IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v16y2024i10p4087-d1393879.html

Measuring Corporate Digital Transformation: Methodology, Indicators and Applications

Author

Listed:
  • Limin Zou

    (School of Economics and Management, University of Chinese Academy of Sciences, Beijing 100190, China
    Kezhu Property Company, Administration Bureau of the Chinese Academy of Sciences, Beijing 100086, China)

  • Wan Li

    (School of Economics and Management, University of Chinese Academy of Sciences, Beijing 100190, China)

  • Hongyi Wu

    (School of Economics and Management, University of Chinese Academy of Sciences, Beijing 100190, China
    Sino-Danish College, University of Chinese Academy of Sciences, Beijing 101408, China)

  • Jiawen Liu

    (Economics and Management School, Wuhan University, Wuhan 430072, China)

  • Peng Gao

    (School of Economics and Management, University of Chinese Academy of Sciences, Beijing 100190, China)

Abstract

With the rapid development of data science, digital technology is integrating deeply with enterprise management, driving companies towards digital transformation to achieve sustainable development. However, digital transformation is a systematic and comprehensive process, posing challenges in accurately depicting firm-level digitalization. Hence, this study systematically reviews measurement methods for digital transformation across various themes related to enterprise digitalization. Existing literature predominantly employs questionnaire analysis, quantitative statistics, and text analysis to gauge the extent of digital transformation. In terms of indicator construction, existing literature mainly relies on input, process, and outcome variables to construct measurement indicators. Nevertheless, due to the subjectivity of questionnaires, the uniqueness of industry data, and the limitations of textual information, these methods and the indicators derived from them possess distinct applicability scopes. Refining the measurement of digital transformation should hinge on both the research objectives and the characteristics of the data. Furthermore, through the analysis of industry cases such as agriculture, manufacturing and service industries, this study also reveals the unique characteristics encountered by these industries in the process of digital transformation, provides a more detailed summary of measurement methods for these specific industries, and emphasizes the importance of selecting measurement methods according to industry characteristics.

