Relationship between leadership support and technology adoption in the finance workforce

Abstract

The study examines perceived leadership support as a driver of technology adoption within the finance workforce, with employee engagement as a mediator. Technological advancements are rapidly affecting the finance workforce today, and such transformations can only be wrought with supportive leadership and highly engaged employees. While considerable prior research has examined how leadership and engagement spur technology adoption, only some have specified how their interactions unfold in the finance industry, uniquely positioned to embrace digital transformation. This research investigates perceived leadership support, employee engagement’s mediating role, and technology adoption in the finance workforce. A cross-sectional survey was conducted with 174 finance workforce, and the data were analysed using multiple linear regression to understand the strength and nature of relationships between these constructs. Results reveal that perceived leadership support significantly fosters technology adoption, with employee engagement fully mediating this relationship, indicating that leadership’s influence on adoption is enhanced through increased engagement levels. These findings thus bring awareness that leaders who actively promote employee engagement create conditions for technology adoption. The current study offers insights for leaders and managers in finance regarding the requirement for engagement-driven leadership approaches in facilitating digital transitions. Future research could apply these findings to other sectors or investigate specific technologies for further insights into how leadership strategies can be optimised for technology adoption.