BRIDGING DIGITAL LEADERSHIP AND TECHNOLOGY CAPABILITY WITH WATER UTILITY PERFORMANCE: THE MEDIATING ROLE OF ORGANIZATIONAL CULTURE

Abstract

Digital transformation is reshaping water utility management by increasing the need for effective leadership, technological capability, and organizational adaptability. This study examines the relationships between Digital Leadership (DL), Technology Capability (TC), and Water Utility Performance (WUP), with Organizational Culture (OC) as a mediating mechanism. Drawing on Dynamic Capabilities Theory (DCT) and the Technology–Organization–Environment (TOE) framework, the study positions DL and TC as organizational capabilities that can strengthen utility performance directly and through a supportive organizational culture. A quantitative cross-sectional design was employed among employees of Air Selangor, Malaysia, with 412 valid responses analyzed using Partial Least Squares Structural Equation Modelling (PLS-SEM). The study provides an integrated Industrial Management perspective for understanding how leadership, technology capability, and organizational culture interact within the water utility environment. The proposed relationships offer practical insights for strengthening digital transformation, operational efficiency, infrastructure reliability, asset performance, water-loss management, and service continuity within the water utility sector.