The Effect of Dynamic Capabilities Mediated Digital Leadership on Organizational Performance

Abstract

The researcher is intrigued by the background of this study, which focuses on the decline in performance within organizations, specifically regarding existing products such as voice and SMS. The advent of Industry 4.0 has introduced fresh challenges for established companies, as they need to prepare for the new business models introduced by emerging players. Additionally, the ongoing Covid-19 pandemic has accelerated the transition to digital in the market since April 2020, digital transformation is needed by incumbent (Telkom Indonesia) for developing business model innovation product and service based on dynamic changes to stay competitive a long time, digital transformation into movement transformation organization thorough covers change aspects other crucial like strategy, process, HR and culture, to leadership. The study was conducted at the Telkom Indonesia Group company. The sample study is leaders and leaders of child existing companies in Telkom Indonesia as many as 283 respondents. Study this test hypothesis Improving digital leadership mediated by dynamic capabilities, becomes novelty that proves influence Among variable digital leadership towards performance organizations that have not found in the study previously with use method Generalized Structures Components Analysis. Finding study this discloses that the hypothesis being tested can be accepted. Hypothesis about Improving digital leadership mediated by dynamic capabilities will able to significantly increase organizational performance. Culture company as variable moderation proven digital leadership capable moderate performance organization.