Analysis of Islamic Leadership and the Level of Trust in Relation to Performance at Baitul Maal wat Tamwil Tanggamus

Abstract

This study examines the effects of Islamic leadership and trust on employee performance at Baitul Maal wat Tamwil (BMT) Tanggamus, a Sharia-based microfinance institution in Indonesia. Islamic leadership emphasizes integrity, trustworthiness, fairness, accountability, and exemplary conduct, while trust is an important element in organizational relationships and employee performance. This research employed a quantitative field research approach. Primary data were collected through questionnaires using a five-point Likert scale, supported by observation, interviews, documentation, and literature review. The research instrument was assessed through validity and reliability tests, and the data were analyzed using multiple linear regression with SPSS. The reported results indicate that Islamic leadership has a positive and significant effect on employee performance, with a regression coefficient of 0.310 and a significance value of 0.020. Trust also has a reported positive and significant effect, with the same coefficient and significance value. Simultaneously, both independent variables significantly affect employee performance, as indicated by an F-statistic of 55.485 and a significance value below 0.001. The adjusted coefficient of determination is 0.524, indicating that the model explains 52.4% of the variation in employee performance. These findings highlight the relevance of Islamic leadership and trust in understanding employee performance at BMT Tanggamus, although the reported regression outputs require verification for consistency.