The present research investigates why and how organizations are adopting digital transformation in their operations and supply chains. Following a systematic review of the literature, a novel conceptual model is developed to help the management of the transition in organizations that run complex capital projects. The conceptual model is examined and afterwards will be refined based on practitioners' feedback. The refined model is a result of crosschecking the views of senior executives in both early adopters of digitalization as well as the lagging project-based organizations. This paper is mainly reporting on the first phase of the research-that is, developing a preliminary conceptual model.