Abstract:
This study investigates the impact of digital leadership on the sustainable organizational
performance of financial institutions in the Nuwara Eli.v.'.a district, Sri Lanka. The study also
examines the mediating roles of digital culture and employees' digital capabilities. The
study collected prirnary data from the respondents and secondary data from the annual
reports. Primary data were collected using a qr,restionnaire distributed through ph,vsical
copies and by post to 228 employees of fifteen financial institutions. Lrtilizing a
proportionate simple random sampling techniqLre. The qr-restionnaire comprised 3l
questions. rated on a five-point Likert scale rangin-q from strongly disagree to strongly
agree.
The study population consisted of fifteen financial institutions, with secondary data
covering recent annual reports from2022 t" 2021:,l_tal-u-,sis was conducted using Statistical
Package for Social Sciences (SPSS 26.0), employing descriptive statistics to measure
demographic variables and correlation. and mediation through regression analy'ses to
research variables.
:
Results revealed a strong and positive relationship between digital leadership and
sustainable organizational performance. Mediation analysis demonstrated that digital
culture and employees' digital capabilities partially mediate this relationship. with
proportions of 35.61Yo and 5 I .85o% respectively.
Keywords: Digitctal leadership, Digital culture, Enrplov-ees' digital capabilities,
Sustainable organizational perforntctnce, Digital sustainabiliQ, Financittl institutions.
