The Influence of Organizational Culture and Leadership Style on Employee Readiness in Digital Transformation

The acceleration of digitalization in Indonesia has transformed various aspects of organizational operations, including those in the retail sector. However, the success of digital transformation largely depends on employee readiness, which is influenced by internal managerial factors such as organizational culture and leadership style. This study aims to examine the influence of organizational culture and leadership style on employee readiness for digital transformation at the Store Division of Indogrosir Malang. Using a quantitative approach, the research employed a survey method with questionnaires distributed to 46 store employees, using a Likert scale to measure responses. The collected data were analyzed through multiple linear regression to determine both partial and simultaneous effects between variables. The findings reveal that both organizational culture and leadership style have a positive and significant impact on employees’ readiness to face digital transformation. These results indicate that an adaptive and innovative organizational culture, combined with a transformational leadership style, enhances employees’ motivation, competence, and openness to technological change. The study implies that strengthening these internal factors can improve digital transformation readiness, enabling organizations to maintain competitiveness and sustain performance in the digital era.