Organisational and leadership impact on digital capabilities within the construction industry Cover

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Organisational and leadership impact on digital capabilities within the construction industry

Organization, Technology and Management in Construction: an International Journal

Volume 18 (2026): Issue 1 (January 2026)

By: Muhd Shafiq Johari , Syamsul Hendra Mahmud , Suria Musa , Hairuddin Mohammad , Mazura Mahdzir , Mat Nizam Uti and Syarif Abdul Asaad Jairin

Open Access

|Apr 2026

Figures & Tables

Research model. Source: Author’s own work.

Structural model. Source: Author's own work. DLCAP, digital leadership capabilities; LCAP, leadership capability.

Mardia’s multivariate normality. Source: Authors own work. DLCAP, digital leadership capability; LCAP, leadership capability.

Results of hypothesis testing in the direct effect and indirect effect_

Effect	Beta	SE	T value	P value	LLCI	ULCI	f²	Results
DCAP -> DLCAP	–0.161	–0.127	1.120	0.131	–0.248	0.235	1.021	Not supported
LCAP -> DLCAP	0.317	0.307	52.270	0.012	0.090	0.542	3.017	Supported
OCAP -> DLCAP	0.129	0.131	1.715	0.043	–0.254	–0.007	1.003	Supported
DIND -> DLCAP	–0.291	–0.281	2.383	0.009	–0.495	–0.098	0.263	Supported
LCAP -> DIND -> DLCAP	0.278	0.116	2.387	0.017	0.058	0.511	0.278	Complimentary mediation
OCAP -> DIND -> DLCAP	0.021	0.012	1.838	0.066	0.005	0.057	0.021	Indirect effect

Reflective measurement model: Factor loadings, CR, and AVE_

	Construct	Construct	Loadings	CR	AVE
LCAP	Digital expertise (DE)	COM1	0.820	0.924	0.634
		COM2	0.830
		COM3	0.822
		COM4	0.815
		CAP10	0.790
		CAP11	0.788
		CAP12	0.713
	Skill acquisition (SA)	COM5	0.775	0.932	0.577
		COM6	0.786
		COM7	Delete
		COM8	0.706
		COM9	0.751
		COM10	0.716
		COM11	Delete
		COM12	0.787
		COM13	0.757
		COM14	0.802
		COM15	0.774
		COM16	0.736
	Trust and commitment (TC)	CAP1	0.819	0.908	0.665
		CAP2	0.854
		CAP3	0.789
		CAP4	0.832
		CAP5	0.782
		CAP6	Delete
	Data driven (DD)	CAP7	0.870	0.930	0.690
		CAP8	0.853
		CAP9	0.846
		CAP13	0.827
		CAP14	0.812
		CAP15	0.772
		CAP16	Delete
OCAP	Flexible organization (FO)	SRU1	Delete	0.918	0.585
		SRU2	0.760
		SRU3	0.757
		SRU4	0.697
		SRU6	0.788
		SRU9	0.775
		SRU10	0.773
		SRU13	0.786
		SRU14	Delete
		STA7	0.777
		STA8	Delete
	Agile and collaboration (AC)	STA1	0.705	0.923	0.573
		STA2	0.803
		STA3	0.766
		STA4	0.713
		STA5	0.773
		STA6	0.719
		STA9	0.748
		STA10	0.785
		STA11	0.795
	Exploitation (EX)	STA12	0.788	0.909	0.625
		STA13	0.818
		STA14	0.803
		STA15	0.796
		STA16	0.764
		SRU8	0.776
	Policy and finance (PF)	SRU5	0.811	0.923	0.668
		SRU7	0.838
		SRU11	0.801
		SRU12	0.822
		SRU15	0.815
		SRU16	0.815
DCAP	Emerging technology (ET)	TE1	0.983	0.881	0.596
		TE2	0.977
		TE3	0.932
		TE4	0.863
		TE5	0.847
	Automation (AU)	TA1	0.843	0.917	0.688
		TA2	0.867
		TA3	0.884
		TA4	0.873
		TA5	0.813
	Connectivity (CO)	TC1	0.746	0.921	0.625
		TC2	0.974
		TC3	0.943
		TC4	0.875
		TC5	0.991
		TC6	0.981
		TC7	0.812
	Digital access (DA)	TD1	0.831	0.912	0.568
		TD2	0.980
		TD3	0.858
		TD4	0.933
		TD5	0.861
		TD6	Delete
		TD7	0.841
		TD8	Delete

