Impact Transformational Leadership and Work Motivation in Improving Employee Performance through Job Satisfaction

Abstract

This study aimed to study the effect of transformational leadership and work motivation on the performance of employee through job satisfaction at Bureaus in Regional Secretariat of South Sumatra Province, Indonesia. The population was employees with civil servant status at Bureaus in Regional Secretariat of South Sumatra Province and the total sample of 275 respondents used.  Methods of testing and analysis were structural equation model (Structural Equation Modeling) using lisrel 8.70. The result of this study showed a positive and significant effect of transformational leadership and motivation, either partially or simultaneously on job satisfaction and determination coefficient of 52.16%. The most dominant variable influence on job satisfaction was transformational leadership. Furthermore, transformational leadership, motivation, and job satisfaction either partially or simultaneously had a positive and significant effect on employee performance with a determination coefficient of 87.18%. The most dominant variables that influence the performance of employees was job satisfaction.