Journal of Leadership in Organizations
Vol 4, No 1 (2022): Journal of Leadership in Organizations

The Effect of Stretch Goals on Destructive Leadership and Counterproductive Work Behavior in Indonesian State-Owned-Enterprises

Diah Retno Wulandaru (Magister and Doctoral of Leadership and Policy Innovation Program, Graduate School, Universitas Gadjah Mada, Yogyakarta, Indonesia, and Department of Management, Faculty of Economics and Business, Universitas Gadjah Mada, Yogyakarta, Indonesia)
Wakhid Slamet Ciptono (Department of Management, Faculty of Economics and Business, Universitas Gadjah Mada, Yogyakarta)
Ely Susanto (Department of Public Policy and Management, Faculty of Social and Political Sciences, Universitas Gadjah Mada, Yogyakarta)



Article Info

Publish Date
29 Mar 2022

Abstract

Introduction/Main Objectives: This study aims to examine the effect of stretch goals on destructive leadership with burnout as the mediating variable­­­ and then the effect of destructive leadership on counterproductive work behavior of employees with psychological capital as a moderating variable.  Background Problems: The phenomenon of irregularities that occur in SOE in Indonesia is interesting to study. Deviations committed by SOE leaders in Indonesia include fraud, gratification, and data manipulation. The increase in the number of irregularities has a negative effect on organizational performance because it causes several counterproductive work behaviors in employees.  Novelty: Empirical research on destructive leadership is still rare because previous research has focused only on the conceptual side. Research Methods: The design of this study used a survey with a questionnaire completed by 724 respondents who were leaders and employees. The hypothesis testing used Structural Equation Modeling (SEM).  Finding/Results: The findings of this study show a positive influence of stretch goals on burnout and a positive influence of stretch goals on destructive leadership, but burnout has no mediating role in the effect of stretch goals on destructive leadership. There is no effect of perceived destructive leadership on employees’ counterproductive work behavior, but psychological capital has a moderating role in the effect of perceived destructive leadership on employees’ counterproductive work behavior. Conclusion: The practical implication of this study is that a stretch goal that is not balanced with resources can cause individuals to behave destructively even though they are at a managerial level.

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Journal Info

Abbrev

leadership

Publisher

Subject

Decision Sciences, Operations Research & Management Social Sciences

Description

Journal of Leadership in Organizations (JLO), with registered number ISSN 2656-8829 (Print) and ISSN 2656-8810 (Online), is a peer-reviewed journal published twice a year (March and August) by the Center for Leadership Studies, Department of Management, Faculty of Economics and Business, Universitas ...