The Influence of Transformational and Transactional Leadership on Employee Performance with Discipline and Integrity as Intervening Variables at Telkom Group South Surabaya

Abstract

In a company, leaders and employees are two things that are interconnected with each other. Both have an impact on the company, both positive and negative impacts. A leader plays a very important role in the process of increasing and maintaining the discipline, integrity, and performance of an employee. A leader also needs to determine his leadership style in providing direction and changes to employee performance. This study aims to determine the effect of transformational and transactional leadership styles on performance with discipline and integrity as intervening variables. Transformational change is measured through individual consideration, inspirational motivation, intellectual stimulation. Transactional speed is measured through contingent reward, active management, passive management. Discipline is measured by example, waskat, and firmness. Integrity is measured through honesty, consistency, commitment. Performance is measured through the quality of work, responsibility, cooperation. The method used is quantitative with a sample taken of 110 employees of the Telkom Group South Surabaya. The data analysis technique uses the Structural Equation Modeling (SEM) method using IBM SPSS and AMOS version 24. The results of this study indicate that (1) transformational leadership has a significant effect on discipline, (2) transactional leadership has no significant effect on discipline, (3) transformational leadership has a significant effect on integrity, (4) transactional leadership has no significant effect on integrity, (5) transformational leadership has no significant effect on performance, (6) transactional leadership has a significant effect on performance, (7) discipline has a significant effect on performance, (8) integrity has a significant effect on performance.