The aim of this research is (1) to analyze how school principals inspire teachers to improve their performance, (2) to analyze how school principals motivate teachers to enhance their performance, (3) to analyze how school principals encourage critical and creative thinking in teachers to improve their performance, and (4) to analyze how school principals address the needs of teachers in improving their performance. This research uses a qualitative method with a descriptive approach. The subjects of this study were 3 school principals and 6 teachers from UPTD SD N 6 Juli, UPTD SD N 2 Peudada, and UPTD SD N 8Peudada, with data collection techniques including questionnaires and interviews. The findings of the research conclude that school principals play a crucial role in improving teacher performance through transformational leadership, which includes providing inspiration, motivation, encouragement for critical thinking, and attention to the needs of teachers. By creating a supportive environment, both in terms of facilities, training, and emotional support, school principals can drive improvements in teaching quality and student development. Although teacher performance in Bireuen District is already good, some aspects still require more attention to create an optimal educational environment. The theoretical and practical implications of the findings show that transformational leadership of school principals has a significant impact on teacher performance, learning enhancement, and the creation of a conducive work environment for the professional development of teachers.