Influence of Leadership and Motivation on Employee Performance in Trading Company One Case from Indonesia

: Purpose: this study specifically aims to determine the influence of leadership and motivation on employee performance in trading company. Methods: the nature of the research used is causality the study approach utilizes quantitatively. Results: the statistical results prove that the two factors above have a positive and significant influence, both simultaneously and partially. Implications the driving factor for employees is specifically related to employees' willingness to do their jobs through the provision of appropriate and fair motivation to all employees because employee motivation will affect employee performance


Introduction
At this global level, competition in the business world or companies keeps going up at this time.Companies must be able to develop and manage the resources, not just money, materials, and machines, but also human resources who have an essential role in the company.Human resources, in this case, employees, staff, and other workers will regulate, manage, handle, and carry out activities within the company.Human resources are an asset to the company's resources, and they play a vital part in the organization.Quality human resources play a crucial role in managing and developing knowledge and skills.
The pandemic that occurs in 2020 will significantly impact the economic sector and the business sector.According to the survey yield published on its official website, up to 88 percent of businesses affected by the pandemic in the previous six months were generally in a situation of loss (Ministry of Manpower Public Relations Bureau, 2020).This condition encourages companies to manage and develop their human resources to optimize their performance.In addition, the company must also transform the HR work system that is oriented towards health protocols to prevent the transmission of COVID-19, especially in the company environment (Carnevale & Hatak, 2020).Systems such as Work from Home (WFH), health and hygiene facilities, and complying with health protocols at work are obligations that every company must establish in running their business.However, changes in the system and uncertain conditions in the business and company industry environment certainly impact the company's strategies, program planning, activities, provisions that have been made, and those that have been determined.For this reason, existing human resources are encouraged to continue to provide optimal results with new systems defined by the government for companies during the pandemic.
The role of the leader in all organizational situations is a very strategic factor because leadership will affect employee performance in producing the expected work productivity (Kolzow, 2014, hal. 30-31).Leaders must convey the organization's vision and mission in a persuasive and targeted manner in a language that is easy to understand so that employees can understand it.When the leader carries out his leadership well, it will encourage his subordinates' enthusiasm, creativity, participation, and loyalty in carrying out their duties.
In addition to leadership, providing motivation is also essential.An organization that can develop well needs to be given motivation related to the fluctuating growth and development of a person's nature because motivation is part of fostering, producing, and directing the workforce.Organizations must also focus on increasing emotional intelligence competencies for managers with a transformational leadership style and demonstrate credibility in creativity and excellence in a performance context (Rahman, Ferdausy, Al-Amin, & Akter, 2020).
From a trading company, good performance must face challenges, especially the Covid-19 pandemic, to survive and continue to develop such as protection programs, education, and career formation to improve performance within the company.Some of the problems identified include the omission of awards to its employees and the company also eliminating activities such as recreation or holidays, usually given annually in 2020 due to the Covid-19 pandemic.In addition, employee performance that is not optimal and maximal can be affected by the leadership and motivation provided by the company to its employees.
Therefore, this study specifically aims to determine the influence of leadership and motivation on employee performance in trading company.

Literature Review Process Theory
The emphasis in process theory is on the psychological processes or forces that affect motivation and basic needs.The process theory is also known as a cognitive theory because it is concerned with people's perceptions of their working environment and how they interpret and understand it.Based on Richard M. Steers, Richard T. Mowday, and Debra L. Shapiro (2004), process theory provides a much more relevant approach to motivation.Central to the process theory is a series of cognitive theories that attempt to understand the thought processes that people have when determining how to behave in the workplace (Armstrong & Taylor, 2020).

Goal Theory
According to Edwin A. Locke et al. (1990), goal theory has been developed.It states that motivation and performance are higher when individuals have set specific goals, when goals are challenging but accepted, and when feedback on performance.Participation in goal setting is essential to get agreement to the set of higher goals (Armstrong & Taylor, 2020).
Goals inform individuals to achieve particular levels of performance, in order for them to direct and evaluate their actions, while performance feedback allows the individual to track how well he or she has been doing in relation to the goal so that adjustments in effort, direction, or task strategies can be made (Boye Kuranchie-Mensah & Amponsah-Tawiah, 2016).

