Does workplace digitalization matter in linking transformational leadership and innovative culture to employee engagement?

Abstract

Purpose

Engaged employees are an organization’s competitive advantage because the employees are willing to strive for organizational excellence. This paper examines employee engagement (EE), taking workplace digitalization as the mediator. The authors developed an integrated framework introducing transformational leadership and innovative culture as EE antecedents in workplace digitalization settings. Specifically, the authors argue that transformational leadership and innovative culture influence EE directly and indirectly through workplace digitalization.

Design/methodology/approach

A total of 256 valid online-survey samples were used in the structural equation modeling (SEM) tests. The respondents were the management-level executives of Selangor/Kuala Lumpur-based Malaysian companies.

Findings

The authors' findings support that workplace digitalization positively influences EE. Unlike transformational leadership, innovative culture positively influences workplace digitalization. Further, innovative culture directly affects EE and indirectly through workplace digitalization, albeit partially. Transformational leadership directly influences EE but is insignificant through workplace digitalization.

Practical implications

The findings suggest that organizations that wish to fast-track EE can cultivate an innovative culture to facilitate employees' acceptance of workplace digitalization and enhance EE.

Originality/value

The authors' research expands the interdisciplinary theoretical foundation on how employees' perception and acceptance of workplace digitalization add to EE by highlighting the roles of transformational leaders and innovative culture. The authors' research is among the first few investigating how transformational leadership and innovative culture affect EE in the presence of workplace digitalization. The authors also discussed workplace digitalization as a mediator to innovative culture–EE relationships.

Citation

Hooi, L.W. and Chan, A.J. (2023), "Does workplace digitalization matter in linking transformational leadership and innovative culture to employee engagement?", Journal of Organizational Change Management, Vol. 36 No. 2, pp. 197-216. https://doi.org/10.1108/JOCM-06-2022-0184