Analysis of The Effect of Three Leadership Styles (Transactional, Transformational and Democratic) on Employee Performance Moderated by Positive Psychological Capital at PT. Sayung Adhimukti
Abstract
This study aims to analyze the effect of transactional leadership, transformational leadership, and democratic leadership on employee performance, with Positive Psychological Capital as a moderating variable at PT Sayung Adhimukti. This research employed a quantitative approach with a descriptive-explanatory research design. Primary data were collected through questionnaires distributed to 114 employees of PT Sayung Adhimukti selected using purposive sampling. The data were analyzed using Structural Equation Modeling-Partial Least Squares with the assistance of SmartPLS 4.0 software. The results show that transactional leadership has a positive but insignificant effect on employee performance. Transformational leadership has a positive and significant effect on employee performance. Meanwhile, democratic leadership has a significant effect on employee performance; however, the coefficient direction is negative, indicating that it does not support the initial hypothesis. The moderation test results indicate that Positive Psychological Capital positively and significantly moderates the effect of transformational leadership on employee performance. However, Positive Psychological Capital does not moderate the effect of transactional leadership or democratic leadership on employee performance. These findings suggest that improving employee performance at PT Sayung Adhimukti should be directed toward strengthening transformational leadership supported by the development of Positive Psychological Capital. Democratic leadership may still be applied to enhance communication, participation, and teamwork, but it should be implemented proportionally so that it does not hinder clear direction and work process effectiveness.
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