Existing literature largely treats paradoxical leadership (PL) and enterprise digital transformation (EDT) as aggregate concepts, obscuring the distinct effects of multidimensional PL behaviors on transformation breadth and depth. This study aims to integrate PL research with dynamic capabilities theory, investigating the differential impacts of the present–future and organization–environment PL and revealing the mediating role of dynamic capabilities.
Based on a sample of 220 survey responses, this study used hierarchical regression and bootstrap methods to test the mediating effect of dynamic capabilities in the relationship between PL and EDT. All hypotheses were supported.
The results indicate that the two dimensions of PL exert differential effects on the breadth and depth of EDT. Specifically, the present–future PL facilitates digital transformation breadth, whereas the organization–environment PL significantly enhances digital transformation depth. In addition, dynamic capabilities serve as a significant mediator in the relationship between PL and EDT.
This study extends research on PL and EDT by delineating how distinct dimensions of PL differentially affect the breadth and depth of EDT. It shifts the focus of PL theory from whether it is effective to which dimensions are more effective, under what conditions and for which outcomes. Furthermore, grounded in the dynamic capabilities view, this research unpacks the black box of the relationship between executive PL and EDT, deepens theoretical understanding of dynamic capabilities and provides theoretical underpinnings and practical insights for leveraging senior leadership precisely in digital transformation initiatives.
