The Effect of Implementing Servant Leadership Practices on the Adoption of Digital Transformation for Companies in the Telecommunications Sector

Abstract

This study aims to analyze the effect of implementing servant leadership practices on adopting digital transformation among employees at Algeria Telecom’s commercial agencies in Laghouat. The independent variable, Servant Leadership, is explored through five dimensions: Moral Love, Empowerment, Humility, Vision, and Trust. Conversely, the dependent variable, the Adoption of Digital Transformation, is assessed through three dimensions: Operational, Relational, and Transformational. To fulfill the objectives of this research, a questionnaire was developed and administered to a sample of 74 employees. The data were analyzed using SPSS software version 25. To test the hypotheses, the study employed Structural Equation Modeling via Partial Least Squares (PLS-SEM) and the Bootstrapping method of testing the hypotheses of the study, through the Smart -PLS (4) software. The findings reveal that servant leadership practices notably influence the adoption of digital transformation among employees, with significant effects observed specifically in empowerment and trust, which recorded probability values of 0.008 and 0.024, respectively. In contrast, the dimensions of Moral Love, Humility, and Vision were found to exert no significant effect, as their probability values were 0.388, 0.183, and 0.167, respectively, which are above the significance level of 0.05. Based on these results, the researchers propose several recommendations: granting a portion of decision-making autonomy to employees to foster empowerment, encouraging teamwork towards common organizational goals, streamlining communication channels for efficient information delivery, and enhancing trust and job satisfaction through both material and moral incentives within the organization.