Abstract
Leadership and employee engagement are essential factors in the effectiveness of employee performance in the company. Those two indicators cannot be separated from the sustainability of an organization or company. The purpose of this study is to analyze the direct and indirect effects of transformational leadership on employee performance and how much employee engagement mediates the effect of transformational leadership on employee performance. This research utilized an explanatory quantitative approach and used 101 respondents as the sample. The data was collected by using questionnaires and analyzed using the Partial Least Square (PLS) analysis tool. The results of the testing show that there is a significant influence between transformational leadership on the performance of employees of PT. Victory International Futures Malang. While the employee engagement variable mediates the influence of transformational leadership on the performance of employees of PT.Victory International Futures Malang.Keywords : Transformational leadership, Employee performance, Employee engagement, Explanatory quantitative approach
Highlights
Human resources are things that support the success of an organization or company
The test is used to ensure the significance of the influence of transformational leadership on employee performance mediated by employee engagement
The Effect of Transformational Leadership on Employee Engagement Based on the results of hypothesis testing,the effect of transformational leadership on employee engagement is shown by its coefficient value, p-values, t-statistics, and t-table respectively at 0.552, 0.000, 6.216, and 1.96
Summary
Human resources are things that support the success of an organization or company. Empowerment of human resources within the company must be directed at the right leadership style so that the goals of the company or organization can be achieved well and shape the synergy between superiors and subordinates. Employee performance is an essential factor in supporting the success of the company. One of the most critical elements in the performance effort is a leader who can direct the organization to achieve the desired goals. Each leader will show leadership style through speech, attitude and behavior. Leadership with employee performance is closely related because with a high performance each employee gives all the knowledge, skills, abilities, attitudes, behaviors that each employee has as well as awareness that the progress of the company will be quickly achieved
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