Change Management and the Impact of Teaching Efficacy and Strategic Agility on Organizational Performance in Malaysian Private Higher Education Institutions

Change Management and the Impact of Teaching Efficacy and Strategic Agility on Organizational Performance in Malaysian Private Higher Education Institutions

Chua Chek Yea; Gazi Md Nurul Islam*

Tun Razak Graduate School, Universiti Tun Abdul Razak, 195A, Jalan Tun Razak, Hampshire Park, 50450, Kuala Lumpur, Malaysia

*Corresponding Author

DOI: https://dx.doi.org/10.47772/IJRISS.2025.90400224

Received: 28 March 2025; Accepted: 01 April 2025; Published: 07 May 2025

ABSTRACT

The effect of leadership change management on organizational performance is important for the long-term sustainable management of higher education private organisations. The objective of this study was to assess how the leadership change management, strategic agility, teaching efficacy influence on successful transformation in the private higher education institutions in Malaysia. The study examined the mediating effect of strategic agility on the relationship between leadership change management, teaching efficacy and organizational performance among the private higher education institutions in Malaysia.  The results of the study posited a direct correlation between strategic agility and organisational performance. These results of the study found that organizational change management, teaching effectiveness, transformational leadership contributed to the performance of private higher learning institutions (PHLIs) in Malaysia. The findings indicate that strategic agility has a substantial impact on organisational success. The results of the study contribute to add to the body of knowledge in leadership change management strategy in private higher learning institutions in Malaysia. The study provides valuable inputs for the policy makers in formulating higher education policy in Malaysia.

Keywords: change management, leadership, organizational performance, teaching efficacy, strategic agility.

INTRODUCTION

The concept of change management has garnered significant interest during the past twenty years. Change management encompasses the various organizational tasks that offer assistance to individuals inside a company, facilitating the smooth execution of personal transactions. Change management is a crucial component that incorporates into various critical areas of business functions, including project management, human resources, organizational leadership, and strategy. The business landscape has undergone a substantial transformation, transitioning from production-centric to knowledge-centric economics, with profound implications for corporate entities. To navigate and thrive in this economic upheaval, organizations must enhance their performance. This can be accomplished through various measures such as cost reduction, the introduction of innovative products, process and productivity improvements, and minimizing time-to-market (Becker and Gerhart, 1996). This shift has had a profound impact on Malaysia’s efforts to enhance the service sector, which stands as the primary contributor to the nation’s gross domestic product (GDP).

Malaysia has established a strategic objective to position itself as a prominent educational center within the region, with the aim of increasing the number of international students to 250,000 by the year 2025. In pursuit of this goal, Malaysia seeks to enhance the reputation of its higher education institutions by positioning them as providers of globally recognized and esteemed academic qualifications. According to the Ministry of Education Malaysia (2015), there is an expectation for Malaysian higher education institutions to generate graduates that have excellent employability prospects. This can be achieved through various means, such as enhancing the reputation of public higher education institutions (PHEI) through publications of research, patents, and institutional quality. These efforts are aimed at attracting foreign students to choose Malaysia as their preferred destination for further studies.

The Ministry of Education Malaysia (2015) is also examining the potential for aligning the functions of Public Higher Education Institutions (PHEIs) with those of private higher education institutions. Additionally, the ministry aims to guarantee the long-term sustainability of PHEIs. Nevertheless, given the current economic downturn and subsequent significant reduction in budget, it is doubtful that the Private Higher Education Institutions (PHEI) will be able to realize this ambition. According to Mustafa Kamal (2017), the present scenario for the 20 Malaysian Private Higher Education Institutions (PHEI) is defined by a significant reduction of 19 percent (RMl.5 billion) in their operating expenditures.

