Published: 2024-08-14

The Influence of Transformational Leadership on Employee Motivation and Performance in the Banking Industry

DOI: 10.35870/ijmsit.v4i2.3098

Oliviane Oroh, Muhammad Yusuf Ariyadi, A. Fauzan Fadlan
  • Oliviane Oroh: North Sulawesi University of Technology image/svg+xml
  • Muhammad Yusuf Ariyadi: Universitas Muhammadiyah Karanganyar
  • A. Fauzan Fadlan: Universitas Tangerang Raya

Abstract

This study analyzes the effect of transformational leadership on employee motivation and performance in the banking industry. The research method used is quantitative with a survey approach, involving 200 employees from several leading banks in Indonesia. Data were collected through a questionnaire that measured the respondent's profile, perceptions of transformational leadership, and employee motivation and performance. The results showed that transformational leadership has a significant positive effect on employee motivation and performance. Characteristics of transformational leadership such as charisma, intellectual stimulation, inspirational motivation, and individual consideration increase intrinsic motivation and employee performance. Employees feel appreciated, have challenging tasks, and get significant career development opportunities. This study concludes that transformational leadership can provide a significant competitive advantage for banking companies by increasing employee motivation and performance. Therefore, banking companies are advised to adopt and develop this leadership style in order to achieve long-term success.

Keywords

Transformational leadership ; Employee motivation ; Employee performance ; Banking industry ; Human resource management

Peer Review Process

This article has undergone a double-blind peer review process to ensure quality and impartiality.

Indexing Information

Discover where this journal is indexed at our indexing page to understand its reach and credibility.

Open Science Badges

This journal supports transparency in research and encourages authors to meet criteria for Open Science Badges by sharing data, materials, or preregistered studies.

Issue Cover

Downloads

Article Metrics

If the link doesn't work, copy the DOI or article title for manual search (API Maintenance).

Share:
Article Information

This article has been peer-reviewed and published in the International Journal of Management Science and Information Technology. The content is available under the terms of the Creative Commons Attribution 4.0 International License.

  • Issue: Vol. 4 No. 2 (2024)

  • Section: Articles

  • Published: August 14, 2024

AI Research Hub

This article is indexed and available through various AI-powered research tools and citation platforms. Our AI Research Hub ensures that scholarly work is discoverable, accessible, and easily integrated into the global research ecosystem. By leveraging artificial intelligence for indexing, recommendation, and citation analysis, we enhance the visibility and impact of published research.

Semantic Scholar Scite Dimensions Connected Papers

Similar Articles

You may also start an advanced similarity search for this article.