The Influence of Transformational Leadership Style and Work Motivation on Employee Performance at Arei Outdoor Gear Store
Abstract
Purpose: This study aims to examine the influence of transformational leadership and work motivation on employee performance at Arei Outdoor Gear Store and to analyse their simultaneous contribution to performance improvement. The scope of the investigation focuses on employees’ perceptions of leadership behaviour, motivational factors, and work performance in a retail organisational setting.
Design/methodology/approach: A quantitative explanatory research design was employed using a survey method. Data were collected through structured questionnaires distributed to 111 employees and analysed using multiple linear regression with classical assumption tests.
Findings: The results show that transformational leadership and work motivation have a positive and significant effect on employee performance, both partially and simultaneously, with motivation showing a strong contribution to performance enhancement.
Research limitations/implications: The study is limited to a single retail organisation and a cross-sectional dataset, which may restrict generalisation to other sectors and broader populations.
Practical implications: The findings suggest that organisations should strengthen inspirational leadership practices and employee motivation systems to improve performance and service quality.
Originality/value: This research provides empirical evidence on the combined role of transformational leadership and work motivation in enhancing employee performance within the Indonesian retail sector context.
Paper type: Research paper
Downloads
References
Bass, B. M., & Avolio, B. J. (1994). Improving organizational effectiveness through transformational leadership. Sage Publications.
Bass, B. M., & Avolio, B. J. (1995). MLQ multifactor leadership questionnaire for research: Permission set. Mind Garden.
Bernardin, H. J., & Russell, J. E. A. (2013). Human resource management: An experiential approach (6th ed.). McGraw-Hill.
Daulay, R., Siregar, H., & Lubis, A. (2019). Transformational leadership and employee performance: The role of personal management systems. International Journal of Business and Management, 14(6), 120–130.
Ginting, R., Sembiring, L., & Tarigan, P. (2023). The mediating role of work motivation in the relationship between transformational leadership and employee performance. Journal of Organizational Behavior Research, 8(1), 33–47.
Hasibuan, M. S. P. (2016). Human resource management (Revised ed.). Bumi Aksara.
Herzberg, F. (1959). The motivation to work. John Wiley & Sons.
Hidayat, T., & Nugroho, A. (2019). Leadership, motivation, and employee performance in Islamic banking institutions. Journal of Islamic Management Studies, 4(2), 89–102.
Laa, M., & Susanto, H. (2023). The effect of transformational leadership and work motivation on employee performance in the banking sector. Jurnal Manajemen dan Bisnis, 12(1), 15–27.
Mangkunegara, A. A. A. P. (2017). Human resource performance evaluation. Refika Aditama.
Maslow, A. H. (1943). A theory of human motivation. Psychological Review, 50(4), 370–396. https://doi.org/10.1037/h0054346
Novitasari, D., & Satriyo, B. (2016). Leadership style and employee performance in cooperative organizations. Jurnal Ilmu Manajemen, 4(3), 201–210.
Pebriani, R., & Santosa, B. (2019). Employee recognition, job security, and productivity in service organizations. Journal of Applied Management Research, 5(2), 77–86.
Perkasa, A., & Satria, D. (2020). The dominant role of motivation on employee performance in outsourcing companies. Indonesian Journal of Management Science, 9(1), 55–66.
Qothrunnada, N., & Hadi, S. (2025). Transformational leadership, work motivation, and employee performance in the creative culinary industry. Journal of Contemporary Business Research, 3(2), 205–218.
Rahman, M., & Taufiq, A. (2020). Leadership and motivation on employee performance in the banking sector: Evidence from Bank Sulselbar. Journal of Banking and Management, 6(1), 41–52.
Robbins, S. P., & Judge, T. A. (2016). Organizational behavior (16th ed.). Pearson Education.
Sugiyono. (2019). Quantitative, qualitative, and R&D research methods. Alfabeta.
Surya, I., & Setyawati, L. (2021). Transformational leadership and employee performance in family-owned manufacturing firms. Journal of Business and Management Review, 2(4), 289–300.
Tania, R. (2017). The impact of leadership style and motivation on employee performance in consulting firms. Journal of Management Development, 6(2), 101–112.
Copyright (c) 2026 IJEBD (International Journal of Entrepreneurship and Business Development)
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
.png){kind=small}
