Transformational Leadership, Organizational Culture, Organizational Commitment, and Employee Performance of Local Government-Owned Banks in West Java Indonesia

Abstract

Employee performance is a factor that will determine the success of a business entity at a regional government-owned bank (BPR). So it is essential to maintain employee performance so that the business continues to run according to its objectives. Usually, one factor that determines employee performance is the result of local government policies so that operations become more rigid. Therefore, this study aims to determine the factors that influence the performance of local government-owned bank employees, including transformational leadership, organizational culture, and organizational commitment. This research was conducted on employees of local government-owned banks in West Java as many as 270 people spread throughout BPR. The analysis used is the Equation Model Structure with SMART PLS analysis tool. The results showed that transformational leadership is important in improving bank employee performance. statistics show a positive and significant influence. Then organizational culture is also a positive influence on employee performance. In addition, employee commitment is also another variable that has a positive effect on employee performance.