The Role of Organizational Commitment in Enhancing Employee Performance through Leadership and Internal Rotation

Abstract

This study investigates the effects of transformational leadership and job rotation on the performance of operational staff at Bank Indonesia, with a particular focus on the role of organizational commitment in these relationships. The research employs a quantitative approach using survey data from 123 respondents working in the operational cash department of Bank Indonesia. The findings reveal that transformational leadership does not directly influence employee performance, which suggests that performance in highly structured environments, such as operational cash management, is more affected by work systems, standard operating procedures (SOPs), and employee experience rather than inspirational leadership alone. On the other hand, job rotation significantly and positively impacts employee performance by enhancing work flexibility, reducing monotony, and improving task adaptability. Furthermore, transformational leadership positively affects organizational commitment, fostering greater loyalty and attachment to the organization, though it does not directly impact performance. Similarly, job rotation also boosts organizational commitment, further reinforcing employees' sense of responsibility. However, the study finds that organizational commitment does not mediate the relationship between transformational leadership and job rotation with performance. The research concludes that job rotation is the most significant factor in improving performance, while transformational leadership plays a crucial role in strengthening organizational commitment. Implications for human resource management, particularly in public sector organizations, are discussed, along with recommendations for future research to explore additional factors influencing employee performance.