A STRUCTURAL ANALYSIS OF DIGITAL TRANSFORMATION DEVELOPMENT IN UKRAINIAN REGIONS
Анотація
The accelerated progression of digital transformation processes has emerged as a strategic imperative for regional development, particularly in countries grappling with institutional, infrastructural, and security challenges. The objective of this study is to conduct a structural analysis of digital transformation development across Ukrainian regions, with a view to identifying typical regional groups and their digital characteristics. The study will use data from the national Digital Transformation Index. The impetus for this research stems from the necessity to enhance the governance capacities at the regional level and to formulate diversified digital policies that reflect the unique characteristics and developmental stages of subnational entities. The methodological framework combines cluster analysis based on a composite Digital Transformation Index with entropy-based validation and structural interpretation of clustering outcomes. The clustering procedure was executed by means of standardised subindex values reflecting institutional capacity, digital infrastructure, service digitalisation, human capital, and innovative initiatives. The results of the study indicate a marked disparity in digital maturity across different regions, thereby identifying three structurally distinct groups. The initial cluster encompasses regions characterised by inadequate digital readiness, infrastructural deficiencies, and institutional impediments, necessitating targeted foundational assistance. The second cluster comprises digital frontrunners, characterised by comprehensive integration of digital services, strong administrative capacity, and innovative local initiatives. The third cluster encompasses moderately advanced regions with potential for development yet facing challenges in digital innovation and strategic coherence. Each cluster exhibits a distinct internal digital profile, thereby calling into question the efficacy of uniform digital policies. The practical value of the study lies in providing a typology-based model for regional digital transformation policymaking. The approach advocated here is predicated on the premise that it facilitates data-driven decision-making, enables the prioritisation of interventions, and contributes to the reduction of digital inequality.
Посилання
Andal-Ancion, A., Cartwright, P. A., & Yip, G. S. (2003). The digital transformation of traditional business. MIT Sloan Management Review, no. 44(4), pp. 34-41.
Bughin, J., Seong, J., Manyika, J., Chui, M., & Joshi, R. (2016). Digital globalization: The new era of global flows. McKinsey Global Institute. Available at: https://www.mckinsey.com/featured-insights/globalization/digital-globalization-the-new-era-of-global-flows (accessed May 12, 2025)
European Commission. (2022). Digital economy and society index (DESI) 2022: Measuring digital progress in EU regions. Available at: https://digital-strategy.ec.europa.eu/en/policies/desi (accessed May 12, 2025)
European Commission. (n.d.). Digital Economy and Society Index (DESI) methodology. Available at: https://ec.europa.eu/newsroom/dae/redirection/document/88557 (accessed May 12, 2025)
Everitt, B., Landau, S., Leese, M., & Stahl, D. (2011). Cluster Analysis (5th ed.). Wiley. DOI: https://doi.org/10.1002/9780470977811
Fitzgerald, M., Kruschwitz, N., Bonnet, D., & Welch, M. (2014). Embracing Digital Technology: A New Strategic Imperative. MIT Sloan Management Review, no. 55(2), pp. 1-12. Available at: https://emergenceweb.com/blog/wp-content/uploads/2013/10/embracing-digital-technology.pdf (accessed May 12, 2025)
Gobble, M. M. (2018). Digital Strategy and Digital Transformation. Research-Technology Management, no. 61(5), pp. 66-71, DOI: https://doi.org/10.1080/08956308.2018.1495969
Kaufman, L., & Rousseeuw, P. J. (2005). Finding Groups in Data: An Introduction to Cluster Analysis. Wiley. DOI: https://doi.org/10.1002/9780470316801
Kyrylenko, O., Denysiuk, S., & Blinov, I. (2023). Tsyfrova transformatsiia enerhetyky: suchasni tendentsii ta zavdannia [Digital transformation of the energy industry: Current trends and tasks]. Pratsi Instytutu elektrodynamiky Natsionalnoi akademii nauk Ukrainy, no. 65, pp. 5-14. DOI: https://doi.org/10.15407/publishing2023.65.005
Ministry of Digital Transformation of Ukraine. (2024). Indeks tsyfrovoi transformatsii rehioniv Ukrainy 2023 [Digital Transformation Index of Ukrainian Regions 2023]. Available at: https://hromada.gov.ua/research/indeks-cifrovoyi-transformaciyi-regioniv-ukrayini-2023 (accessed June 2, 2025)
Ministry of Digital Transformation of Ukraine. (2025). Indeks tsyfrovoi transformatsii rehioniv Ukrainy 2024 [Digital Transformation Index of Ukrainian Regions 2024]. Available at: https://hromada.gov.ua/research/indeks-cifrovoyi-transformaciyi-regioniv-ukrayini-pidsumki-2024-roku (accessed June 2, 2025)
OECD. (2019). Measuring the Digital Transformation: A Roadmap for the Future. OECD Publishing. DOI: https://doi.org/10.1787/9789264311992-en
OECD. (2023). Government at a Glance 2023. OECD Publishing. DOI: https://doi.org/10.1787/0efd0bcd-en
OECD. (2024). Enabling Digital Innovation in Government: The OECD GovTech Policy Framework (OECD Digital Government Studies). OECD Publishing. DOI: https://doi.org/10.1787/a51eb9b2-en
Reis, J., Amorim, M., Melão, N., & Matos, P. (2018). Digital Transformation: A Literature Review and Guidelines for Future Research. In Á. Rocha, H. Adeli, L. P. Reis, & S. Costanzo (Eds.), Trends and Advances in Information Systems and Technologies (pp. 411–421). Springer International Publishing. DOI: https://doi.org/10.1007/978-3-319-77703-0_41
Rencher, A. C., & Christensen, W. F. (2012). Methods of Multivariate Analysis. John Wiley & Sons. DOI: https://doi.org/10.1002/9781118391686
StatSoft Inc. (2011). Statistica (Version 10.0) [Software]
UNDESA (United Nations Department of Economic and Social Affairs). (2022). United Nations E-Government Survey 2022: The Future of Digital Government. United Nations Publications. Available at: https://publicadministration.un.org/egovkb/Portals/1/documents/UN_E-Government_Survey_2022.pdf (accessed May 14, 2025)
United Nations. (2022). The Sustainable Development Goals Report 2022. United Nations Publications. Available at: https://unstats.un.org/sdgs/report/2022/ (accessed May 20, 2025)
Vial, G. (2019). Understanding digital transformation: A review and a research agenda. Journal of Strategic Information Systems, no. 28(2), pp. 118-144. DOI: https://doi.org/10.1016/j.jsis.2019.01.003
Westerman, G., Bonnet, D., & McAfee, A. (2014). Leading Digital: Turning Technology Into Business Transformation. Harvard Business Review Press.
World Economic Forum. (2020). Shaping the future of digital economy and new value creation. Available at: https://www.weforum.org/reports/shaping-the-future-of-digital-economy-and-new-value-creation (accessed May 12, 2025)
Yang, G., Li, H., Nie, Y., Yue, Z., & Wang, H. (2024). Digital transformation and firm performance: The role of factor allocation. Applied Economics, no. 56(50), pp. 6203-6220. DOI: https://doi.org/10.1080/00036846.2023.2269631