Leadership 5.0 and Work Motivation: Driving Performance Through Job Satisfaction in Central Banking

The Mediating Role of Job Satisfaction

Abstract

Purpose – This paper examines the influence of Leadership 5.0 and work motivation on employee performance, with job satisfaction as a mediating variable, specifically within the strategic and regulatory environment of a central bank.

Methodology/approach – A quantitative explanatory design was used. Data were collected from 223 employees at the Central Bank head office using simple random sampling. Analysis was conducted using Structural Equation Modeling–Partial Least Square (PLS-SEM) with SmartPLS 3.0

Findings – The study found that Leadership 5.0 and motivation significantly enhance job satisfaction. However, Leadership 5.0 does not directly impact performance; its effect is fully mediated by job satisfaction. Work motivation remains the strongest direct predictor of performance.

Novelty/value – This research provides empirical evidence of the Leadership 5.0 model—integrating digital competence and human-centricity—within a bureaucratic central banking context, highlighting the "full mediation" role of employee experience.