Mechanisms for ensuring the digital transformation of industrial enterprises

Abstract

The article examines the aspects of the digital transformation of industrial enterprises amid technological, economic, and institutional change. The study is relevant because digital transformation has moved beyond implementing individual information systems and technological solutions to encompass changes in business processes, organizational approaches, management systems, resource utilization, and mechanisms for creating economic value. For Ukrainian industrial enterprises, this issue has become particularly urgent because they must simultaneously restore production capacity, modernize technology, maintain operational resilience, and adapt to the new requirements of the digital economy. The study aims to analyze and systematize the theoretical and methodological framework for developing mechanisms for industrial enterprises’ digital transformation. To achieve this purpose, the article clarifies the concepts of “digitization,” “digitalization,” and “digital transformation.” It establishes that the digital transformation of an industrial enterprise should be viewed as a systemic process of restructuring technological, production, managerial, organizational, and market relationships through the integration of digital technologies, data, and digital competencies. Unlike fragmented automation of individual operations, digital transformation involves extending technological changes across interconnected business processes, the management system, and value-creation mechanisms. The conditions for digital transformation in industrial enterprises fall into four main groups: technological, organizational, resource-related, and institutional. Technological conditions include digital infrastructure, the Internet of Things, artificial intelligence, robotics, big data, and digital twins; organizational and intangible conditions include digital culture, competencies, organizational flexibility, strategic orientation, managerial support, and data governance; resource-related conditions include financial, investment, human, information, and time resources; institutional conditions include public policy, financial support, the regulatory environment, the innovation ecosystem, and international integration. This study examines current trends in digital development in enterprises in the European Union and Ukraine and identifies differences in the adoption of basic and advanced digital technologies. For Ukrainian industrial enterprises, insufficient financial and human capacity to scale digital solutions remains a significant constraint, particularly amid wartime uncertainty and competition for resources between restoring production capacities and investing in digital solutions. The mechanism for ensuring digital transformation should be an integrated system of interconnected technological, organizational, financial, human-resource, informational, and institutional components. Align the digital strategy with the enterprise’s overall development strategy, secure adequate resources and financial support, develop employees’ digital competencies, integrate digital technologies into key business processes, and account for digital maturity, financial capacity, production-specific characteristics, and external environmental risks. Keywords: digital transformation, digitalization, industrial enterprises, financial support, digital investments, financial mechanisms, digital maturity.