A Generation Z Turnover Intention, Servant Leadership, and Innovative Culture: Evidence From FMCG

Bayu Teguh Wibowo; Emong

doi:10.63922/ijebir.v5i04.4569

Bayu Teguh Wibowo STIE Anindyaguna Semarang,Central Java, Indonesian
Emong STIE Anindyaguna Semarang,Central Java, Indonesian

DOI: https://doi.org/10.63922/ijebir.v5i04.4569

Keywords: Servant Leadership, Innovative Culture, Turnover Intention, Generation Z

Abstract

Abstract

Preventing Gen Z employees from leaving has become a serious issue for companies in Indonesia, especially those undergoing a leadership transition from one generation to the next. This study set out to examine how servant leadership and innovative culture relate to turnover intention among Generation Z employees at PT. Reski Laifasto Branch Raha, an FMCG distribution company in Muna Regency, Southeast Sulawesi, which is currently transitioning from its founding management to a second generation. Previous studies on these topics have generally addressed servant leadership and innovative culture separately and within a broader urban context—leaving regional companies undergoing leadership transitions with a weaker empirical foundation; this study aims to address that gap. Data were collected from all 50 Generation Z employees using structured questionnaires and analyzed through PLS-SEM in SmartPLS 4. Outer model testing confirmed valid and reliable constructs (AVE > 0.50; CR > 0.90). Servant leadership was found to reduce turnover intention (β = −0.384, t = 3.170, p = 0.002), and innovative culture showed a stronger pull in the same direction (β = −0.429, t = 3.236, p = 0.001). Together the two variables accounted for 56.7% of the variance in turnover intention (R² = 0.567, F = 17.141, p = 0.000), highlights effective retention strategies for Gen Z employees during times of organizational transition.

Keywords:Servant Leadership, Innovative Culture, Turnover Intention, Generation Z

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