In the Malaysian higher education landscape, the performance and relevance of private higher learning institutions (HLIs) hold significant importance due to the highly competitive nature of the business (Ahmad & Ng, 2015). The higher education industry in Malaysia consists of a total of 629 institutions, with private Higher Learning Institutions (HLIs) accounting for around 73% of the overall number (Jabatan Pendidikan Tinggi, 2018). As a result of this, private higher learning institutions (HLIs) are regarded as having a substantial impact on the economic development of the country. According to Lewin (2015), educational institutions play a vital role in the development of skilled and competent individuals, thereby enabling the nation to enhance its global competitiveness by moving up the value chain.

This paper proposes a conceptual framework that combines the RBV and Organizational Culture theories to provide a comprehensive understanding of the factors influencing change management performance of private higher learning institutions of Malaysia. The study proposed a conceptual framework through identifying research gap to examine the mediating effect of strategic agility on the relationship between leadership change management, teaching efficacy and organizational performance among the private higher education institutions in Malaysia. The framework aims to fill a critical gap in literature. The insights gained from this study will offer valuable guidance for policymakers, educators, and support organizations in designing targeted interventions that enhance performance of private higher learning institutions of Malaysia.

LITERATURE REVIEW

Performance of Higher Educational Institutions

Previous research indicates that the evaluation of teachers’ success can be gauged by the influence they have on students’ academic performance (Rice, 2003). Conversely, there exists a correlation between teacher quality and a higher income in preceding years, as evidenced by the research conducted by Abd Hamid et al. (2012). In the Malaysian context, the concern of low earnings has been mitigated as teachers now obtain improved compensation through higher allowances. The measurement of teacher quality has become increasingly intricate due to its multifaceted nature, encompassing factors such as teaching preparation and confidence (Darling-Hammond, 2000), experience and knowledge (Goe, 2007), pedagogical abilities, positive attitude, and effective classroom management (Waxman et al., 2003).

It has been observed that a leadership approach such as transformational leadership has been associated with favorable outcomes in terms of work performance (Warganegara, 2021; Alise, 2021; Ramakrishnan & Abdul Lasi, 2020; Amalina et al., 2022; Mohd & Arshad, 2019). The transformational leadership style has been widely recognized as the most suitable and effective approach to effectively lead and guide personnel in times of crises or organizational transitions (Ma & Yang, 2021; Alkhawlani et al., 2019; Hasan & Rjoub, 2017). Transformational leaders possess specific personal traits such as idealized influence, inspirational motivation, intellectual stimulation, and individual consideration. These factors play a crucial role in maintaining employee motivation and enabling them to effectively carry out their job responsibilities, even in the face of challenging and stressful situations (Bass & Bass, 2009).

Teaching Efficacy

The concept of teaching efficacy plays a crucial role in elucidating the factors that influence teachers’ motivation to educate and the subsequent impact on their instructional outcomes. The Eleventh Malaysia Plan (11MP: 2016–2020) and the Twelfth Malaysia Plan (12MP: 2021–2025) established a connection between the standard of higher education and human capital, as well as future talent, thereby emphasizing the significance of this element in facilitating economic advancement. Improving the teaching efficacy of educators has the potential to enhance their confidence in the classroom, foster greater student engagement, facilitate regular exploration of novel teaching methodologies, and promote students’ capacity for learning and innovation (Liu, Du, & Lu, 2023).

Mangila (2022) has conducted a study to investigate teaching effectiveness on the performance of higher education institutions in the Philippines. The results of the study suggest that the instructors possess a high level of willingness to invest their resources in teaching tasks as well as in the teaching profession. Manufi (2016) stresses that instructors with more content knowledge expertise are found to have connections between the subject matter knowledge and the real world, and creating links to the real world, in turn, is found to improve student learning significantly. Boset and Asmawi (2020) stress that professional performance is an indispensable factor which affects students’ achievement and performance.

