Uncovering Creative Accounting Practices in MSMEs from the Perspective of Ethics and Professional Compliance

This study explores how leaders adapt to institutional changes driven by artificial intelligence (AI), focusing on leadership strategies, managerial flexibility, and their impact on human resource engagement. Using a qualitative case study with 12 key informants from a higher education institution in Riau, data were collected through in-depth interviews and analyzed thematically. Findings show that effective leadership adaptation relies on articulating a clear AI transformation vision, developing human resource capacity through continuous training, and implementing participatory communication to reduce resistance. The study concludes that leadership adaptation is crucial for sustaining AI-based transformation and contributes both theoretically and practically to adaptive leadership and HR management in the digital era.