Work Engagement, Organizational Support, Adaptive Leadership, and Power Distance: Predictors of Employee Performance in Indonesia

Abstract

Employee performance is a central determinant of organizational sustainability, particularly in emerging economies such as Indonesia where firms face challenges related to globalization, digital disruption, and post-pandemic recovery. This study investigates the simultaneous effects of work engagement and perceived organizational support on employee performance, with adaptive leadership serving as a mediator and power distance as a moderator. Drawing upon the Job Demands–Resources model, Social Exchange Theory, and Adaptive Leadership Theory, the research integrates cultural dimensions to explain variations in performance outcomes. Data were collected from 257 employees across Indonesian organizations using validated instruments, and analyzed through Structural Equation Modeling–Partial Least Squares (SEM–PLS). The results reveal that both work engagement and perceived organizational support positively influence employee performance directly, and indirectly through adaptive leadership. Adaptive leadership is further shown to be a critical process through which organizational resources are mobilized into higher performance. Moreover, the moderating analysis indicates that power distance weakens the positive effect of adaptive leadership on performance, suggesting that hierarchical structures may constrain the benefits of flexible leadership. The findings contribute theoretically by integrating leadership and cultural perspectives, while practically offering guidance for managers seeking to enhance performance through engagement, support, and adaptive leadership development.