The Effect Of Transformational Leadership And Competence On Performance  Through Compensation As An Intervening Variable

Mat Amin; Hangga  Wicaksana; Suhardi Suhardi

doi:10.46729/ijstm.v4i2.775

Mat Amin Departement of Management, STIE Pertiba Pangkalpinang, Indonesia.
Hangga Wicaksana Master of Management, STIE Pertiba Pangkalpinang, Indonesia.
Suhardi Suhardi Departement of Management, STIE Pertiba Pangkalpinang, Indonesia.

DOI: https://doi.org/10.46729/ijstm.v4i2.775

Keywords: Leadership Style, Competence, Compensation and Performance.

Abstract

This study aims to determine and analyze the influence of leadership and competence on
employee performance, locus of study at Bapedalitbangda Pangkalpinang City, with a
total of 53 respondents. Data collection was carried out by distributing questionnaires,
with data processing techniques using the PLS SEM model. From the test results, it was
found that leadership style has a positive and significant effect on performance and
compensation. Compensation has a positive and significant effect on performance, but
competence has a positive but not significant effect on performance. Compensation has
a positive but not significant effect on compensation. The effect of leadership style on
performance with compensation as an intervening variable has a positive and
significant effect, and the effect of competence on performance with compensation as an
intervening variable shows positive results but not significantly. In improving the
performance of Bappedalitbangda Pangkalpinang City employees, it is better to pay
more attention to leadership style, increase competence, improve compensation so that
it has a significant influence in improving employee performance according to
performance evaluation and their respective duties and functions.

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