This study aims to determine transformational leadership and organizational culture on employee performance with motivation as an intervening variable. This research was conducted at the planning bureau at the secretariat of the SME cooperative ministry. The sample-set was 73 respondents with sampling using the purposive sampling method. Measurement in the questionnaire used a Likert scale, the data analysis method used was path analysis, and to test the effect of mediation, the researcher used the Sobel test. The hypothesis testing results show that (1) Transformational leadership and organizational culture have a positive and significant effect on the motivation of employees of the secretariat unit of the cooperative and SME ministries, (2) Transformational leadership and organizational culture have a positive and significant effect on employees' performance of the secretariat unit of the Ministry of Cooperatives and SMEs, (3) Work motivation variable affects employee performance, which means that the higher the work motivation level can improve employee performance, (4) Transformational leadership also affects employee performance through motivation at the secretariat unit of the cooperative and SME ministries and (5) Organizational culture affects employee performance through motivation at the secretariat unit of the cooperative ministry and SMEs. The motivation variable in this study proves as a variable that can mediate transformational leadership and organizational culture in influencing employee performance, so the result is transformational leadership, organizational culture, and employee performance through motivation have a significant effect on performance in the secretariat unit of the cooperative and SME ministries.
Maesyaroh et al. (Wed,) studied this question.