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A systematic approach to organizational culture change is aimed at promotion of liberal culture in an academic institution functioning in conservative Arab society in Israel for providing transparency, respect, integrity, empowering women, excellence and effective knowledge management. The approach is developed and implemented in Al-Qasemi Academic College of Education through leadership creating, sustaining and guiding constructive confrontation in the college. The challenges discussed were in changing the college culture through adoption of universal cultural values, and providing influence of the college on Arab community towards liberalization. The actions taken to address the aforementioned challenges were: to cultivate favorable environment allowing adoption of universal cultural values by staff and students; provide cultural diversity of staff and students; embed democratic principles of staff formation and promotion; empower women through appointment of qualified female faculty members to senior positions at the college and encouragement of women from the administrative staff to pursue academic degrees; develop and implement a complex community-oriented educational program; guide profound dialogues with the academic community in Israel and abroad; improve operational performance of the college. Actions resulted in the successful realization of the approach. It provided for enormous improvement of the college performance, better quality of life for staff, opportunity for students to adapt to a modern society, and influence of the college on the Arab community towards liberalization.