Strategic Agility

Strategic agility is derived from the competencies possessed by individuals. Organizations must possess strategic agility, which enables them to adapt and respond effectively to dynamic environments for efficient management. Previous research has demonstrated that individuals have a vital role in the strategic agility of organizations (Oyedijo, 2012). The role of human resources or personnel is crucial in determining the degree of organizational agility. In order to enhance the level of organizational agility, it is important to provide training and establish accountability among individuals inside universities. The study conducted by Khavari et al. (2016) focuses on the concept of organizational agility rather than strategic agility.

Strategic agility is considered an integral component of the management process inside the company strategy (Walter, 2020). According to Muthuveloo (2015), organizations that possess strategic agility are better equipped to effectively respond to rapid changes in a dynamic business environment through prompt decision-making and efficient implementation. However, previous research has not particularly investigated the various demographic groups in relation to their strategic agility. According to Khavari et al. (2016), the enhancement of organizational agility can be achieved through the implementation of effective training and development programs for individuals inside the organization. This approach aims to facilitate students’ acquisition of knowledge and enhance their likelihood of achieving favorable outcomes (Dixon et al., 2014; Li et al., 2019). In a study conducted by Tschannen-Moran et al. (2009), it was shown that the absence of targeted counseling support resulted in a drop in teaching efficacy among educators.

Pereira et al. (2019) found out that higher investments in dynamic capabilities enhance multinationals to be more agile and acquire competences to gain and secure sustainable competitive. Most education institutions had to change their education modes, and thus there was a need for rethinking their existing strategies and applying new ones (Fenech et al., 2020). Menon & Suresh (2020) indicate that changing environmental dynamics in higher education call for changes in the skill sets of the workforce, and hence processes and practices that enhance and develop new knowledge and capabilities in the workforce have become crucial for the HEIs to realize their goals. Agility was described as a backdrop as participants referred to being agile, swift, fast paced etc. in all their thoughts and actions leading to new teaching strategies (Fenech et al., 2021). Kumkale (2016) contends that strategic agility is a tool for establishing competitive advantage and that organizations must leverage their competitive advantages while developing their strategies. Competitive advantage refers to the capabilities, resources, relationships, and actions that enable a corporation to avoid industry risks and capitalize on opportunities.

Transformational Leadership and organizational performance

Prior research has indicated that transformational leadership has demonstrated a more favorable influence on staff management in the context of organizational transition. According to Tims et al. (2011), it has been argued that transformational leaders have the ability to instill hope and optimism within employees during times of organizational transition. Additionally, Wright et al. (2012) found that employees tend to view the change in a more positive light when a transformational leader effectively communicates a distinctive and appealing vision for the change. However, there is a lack of research that investigates the impact of transformational leadership on the correlation between internal organizational characteristics and organizational performance in the context of organizational transition. Based on the available literature, the predominant emphasis lies in examining the influence of transformational leaders within the framework of deliberate organizational transformations (Faupel & Süß, 2018; Chou, 2015; Carter, Armenakis, Field, & Mossholder, 2013; Herold, Fedor, Caldwell, & Liu, 2008; Herrmann, Felfe, & Hardt, 2012). Hence, the present study aims to investigate the correlation between leadership variables and the overall performance of privately-owned institutions of higher education.

Change Management

Change management is a systematic and methodical technique that is designed to efficiently plan, execute, and maintain organizational changes. The process encompasses the strategic coordination of planning, implementation, and evaluation endeavors aimed at facilitating the smooth transition of individuals, teams, and the organization as a whole from their present conditions to envisioned future conditions. Change management may be described as the process of navigating the transition that both individuals and organizations experience as a result of a change (William, 2003). Change management encompasses a range of processes, tools, and techniques employed to effectively oversee and navigate human and organizational changes within the context of a project. Change management can be defined as a comprehensive framework consisting of concepts, methods, and instruments that are utilized to effectively lead and navigate through the process of change (Kotter, 2012).

