Title:
THE EFFECT OF TRANSFORMATIONAL LEADERSHIP AND TRANSACTIONAL LEADERSHIP ON EMPLOYEE PERFORMANCE THROUGH WORK ENVIRONMENT MODERATED BY POSITIVE PSYCHOLOGICAL CAPITAL AT THE ACEH ENERGY AND MINERAL RESOURCES SERVICE

Authors:
Fadhli*, Muhammad Adam and Mukhlis

Abstract:
This study aims to examine the impact of transformational and transactional leadership on employee performance, with the work environment acting as a moderator influenced by positive psychological capital within the Energy and Mineral Resources Service of Aceh Province (ESDM Aceh). The target population for this research comprises all employees at ESDM Aceh, totaling 107 individuals. A census approach was used, so the sample size is also 107 people. Primary data was collected through a questionnaire utilizing a Likert scale. The questionnaires were distributed, and the data were analyzed using Structural Equation Modeling (SEM) with AMOS software. The findings demonstrate that both transformational and transactional leadership significantly positively influence the work environment and employee performance. Additionally, the work environment has a noteworthy positive effect on employee performance. The work environment also partially mediates the relationship between transformational and transactional leadership and employee performance. Furthermore, positive psychological capital moderates the impact of the work environment on employee performance. These results confirm the model, proposing that enhancements in employee performance are linked to strengthening both transformational and transactional leadership, improving the comfort of the work environment, and bolstering employees' psychological capital.