| Publications | Working Paper | Digital culture as a key factor in the digital transformation of businesses

Digital culture as a key factor in the digital transformation of businesses

Dr. Eva Hartl bidt

This working paper analyses the significance of organisational culture in the context of digital transformation within organisations, as well as in the implementation of artificial intelligence and machine learning. It is based on a structured literature review (2015–2025) that integrates perspectives from information systems and organisational studies, as well as research on AI/ML. Four key questions are examined: What role does organisational culture play in the success of DT projects and programmes? What characterises a culture that fosters DT? What approaches can be used to ‘digitise’ culture? What influence does digital culture have on the implementation of machine learning and AI? The existing research highlights the central importance of organisational culture for a successful digital transformation.

Key findings in brief

The results show that organisational culture can act as both an enabler and a barrier to digital transformation. Based on the literature reviewed, five core attributes of a ‘digital culture’ can be conceptualised: agility, innovation, digital mindset, digital leadership and collaboration. A purposefully developed digital culture increases the adaptability, innovative capacity and speed of transformation of organisations, and thus the success of digital transformation.

Key findings and implications

Culture acts as both an enabler and a barrier

A lack of cultural change often leads to organisational inertia, project delays or the failure of digital initiatives. A supportive digital culture, on the other hand, promotes innovation and the ability to adapt.

Five core attributes characterise a digital organisational culture

Agility, innovation orientation, a digital mindset, digital leadership and collaboration. These elements encapsulate key cultural requirements arising from digital transformation.

Digital cultural change is an iterative process

Instead of one-off large-scale projects, agile, step-by-step change approaches involving piloting, scaling and continuous monitoring have proven effective.

Digital culture is becoming increasingly important in the context of AI

The implementation of artificial intelligence requires, in particular, openness, a willingness to learn and a strong data culture. Without the appropriate cultural prerequisites, the potential of AI remains untapped.

The ideal model of digital culture is context-dependent

Many approaches described in the literature are heavily oriented towards tech companies. However, their transferability to established industrial firms is not a given and requires a nuanced assessment.

Overall, the working paper shows that digital transformation requires a cultural shift at the corporate level, which must be strategically designed, continuously developed and adapted to the respective corporate context. Digital culture is therefore not an end in itself, but a key prerequisite for successful, sustainable digital transformation.