The Nexus of Digital Transformation and Transformational Leadership on Organizational Performance as Mediated by Innovative Work Behaviors

Abstract

The research does not adequately address or completely comprehend the implications of digital transformation, work innovation, and transformational leadership on organizational performance for vocational schools in South Borneo Province. The research sought to describe creative work practices, digital transformation, transformational leadership, and organizational performance. Additionally, the study aimed to determine the effects of the independent variables of digital transformation, creative work practices, and transformational leadership on the dependent variable of organizational performance. A quantitative research methodology was employed in this investigation. Using simple random selection, the study's sample size consisted of 100 headmasters from public and private vocational schools.  The data analysis was done using Smart PLS version 4.1. The results show that Transformational Leadership has a positive relationship with Innovative Work Behaviors. Also, Innovative Work Behavior has a positive relationship with Organizational Performance and is enabling. Nonetheless, Digital Transformation does not affect innovative work behaviors. It also has a positive and significant effect on organizational performance. Furthermore, Innovative Work Behaviors were found to play a mediating role between Transformational Leadership and Organizational Performance. However, it does not function as a mediator between Transformational Leadership and Organizational Performance. Therefore, it is crucial to improve the effectiveness of vocational schools, that is, the levels of employees’ satisfaction, the numbers of students, the quality of graduates, and the efficiency of operations by implementing digital transformation and transformational leadership. Digital technology should be integrated into the daily activities of vocational schools and enhanced frequently. The vocational schools must work in sync, listen actively, hold open forum, share their plan and treat their employees right. Digital transformation and transformational leadership enhance the performance of vocational schools when staff exhibit innovative work behaviors, including creative ideas for efficient, effective, and productive school management, as well as implementing and assessing those ideas.