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Purpose

The digital era requires organizations to realign their work practices, culture, and structure. This study investigates the complex dynamics of organizational adaptation to rapid technological advancements by examining the interplay between technological resources and institutional factors over time.

Design/methodology/approach

An in-depth long-term case study of a public sector organization forms the basis of this research. The study employs the resource-based view (RBV) and institutional theory as theoretical frameworks to analyze the organization’s digital transformation journey, integrating qualitative and quantitative data collection methods.

Findings

The findings reveal a gradual evolution in the organization’s digital maturity, transitioning from a focus on IT infrastructure to a comprehensive integration of technological resources with organizational processes and human capital. The study underscores the critical synergy between institutional factors and technological adaptation, with key milestones marking the organization’s progress toward a digitally integrated and employee-centric state. External factors, such as the COVID-19 pandemic, are shown to accelerate digital transformation.

Practical implications

The study outlines a tailored roadmap for public sector organizations to align institutional culture and structure with technological resources, facilitating successful digital transformation.

Originality/value

This study provides a novel long-term perspective on digital transformation, emphasizing the importance of balancing resource optimization with institutional alignment. It offers strategic guidance for organizations embarking on digital transformation journeys, highlighting the role of institutional culture, employee engagement, and external catalysts in achieving sustainable digital integration.

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