Integration of Local Cultural Values into Leadership Skill Development to Enhance Leadership Excellence in Indonesian Organizations

Abstract

The limited ability of an organization to formulate cultural values in leadership practices fosters a sense of inferiority, reduces the feeling of trust in the original culture, and erodes national identity. This study tested the integration of local cultural values into leadership skill development in establishing leadership excellence in Indonesian organizations. Questionnaires were distributed to 710 leadres representing various ethnicities across organizations in Indonesia. The respondents were selected using cluster sampling technique based on ethnicity and geographic location. The respondents were further purposive sampled based on the research objective. Data analysis consisted of SEM analysis and hypothesis testing. The results suggest that integrating local cultural values into developing leadership skills can significantly enhance leadership excellence. Local cultural values can strengthen the effect of leadership skills on leadership excellence.