In the context of enterprises with a negative public perception, the inclusion of customers in the innovation process may not yield advantageous outcomes. According to Morgan et al. (2021), According to Leick (2019), the findings suggest that market leadership and market expansion are the two most significant adaptive company strategies. In summary, it is imperative for organizations to engage in strategic change and adaptation in order to enhance their performance within the rapidly evolving business landscape of the contemporary day. Organizations that possess the ability to consistently evaluate and modify their plans are more inclined to achieve enduring success and prosperity in the long run.

Transformational Leadership and Performance

The findings indicate that the transformational leadership behavior of direct supervisors was influenced by the distinctive setting of public enterprises. In a study conducted by Fred et al. (2011), it was found that there is a positive and substantial relationship between ethical leadership and employee performance, as assessed by their direct supervisors. The results were in line with the theoretical frameworks of social exchange, social learning, and social identity that were utilized in the study. Several empirical studies have demonstrated the favorable influence of transformational leadership on several organizational characteristics, including organizational culture. Lasrado and Kassem (2020) conducted a study that revealed a substantial correlation between transformational leadership and the presence of an involvement culture inside a company. An involvement culture fosters comprehensive employee participation and holistic engagement, ultimately resulting in organizational excellence. The study conducted by Bagga et al. (2022) shown a positive and significant correlation between transformational leadership and organizational culture. This correlation was observed across four distinct attributes, namely engagement, consistency, flexibility, and mission.

The presence of transformational leaders is crucial in fostering a favorable organizational climate through actively engaging people. The aforementioned positive correlation suggests that transformational leaders possess the ability to effectively cultivate trust among their followers and exert influence and empowerment through the promotion of corporate principles, so ensuring the longevity of the organizational culture. The present study’s results validate the existence of a robust and statistically significant correlation between transformational leadership and organizational culture, consistent with previous research conducted by Gholamzadeha et al. (2014), Jati et al. (2015), and Poturak et al. (2020). The positive influence of transformational leadership on promoting behavioral support for change has been substantiated by Chou’s (2015) findings. Chou asserts that the success of change initiatives hinges on leaders’ capacity to recognize the pivotal role employees play in effectively internalizing the process of change. Employees may see organizational change as disruptive and unsettling, leading to a range of emotional responses. These responses are influenced by how employees interpret the content, context, and process of the change. Consequently, employees’ reactions can vary from feelings of exhilaration and relief to resentment and fear (Oreg & Berson, 2011).

Existing research suggests that the utilization of a transformational leadership style has been shown to be more efficacious in sustaining organizational performance in times of crisis. For instance, the study conducted by Ma and Yang (2021) revealed that there exists a strong positive link between transformational leadership and crisis management performance, contingent upon varying perceptions of pandemic crises. The utilization of the transformational leadership style is considered suitable for maintaining employee motivation and facilitating successful job performance in the face of hurdles encountered while implementing change in a crisis scenario. Transformational leaders are purported to possess the capacity to offer support through enhancing motivation and fostering regular engagement with their subordinates. The organization exhibits a heightened level of empathy in addressing the needs of its employees and in safeguarding the well-being of individuals affected by the crisis.

In their study, Alkhawlani et al. (2019) aimed to investigate the influence of transformational leadership style on crisis management, with a focus on the moderating role of a manager’s crisis experience inside organizations in Yemen. The utilization of a transformational leadership style has a notable and favorable impact on the management of crises. Numerous research, including those conducted by Alkhawlani et al. (2019), Hasan and Rjoub (2017), Shadraconis (2013), Zhang et al. (2012), and Cho and Tseng (2009), have yielded comparable results, indicating the efficacy of the transformational leadership style in situations characterized by ambiguity. Previous research in the field of change management has emphasized the significance of leaders in effectively managing organizational change that is instigated by external forces. The role of leaders in facilitating employee adaptation to change, cultivating favorable attitudes towards change, and exhibiting supportive behavior during the change process has been extensively studied (Armenakis, Harris, & Feild, 1999; Self & Schraeder, 2009; Choi & Ruona, 2011; Nordin, 2012). This is crucial in order to mitigate any negative impact on organizational performance resulting from significant changes (Ringin & Bello, 2013; Al-Haddad & Kotnour, 2015; Armenakis & Harris, 2002).

