Paper Type

Complete

Paper Number

PACIS2025-1645

Description

Digital transformation, as a pivotal strategy for enterprises to build core competitiveness, relies heavily on deep fusion between IT and business. This study examines Midea Group, a leading Chinese advanced manufacturing enterprise, through a longitudinal single-case approach to systematically deconstruct the dynamic process and mechanisms of IT-business fusion during digital transformation. Key findings reveal: (1) The fusion follows a three-phase evolutionary path: initial exploration, rule formulation, and value realization; (2) The IT department undergoes fundamental role transformation, evolving from technical supporter to capacity co-constructor, ultimately becoming a strategic leader driving business innovation; (3) Data-driven cultural development and cross-functional agile collaboration mechanisms provide critical support for deep fusion. The research not only expands theoretical frameworks of IT-business fusion but also offers actionable pathways for enterprises to establish sustainable competitive advantages in the digital era.

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Strategy

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Jul 6th, 12:00 AM

How to Achieve IT-Business Fusion During Digital Transformation

Digital transformation, as a pivotal strategy for enterprises to build core competitiveness, relies heavily on deep fusion between IT and business. This study examines Midea Group, a leading Chinese advanced manufacturing enterprise, through a longitudinal single-case approach to systematically deconstruct the dynamic process and mechanisms of IT-business fusion during digital transformation. Key findings reveal: (1) The fusion follows a three-phase evolutionary path: initial exploration, rule formulation, and value realization; (2) The IT department undergoes fundamental role transformation, evolving from technical supporter to capacity co-constructor, ultimately becoming a strategic leader driving business innovation; (3) Data-driven cultural development and cross-functional agile collaboration mechanisms provide critical support for deep fusion. The research not only expands theoretical frameworks of IT-business fusion but also offers actionable pathways for enterprises to establish sustainable competitive advantages in the digital era.