Abstract: Digital transformation has emerged as a critical strategic imperative for organizations operating in an increasingly competitive and technology-driven global economy. Among emerging digital technologies, Artificial Intelligence (AI) has gained particular prominence due to its ability to automate complex processes, enable predictive decision-making, personalize customer interactions, and generate strategic insights from large volumes of data. This paper examines whether AI can function as a transformative, game-changing tool in reshaping digital transformation initiatives within organizations. Using an exploratory qualitative case study approach, the study analyses AI-driven digital transformation strategies adopted by selected companies across technology, retail, and financial services sectors. The findings reveal that AI significantly accelerates digital transformation by enhancing operational efficiency, enabling data-driven decision-making, improving customer experience, and fostering innovation. However, the study also identifies critical challenges, including data governance issues, ethical concerns, skills shortages, integration with legacy systems, and organizational resistance to change. The paper concludes that AI can be a powerful enabler of digital transformation when embedded within a coherent strategic framework supported by leadership commitment, organizational readiness, and responsible AI governance.

Keywords: Artificial Intelligence, Digital Transformation, Business Innovation, Case Study, Organizational Strategy.

Downloads: | DOI: 10.17148/IARJSET.2026.13151