Ctrl+Alt+Sustain: the role of algorithmic and organisational trust in sustainable digital transformation

Purpose

Despite the increasing interest of organisations in integrating advanced digital technologies, many digital transformation efforts fail to deliver long-term, sustainable value to the organisations and the stakeholders. Focusing on the impact of Non-Fungible Tokens (NFTs) in the Peer-to-Peer economy, as a case of digital transformation towards Industry 4.0, this conceptual study explores the role of algorithmic and organisational trust as facilitative drivers of sustainable digital transformation.

Design/methodology/approach

Drawing on Lewin’s change theory model, the study reviews and considers relevant literature on digital transformation, innovation and digital business models to support the development of a conceptual framework that explains the sustainable digital transformation process and explores the role of trust.

Findings

Drawing on Lewin’s change theory model and technology adoption literature, we reconceptualise digital transformation as a dynamic, non-linear process and identify four key phases in the sustainable digital transformation process (Initiating, Transforming, Re-positioning and Sustaining). We then explain the important role of algorithmic and organisational trust in sustainable digital transformation.

Practical implications

The study highlights the importance of trust for organisations, and explains how organisations can use blockchain-based technologies as intermediaries who take on the role of trust and the impact this has on the digital transformation process.

Originality/value

This paper contributes to existing literature on digital transformation in several ways. First, we reconceptualise the digital transformation process as a dynamic, non-linear process and develop a conceptual model for sustainable digital transformation following a “plan-action-result-evaluation” strategic approach. Second, we argue that there is a relocation of trust, towards technology and organisations, which impacts further upstream in the digital transformation process. This paper integrates the discussion between trust (algorithmic and organisational) and digital transformation, highlighting the need for parallel processes in creating the conditions for a sustainable transformation process.