Academy of Strategic Management Journal (Print ISSN: 1544-1458; Online ISSN: 1939-6104)


Improving the Performance Non-Profit Organizations?

Author(s): Mochamad Soelton, Noermijati Noermijati, Fatchur Rohman, Mugiono Mugiono

This paper aims to evaluate the impact and analyze the effect of transformational leadership on organizational performance which is mediated by organizational commitment, and organizational culture. This research was conducted using descriptive methods in Child Welfare Institutions throughout Indonesia (LKSA) under the auspices of the Ministry of Social Affairs of the Republic of Indonesia with a total sample of 185 respondents, the respondents are the top leaders of each institution. The finding showed that the role of the leadership as a whole is able to improve organizational performance effectively and efficiently for the sustainability of the institution for which it is responsible. This includes that organizational commitment can be consistently applied by leaders in this institution. This means that the higher the leadership in this institution, the stronger the norms will be embedded in the culture for the real actions of all its employees, which of course can ultimately strengthen the organization's performance stably. However, the organization has not been able to install a sense of ownership, especially employee loyalty to the institution, to its members on a permanent basis.

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