The Impact of Digital Leadership on Organizational Performance: A Study in Vietnam's coal Mining Companies

Abstract

Under the influence of the 4th industrial revolution and the impact of the Covid-19 pandemic, digital transformation is rapidly taking place in all aspects of society. For businesses, digital transformation is an essential and objective trend for their sustainability and development. The purpose of digital transformation for businesses is to enhance operational efficiency through factors such as accelerating market speed, gaining competitive advantage, driving revenue growth, increasing labor productivity, and expanding customer attraction and retention. Numerous studies have indicated that the process of digital transformation in businesses is influenced by leadership and digital transformation strategies, and digital transformation has an impact on business performance. This study aims to identify the relationship between digital leadership and the operational efficiency of coal mining companies in Vietnam, with the mediating role of digital transformation strategies. Additionally, the study examines the moderating role of digital skills on the relationship between digital transformation strategies and the operational efficiency of the organizations. The research surveyed 111 employees and workers currently working in coal mining companies in Vietnam. Through analysis and hypothesis testing, the results showed that digital leadership does not have a direct impact on coal companies’ operational efficiency. However, it indirectly affects business performance through the mediating role of digital transformation strategies. The study's findings also revealed that the digital skills of employees play a moderating role in enhancing the relationship between digital transformation strategies and the operational efficiency of the organization.