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Saudi Journal of Economics and Finance (SJEF)
Volume-8 | Issue-08 | 259-273
Original Research Article
Digital Revolution: Aligning Transactional Leadership and Competencies to Improve ASN Performance (Case Study of Semarang City Transportation Service ASN)
Nurwahyudin, Hendrix Setiawan, Yoga Sasono, Gita Sugiyarti
Published : Aug. 9, 2024
DOI : DOI: https://doi.org/10.36348/sjef.2024.v08i08.002
Abstract
This study aims to analyze the impact of transactional leadership style and digital competence on the performance of State Civil Apparatus (ASN) in the era of the digital revolution, with employee motivation as an intervening variable. This study uses a quantitative approach with a sample of 110 ASN from the State Civil Apparatus (ASN) at the Semarang City Transportation Service agency. Data was collected through an online questionnaire and used Structural Equation Modelling (SEM) to analyze. Outcome of the study show that transactional leadership has a positive impact on employee motivation and ASN performance. Digital competency has been proven to have a significant impact on improving ASN performance, both directly and through increasing motivation. Employee motivation acts as a partial mediator in the relationship between transactional leadership, digital competence, and ASN performance. These findings emphasize the importance of aligning transactional leadership styles with developing ASN digital competencies in facing the challenges of the digital revolution. The practical implications of this research include recommendations for leadership development programs and digital competency training for ASN, as well as strategies for increasing employee motivation in the context of government digital transformation.
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