DOWNSIZING AND ORGANIZATIONAL PERFORMANCE IN THE ERA OF DISRUPTION AND DIGITALIZATION ON OIL AND GAS SERVICE PROVIDER IN THE UPSTREAM SECTOR OF PT. HALLIBURTON INDONESIA AND MALAYSIA

Abstract

The Corona virus, also known as COVID-19, has had a significant impact on several elements in the period of disruption. Digitization enables businesses, industries, and individuals to share information, ideas, expertise, goods, and services while also transforming the workplace into a digital environment. As a result, a number of organizations downsize in order to increase organizational performance, as well as pay attention to the effectiveness of existing leadership in order to assess an organization's level of performance. The goal of this study was to see how downsizing affects organizational performance in the age of disruption and digitalization, as mediated by leadership effectiveness. The participants in this study were 85 PT. Halliburton Indonesia managers (52 persons) and 33 PT. Halliburton Malaysia managers (33 persons). Respondents were given questionnaires to complete, which were used to gather data for the study. The data was analyzed using Smart PLS. The findings revealed that downsizing had a positive and significant impact on leadership effectiveness, a positive and significant impact on organizational performance, a positive and significant impact on leadership effectiveness, and a positive and significant impact on organizational performance via leadership effectiveness as a mediator.