The Role of Digitalization for Leadership Effectiveness: In the Case of Motor & Engineering Company of Ethiopia Limited S.C. (MOENCO)

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Date

2022-06

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Addis Ababa University

Abstract

The study aim to examine the role of Digitalization for Leadership effectiveness in the case of Motor and Engineering Company of Ethiopia, MOENCO. The qualitative data was found from literature's in the area of research; whereas the quantitative data was collected from respondents through a questionnaire. The study was conducted among the entire leadership group through a census sampling size. The data was then analyzed through SPSS and the reviewed data was elaborated by a descriptive analysis. In order to determine the relationship between variables, Pearson correlation matrix was used and regression analysis was done to investigate the effect of the independent factors on the dependent variable. The findings show that the group practiced all dimensions of digital practices, including Automation, Technology, and Corporate Strategy, and digital resources, with the exception of equitable access; thus, the study concluded that there is mostly good digital experience, which has a positive relationship with leadership effectiveness. Digital platforms were important for leaders to gather information, to support quality of decisions, and for increased external adaptability, but not for good engagement. Therefore, the study came to the conclusion that digitization has an impact on leadership effectiveness at most cases. Finally, the researcher recommended that even if MOENCO is in a good position for digital approaches leaders needs to put in more effort to embrace equitable access for digital platforms. They should use inclusive communication tools to interact with employees and improve engagements. Additionally, the study suggested that the current phenomena of digitalization is highly important to foster leadership effectiveness in organization. KEY WORDS: Digitalization, Effective, leadership, Equitable, Access, Employees engagement

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