Digital transformation: A model of transformational leadership in an organisation

Abstract

Background: Digital transformation has become essential for improving public-sector efficiency and service delivery. Despite growing investment in digital initiatives, many government entities struggle to achieve meaningful transformation. This is partly due to a limited understanding of how leadership styles, organisational culture, and digital maturity interact in developing-country context models.
Objectives: This study identifies and determines the causal relationships among transformational leadership, digital leadership, organisational culture, and digital maturity for digital transformation. In addition, it empirically fits, tests, and validates the proposed digital transformation model.
Method: A quantitative research design was employed. A structured survey was administered to 380 employees across four government entities in Gauteng, producing 299 valid responses (79% response rate). Structural equation modelling was used to analyse the direct, indirect, and mediating relationships among the study constructs.
Results: Findings indicate that although digital maturity is positively associated with digital transformation, it does not significantly predict transformation outcomes. Transformational leadership shows a negative relationship with digital transformation, suggesting contextual constraints in hierarchical public institutions. However, both transformational and digital leadership positively influence organisational culture. Organisational culture emerges as the strongest determinant of digital transformation and serves as a central mediating mechanism. A negative correlation between organisational culture and digital maturity further suggests that entrenched cultural traits may inhibit digital readiness.
Conclusion: The study contributes a validated multidimensional model integrating leadership and cultural and technological factors. It offers a context-specific African perspective, demonstrating that adaptive leadership and cultural alignment are critical for achieving successful digital transformation.
Contribution: The findings provide actionable insights for policymakers and public-sector leaders seeking to strengthen digital governance capability.