Transformational Leadership, Work Engagement, and Employee Adaptability in Higher Education Institutions: The Moderating Role of Digital Readiness

Abstract

Higher education institutions are facing increasing pressure to adapt to digital transformation, changing academic work systems, and evolving organizational demands. In this context, employee adaptability becomes an important capability that enables lecturers and higher education staff to respond effectively to technological, administrative, and academic changes. This study examines the influence of Transformational Leadership on Employee Adaptability in higher education institutions, with Work Engagement as a mediating variable and Digital Readiness as a moderating variable. A quantitative approach was used by distributing structured questionnaires to employees working in higher education institutions. The data were analyzed using statistical procedures including validity and reliability tests, normality tests, regression analysis, t tests, F tests, mediation analysis, and moderation analysis. Transformational Leadership was measured through leaders’ ability to provide vision, inspiration, intellectual stimulation, and individualized consideration. Work Engagement was measured through vigor, dedication, and absorption, while Employee Adaptability was measured through employees’ ability to adjust to new work demands, digital systems, and institutional changes. Digital Readiness was measured through employees’ readiness to use digital tools, accept technological change, and integrate digital practices into their work. The findings show that Transformational Leadership has a positive and significant effect on Work Engagement and Employee Adaptability. Work Engagement also has a positive and significant effect on Employee Adaptability. The mediation results confirm that Work Engagement mediates the relationship between Transformational Leadership and Employee Adaptability. Furthermore, Digital Readiness strengthens the relationship between Work Engagement and Employee Adaptability, indicating that engaged employees become more adaptable when they possess higher readiness to use and accept digital technology. This study highlights the importance of leadership, engagement, and digital readiness in strengthening employee adaptability in higher education institutions. The findings contribute to human resource management and organizational behavior literature by emphasizing that transformational leaders can enhance adaptability not only directly, but also through the development of employee work engagement and digital readiness.