INFLUENCE OF TRANSGLOBAL LEADERSHIP ON FIRM PERFORMANCE: INNOVATIVE WORK ENVIRONMENT MEDIATION AND GOVERNMENT ROLE AS MODERATING VARIABLE

Abstract

This study aims to 1) analyze and explain the effect of transglobal leadership on firm performance, 2) analyze and explain the impact of transglobal leadership on the innovative work environment, 3) analyze and explain the effect of the innovative work environment on firm performance, 4) analyze and explain the innovative work variables. The environment can be a mediator between transglobal leadership and firm performance, and 5) analyze and explain the innovative work environment variables as mediation for transglobal leadership on firm performance. The research was conducted at companies that are members of the Indonesian Chamber of Commerce as many as 158 companies. This research uses a simple random sampling technique, and data analysis uses structural equation modeling. The results show that 1) Transglobal leadership carried out by company leaders is not able to have a direct influence on firm performance, 2) Transglobal leadership has a positive and significant influence on the innovative work environment, 3, Innovative work environments increase firm performance, 4) Innovative work environment has a role in mediating the effect of transglobal leadership on firm performance, 5) Government role does not have a role as moderating the influence of transglobal leadership on firm performance. This study contributes practically by knowing what factors support the transglobal leadership variables, an innovative work environment, and government roles. The innovative work environment has an important role in shaping transglobal leadership.