The Influence of Organizational Commitment in Mediating the Relationship between Transformational Leadership on Company Competitive Advantage (Study of SOEs Companies in Indonesia)

Abstract

This study aims to test and analyze the relationship pattern of transformational leadership, organizational commitment, and company competitive advantage. This study is conducted in three SOEs companies in Indonesia. The data is collected by distributing questionnaires to 156 managers. The number of questionnaire that can be used is 120 questionnaires. The data analysis is conducted using SEM with AMOS as the data processing application. The results of this study show that: (1) Transformational leadership has a significant positive influence on organizational commitment; (2) Transformational leadership has a significant positive influence on company competitive advantage; (3) Organizational commitment has a significant positive influence on company competitive advantage; (4) Organizational commitment mediates the influence of transformational leadership on company competitive advantage.