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Relationship of Leadership and Competence with Organizational Performance: Organizational Commitments as Mediation Variables in Pt. Bhakti Nusantara Gas

DOI : https://doi.org/10.36349/EASJEBM.2020.v03i04.003
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This study aims to determine the effect of leadership and competence on organizational performance, the influence of leadership on organizational performance, the effect of competence on organizational performance, the effect of organizational commitment on organizational performance, the influence of leadership and competence on organizational performance through organizational commitment. The study was conducted at the company PT. Bhakti Nusantara Gas. Sampling using saturated samples involving 122 employees. Data analysis uses path analysis.Based on data analysis, it is known that the leadership and competency variables influence organizational performance. Leadership variables affect organizational performance. The competency variable influences organizational performance. The variable organizational commitment affects organizational performance. The direct influence of leadership on organizational performance is 0.581. The influence of leadership on performance through competence is 0.585. In this case, the indirect effect is greater than the direct effect so it can be said that the work organization's commitment variable is intervening. The direct effect of competence on organizational performance is 0.631. While the effect of competence on organizational performance through organizational commitment is 0.672. In this case, the direct effect is smaller than the indirect effect so it can be said that the work organization's commitment variable is intervening..

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