From Digital Leadership to Performance Through Organisational Agility in Open Education Institutions

For ODDE institutions, leadership and adaptability in a changing environment are vital to institutional performance. Empirical evidence connecting digital leadership dimensions with performance through organisational agility is limited. This research utilises Transformational Leadership Theory and Dynamic Capabilities Theory to test if organisational agility acts as a mediator between the leadership dimensions Inspirational Motivation, Intellectual Stimulation, Individualised Consideration and Idealised Influence and institutional performance. Sample data were collected from 413 academic and non-academic staff from three ODDE institutions in Malaysia using Partial Least Squares Structural Equation Modelling (PLS-SEM). The analysis provided evidence to suggest that the four leadership dimensions interact differently with institutional performance. In particular, organisational agility was determined to fully mediate the effects of Individualised Consideration and Idealised Influence on institutional performance while also resulting in a dual effect (directly and indirectly) from Inspirational Motivation and Intellectual Stimulation to institutional performance via organisational agility. The findings demonstrate that organisational agility is a critical mechanism for translating the impact of leadership behaviours into performance of ODDE institutions through exploration of new ways of delivering organisational results. The study contributes to the limited empirical literature in relation to ODDE institutions and provides practical implications for organisational leaders wanting to enhance performance through new organisational agility practices.