Abstract

This study examines how leadership and organizational agility contribute to building employee engagement, focusing on the context of Indonesia’s digital economy. The central question investigates how adaptive leadership enables organizational agility while enhancing employee engagement in organizations facing rapid technological change and market uncertainties. Leadership is identified as a critical factor in shaping vision, empowering teams, and cultivating a culture of innovation that resonates with the local work environment. Findings drawn from literature synthesis and empirical evidence in Indonesian organizations show that organizational agility reflected in flexible structures, adaptive processes, and rapid responsiveness acts as a significant mediator that reinforces employee engagement. The discussion highlights how inclusive and collaborative leadership practices strengthen employees’ sense of belonging, motivation, and performance. The main findings suggest that the integration of visionary leadership and organizational agility is essential not only essential for fostering engagement but also for sustaining long-term competitiveness. This research contributes by offering insights into how Indonesian organizations can strategically align leadership styles and agility capabilities to thrive in the digital era and maintain sustainable growth.