Leadership
Leadership can be said as a way of a leader directing, encouraging, and regulating all elements in a group or organization to achieve a desired organizational goal to produce performance in realizing the organization's purposes.Problems in employees are caused by the delivery of tasks by leaders whose acceptance is not appropriate by employees, the lack of a leadership role in creating unified communication and providing employee coaching.In addition, the lack of positive examples of leaders will lead to low employee performance levels (Kotter, 2012, hal. 2).Leadership style is a behavioral norm used by a person when that person tries to influence the behavior of others.The leadership style is suitable when the company's goals have been communicated, and subordinates have accepted it.
A leader must apply a leadership style to manage his assistants because a leader will significantly affect the organization's success in achieving its goals.Companies use rewards or gifts and orders as a tool to motivate employees (Asrar-ul-Haq & Kuchinke, 2016;Al Khajeh, 2018) between countries and cultures, but whatever the leadership style, the key to the effectiveness of a leadership style is in the power of a leader to influence the behavior of the people being led and be able to make them act in a certain way.
There are several kinds of power, including legitimate management, reward, coercive, expert, and referent power.An effective leader takes steps to use his control profitably.Meanwhile, there are 6 (six) qualities of a leader, namely: (1) Enthusiasm, (2) Integrity, (3) Hardly demanding, (4) Warm, (5) Humble, (6) Self-confidence.Transformational leadership style is viewed as a modern leadership style, namely a leadership style by making the people they lead aware of the importance of their work and performance roles in the organization and realize the importance of their personal development and therefore motivate the people they lead.For the organization's good, transformational leadership will occur when a leader transforms his followers in 3 crucial ways, i.e.: (1) transformational leaders make their subordinates realize how vital their work is for the organization and realize how important it is to perform at their best to achieve company goals; (2) transformational leaders make their followers aware of their importance to growth, development, and achievement; and (3) transformational leaders motivate their subordinates to work for the good of the organization as a whole, not just for their interests and gains (Jones & George, 2020).

Motivation
According to Penny McCullagh (2005), many theories have been propounded to examine the factors contributing to employee motivation in organizations.These theories are critical because they provide explanations for the reasons why employees are motivated.Therefore, if properly applied, it could lead to having better-motivated employees, which ultimately may lead to increased productivity in organizations (Boye Kuranchie-Mensah & Amponsah-Tawiah, 2016).Motivation is a need to create wants, which are desires to achieve or obtain something.Then, goals are established which believed will satisfy the needs and wants, and a behavior pathway is selected which is hoped to accomplish the goal in understanding and applying motivation theory; the aim is to obtain added value through people in the sense that the value of their output exceeds the cost of generating it, and it achieved through an unrestricted effort which is a crucial component in organizational performance (Armstrong & Taylor, 2020).

Performance
Performance can be defined as the result of work achieved by a person based on job requirements (Vance, 2006, hal. 11) and then implemented as an employee's duties to attain work results both in quantity and quality based on his responsibilities (Mangkunegara & Waris, 2015)

Hypotheses Development and Research Model
Leadership and Employee Performance Job performance happens in an organizational context, including one of the elements involving leadership (Vance, 2006, hal. 9).Leadership is one of the HR functions that can affect learning, work, rewards, development to bridge the gap between management and employees to achieve solid organizational values on organizational effectiveness and success (Armstrong & Taylor, 2020, hal. 38).Empirical studies prove the influence of leadership style and employee performance.For example, transformational leadership style positively affects performance, and laissez-faire leadership style negatives performance using the dimensions of effectiveness, satisfaction, extra effort, and organizational commitment in the context of Pakistani Banks (Asrar-ul-Haq & Kuchinke, 2016).Furthermore, other research findings show that autocratic, transformational, and democratic leadership styles positively affect organizational performance so that this leadership style is utilized to improve employee abilities (Al Khajeh, 2018).Therefore, according to the above findings regarding leadership and employee performance, this study proposes the first hypothesis to be examined in the context of studies from companies in Indonesia: H1: A significant influence of leadership and performance in Trading Company

Motivation and Employee Performance
Motivation is the strength and direction of behavior and the factors that influence people to behave in certain ways (Armstrong & Taylor, 2020, hal. 170).Therefore, employees should be allowed to carry out assigned tasks regardless of risk.However, employees sometimes may lack confidence in their experience and abilities or be motivated to do the job quickly or well (Kolzow, 2014, hal. 27).Empirical studies prove the influence of employee motivation and employee performance.show no significant influence on employee engagement in the context of the local university in Malaysia (Kamal & Radzani, 2016).Therefore, according to the above findings regarding motivation and employee performance, this study proposes the next hypothesis to be examined in the context of studies from companies in Indonesia: H2: A significant influence of motivation and performance in in Trading Company

