Towards Integration of Religious Values and Transformational Leadership to Improve Cooperatives Performance

Abstract

This study aims to explore a new empirical model of Mas'uliyah Transformational Leadership (MTL) formed through organizational learning (OL) and Islamic change motivation (ICM) to increase member participation and organizational performance. MTL is a new concept that is an integration between transformational leadership and religious values. Data were collected from 223 cooperative management respondents in Central Java, Indonesia, using a questionnaire. Furthermore, data analysis was carried out using the SEM method. The results of the research show that the new MTL concept developed in this study can be leveraged from the Islamicchange motivation possessed by the leaders. Furthermore, leaders with the MTL style can increase the participation of cooperative members, and ultimately improve overall performance.