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Africa’s Digital Transformation Dilemma: Why we keep failing and the framework that can fix it

Tue, Oct 21 2025 4:33 PM
in Ghana General News, Technology
africas digital transformation dilemma why we keep failing and the framework that can fix it
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Joseph Atta-Woode, the writer

Across the continent, governments and corporations are rushing to digitise — from e-governance platforms to online banking, from smart agriculture to digital classrooms. Yet behind the optimism lies a sobering truth: up to 70% of digital transformation (DT) projects fail (Tabrizi et al., 2019; Gartner, 2018).

The reason? Not a lack of technology, but a failure of leadership, culture, and engagement. Africa’s digital revolution is not failing because of bandwidth or budgets, but because of people.

Digital transformation is not a one-time software installation; it is a complete rethinking of how organisations create value in a digital world (Matt et al., 2015). Unfortunately, many African institutions still treat it as a procurement exercise rather than a cultural and strategic evolution — similar to the global preference for Metaverse-driven initiatives (Atta-Woode & Gangai, 2025).

According to Buvat et al. (2018), 65% of global firms lack digital leadership capacity, a challenge even more acute in Africa. In many organisations, decision-making is top-heavy, resistant to change, and disconnected from the workforce. The result is a wave of failed projects and wasted investments.

From Accra to Nairobi, digital platforms have been launched with fanfare only to fall silent months later. Employees resist because they view digitalisation as replacement rather than empowerment (Sherin, 2023). When people are excluded from digital change, technology becomes a threat instead of a tool.

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A rigid corporate culture, combined with poor communication, has turned digital transformation in Africa into more of a slogan than a success story.

A Framework Rooted in Dynamic Capabilities Theory (DCT)

My recent study, “Innovative Digital Transformation Strategy: A Conceptual Framework of Leadership, Culture, and Engagement,” proposes a model grounded in Dynamic Capabilities Theory (DCT). Introduced by Teece, Pisano, and Shuen (1997), the theory argues that an organisation’s survival in rapidly changing environments depends on its ability to sense, seize, and reconfigure resources to maintain competitiveness.

In the African context, our organisational leadership must cultivate these three critical abilities:

  1. Sensing – Detecting emerging digital opportunities and threats.
  2. Seizing – Acting decisively through visionary leadership and strategic resource alignment.
  3. Reconfiguring – Adapting internal processes and culture to sustain competitiveness.

This makes DCT not only relevant but also essential for African organisations operating within volatile economic, social, and technological environments.

Africa’s digital transformation journey differs fundamentally from that of Western economies. The continent faces challenges such as limited infrastructure, institutional fragility, fluctuating policies, and workforce skill gaps. Africa needs flexible strategies, not static solutions.

DCT offers precisely that — a model for continuous adaptation and renewal, rather than a one-off reform for organisations navigating turbulent markets where yesterday’s solutions rarely solve tomorrow’s problems.

In Ghana, for example, the government’s digital ID initiative, e-levy systems, and paperless port reforms illustrate how policy and technology evolve amid uncertainty. Only institutions that can reconfigure quickly survive such disruption. DCT provides a framework to guide this adaptation by focusing on learning, leadership agility, and resource alignment — all critical for sustainability (Teece, 2018; Eisenhardt & Martin, 2000).

Furthermore, African firms are not merely adopting technology; they are leapfrogging entire stages of development, moving from analogue to mobile or AI-driven systems in a single leap (Ndemo & Weiss, 2017). Such rapid, non-linear growth requires what DCT calls dynamic reconfiguration — the ability to redesign structures, retrain workers, and reallocate resources in real time (Ambrosini & Bowman, 2009).

The theory also resonates with African cultural contexts, where informal networks, social trust, and adaptive leadership play crucial roles in business success. Unlike rigid Western frameworks, DCT accommodates contextual learning and improvisation — traits deeply embedded in African entrepreneurship and governance systems (Loonam et al., 2018; Okpo, Ikediashi & Afolabi, 2023).

Why African Organisations Need This Model

  1. Builds Leadership Agility – Leaders gain the foresight to anticipate digital trends and align them with strategic goals (Kotter, 2000).
  2. Promotes Cultural Adaptability – Organisational culture shifts from rigid hierarchies to collaborative, learning-driven environments (Mergel et al., 2019).
  3. Drives Employee Engagement – Workers become contributors to innovation rather than victims of automation (Kane et al., 2018; Gallup, 2021).
  4. Sustains Competitiveness – Continuous learning and flexibility become built-in, ensuring survival in volatile digital markets (Teece, 2018).

A Deloitte (2020) study found that companies prioritising engagement during transformation achieved faster adoption rates and higher morale, while adaptive cultures (Kocak & Pawlowski, 2022) significantly increased success rates across industries.

The Leadership Imperative

Africa’s digital future depends not on coding, but on leadership courage and competence. Digital transformation must be led by leaders who can communicate, connect, and collaborate.

They must:

  • Understand technology as a business strategy, not a gadget.
  • Build inclusive cultures where every employee understands their role in change.
  • Invest in re-skilling and knowledge sharing.
  • Encourage open dialogue and cross-functional innovation.

Leadership agility — the ability to pivot quickly and learn continuously — is the hallmark of successful digital leaders.

Governments should establish national digital leadership programmes to build capacity within ministries, state enterprises, and academia. Universities must integrate digital leadership and transformation frameworks into their business and public administration curricula.

The time is now, especially as Artificial Intelligence (AI) revolutionises work and technology across the world. Africa lags in adopting AI and automation.

Yet, African success stories such as Rwanda’s e-governance, Kenya’s fintech ecosystem, and Ghana’s digital ID system show what is possible when leadership, culture, and engagement align — because technology alone does not transform institutions; people do.

The Way Forward

Africa stands at a digital crossroads. With its youthful population and expanding internet access, the continent holds immense potential. Nevertheless, potential without transformation is inertia.

The proposed framework offers a roadmap to convert digital ambition into sustainable success through leadership that senses change, cultures that adapt, and employees who engage.

Africa does not need another app — it needs adaptive leaders and digital cultures capable of reconfiguring and rising.

The truth is uncomfortable: Africa’s digital revolution is not failing because of bandwidth or budgets, but because of people — our inability to acknowledge our realities and design a digital transformation aligned with our leadership styles, cultural traits, and resource environments.

Not every process needs to be digitalised, and not every organisation needs digital transformation.

About the Author:
Joseph Atta-Woode is a PhD Scholar in Management at Sharda University, India, and a Facilitator of the AI Certificate Programme at Ghana Christian University College, Accra. His areas of expertise include Leadership, Digital Transformation & AI, Strategic Innovation, and Organisational Behaviour.

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