The Influence of Transformational Leadership on Achievement Motivation and Organizational Climate and Employee Performance

The purpose of this study is to determine the influence of transformational leadership on achievement motivation, organizational climate and employee satisfaction. The study population was employee’s locally-owned enterprises in Bandung, West Java and the sample was taken by simple random sampling with as many as 71 people. Analysis of the data was using Structural Equation Modeling (SEM) component based. The results showed that transformational leadership influence on achievement motivation, organizational climate and employee satisfaction. However, if viewed more transformational leadership have different influences both the achievement motivation and the organizational climate. The results showed achievement motivation and organizational climate proved to mediate transformational leadership. This indicates that transformational leadership can increase achievement motivation and organizational climate on employee performance. Thus the need for the attention of leaders in the organization in order to improve the achievement motivation of employees and create more conducive organizational climate that employee performance can be improved.