literature review from 2018 to 2023, this research examines key studies on digital transformation in traditional business contexts. The find- ings reveal major challenges, including organizational inertia, skills gaps, de- pendency on outdated systems, and leadership deficiencies. To address these barriers, the study proposes strategies such as leadership development, work- force retraining, and investment in modern digital infrastructure. The results suggest that successful digital transformation requires a multifaceted approach, aligning technological adoption with organizational culture and sustainability goals. This research provides valuable insights for traditional organizations nav- igating the complexities of digital transformation.
The Role of Automation and IoT in Enhancing Operational Efficiency: Evidence from PLS-SEM Analysis Suhandi; Purnama, Suryari; Nurm, Sirje; Ahsanitaqwim, Ridhuan
APTISI Transactions on Management (ATM) Vol 9 No 1 (2025): ATM (APTISI Transactions on Management: January)
Publisher : Pandawan

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.33050/atm.v9i1.2418

Abstract

In today's competitive business environment, operational efficiency is crucial for organizations to maintain a competitive edge. The integration of automation and the Internet of Things (IoT) has emerged as a transformative approach to streamline processes and enhance productivity. However, the synergistic impact of these technologies on operational efficiency remains underexplored. This study aims to evaluate the individual and combined effects of automation and IoT on operational efficiency. It seeks to provide empirical evidence on how these technologies contribute to optimizing workflows and decision-making processes. Methodology Using Partial Least Squares Structural Equation Modeling (PLS-SEM), data were collected from organizations across multiple industries. Constructs were measured through validated survey instruments, and hypotheses were tested for direct and synergistic effects. The findings indicate that automation significantly enhances operational efficiency by reducing errors and improving process consistency. IoT adoption complements this by enabling real-time insights and improved decision-making. The combined implementation of these technologies demonstrates a moderate synergistic effect, amplifying operational gains. This study underscores the transformative potential of integrating automation and IoT. By leveraging their complementary strengths, organizations can achieve higher levels of efficiency, providing valuable guidance for digital transformation strategies. In today's competitive business environment, operational efficiency is crucial for organizations to maintain a competitive edge. The integration of automation and the Internet of Things (IoT) has emerged as a transformative approach to streamline processes and enhance productivity. However, the synergistic impact of these technologies on operational efficiency remains underexplored. This study aims to evaluate the individual and combined effects of automation and IoT on operational efficiency. It seeks to provide empirical evidence on how these technologies contribute to optimizing workflows and decision-making processes. Methodology Using Partial Least Squares Structural Equation Modeling (PLS-SEM), data were collected from organizations across multiple industries. Constructs were measured through validated survey instruments, and hypotheses were tested for direct and synergistic effects. The findings indicate that automation significantly enhances operational efficiency by reducing errors and improving process consistency. IoT adoption complements this by enabling real-time insights and improved decision-making. The combined implementation of these technologies demonstrates a moderate synergistic effect, amplifying operational gains. This study underscores the transformative potential of integrating automation and IoT. By leveraging their complementary strengths, organizations can achieve higher levels of efficiency, providing valuable guidance for digital transformation strategies.