Respondents’ demographics_

Organisation type	Frequency	Percentage (%)
Developer	56	16.42
Consultant	72	21.11
Contractor (SMEs/Big Firm)	136	39.88
Local authority	24	7.04
Suppliers	14	4.11
Others	39	11.43
Management position	Frequency	Percentage (%)
Top Management	86	25.22
Supervisory Management	189	55.42
Frontline Management	66	19.35
Years of experience	Frequency	Percentage (%)
<3 years	135	39.58
3–5 years	80	23.46
6–10 years	64	18.76
11–15 years	30	8.79
>15 years	32	9.38

Discriminant validity: HTMT criterion (2015)_

	AC	AU	CO	DA	DD	DE	DLCAP	DIND	ET	EX	FO	PF	SA	TC	DCAP × LCAP	DCAP × OCAP
AC
AU	0.07
CO	0.06	0.72
DA	0.06	0.87	0.89
DD	0.64	0.18	0.12	0.11
DE	0.72	0.10	0.05	0.06	0.72
DLCAP	0.08	0.09	0.07	0.08	0.14	0.05
DIND	0.53	0.06	0.03	0.04	0.47	0.86	0.10
ET	0.06	0.77	0.85	0.84	0.05	0.09	0.06	0.06
EX	0.66	0.17	0.11	0.11	0.78	0.65	0.11	0.47	0.08
FO	0.61	0.13	0.07	0.08	0.84	0.84	0.08	0.61	0.07	0.81
PF	0.72	0.11	0.07	0.07	0.59	0.56	0.09	0.39	0.05	0.52	0.57
SA	0.84	0.13	0.08	0.11	0.53	0.68	0.07	0.51	0.08	0.71	0.66	0.86
TC	0.73	0.18	0.08	0.10	0.69	0.58	0.09	0.45	0.05	0.81	0.74	0.55	0.64
DCAP × LCAP	0.05	0.08	0.04	0.05	0.09	0.05	0.03	0.03	0.06	0.05	0.07	0.03	0.04	0.05
DCAP × OCAP	0.06	0.05	0.07	0.06	0.11	0.04	0.03	0.02	0.06	0.03	0.04	0.04	0.04	0.03	0.80

Quadratic effect test by higher order polynomial fitting_

	Beta coefficient (β)	SE	T value	P value
QE (LCAP) -> DIND	–0.050	0.025	1.993	0.123
QE (OCAP) -> DIND	0.024	0.018	1.336	0.091
QE (DIND) -> DLCAP	–0.090	0.057	1.583	0.057
QE (DCAP) -> DLCAP	0.074	0.058	1.281	0.100

Gaussion Capola approach for HoC_

	Beta coefficient (β)	SE	T value	P value
GC (LCAP) -> DIND	–0.439	0.162	2.704	0.103
GC (OCAP) -> DIND	0.092	0.093	0.980	0.164
GC (DIND) -> DLCAP	–0.265	0.176	1.504	0.066
GC (DCAP) -> DLCAP	0.115	0.748	0.154	0.439

Univariate normality for LoC_

	Excess kurtosis	Skewness
DIND	1.036	–0.656
DCAP	4.041	–0.985
LCAP	1.939	–0.711
DLCAP	0.815	0.054
OCAP	1.992	–0.699

DOI: https://doi.org/10.2478/otmcj-2026-0002 | Journal eISSN: 1847-6228 | Journal ISSN: 1847-5450

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Language: English

Page range: 1 - 15

Submitted on: Sep 27, 2024

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Accepted on: Feb 10, 2025

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Published on: Apr 1, 2026

Published by: University of Zagreb

In partnership with: Paradigm Publishing Services

Publication frequency: 1 issue per year

Keywords:

construction IR 4.0,

leadership style,

organisation innovation,

digital mindset,

digital technology practices,

digital leadership capability

Related subjects:

Introductions and overviews,

Engineering, other

© 2026 Muhd Shafiq Johari, Syamsul Hendra Mahmud, Suria Musa, Hairuddin Mohammad, Mazura Mahdzir, Mat Nizam Uti, Syarif Abdul Asaad Jairin, published by University of Zagreb
This work is licensed under the Creative Commons Attribution 4.0 License.

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