Resilient by Design: The Role of Digital Transformation in Future-Proofing SMEs

Nur Diana Hassan, Sarah Sabir Ahmad and Siti Fairuza Hassam
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Nur Diana Hassan: Faculty of Business and Management, University Technology MARA, Cawangan Kedah
Sarah Sabir Ahmad: Faculty of Business and Management, University Technology MARA, Cawangan Kedah
Siti Fairuza Hassam: Faculty of Business and Management, University Technology MARA, Cawangan Kedah

International Journal of Research and Innovation in Social Science, 2025, vol. 9, issue 9, 9381-9392

Abstract: Digital transformation (DT) is increasingly recognized as a critical enabler of resilience for small and medium-sized enterprises (SMEs), yet the fragmented and rapidly evolving nature of the literature obscures a coherent understanding of how DT contributes to future-proofing SMEs across contexts. To address this gap, this study conducts a systematic literature review leveraging **Scopus AI** (accessed 25 September 2025) to map the intellectual structure, thematic evolution, and emerging frontiers of research at the intersection of DT and SME resilience. Using a multi-layered Boolean search string, we analyzed peer-reviewed publications from 2015 to 2025 through Scopus AI’s integrated modules: Summary & Expanded Summary, Concept Map, Topic Experts, and Emerging Themes. Our findings reveal that DT enhances SME performance through operational efficiency, innovation, and crisis responsiveness, but its success is contingent on managerial capability, digital literacy, and contextual factors such as sector, region, and gender. The field is structured around three core clusters—marketing strategies, technology adoption, and impact on SMEs—and is evolving toward rising themes like organizational agility and sustainable digital transformation, as well as novel explorations in AI adoption and sector-specific digitization (e.g., tourism, cultural heritage). The study identifies key scholars shaping the discourse and highlights a paradigm shift from reactive digitization to “resilience by design.†Theoretically, we integrate disparate strands into a dynamic capability framework; practically, we offer actionable insights for SME leaders, policymakers, and technology providers to foster inclusive, agile, and sustainable digital transitions. This review not only clarifies the current state of knowledge but also charts a research agenda for advancing equitable and resilient digital futures for SMEs worldwide.

Date: 2025
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