The Influence of Transformational Leadership on Employee Performance with Work Motivation as a Mediation Variable

Abstract

Achieving optimal employee performance is one of the goals of an organization. Optimal employee performance is expected to be the key to achieving organizational goals. One of the strategic steps in the bureaucratic reform program in the Ministry of Finance is to implement a transformational leadership pattern in managing its human resources. The Directorate General of Customs and Excise, as one of the agencies in the Ministry of Finance in managing human resources, also uses a transformational leadership pattern. With the implementation of this strategy, it is hoped that the performance targets that have been set by both individuals and organizations can be achieved optimally. The purpose of this study is to determine the influence of transformational leadership on employee performance, the influence of transformational leadership on employee work motivation, the influence of work motivation on employee performance, and work motivation as variables of transformational leadership mediation variables on employee performance. The mediation variables in this research are measured using the Structural Equation Model (SEM) analysis tool with the help of SMART-PLS Software Version 3.2.9. Penelitian conducted a quantitative study with a total sample of 106 using the purposive sampling method. The empirical findings obtained from this study are that transformational leadership positively affects employee performance, transformational leadership positively affects work motivation, work motivation positively affects employee performance, and work motivation variables mediate indirect influences between transformational leadership of employee performance. This research results in several things that must receive more attention from human resource management at KPPBC Bandar Lampung, including direct supervisors must provide input to employees to see masalah from various points of view, employees must be responsible for the work they carry,  appreciation of the results of work and the work of a job that is more effective and efficient. The result of this study is related to the number of variables studied, and it is hoped that the next research can be done even better.