Research Model
According to the literature review and hypotheses examined for the study, the following research model is visualized to elucidate weights among employee performance, leadership, and motivation as follows: Employee Performance

Research Method Research Type
The nature of the research used is causality the study approach utilizes quantitatively.To recognize the influence of leadership and motivation of Indonesian's trading company employees, we implement this study during the end-three months of the year 2021 until 2022, with a sample of 86 people of the company (use saturated sampling, where all members of the population are sample).First, the study is conformed on primary data and then gathered data from the statement of respondents or as the close-ended questionnaire was exploited.The questionnaire utilizes a pattern to infer the demographic annotations of the respondent sands the aimed variables, such as leadership, motivation, and employee performance perceived.The following table outlines the construct used in the questionnaire: Overall, these instruments were gauged using the Likert scale (Kaptein, Nass, & Markopoulos, 2010), with put on a 5-point Likert scale ranging from strongly disagree (1) to agree (5) strongly.The data analysis technique in this study used multivariate analysis.This stage lifts the combination of structures that have been asserted in the measurement of the interrelation among factors that allow the specification that represents part of the original variable (Husain, Ardhiansyah, & Fathudin, 2021).Next, the validity test begins to obtain the correct data from the variables studied by correlating the item scores of the questions to the total score testing from each respondent factor (Sugiyono, 2018, hal. 172) and continued with the reliability test of the research instrument.Multiple linear regression analysis is used to determine how high the value of the dependent variable is when the value of the independent variable is changed (Lind, Marchal, & Wathen, 2015).The regression equation in this study is formulated as follows, i.e.

Demographic Profiles
A demographic profile of respondents who answered in the study, which proceeds output is adhere:  The results of the constructed test on the Leadership variable (X1), Motivation variable (X2), and Employee Performance variable (Y) produce all correlated instruments that have a calculated Cronbach's Alpha score greater than 0.6 each of in this construct, meaning that it is reliable in explaining the research instrument above.

Correlation Coefficient Analysis and Statistical Hypothesis Testing
Correlation coefficient analysis and hypothesis proof in this study, which proceeds output is adhering:

Discussion
The summary of the statistical hypothesis view from table 5 describes a proposed research model with a high linkage in explaining employee performance with a contribution of 90.1 percent.Leadership has a positive and significant influence on employee performance on the object under study; this shows that the better of the superintendents managed by the corporate will impact its performance.The leadership style varies from one individual to another.It even varies between countries and cultures, but whatever the leadership style, the key to the effectiveness of a leadership style is in the power of a leader to influence the behavior of the people being led and be able to make them act in a certain way.Leadership profile become one of the factors related to the company is those whose provision falls to the indicated that almost all studies on the relationship of self-confidence in his reviewindicating low neuroticism to leadership "were uniformed in the positive direction of their findings" (Morfaki, 2021).Transformational leadership, in particular, emerged as a significant factor positively impacting employee performance.Transformational leadership, in particular, emerged as a significant factor positively impacting employee performance.
Performance feedback packaged by a leader allows individuals to identify how well efforts, directions, or task strategies are being carried out in the organizational context of goal theory (Boye Kuranchie-Mensah & Amponsah-Tawiah, 2016).The findings of this study are in line with previous literature, which proves that leadership with a transformational concept has a positive and significant effect on the performance of Banks of Pakistan, while contradicting the results with the laissez-faire concept (Asrar-ul-Haq & Kuchinke, 2016), and then the autocratic leadership style, transformational, and democratic to improve the ability of its employees (Al Khajeh, 2018).
Motivation has a positive and significant influence on employee performance on the object under study; this shows that the high reason in being motivated from corporate will impact its performance.Performance is emphasized in process theory, which will determine how employees behave to think, understand, and reason a primary need (Armstrong & Taylor, 2020).In the other side, work motivation is encouragement for someone to carry out their duties, this encouragement can come from oneself or encouragement from outside, for example: leaders of colleagues, etc. Motivation is also embedded in organizational culture and norms that tell what one should and should not do under certain circumstances or situations.Norms are motivating, committed, and increase high performance employees.
The findings of this study are in line with previous literature, which proves that motivation with a compensation factor has a positive and significant effect on the performance of Ghanaian Mining Companies.Goals inform individuals to achieve particular levels of performance, in order for them to direct and evaluate their actions, while performance feedback allows the individual to track how well he or she has been doing in relation to the goal so that adjustments in effort, direction, or task strategies can be mad (Boye Kuranchie-Mensah & Amponsah-Tawiah, 2016), and also with Motif physical activity, both in terms of appearance and social factors (Kamal & Radzani, 2016).Still, this study uses this research's impetus, willingness, and cognizance dimension.
Leadership and Motivation has a correlation coeffients as 0,910, it means that both of employee performance in trading company have very strong relations viz 91 percent, and March 2024 https://doi.org/10.58291/ijmsa.v3i1.217124 has significant probability is 0.000.A leadership and employee motivation will greatly affect employee performance where this will have an impact on company productivity.Good leadership is a leader who can provide influence, information, decision making, and can provide motivation aimed at improving the organization or employees.