Several research have demonstrated a substantial correlation between transformational leadership and both preparedness for change and change supporting behavior (Faupel & Süß, 2018). Tims et al. (2011) claim that transformational leaders have the ability to instill a sense of hope and optimism inside individuals amidst periods of organizational change. According to the study conducted by Wright et al. (2012), it was observed that employees’ impression of the appeal of a change is heightened when transformational leaders effectively communicate a distinct and appealing vision of the change. According to DeCelles et al. (2013), there exists a negative association between transformative leadership and employee skepticism towards organizational change. Additional research findings indicate that leaders who actively participate in the process of change have the ability to impact the preparedness of employees for such change (Grimolizzi-Jensen, 2015; Lines, Sullivan, & Wiezel, 2016).  Jones and Van de Ven (2016) posited that leaders who provide support are effective in reducing opposition to change as time progresses.

Teaching efficacy and performance

The concept of self-efficacy pertains to an individual’s personal evaluation of their capacity to effectively execute a task or fulfill a certain component of their professional responsibilities (Yan et al., 2020). The scholarly examination of teaching efficacy has spanned more than four decades, and despite continued discourse, a consensus over an academic definition of teaching efficacy has yet to be reached. Nevertheless, numerous common attributes can be discerned. The origins and understanding of instructional efficacy are predominantly rooted in the theoretical frameworks of locus of control theory and social cognition theory. These theories involve two separate lines of inquiry: efficacy derived from the locus of control theory and self-efficacy theory. Scholars widely agree that the notion of instructional efficacy is multifaceted and comprehensive in its theoretical and structural aspects. Teacher self-efficacy refers to a psychological construct that encompasses educators’ beliefs and confidence in their teaching abilities, encompassing cognitive, affective, and volitional dimensions.

According to the findings of Kim et al. (2018), teaching efficacy refers to the subjective assessment made by educators on their own ability to positively impact the academic achievements and conduct of their students. This assessment is informed by the teachers’ accumulated teaching experience and their comprehension of educational principles. There exists a prevailing idea that educators possess the ability to successfully fulfill their instructional responsibilities and achieve their pedagogical objectives. Teacher efficacy can be seen as a subjective evaluation of a teacher’s effectiveness, which encompasses their personal ideas regarding the effectiveness of their teaching practices and their anticipated levels of success in the instructional process. According to Zhang (2015), teaching efficacy refers to a teacher’s self-efficacy in relation to their instructional practices. Teacher efficacy encompasses the entirety of a teacher’s proactive efforts, while teaching efficacy is a specific facet within the broader construct of teacher efficacy. The efficacy of teaching has a significant impact on the effectiveness of instructional practices. Furthermore, according to Liu (2009), various elements such as curriculum implementation, teaching materials, teaching techniques, teacher behavior, teacher ability, teacher emotion, and teacher attitude are believed to influence teaching efficacy. Teaching efficacy is a multifaceted concept that encompasses different dimensions of a teacher’s cognitive, affective, and behavioral processes during the course of educational and instructional activities, as noted by both domestic and international experts (Zhang, 2015).

Teaching Efficacy and Performance

Numerous previous studies have examined the various factors that influence teaching efficacy and the mechanisms through which it is formed. Some of these studies have indicated that teaching efficacy plays a crucial role in elucidating teachers’ motivation and behavior in the classroom, as well as its impact on their enthusiasm for work and the effectiveness of their teaching (Lu, 2017). According to Stronge (2018), a proficient educator must possess a comprehensive understanding of scientific and cultural subjects, as well as the capacity to incorporate novel pedagogical concepts, adeptly employ diverse teaching methodologies, and demonstrate successful instructional skills. The concept of teaching efficacy is manifested in various aspects of the teaching process, specifically pertaining to teachers. These aspects encompass teaching engagement, teaching strategies, classroom behavior, teachers’ abilities, teaching emotions, and teaching beliefs. This notion has been explored and discussed in the works of Sahin (2017), Chu, Bai, and Su (2018), Srinivasan and Pugalenthi (2020), as well as Cheng, Zhang, Ma, and Cao (2022).

