Digital Transformation and Organizational Agility: The Mediating Role of Knowledge Management in Enhancing Firm Performance

Aprilya Fitriani; Irwandi Irwandi; Ika Novitaria Marani

doi:10.55927/ajabm.v5i1.6

Authors

Aprilya Fitriani UIN Kiai Haji Achmad Siddiq Jember
Irwandi Irwandi Universitas Dumai
Ika Novitaria Marani Universitas Negeri Jakarta

DOI:

https://doi.org/10.55927/ajabm.v5i1.6

Keywords:

Digital Transformation, Organizational Agility, Knowledge Management, Firm Performance

Abstract

Digital transformation is a key driver of competitive advantage in the era of technological disruption, requiring not only technological adoption but also effective knowledge management and organizational adaptability. This study analyzes the impact of digital transformation on company performance by examining the mediating roles of knowledge management and organizational agility. Using a quantitative explanatory design, data were collected through a survey of 80 managers and staff from service and manufacturing companies in East Java that have implemented digital transformation initiatives. Multiple regression analysis was applied to assess direct and indirect relationships. The results indicate that digital transformation has a significant positive effect on organizational agility and company performance, with knowledge management partially mediating this relationship. These findings highlight the importance of integrating digital technology, knowledge management, and organizational agility to enhance performance and competitiveness, contributing to knowledge-based and dynamic capability theories and offering practical guidance for sustainable digital transformation strategies in Indonesian companies.

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