International Journal of Business and Management Technology in Society (IJBMTS)
Vol. 3 No. 2: December 2025

Transformational Leadership in Post-merger Organizations: A Qualitative Study of Indonesian State-owned Company

Raden Moch Ismail Ali Fauzi (Department of Management, Faculty of Economics and Business, Universitas Indonesia)
Nayunda Andhika Sari (Department of Management, Faculty of Economics and Business, Universitas Indonesia)



Article Info

Publish Date
14 Jan 2026

Abstract

Purpose – To explore employees’ perceptions of transformational leadership in a post-merger context and to understand the strategies they use to cope with merger-related challenges. Methodology – This study employs a qualitative research design, conducted through semi-structured interviews with ten employees from various hierarchical levels at a company formed from the merger of two major Indonesian state-owned enterprises (BUMN). The qualitative approach is used to capture employees’ subjective interpretations of transformational leadership and their strategies in responding to post-merger challenges. Findings – The study identifies nine key themes across three areas. Employees perceive transformational leadership post-merger as the leader’s ability to orchestrate organizational change, act as a role model, and provide guidance and emotional support during adaptation. They face major challenges including unclear structures and work systems, cultural differences between the merged entities, and a gap between management expectations and operational realities. To navigate these challenges, employees adopt three main strategies: developing acceptance toward organizational changes, demonstrating agility in adjusting roles and decision-making, and strengthening cross-unit and cross-entity collaboration. Originality – This study contributes to the literature on the role of transformational leadership in post-merger organizations and offers practical implications for organizational change management, particularly in the Indonesian context. This study makes an important contribution to the existing literature by presenting a more contextual and in-depth narrative of employees’ experiences in the public sector. In the context of state-owned enterprises, mergers introduce unique complexities because they involve bureaucracy, gaps in work culture, and imbalances in power structures and information.

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Journal Info

Abbrev

ijbmts

Publisher

Subject

Economics, Econometrics & Finance Social Sciences

Description

The International Journal of Business and Management Technology in Society (IJBMTS) is a peer-reviewed, open-access journal that publishes original research articles, review articles, and case studies in the fields of business, management, and management of technology. The journal aims to provide a ...