Abstract

This research was conducted to determine the effect of transformational and transactional leadership styles on employee performance at the Indonesian National Electricity Company (PT PLN) main office. This research uses a quantitative method with a descriptive-causality research type. Sampling was done by a non-probability sampling method of saturated sample type, with the number of respondents being 73 people. The data analysis techniques used are descriptive analysis and multiple linear regression analysis. Our result shows that the transformational leadership style is influential and significant to performance, while the style of transactional leadership has no effect and no significance to the performance of employees.

Highlights

  • Leadership is vital to determine the direction by developing a foresight, since the employees need someone who inspires them to overcome challenges [1]

  • While the performance of employees based on descriptive analysis results is in the good category with a value of 80.12%

  • The questionnaire was filled by 73 respondents who work in the company

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Summary

Introduction

Leadership is vital to determine the direction by developing a foresight, since the employees need someone who inspires them to overcome challenges [1]. A good leader is expected to communicate a vision that is won and inspired to overcome all obstacles [3]. One of the challenges, which is often discussed by a company or organization, is encouraging employees [4]. It is a necessity for someone to have a motivation for the good direction of the organization [5]. Without the motivation to work of individuals, teamwork will not show a satisfying result [6]. That motivation itself contains an understanding of the results of individual interactions with everyone who has a basic motivation and a high level of motivation different at different times [5, 7]

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