THE IMPACT OF DISTANT LEADERSHIP DURING THE COVID-19 CRISIS ON ORGANIZATIONAL PERFORMANCE IN PT VALE INDONESIA, TBK

• Main Author: Azizah Maharani, Nur
• Format: Final Project
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/56631
• Institution: Institut Teknologi Bandung

The COVID-19 pandemic is projected to produce significant changes in the nature of future organization although the effects have not been clearly identified. One of the predicted effects is the shifting work nature to online-based work, in which distant leadership is applied. However, past researches have been mostly emphasizing more on general organizational crises and leadership caused by man-made menaces. Research regarding distant leadership due to global pandemic is very limited. This research shall present a critical review of theory and empirical research regarding the effect of distant leadership during COVID-19 in the case of PT Vale Indonesia, Tbk as a mining company. First, this research comprehensively assesses the background of PT Vale Indonesia, Tbk. Second, this research critically reviews the concept of distant leadership as independent variable, organization performance as dependent variable, and job satisfaction, perceived leader performance, and effective communication as the mediating variables from past research. Third, this research outlines PLS-SEM as the methodology in conducting this research, in which 67 respondents are involved. As a result, this research shows that forced distant leadership during COVID-19 pandemic has no significant result on organizational performance in PT Vale Indonesia, Tbk, given the fact that the mining industry faces a decreasing trend, and the author uses annual achievement plans as the approach to determine organizational performance. This research is expected to contribute to research on remote leadership as well as a practical study of the organizational performance of PT Vale Indonesia, Tbk.