Examining the Role of Political Skill in Transformational Leadership and Organizational Performance; Empirical Study from Indonesia

SMART JOURNAL OF BUSINESS MANAGEMENT STUDIES	VOL. 16	NO. 2	PAPER 13
10.5958/2321-2012.2020.00023.8
EXAMINING THE ROLE OF POLITICAL SKILL IN TRANSFORMATIONAL LEADERSHIP AND ORGANIZATIONAL PERFORMANCE; EMPIRICAL STUDY FROM INDONESIA

Idris* Margono Setiawan Christin Susilowati Achmad Sani Supriyanto* Vivin Maharani Ekowati* Fadhil Muhammad***
* Universitas Negeri Malang, Indonesia Brawijaya University, Indonesia * State Islamic University of Maulana Malik Ibrahim, Indonesia

This study proposes to examine, the relationship between transformational leadership and organizational performance, through the role of political skill. Respondents were identified, by using saturated sampling technique, covering all top management level faculties, in Indonesian Universities. Partial least square (PLS)was used to analyze data and test the hypotheses. This study found that transformational leadership influenced political skill and organizational performance. In addition, political skill exercised positive and significant effect on the organizational performance. The result of mediation test justified that political skill mediated the relationship between transformational leadership and organizational performance. The findings would encourage leaders in higher education or other organizations to master the political skill necessary for transformational leadership and organizational performance.

KEYWORDS: Transformational leadership, political skill, organizational performance

JEL CLASSIFICATIONS: D23 and O15