Suggested Citation

  • Limin Zou & Wan Li & Hongyi Wu & Jiawen Liu & Peng Gao, 2024. "Measuring Corporate Digital Transformation: Methodology, Indicators and Applications," Sustainability, MDPI, vol. 16(10), pages 1-15, May.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:10:p:4087-:d:1393879
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/16/10/4087/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/16/10/4087/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Liang Tang & Haifeng Jiang & Shanshan Hou & Jun Zheng & Lianqi Miao, 2023. "The Effect of Enterprise Digital Transformation on Green Technology Innovation: A Quantitative Study on Chinese Listed Companies," Sustainability, MDPI, vol. 15(13), pages 1-18, June.
    2. Lin, Boqiang & Xie, Yongjing, 2023. "Does digital transformation improve the operational efficiency of Chinese power enterprises?," Utilities Policy, Elsevier, vol. 82(C).
    3. AlNuaimi, Bader K. & Kumar Singh, Sanjay & Ren, Shuang & Budhwar, Pawan & Vorobyev, Dmitriy, 2022. "Mastering digital transformation: The nexus between leadership, agility, and digital strategy," Journal of Business Research, Elsevier, vol. 145(C), pages 636-648.
    4. Sen Wang & Jinye Li, 2023. "Does Digital Transformation Promote Green and Low-Carbon Synergistic Development in Enterprises? A Dynamic Analysis Based on the Perspective of Chinese Listed Enterprises in the Heavy Pollution Industry," Sustainability, MDPI, vol. 15(21), pages 1-22, November.
    5. Martínez-Caro, Eva & Cegarra-Navarro, Juan Gabriel & Alfonso-Ruiz, Francisco Javier, 2020. "Digital technologies and firm performance: The role of digital organisational culture," Technological Forecasting and Social Change, Elsevier, vol. 154(C).
    6. Ghosh, Swapan & Hughes, Mat & Hodgkinson, Ian & Hughes, Paul, 2022. "Digital transformation of industrial businesses: A dynamic capability approach," Technovation, Elsevier, vol. 113(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Po‐Sheng Yang & Jin‐Li Hu, 2026. "Intersections Between Digital Innovation and Corporate Social Responsibility: Evidence From Listed Electronics Companies in Taiwan," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 33(2), pages 2705-2736, March.
    2. Jingyang Yan & Chao Gao & Yinan Tan & Zhimin Du, 2025. "The Impact of Digital Supply Chain Management on Enterprise Total Factor Productivity: Evidence from a Quasi-Natural Experiment in China," Sustainability, MDPI, vol. 17(17), pages 1-16, August.
    3. Xing Liu & Shaobo Hong & Zhi Su & Yuanren Zhou, 2025. "The Impact of Digital Transformation on High-Quality Development of Manufacturing Enterprises: An Integrated Perspective on Efficiency and Social Responsibility," Mathematics, MDPI, vol. 13(5), pages 1-36, February.
    4. Chao Gao & Jiayu Fang, 2025. "The Green Effect of Digital Intelligence in Chinese Cities: An Empirical Investigation Based on Big Data and Machine Learning Methods," Sustainability, MDPI, vol. 17(15), pages 1-20, July.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zahoor, Nadia & Zopiatis, Anastasios & Adomako, Samuel & Lamprinakos, Grigorios, 2023. "The micro-foundations of digitally transforming SMEs: How digital literacy and technology interact with managerial attributes," Journal of Business Research, Elsevier, vol. 159(C).
    2. David Amankona & Kaigang Yi & Evelyn Agba Tackie & Lois Tweneboa Kodua & Leslie Afotey Odai, 2025. "Responsible Digital Innovation and Innovation Performance in Ghana’s High-Tech Industry: The Mediating Roles of Digital Organizational Culture and Strategy, and the Moderating Role of Digital Literacy," SAGE Open, , vol. 15(2), pages 21582440251, May.
    3. Inam ul Haq & Sofia Anwar & Abdul Quddoos & Faraz Riaz, 2022. "Estimation of Digital Transformation in South Asian Economies: An Application of Broad-Spectrum Approach," Journal of Economic Impact, Science Impact Publishers, vol. 4(3), pages 152-160.
    4. Dinh Van Hoang & Nguyen Thi Hien & Han Van Thang & Phan Nguyen Truc Phuong & Trang Thi-Thuy Duong, 2025. "Digital Capabilities and Sustainable Competitive Advantages: The Case of Emerging Market Manufacturing SMEs," SAGE Open, , vol. 15(2), pages 21582440251, April.
    5. Pinto, Marcelo Rezende & Salume, Paula Karina & Barbosa, Marcelo Werneck & de Sousa, Paulo Renato, 2023. "The path to digital maturity: A cluster analysis of the retail industry in an emerging economy," Technology in Society, Elsevier, vol. 72(C).
    6. Maha Shehadeh & Ahmad Almohtaseb & Jehad Aldehayyat & Ibrahim A. Abu-AlSondos, 2023. "Digital Transformation and Competitive Advantage in the Service Sector: A Moderated-Mediation Model," Sustainability, MDPI, vol. 15(3), pages 1-21, January.
    7. Caiqing Liang & Mohd Rusli Yacob & Siong Hook Law & Irina Harun, 2024. "Effects of Digital Transformation and Green Technology Innovation on Manufacturing’s Financial Performance: Evidence from China," Advances in Decision Sciences, Asia University, Taiwan, vol. 28(4), pages 92-119.
    8. E. Rebekah & Mohd Afjal, 2025. "Exploring the Mediating Role of FinTech Adoption and Digital Transformation in Enhancing Bank Performance: A TOE Framework Study Using a Hybrid SEM-ANN Approach," SAGE Open, , vol. 15(4), pages 21582440251, October.
    9. Cheng, Weixuan & Li, Cheng & Zhao, Tianjiao, 2024. "The stages of enterprise digital transformation and its impact on internal control: Evidence from China," International Review of Financial Analysis, Elsevier, vol. 92(C).
    10. Bogdan Rusu & Christiana Brigitte Sandu & Silvia Avasilcai & Irina David, 2023. "Acceptance of Digital Transformation: Evidence from Romania," Sustainability, MDPI, vol. 15(21), pages 1-17, October.
    11. Torrent-Sellens, Joan & Enache-Zegheru, Mihaela & Ficapal-Cusí, Pilar, 2025. "Twin transitions or a meeting of strangers? Unravelling the effects of AI and innovations on economic, social and environmental MSMEs sustainability," Technology in Society, Elsevier, vol. 81(C).
    12. Fleury, Afonso & Fleury, Maria Tereza Leme & Oliveira, Luis & Leao, Pablo, 2024. "Going digital EMNEs: The role of digital maturity capability," International Business Review, Elsevier, vol. 33(4).
    13. Guo, Bin & Zhang, Jiale & Tan, Ziyan, 2024. "Firm digitalization as strategic response: An integrated model based on the awareness-motivation-capability (AMC) framework," Technological Forecasting and Social Change, Elsevier, vol. 205(C).
    14. Liu, Ju & Vigren, Olli, 2024. "Managing Digital Transformation for Innovation: A Multi-Level and Multi-Dimensional Integrated Model for Managers," Papers in Innovation Studies 2024/18, Lund University, CIRCLE - Centre for Innovation Research.
    15. Wu, Chia-Hung & Chou, Che-Wei & Chien, Chen-Fu & Lin, Yun-Siang, 2024. "Digital transformation in manufacturing industries: Effects of firm size, product innovation, and production type," Technological Forecasting and Social Change, Elsevier, vol. 207(C).
    16. Tianchu Feng & Andrea Appolloni & Jiayu Chen, 2024. "How does corporate digital transformation affect carbon productivity? Evidence from Chinese listed companies," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 26(12), pages 31425-31445, December.
    17. Zheng, Liyuan & Zhang, Sheng & Gao, Di & Liu, Jingwei, 2025. "How does digital investment drive real-sector engagement? Theoretical and empirical evidence," International Review of Financial Analysis, Elsevier, vol. 108(PB).
    18. Li, Yawen & Xia, Yufei & Sun, Zongting & Sun, Naili, 2025. "Does digital transformation affect systemic risk? Evidence from the banking sector in China," International Review of Financial Analysis, Elsevier, vol. 102(C).
    19. Ifeyinwa Juliet Orji & Chukwuebuka Martinjoe U-Dominic, 2026. "The effect of supply chain learning in mitigating the challenges to adopting artificial intelligence for supply chain sustainability," Annals of Operations Research, Springer, vol. 358(3), pages 1561-1602, March.
    20. Guoxia Wang & Linbo Li, 2025. "Impacts of Enterprise Digital Transformation on Industrial Structure Adjustment—Evidence from China," SAGE Open, , vol. 15(4), pages 21582440251, October.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:16:y:2024:i:10:p:4087-:d:1393879. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager The email address of this maintainer does not seem to be valid anymore. Please ask MDPI Indexing Manager to update the entry or send us the correct address (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.