ANALYSIS ON THE EFFECT OF TRANSFORMATIONAL LEADERSHIP, AKHLAK AS ORGANIZATIONAL CULTURE, AND ORGANIZATIONAL CLIMATE ON EMPLOYEE ENGAGEMENT AT STATE OWNED COMPANY Farra Yaneta (1), A. Rahim Matondang (2), Iskandarini (3)
(1) Magister Manajemen Universitas Sumatera Utara, Indonesia, Email: farrayaneta[at]gmail.com
(2,3) Magister Manajemen Universitas Sumatera Utara, Indonesia
Abstract
Employee engagement creates a strong relationship between employees and the company. The results of the Employee Engagement Survey (EES) at State Owned Company showed a decline in 2018-2020. In 2020, a fairly high Cultural Entropy score was obtained with a score of 27.09% (Significant Issues category) that requires cultural and structural transformation. The results of statistical analysis conducted by the company show that there is a very significant negative correlation between Cultural Entropy and EES scores. This study aims to analyze the effect of cultural and structural transformation in the company. This research is a quantitative correlational study to analyze (1) the effect of transformational leadership on employee engagement, (2) the influence of AKHLAK as organizational culture on employee engagement (3) the influence of organizational climate on employee engagement, and (4) the influence of transformational leadership, organizational culture, and organizational climate on employee engagement. The method of data collection was done through questionnaires to 265 respondents from a total population of 1,150 people. Data analysis was performed using the Multiple Linear Regression Analysis method using SPSS. The results showed that transformational leadership, organizational culture, and organizational climate each had a significant effect on employee engagement, and the three variables simultaneously had a significant effect of 62.7% on employee engagement.
