International Journal of Applied Business Research
Vol 5 No 01 (2023)

The Impact of Transformational Leadership on Employee Satisfaction, Employee Performance, and Employee Engagement: The Insurance and Pension Fund Service

Mala Alfiyah Ningsih (Postgraduate Student, Business School Master Program, Bina Nusantara University, Indonesia)
Yoka Krisma Wijaya (Postgraduate Student, Business School Master Program, Bina Nusantara University, Indonesia)
Sidra Muntahari (Postgraduate Student, Business School Master Program, Bina Nusantara University, Indonesia)
Nur Damayanti (Lecturer, Business Management Program, Business School Master Program, Bina Nusantara University)



Article Info

Publish Date
29 Jan 2023

Abstract

Leadership style is a complex phenomenon involving the leader, followers, and circumstances. The leadership style in an organization is also related to the overall success of the team. This study intends to determine whether transformational leadership carried out by a company has a significant positive impact on the outcomes felt by employees in the insurance and pension fund service cluster of State Owned Enterprises (SOEs). This study utilized Partial Least Square (PLS) in SmartPLS 3.0 with a sample of 372 employees from class 3 and class 4 SOEs in the insurance and pension fund service cluster of SOEs. The results reveal that transformational leadership significantly impacts the outcomes felt by employees (in terms of employee satisfaction, employee performance, and employee engagement). This study confirms the positive relationship between one type of leadership and employee satisfaction, employee performance, and employee engagement in the insurance and pension fund service cluster of SOEs. This study proposes new insights and theoretical as well as managerial implications. Future research can consider other variables that can give a significant positive influence on the outcomes felt by employees, for instance working environment.

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Journal Info

Abbrev

ijabr

Publisher

Subject

Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Industrial & Manufacturing Engineering Social Sciences

Description

The International Journal of Applied Business Research (IJABR), an academic journal in the field of business, published by Bandung State Polytechnic, Indonesia. This OPEN ACCESS Journal is intended to foster and stimulate the exchange of discourses on applied business research issues among ...