Quantitative analysis shows that leader-member exchange and talent management boost employee performance, highlighting the mediating role of person-organization fit.
This study aims to analyze the effect of Leader-Member Exchange (LMX) and Talent Management on Employee Performance with Person-Organization Fit (PO Fit) as an intervening variable in State-Owned Enterprises (BUMN) in Eastern Indonesia. BUMN in this region face specific challenges including infrastructure limitations and human resource gaps that affect overall organizational performance. The use of a quantitative approach with a survey method was conducted on 300 employees in several representative BUMN in Eastern Indonesia. Data were analyzed using the Structural Equation Modeling (SEM) technique to test the direct and indirect relationships between variables. The results showed that LMX and Talent Management had a positive and significant effect on Employee Performance. In addition, PO Fit was proven to function as a significant mediating variable in strengthening the effect of LMX and Talent Management on Employee Performance. Employees who feel a good fit with the values and culture of the organization show higher performance when the relationship with the leader and talent management in the organization is strong.
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Kenneth R. McLeroy (2025) studied this question.
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