THE EFFECTS OF COMPETENCY AND LEADERSHIP ON COMPANY’S WORK EFFECTIVENESS

Abstract

Pembangunan Sarana Jaya (PD. PSJ) as one of the DKI Jakarta Provincial-Owned Enterprises, locally known as Badan Usaha Milik Daerah (BUMD), perceives that competency and leadership are needed to be able to optimize work in the corporate environment. However, there are several problems faced, among others: 1) Minimum involvement of employees in problem solving, 2) Existing assumption that employees have little knowledge, 3) Employees are rarely involved in formulating organizational policies, 4) Competency gap between management and employee, 5) One-way and non-democratic leadership, and 6) Ineffective work. This study aims to determine the extent to which competence and leadership affect work effectiveness both individually and jointly in the DKI Jakarta provincial company Pembangunan Sarana Jaya. This study uses a quantitative descriptive research method with population of PD. PSJ’s employees and a sample of 50 people. The results of the study concluded that the magnitude of the effects of competence and leadership on work effectiveness both individually and jointly was determined by competency and leadership variables, with a positive and strong level of influence.