Another aspect of the study focuses on the domain of educational psychology, primarily aiming to investigate the correlation between variables such as job satisfaction, job burnout, stress, and teaching efficacy. This line of inquiry has been explored by several scholars, including Peng, Lu, and Liu (2017), He (2018), Dong (2019), and Geraci, Di, Inguglia, and D’Amico (2023). Insufficient scholarly attention has been devoted to the domain of pedagogy within the realm of labor education. There remains a lack of clarity among academic circles, both domestically and internationally, about the definition and connotation of instructors’ teaching efficacy. Furthermore, research on teaching efficacy primarily concentrates on basic education, neglecting its use within higher education. The perspective of teaching planning posits that teaching strategies are deliberate plans designed to accomplish educational objectives, encompassing a combination of instructional approaches and processes. Teachers employ various strategies to facilitate student learning (Moore, 2016).

In the existing literature concerning the influence of students’ academic self-efficacy (Stubbs & Maynard, 2017), the role of teachers’ instructional practices on students’ academic self-efficacy is of utmost importance, as evidenced by various aspects of teaching activities. By implementing instructional strategies such as group cooperation and team learning, fostering a positive collaborative environment, and promoting students’ self-directed and effective learning, there is an enhancement in students’ academic self-efficacy. According to (Hu & Tang, 2018), promoting autonomous learning among students and enhancing their academic performance are valid methods of successful instruction. It is crucial for teachers to employ suitable teaching strategies in order to ensure effective teaching. In a study conducted by Ma (2019), the focus of investigation was the teaching mode. The findings revealed that the implementation of an integrated teaching mode had a considerable positive impact on students’ learning outcomes. Teacher belief can be categorized as a specific form of belief. The term “pedagogy” denotes the perspective of an educator towards instructional methods and strategies. The concept encompasses two distinct components: core belief and peripheral belief (Wang, 2016). Core beliefs are generally characterized by their relative stability and are primarily derived from the accumulated teaching experience of educators. Peripheral beliefs are influenced by the pedagogical theories that teachers have acquired expertise in.

Theory of Resource-Based View

The conceptual framework was constructed based on the analysis of the literature study, incorporating the Theory of Resource-Based View (RBV) proposed by Barney (2001), the theory of Organisational Culture, and the leadership theory proposed by Masten and Tellegen (2012). The Resource-Based View (RBV) hypothesis has been employed to elucidate the interconnections between organizational change management and other aspects such as organizational culture, human capital, transformational leadership styles, organizational agility, and change adoption tactics.

Conceptual Framework

Figure 1 serves as a visual representation of the study framework concept. The framework comprises change management, leadership, strategic agility, teaching efficacy, and performance of PHLI’s. There are three independent variables in this study: change management, transformational leadership, and teaching efficacy. Strategic agility is treated as a mediating variable, while the performance of PHLI’s is the dependent variable. In the conceptual framework, Teaching Efficacy, Change Management, Transformational leaderships are the independent variables, Strategic Agility is the mediating variable and Organisational Performance is the dependent variable.

Figure 1 Research Conceptual Framework

DISCUSSIONS AND MAIN CONTRIBUTION

The study demonstrated a substantial and favourable correlation between instructional efficacy and organisational success, Faculty members with a strong sense of teaching efficacy are more successful in providing high-quality education, leading to improved overall performance of the institution. This finding of this study emphasises the need of ongoing professional development programmes in establishing and maintaining high levels of teaching effectiveness among academic personnel. Implementing efficient change management strategies is essential for enhancing organisational performance. Change management encompasses the deliberate and systematic process of planning, communicating, and implementing actions to fulfil the goals of an organisation. Organisations that demonstrate exceptional proficiency in change management are more effectively prepared to navigate changes, adjust to new regulations and technology, and ultimately improve their overall performance. The results indicate that organisations that adopt systematic change management procedures are more capable of handling difficulties and taking advantage of opportunities, thereby enhancing their overall performance. This discovery highlights the necessity of implementing comprehensive change management frameworks in private higher learning institutions.

