Progressing digital transformation through successful strategic alliances: a financial sector perspective

Abstract

Digital transformation is a strategic imperative for organisations seeking to remain relevant in an evolving financial sector. Organisations within the financial sector are recognising that as the pace of technological change increases, successful digital transformation cannot be achieved in isolation. Strategic alliances have therefore become increasingly important, enabling organisations to access new capabilities and accelerate digital transformation initiatives. This study explored how organisations within the financial sector utilise strategic alliances to achieve digital transformation, to identify the challenges faced by these organisations, to uncover the enablers that result in successful alliance-driven digital transformation and to identify the outcomes thereof. Using an exploratory qualitative research design, data was gathered through semi-structured interviews with 15 executives and senior managers from traditional banks, insurance providers, and fintech companies across the financial sector within South Africa. The study focused on corporate entities, listed and/or unlisted companies and subsidiaries actively pursuing or supporting digital transformation. The study potentially contributes to existing literature through the development of an integrated conceptual framework that illustrates how linking digital transformation and strategic alliances shapes successful digital transformation within organisations in the financial sector, by highlighting the associated challenges, enablers, and outcomes. The research outcomes potentially contribute to the growing body of emerging literature on digital transformation and its connection to strategic alliances.