Conclusions
This research aims to determine the influence of leadership and employee motivation to improve performance in trading company: one case of Indonesia conceptually.Statistical results prove that the two factors above have a positive and significant influence, both simultaneously and partially, with a correlation contribution of 90.1 percent.Leadership and motivation have a robust linkage in influencing employee performance.The importance of increasing the role of leadership in the company for employees, precisely the firmness of superiors in supervising the work done by employees because the leadership's that is taken will affect employee performance.The driving factor for employees is specifically related to employees' willingness to do their jobs through the provision of appropriate and fair motivation to all employees because employee motivation will affect employee performance.
Several management recommendations can be proposed to enhance organizational Encourage employee involvement and autonomy, with decision-making processes and giving autonomy over their work.Provide opportunities for employees to participate in goal-setting exercises, allowing them to contribute ides and take ownership of their tasks.Encourage managers to delegate responsibilites and trust employees to make independent decision, For example, intrinsic and extrinsic factors with particular emphasis on salary or remuneration are recognized as the best motivating factors for employees to improve performance in the context of Ghanaian Mining Companies (Boye Kuranchie-Mensah & Amponsah-Tawiah, 2016).On the other hand, other research findings show that the Motives of physical activity, both in terms of appearance and social factors, effectiveness and employee engagement: (1) invest in leadership development programs, organizations should prioritize the development of effective leadership skills among managemers and supervisors.Implementing leadership development programs that focus on cultivating transformational leadership qualities such as vision, inspiration, and empowerment can help better engage and motivate their teamwork.(2) Promote a culture of feedback and recognition, establish those recognition can reinforce desired behaviors and perfomance outcomes.Encourage managers to provide timely and constructive feedback to employees, acknowledging their contributions and accoplishments.Implement formal recognition programs to publicly appreciate and reward outstansding performance, fostering a positive work environment and boosting employee morale.(3) Recognize the employees have diverse motivations and preferences.Conduct regular assessments of survey to understand employee' unique values, aspirations, and career goals.By Tailor motivational strategies and incentives to align with individul needs, whether it be through opportunities for skill development, flexible work arrangements, or performance-based bonuses.(4) . The leadership style varies from one individual to another.It even varies International Journal of Management Science and Application International Journal of Management and Application, ISSN 2963-2056, Volume 3 Number 1 March 2024 https://doi.org/10.58291/ijmsa.v3i1.217117 understanding of what and how to do it.Therefore, performance is the result of work achieved by a person in carrying out the tasks assigned to him based on skills, experience, sincerity, and time.Improved company performance is an increase in operational facilities and an increase in the qualifications of human resources to meet applicable regulatory standards, both in quantity and quality.The quality of work created by employees will later generate profits for the company, and this cannot be separated from the performance of the employee concerned.
. A person's willingness and skills are not effective enough to do something March 2024 https://doi.org/10.58291/ijmsa.v3i1.217118 without a clear

Table 1 Summary of Construct Measures
Source: Based on the foregoing study, 2022

Table 2 Demographic Profile Respondents
Calculated from output programs, 2022 March 2024 https://doi.org/10.58291/ijmsa.v3i1.217122 The results of the validity test on the Leadership variable (X1), Motivation variable (X2), and Employee Performance variable (Y) produce all correlated items that have a calculated r count greater than r table (0.250) each of in twelve items of construct, meaning that it is valid in explaining the variable above.Construct reliability who answered in the study, which proceeds output is adhere:

Table 5 Summary of Correlation Coefficient Test and Statistical Hypothesis
International Journal of Management Science and Application International Journal of Management and Application, ISSN 2963-2056, Volume 3 Number 1 March 2024 https://doi.org/10.58291/ijmsa.v3i1.217123 company, such as salaries, and values of organizational beliefs.The importance effectiveness of leadership in organizations is not merely about giving orders or directives but entails inspiring, motivating, and guiding employees towards share the goals.Bass (1990, p.69),