Digital Innovation and Strategic Architecture in Islamic Banking: Forging Competitive Advantage in the Era of Disruption

Abstrak

Introduction/Main Objectives: This study examines how digital innovation and strategic architecture can be integrated to build sustainable competitive advantage in Sharia banking amid technological disruption and changing customer behavior. Research Methods: A descriptive qualitative approach was employed through a literature review of scholarly articles, books, institutional reports, and other academic publications. Finding/Results: Digital innovations such as mobile banking, artificial intelligence, big data analytics, cloud computing, and blockchain are most effective when supported by strong IT governance, organizational capabilities, system integration, and Sharia compliance. This synergy improves operational efficiency, service quality, product innovation, and competitiveness. Conclusion: Integrating digital innovation with strategic architecture provides a sustainable framework for Sharia banking transformation that remains adaptive to technological change while maintaining Sharia principles.