The Effect of Transformational Leadership, Superior-Subordinate Relationship, Job Satisfaction and Willing Cooperation towards Organizational Citizenship Behavior and Employee Performance

Abstract

The purpose of this study is to describe the impact of leadership on performance, through a theoretical model using a "willing cooperation" (Mastrangelo et al., 2004) as one of the variables, and the combination of the impact of transformational leadership, superior-subordinate relationship, job satisfaction, and willing cooperation on organizational citizenship behavior (OCB) and performance of employees. The model is then tested empirically on 255 employees of PT Timah (Persero) Tbk., a state-owned company and is the largest tin mining company in Indonesia. The sample data was analyzed using the Generalized Structured Component Analysis (GSCA). The study results in several findings. Firstly, transformational leadership and superior-subordinate relationship has been found to have no significant effect on the performance of the employees; but it has indirect effect through the willing cooperation. Secondly, job satisfaction has been found to have no significant effect on OCB and employee performance; but it has indirect effect through the willing cooperation. These findings underline the importance of willing cooperation as a mediating variable between leadership and job satisfaction with OCB and employee performance. Thirdly, it has been found that willing cooperation is significantly influenced by the superior-subordinate relationship and job satisfaction; and conversely, it has significant effect on OCB and employee performance. This is a new finding providing empirical evidence that willing cooperation can be used as an explanation for the relationship between leadership variables and its outputs.

Keywords: transformational leadership, leader-member exchange, willing cooperation, job satisfaction, organizational citizenship behavior, employee performance, Indonesia’s state-owned mining corporation.