Implementing transformational leadership methods has a substantial positive impact on the overall performance of an organisation. Leaders who have transformational characteristics inspire and motivate their team, resulting in increased levels of dedication and achievement. PHLIs should prioritise the development of transformational leadership abilities among their leaders in order to achieve organisational success. The presence of a positive correlation suggests that the implementation of transformational leadership techniques, such as articulating a clear vision, fostering innovation, and facilitating professional development, has a substantial impact on the effectiveness of Private Higher Learning Institutions (PHLIs). This discovery underscores the necessity for leadership development initiatives that foster transformational leadership attributes in academic leaders.

Greater strategic agility is facilitated by a high level of instructional efficacy. Teachers who possess self-assurance and proficiency in their instructional methods are better equipped to adjust and react to shifts in the educational environment. The positive association indicates that a strong belief in one’s ability to teach effectively leads to increased ability to quickly and effectively adjust to and address changing educational needs. This discovery emphasises the interdependence of teaching excellence and organisational flexibility, emphasising the significance of promoting teaching effectiveness to improve strategic adaptability in PHLIs. the correlation between change management and strategic agility, suggesting a robust and advantageous connection. Implementing effective management methods improves an institution’s ability to quickly and effectively adapt to strategic changes. Organisations that are skilled in handling change are more capable of adapting to external changes and retaining their competitive advantage. This highlights the significance of including change management practices that encourage flexibility and adaptability in PHLIs. There is a positive correlation between transformative leadership and strategic agility. Transformational leaders are crucial in promoting strategic agility in organisations. These executives foster a culture that promotes innovation and adaptation, which is crucial for attaining strategic agility. This discovery emphasises the importance for PHLIs to develop transformational leadership attributes that improve their ability to adapt quickly and effectively and better their overall organisational performance. Leadership development programs should prioritize the cultivation of visionary, innovative, and supportive leadership behaviours.

There is a direct correlation between strategic agility and organisational performance. Organisational performance is greatly enhanced by strategic agility. Organisations that demonstrate strong strategic agility are more effectively positioned to adjust to changes, capitalise on opportunities, and minimise risks, resulting in enhanced performance outcomes. This underscores the need of formulating tactics that bolster an organization’s agility and flexibility, guaranteeing its competitiveness and responsiveness to the changing educational environment. Similar findings were reported by Josephine & Rajendran (2022) which found that strategic agility has significant relationship with organisational performance in private higher educational institutions in Malaysia. These results are in line with other studies (Junni et al., 2015; Verma et al., 2017).

The function of strategic agility as a mediator in the relationship between transformational leadership and organisational performance. This implies that the use of transformational leadership leads to an increase in strategic agility, which subsequently results in improved organisational performance. The significance of strategic agility as a crucial aspect that connects leadership practices to performance results is shown by its mediating role. Leaders who promote strategic agility can bring about substantial enhancements in organisational performance, underscoring the importance of integrated methods that merge leadership development with tactics to boost strategic agility. This discovery implies that transformative leadership boosts strategic agility, leading to an enhancement in organisational performance. The significance of strategic agility as a crucial aspect that connects leadership practices to performance results is shown by its mediating role. This emphasises the necessity for comprehensive approaches that merge leadership development with tactics to promote strategic adaptability.

