Conservationist Leadership Style and Corporate Culture in Indonesian Private Banks

Abstract

The purpose of this study is to determine the direct and indirect influences of conservationist leadership styles  andcorporate culturetoward budgetary participation and managerial performance.The population of the studyis the managers and employees of private banks in Semarang. Quantitative analysis was done through primary data collection using questionnaire. The collected data are then analyzed using path analysis techniques. Based on the first result of the study, the conservationist leadership styles successfully moderate the variable of budgetary participation on the managerial performance of private banks. The most appropriate conservationistleadership styles  for the private banks managers are open and humanist styles. Second, corporate cultureof the private banks successfully moderatesthe budget participation on the managerial performance. The elements forming thecorporate culture will encourage the creation of good managerial performance. Third, the budgetary participation influences the managerial performance. Therefore, all employees should be involved in the budgeting to obtain the best and the most precise budget to be used as a guidelines and reference for the private banks in running their business activities.

Keywords: conservationist leadership styles; corporate culture; budgetary participation; managerial performance of private banks

DOI: 10.7176/EJBM/12-3-03

Publication date: January 31^st 2020