Yogyakarta, July 2, 2025 — Rigid bureaucratic culture has long been a challenge to fostering innovation in Indonesia’s State-Owned Enterprises (SOEs). A recent study by a team of researchers from Universitas Gadjah Mada (UGM) reveals that authentic leadership and psychological empowerment are critical drivers of innovation within SOEs in Indonesia.
Published in the high-impact international journal Journal of Open Innovation: Technology, Market, and Complexity (Scopus Q1, CiteScore 14.0), the study was authored by Indrayanti, Nida Ulfia, and Taufik Hidayat. The article, titled “From Bureaucracy to Innovation: How Authentic Leadership and Empowerment Drive Change in Indonesian State-Owned Enterprises,” argues that innovation is not just about structure—but about genuine leadership and empowered employees.