THE INFLUENCE OF LEADERSHIP AND TRAINING ON DIGITAL COMPETENCE MEDIATED BY MOTIVATION IN EMPLOYEES OF THE REPRESENTATIVE OFFICE OF BANK INDONESIA RIAU PROVINCE

Abstract

Along with the development of technology and the digital revolution that encourages accelerated digitalization in the financial sector, Bank Indonesia continues to strengthen overall transformation in the fields of policy, organization and work processes, human resources (HR) and work culture. And to achieve high-performing and productive human resources, Bank Indonesia focuses on increasing employee competence, especially digital competence.

In order to achieve employee digital competence, there are challenges related to the demands of HR training programs that must be in line with the development of digital megatrends and digital business processes. In addition, there is a need for leaders who are not static, but agile and highly committed to developing organizational transformation values. Bank Indonesia also needs to maintain employee engagement or motivation that can support the realization of competent and high-performing HR.

This study aims to analyze and examine the effect of leadership (X1) and training (X2) on digital competence (Y) mediated by motivation (Z) on employees of the Riau Province Representative Office of Bank Indonesia, and uses a quantitative approach. Collection data was carried out using saturated sampling technique to 50 employees and data analysis tools PLS-SEM with SmartPLS 4 application.

The results showed that (1) leadership has a negative and insignificant effect on digital competence, so it must be mediated by other variables to build employee awareness of the value of their work and want to strive for optimal competence; (2) leadership has a positive and significant effect on motivation; (3) training has a positive and insignificant effect on digital competence; (4) training has a positive and significant effect on motivation; (5) motivation has a positive and significant effect on digital competence; (6) leadership has a positive and significant effect on digital competence through motivation variables; and (7) training has a positive and significant effect on digital competence through motivation variables.

From the results of the study, in the future it is suggested that it is necessary to continue to strengthen the role of leaders in carrying out all functions in organizational management effectively, increasing the effectiveness of competency assessments in work units with a semesterly period and evaluating training at least twice within a maximum of 6 months after employees attend training.