A Study on the Relationship Between Corporate Culture and Digital Transformation
Introduction
As the new wave of technological revolution and industrial transformation accelerates, digital transformation has become a key strategic direction for enterprise development. Whether in manufacturing, services, or traditional heavy industry, nearly all sectors are exploring how to leverage digital technologies to improve efficiency, optimize costs, and upgrade services. However, in the process of promoting digital transformation, many enterprises find that the real obstacle is not the lack of technology, but the resistance stemming from internal organizational culture.
Corporate culture, as the accumulated values, behavioral norms, and working styles within an organization, significantly influences how employees perceive and respond to digitalization. It plays a critical role in determining the success or failure of transformation strategies. Therefore, examining the interaction between corporate culture and digital transformation is of great practical significance for achieving sustainable organizational development.
The Driving Role of Corporate Culture in Digital Transformation
Corporate culture is the “soft infrastructure” of digital transformation. It profoundly affects employee behavior patterns, organizational arrangements, and the path of technology adoption. From the three dimensions of material culture, institutional culture, and spiritual culture, corporate culture exerts a multi-dimensional driving effect during digital transformation.
1. Material Culture: Laying the Foundation for Transformation
Material culture includes infrastructure, the level of informatization, and the modernization of production and office environments. A sound material culture not only provides necessary hardware support for digital systems but also subtly shapes employees’ perceptions and attitudes toward technology.
In manufacturing enterprises, the level of automation on the production floor directly affects how employees understand digital transformation. For instance, when companies introduce smart lifting equipment such as a 10 ton overhead crane with digital control capabilities, employees can experience precision and efficiency firsthand, helping them quickly adapt to new operational workflows. Similarly, modern office settings, advanced IT terminals, and paperless systems reduce reliance on traditional practices and enhance trust in digital platforms.
2. Institutional Culture: Ensuring Mechanisms for Implementation
Institutional culture comprises long-standing management processes, behavioral norms, and reward-punishment systems. It determines the efficiency with which digital strategies are executed.
Digital transformation often requires system integration and process reengineering across departments. Without supportive institutional culture, enterprises may face redundant operations, poor communication, and inefficient collaboration. In contrast, a company with clear regulations and flexible mechanisms can establish cross-functional project teams and promote transparent process management, thereby breaking down information silos and improving data-sharing efficiency.
Successful examples include updating job descriptions to clearly define roles in data entry and digital collaboration, and leveraging performance evaluation systems to encourage active participation. These measures provide a solid institutional foundation for digital tools to be implemented effectively.
3. Spiritual Culture: Cultivating Internal Drive for Change
Spiritual culture is the deepest and most abstract layer of corporate culture. It encompasses organizational vision, value propositions, and shared beliefs. During digital transformation, its role is particularly crucial as it influences how employees emotionally and cognitively respond to change.
Some companies embed values like “innovation, openness, and collaboration” into their core culture and establish programs such as “Digital Pioneer Awards” or “Transformation Champion Recognition” to strengthen employees’ willingness to embrace change. This is especially important during early project phases—like system rollouts, equipment upgrades, and process reengineering—where uncertainty may lead to anxiety or resistance.
Spiritual culture also manifests in whether the organization tolerates failure and encourages experimentation. For example, during the installation of a free standing bridge crane, operators must learn new control systems and safety protocols, which may involve a learning curve and occasional mistakes. If the corporate environment is supportive and encourages a “learn-by-doing” mindset, the overall transformation process becomes smoother and more successful.
The Reshaping Effect of Digital Transformation on Corporate Culture
If corporate culture is the soil in which digital transformation takes root, then the transformation process itself also acts as a force that reshapes this soil. Technology and culture interact dynamically, driving co-evolution.
1. Promoting Organizational Flattening and Collaborative Culture
Traditional organizations often have rigid hierarchies and segmented functions, which slow down information flow and reduce responsiveness. Digital transformation, on the other hand, demands agility, pushing enterprises toward flatter structures. With the integration of ERP, MES, CRM, and other digital systems, once-isolated departmental data becomes centralized, streamlining operational procedures.
This new environment emphasizes “real-time collaboration” across teams and departments, replacing the old command-and-control model with one focused on shared creation and collective responsibility. Consequently, the organizational culture evolves to value openness, teamwork, and fast decision-making.
2. Stimulating a Learning-Oriented and Data-Driven Culture
In the digital age, “data is an asset,” and employees must adapt by acquiring new skills. Positions that once required only task execution now demand data literacy and proficiency with digital tools. For example, frontline workers are expected not only to follow instructions but also to interpret system data and provide feedback.
As a result, companies integrate lifelong learning and cross-functional competencies into their cultural framework. Additionally, decision-making becomes increasingly data-driven, requiring transparency, objectivity, and evidence-based management. This transition transforms the organization into one that values analytical thinking and informed judgment over hierarchy and experience alone.
3. Reinforcing Customer-Centric Values
Digital technologies have redefined customer relationships through data analysis, behavioral prediction, and personalized service. These capabilities enable companies to embed customer-first principles into daily operations, making “customer centricity” more than just a slogan.
In practice, product development becomes data-informed and iterative rather than isolated in R&D. Service departments use online platforms to maintain real-time interactions with clients. Over time, customer responsiveness and satisfaction become core metrics that guide internal priorities and cultural development.
Conclusion
The relationship between corporate culture and digital transformation is not unidirectional but reciprocal and intertwined. A strong corporate culture provides psychological readiness, institutional support, and motivational energy for digital initiatives. Meanwhile, digital transformation forces a re-examination of cultural norms, steering organizations toward greater flexibility, openness, and customer orientation.
In the future, competitiveness will not be determined by technology alone but also by an organization’s cultural capacity to adapt and evolve. Enterprises that succeed in shaping a culture aligned with digital trends will be better positioned to thrive in a rapidly changing business landscape.