Contribution

The results of this study have significant consequences for Private Higher Learning Institutions (PHLIs) in Malaysia. There is a direct and indirect relationship between strategic agility and organisational performance of private higher education institutions in Malaysia. This result is consistent with past studies which found that strategic agility indirectly influence organisational performance with the presence of a mediator (Chow et al.,2013). In this study, strategic agility was found to have a strong mediating effect on the relationship between teaching efficacy, transformational leadership and change management with organisational performance. The findings suggest that strategic agility could play a crucial role during rapid disruptions and uncertainties. The private HLIs will be able to increase their organisational performance through the presence of strategic agility. The findings of the study have narrowed the research gap on strategic agility in the higher education context. Past experiences have highlighted the weaknesses of private HLIs which involved financial losses, poor rankings globally, and poor graduate employability (Chan & Muthuveloo, 2018). The current study has provided evidence that private HLIs should acquire strategic agility. Specifically, private HLIs in Malaysia should develop the strategic agility to optimise their organisational performance and sustain business growth in current dynamic business landscape.

RECOMMENDATIONS

Continuous professional development can greatly enhance teaching efficacy and lead to major improvements in organisational performance. Institutions ought to allocate resources towards training and development programmes that provide educators with the necessary talents and self-assurance to deliver instruction of exceptional quality. It is essential to adopt effective change management techniques in order to successfully navigate the ever-changing educational landscape. Organisations ought to implement systematic methodologies for managing change, which encompass effective communication, active involvement of stakeholders, and ongoing monitoring. Other than that, fostering the development of transformative leadership attributes in academic leaders can enhance the overall success of the organisation. Leadership development programmes should prioritise the cultivation of visionary, innovative, and supportive leadership behaviours. Next, cultivating strategic agility is crucial for preserving competitiveness and adaptability in the face of change. Institutions should give priority to implementing measures that improve their capacity to adjust to emerging difficulties and capitalise on new possibilities. By integrating leadership development with methods to boost strategic agility, organisations can achieve a synergistic effect that leads to improved performance. Organisations should implement comprehensive strategies that synchronise leadership methodologies with long-term objectives.

The findings of this study offers unique perspectives on the elements that impact the functioning of Public Higher Learning Institutions (PHLIs) in Malaysia. Institutions can improve their performance and achieve long-term success in the constantly changing educational environment by comprehending and using the connections between change management, instructional effectiveness, transformational leadership, and strategic adaptability. This study contributes to the existing body of knowledge by confirming the mediating effect of strategic agility on the relationship between transformational leadership and performance of private higher learning institutions. This study confirms the significant influence of strategic agility and leadership strategies on increasing the performance of higher education institutions. Teachers attribute their teaching success to their teaching abilities, efforts, beliefs, or strategies, which can stimulate strong teaching motivation and enthusiasm and result in effective teaching, influencing teaching efficacy and achieving success in education.

Training and seminars must be regularly conducted for instructors’ professional growth and advancement. Lastly, continuous monitoring must be also undertaken to obtain a more comprehensive view of instructors’ teaching effectiveness and work performance. Another study covering a broader scope and with more participants involved be conducted to obtain a more comprehensive view of the instructors’ teaching effectiveness and work performance. Policy makers in higher education will be able to ascertain the type of organizational support to be given to educators in terms of infrastructure, technological platforms and appropriate competency based training. The second recommendation is that the key stakeholders namely students and educators must be in constant communications through reflections and feedback in order to ascertain the impact of the new teaching strategies and thus the success of the model.

LIMITATION AND FUTURE RESEARCH

There are several limitations in the study. There are several factors that affect teaching efficacy, strategic agility, change management and leadership in the organizational performance. Past studies have recognized that these factors are complicated and varied, and the study did not consider other influencing factors, including external variables such as collective teaching efficacy (Hu, 2021) and social support (Shi, 2022).  Similarly, leadership styles are different for assessing the performance of various types of organisations. Past studies investigated transformational and transactional leadership styles. Therefore, future research should employ a more variables for comprehensive understanding of the performance in PHLIs in Malaysia.

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