The influence of hybrid working through readiness for change on sustainable performance management in the service sector in ASEAN

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M.B. Pandjaitan, M. Khusaini, M.F. Aminuddin, Panji Suwarno

2025 Decision Science Letters Vol. 14 Issue 4 Article Cited by 0 Quartile

Abstract

The COVID-19 pandemic has accelerated the shift to hybrid working, especially in ASEAN's service sector. This transition requires high readiness for change to maintain performance. Hybrid working offers flexibility and improved work-life balance but also presents challenges like miscommunication and inequality. Successful implementation depends on organizational adaptability, employee readiness, and technological support. This study aims to analyze the influence of hybrid working through readiness for change on sustainable performance management in the service sector in ASEAN. This study uses a quantitative path analysis approach A sample of 385 respondents was analyzed via SmartPLS, with a focus on understanding these dynamics in the ASEAN service sector. Hybrid working models significantly impact sustainable performance management in ASEAN's service sector by enhancing flexibility, operational resilience, and employee satisfaction. These models allow organizations to adapt to changing conditions and improve job satisfaction, which fosters a proactive approach to change. This, in turn, supports sustainable performance by creating adaptable and resilient structures. Empirical evidence shows that hybrid working leads to higher engagement and better performance metrics, underscoring its effectiveness in managing performance sustainably in a dynamic business environment. Hybrid working models enhance readiness for change by boosting organizational agility, employee engagement, psychological safety, and continuous learning. These factors collectively prepare employees and organizations to adapt effectively to new strategies and technologies. In the ASEAN service sector, hybrid working is linked to higher readiness for change, supporting sustainable performance management and long-term resilience. Readiness for change is crucial for sustainable performance management in ASEAN’s service sector. It drives continuous improvement, fosters a proactive culture, and enhances adaptability to external pressures. High readiness for change correlates with better performance, as organizations effectively manage and leverage change for long-term success. © 2025 by the authors; licensee Growing Science, Canada.

Affiliations

Faculty of Human Resource Management, Brawijaya Universitas, Veteran, Ketawanggede, East Java, Malang, 65145, Indonesia; Faculty of National Security, Indonesia Defense University, Sentul, Citeureup, West Java, Bogor, 16810, Indonesia