Challenges Related to the Digital Transformation of Business Companies

This paper aims to discuss the challenges, which the companies clash with in relation with the digital transformation and topropound a model to overcome them. Design/methodology/approach:The literature review of scientific papers is used for researching the essence of the digital transformation, the reasons which engender it and the challenges related to its implementation in the business companies. Findings:As a result of the discussion: (1) the challenges which are related to the digital transformation have been systematized and (2)it has been adduced, that the digital transformation is implemented according to an algorithm, that starts with a digital audit, continues with developing of a strategy, setting of measurable aims, prioritization, assessment of the effect achieved by measuring the results and it “concludes” with proposals of improvements. Research/practical implications: The types of challenges of digital business transformation have been established and a grounded sequence of processes for accomplishment of digital transformation has been presented. When the managers know potential dangers, they could avoid or neutralize the unfavourable consequences. The algorithm for the implementation of digital business transformation could support the participants in this undertaking.Further research has been suggested, through which to validate the algorithm for digital business transformation in companies of different sectors. Originality/value: A systematization of challenges, faced by the business companies in the course of the digital business transformation has been made. A theoretical model of the algorithm for digital business transformation has been developed.