Business and Applied Management Journal
Vol. 4 No. 2 (2026)

Integrating Digital Competence and Islamic Work Ethics to Enhance Change Readiness: The Mediating Role of Employee Engagement

Indah Rizki Maulia (Universitas Bhayangkara Jakarta Raya)
Nera Marinda Machdar (Universitas Bhayangkara Jakarta Raya)
Yayan Hendayana (Universitas Bhayangkara Jakarta Raya)
Zahara Tussoleha Rony (Universitas Bhayangkara Jakarta Raya)
Joseph M J Renwarin (Universitas Bhayangkara Jakarta Raya)



Article Info

Publish Date
16 Jul 2026

Abstract

Digitalization has become a strategic necessity for Islamic Rural Banks (BPRS) in Indonesia, making employees' readiness for change critical to successful transformation. This study examines the roles of digital competence, Islamic work ethic, and employee engagement in enhancing change readiness, providing insights for strengthening human resource strategies in the digital era. The study was conducted among 200 employees working in Rural Islamic Banks (BPRS) operating across the Greater Jakarta region (Jabodetabek). Respondents were selected using a purposive sampling technique based on predetermined criteria. Data were gathered through a structured questionnaire using a five-point Likert scale and analyzed with SmartPLS 4 to assess the proposed relationships among the research constructs. Digital competence and Islamic work ethic have positive and significant effects on employee engagement and change readiness. Employee engagement has a significant positive effect on change readiness. Also, it serves as a partial mediator in the relationships between digital competence and change readiness, and between Islamic work ethic and change readiness. This study provides empirical evidence that integrating these elements positions organizations better to support successful change initiatives and achieve sustainable organizational development in an increasingly digital environment.

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Journal Info

Abbrev

bamj

Publisher

Subject

Humanities Economics, Econometrics & Finance Education Environmental Science Social Sciences

Description

Business and Applied Management Journal is Peer-reviewed refereed journal aiming at engaging academicians as well as practitioners. Focus on the areas of economics, finance, banking, capital markets, takaful and law. The aim of the Journal is to foster academic research by publishing original ...