Abstract: Both digital transformation and ESG (Environmental, Social, Governance) objectives are mainstream, yet critical to today’s economy. Multiple studies argue that there is a connection between digital transformation and ESG within the business context, but what that connection precisely entails remains a black box. The insurance industry is lagging in both digital transformation and ESG, so it could be assumed that insurance firms also lag in the possible connection. Several important factors were discovered by conducting an extensive literature review, several semi-structured interviews with experts in the field of insurance, and a validating document analysis.
There seems to be no direct influence between digital transformation and ESG if this is not included in the organization’s business strategy. To have the most significant possible impact on ESG objectives after a digital transformation, a practical roadmap has been designed as a support for insurance firms, where the first step is to include ESG objectives into the business strategy, then to change the organizational structure and company culture, to lastly be able to make more sustainable decisions and to invest in a greener IT infrastructure.
This master’s thesis presents a comprehensive framework for identifying and managing Critical Success Factors (CSFs) in Change Management within Digital Transformation (DT) initiatives.
The significance of DT, particularly in the public sector, is emphasized due to its potential to revolutionize operations, enhance service delivery, and improve citizen engagement. Yet 70% of the DT initiatives fail, mainly due to resistance coming from people.
Change management is explored as a crucial process that facilitates the successful implementation of DT, ensuring that organizational members embrace and adapt to the changes effectively.
Drawing from an extensive literature review, five key CSFs are identified: Organizational Effectiveness, Change Commitment, Project Management, IT/Technology, and External Environment. These factors are considered essential for enabling a smooth and successful transition in DT initiatives. To validate the framework, three case studies and seven interviews are conducted, providing empirical evidence and insights into the practical application of the CSFs.
Overall, this thesis offers a valuable contribution to the field of Change Management in DT, providing a structured approach for organizations, especially in the public sector, to navigate the complexities and challenges associated with these transformative projects.