The Role of Extrinsic and Intrinsic Motivation in Enhancing Employee Performance under Entrepreneurial Leadership of Public Worker
DOI:
https://doi.org/10.17509/image.2025.157Keywords:
Entrepreneurial Leadership, Extrinsic Motivation, Intrinsic Motivation, Employee PerformanceAbstract
The new paradigm in public services during the current era of regional autonomy provides extensive opportunities for governments to innovate in delivering services to the community. Gunung Anyar Regency, as part of the Surabaya City Government, aims to enhance the quality of public services through digital-based bureaucratic transformation. This research examines the effect of Entrepreneurial Leadership (EL) on employee performance with extrinsic motivation and intrinsic motivation as mediating variables. The results indicate that Entrepreneurial Leadership significantly affects both Extrinsic Motivation and Intrinsic Motivation in Gunung Anyar District, Surabaya City, and has a significant direct impact on employee performance. However, extrinsic motivation does not significantly influence employee performance, whereas intrinsic motivation does. Extrinsic motivation does not significantly mediate the relationship between Entrepreneurial Leadership and employee performance, whereas intrinsic motivation significantly mediates this relationship. These findings suggest that to improve employee performance, efforts should focus on enhancing intrinsic motivation alongside strengthening entrepreneurial leadership. The leadership development strategy in Gunung Anyar District must prioritize increasing employee intrinsic motivation to achieve optimal performance.
Downloads
References
Abiyasa, A., & Utama, L. (2023). The effect of entrepreneurial leadership on MSME performance in Pasar Lama with intermediate variables of innovation management and learning orientation. International Journal of Application on Economics and Business, 1(1), 172–180. https://doi.org/10.24912/ijaeb.v1i1.172-180
Anggriani, Y. Y., & Kistyanto, A. (2021). Pengaruh entrepreneurial leadership terhadap kinerja umkm kota surabaya melalui inovasi. EKUITAS (Jurnal Ekonomi Dan Keuangan), 5(3), 407-427. https://doi.org/10.24034/j25485024.y2021.v5.i3.4534
Anisa, A., Elwisam, E., & Digdowiseiso, K. (2024). The role of intrinsic motivation in mediating the influence of situational leadership style on performance. Journal of Social Science, 5(3), 914–921. https://doi.org/10.46799/jss.v5i3.840
Baskoro, B. D., Fuadi, F., & Kahpi, H. S. (2021). The mediating effect of work motivation on the relationship between transformational leadership and employee performance. Jurnal Kajian Manajemen dan Wirausaha, 3(2), 66. https://doi.org/10.24036/jkmw02109500
Diantoro, A. K., Suhada, S., Johan, A., & Janah, A. W. (2023). Pengaruh kepemimpinan kewirausahaan terhadap kinerja organisasi: Efek mediasi kemampuan inovasi teknologi. Management Studies and Entrepreneurship Journal (MSEJ), 4(6), 9254-9263. https://doi.org/10.37385/msej.v4i6.3764
Dwi Widyani, A. A., Landra, N., Sudja, N., Ximenes, M., & Sarmawa, I. W. G. (2020). The role of ethical behaviour and entrepreneurial leadership to improve organizational performance. Cogent Business & Management, 7(1). https://doi.org/10.1080/23311975.2020.1747827
Gupta, A. K., & Lamsal, B. P. (2023). From traditional to innovative public service: a review of paradigm shifts. Вопросы государственного и муниципального управления, (6), 137-156. https://doi.org/10.17323/1999-5431-2023-0-6-137-156
Gupta, V., MacMillan, I. C., & Surie, G. (2004). Entrepreneurial leadership: developing and measuring a cross-cultural construct. Journal of business venturing, 19(2), 241-260. https://doi.org/10.1016/S0883-9026(03)00040-5
Hamdan. (2018). The effect of entrepreneurship leadership and motivation on employees’ satisfaction at Serang Raya University. Jurnal Terapan Manajemen dan Bisnis, 4, 171–183. https://doi.org/10.26737/jtmb.v4i2.931
Indriyani, R., Adriani, Z., & Khalik, I. (2024). The impact of entrepreneurial leadership on employee performance at the Department of Industry and Trade of Jambi Province with innovative work behavior as an intervening variable. Journal of Business Studies and Management Review, 7(2), 121–124. https://doi.org/10.22437/jbsmr.v7i2.35250
Jan, B. K., & Maulida, M. (2022). The role of leaders’ motivation, entrepreneurial leadership, and organisational agility in social enterprise sustainability. The South East Asian Journal of Management, 16(2), 97–117. https://doi.org/10.21002/seam.v16i2.1167
Malibari, M. A., & Bajaba, S. (2022). Entrepreneurial leadership and employees’ innovative behavior: A sequential mediation analysis of innovation climate and employees’ intellectual agility. Journal of Innovation & Knowledge, 7(4), 100255. https://doi.org/10.1016/j.jik.2022.100255
Mokhber, M., Tan, G. G., Vakilbashi, A., Aiza, N., Zamil, M., & Basiruddin, R. (2016). Impact of entrepreneurial leadership on organization demand for innovation: Moderating role of employees’ innovative self-efficacy. International Review of Management and Marketing, 6(3), 415–421.
Nawaz, A., Wenqi, J., & Akhtar, S. (2025). Entrepreneurial leadership and organizational performance: Employee creativity and behavior. Management Decision, 63(7), 2486–2510. https://doi.org/10.1108/md-02-2024-0317
Sawaean, F. A. A., & Ali, K. A. M. (2020). The impact of entrepreneurial leadership and learning orientation on organizational performance of SMEs: The mediating role of innovation capacity. Management Science Letters, 10(2), 369–380. https://doi.org/10.5267/j.msl.2019.8.033
Taleb, T. S. T., Hashim, N., & Zakaria, N. (2023). Entrepreneurial leadership and entrepreneurial success: The mediating role of entrepreneurial opportunity recognition and innovation capability. Sustainability, 15(7), 5776. https://doi.org/10.3390/su15075776
Yesuf, Y. M., & Fields, Z. (2025). Impact of entrepreneurial leadership on employees’ innovative behavior: A mediation analysis of organizational motivation to innovate and employees’ creativity. Journal of Economy and Technology, 4, 296–306. https://doi.org/10.1016/j.ject.2025.09.001
Zamzani, R., Hayat, & Kurniati, R. R. (2025). Bureaucratic transformation in realizing responsive and accountable public services. Jurnal Inovasi Ilmu Sosial dan Politik (JISoP), 7(2), 219–228. https://doi.org/10.33474/jisop.v7i2.24479
Downloads
Published
Issue
Section
License
Copyright (c) 2025 Ibrahim Zaky, Andre Dwijanto Witjaksono, Anang Kistyanto

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
