Public sector reform in Indonesia raises a persistent question: which internal mechanism converts leadership behavior into measurable performance gains among civil servants? This study develops and tests a moderated mediation model in which employee competency mediates the effects of democratic leadership style and work discipline on job performance, and in which discipline moderates the leadership–competency relationship. Data were collected from 139 civil servants working in a local government administration in South Sulawesi Province, Indonesia, using a structured questionnaire. Partial least squares structural equation modeling evaluated the measurement and structural models. Results show that democratic leadership style and discipline each predict competency, that competency predicts job performance, and that discipline strengthens the leadership–competency relationship. Competency mediates both direct effects on performance, and this indirect pathway is itself conditional on discipline. The findings extend the Ability-Motivation-Opportunity framework to bureaucratic settings and inform competency-based human resource strategy in local government.
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