Transforming Higher-Education-Intitutes: Impact of Change Management on Sustainable Performance Through Transformational Leadership and Knowledge Management

Change management plays a key role in enhancing sustainable organizational performance in a dynamic global business environment. This study investigates the dimensions of change management (i.e., readiness of change, climate for change, and change processes) in boosting the sustainable performance of higher education institutions (HEIs) through knowledge management and transformational leaderships as mediators. This study employed an explanatory, quantitative, and cross-sectional approach for collecting data from the top management of private HEIs in Malaysia. Structural equation modeling using SmartPLS 4.0 is carried out for data analysis. We find that two dimensions of change management (i.e., climate for change and change processes) have a significantly positive impact on knowledge management, and only climate for change has a significantly positive relation with transformational leadership. The results highlighted that knowledge management mediate between climate for change and change processes and HEI sustainable performance. However, transformational leadership acts as a mediator between the climate for change and HEIs’ sustainable performance. No moderating effect of green teams was found between the mediators and HEI sustainable performance. The research findings have several implications for adopting the change management elements for the enhanced sustainable performance of HEIs and guiding the top management of HEIs, policymakers, and related governmental institutes.