IOSR Journal of Business and Management (IOSR-JBM) e-ISSN: 2278-487X, p-ISSN: 2319-7668. Volume 14, Issue 4 (Nov. - Dec. 2013), PP 01-08 www.iosrjournals.org www.iosrjournals.org 1 | Page Engagement as a Variable to Improve the Relationship between Leadership, Organizational Culture on the Performance of Employees Yupono Bagyo (STIE Malangkucecwara, Malang, Indonesia) Abstract: Employee Performance Management is a process for establishing a shared workforce understanding about what is to be achieved at an organisation level. Many factors affect the performance of the employees, in which performance of the employees affected attitudes, organizational commitment, organizational citizenship behavior and this study focuses on employee engagement work services sector. Data was collected from employees in Lawang Medica one of Hospital, in Malang Indonesia. The survey questionnaire was designed to collect information concerning three areas of management constructs: Leadership, Corporate Culture, Engagement and Performance. In order to minimize the potential bias, There were intelligence, maturity and breadth of social relationships, self motivation and encouragement of achievement, attitudes human relations questions pertaining to leadhersip, questions about functional culture, process - driven culture, time - based cultures, network cultures, for corporate culture, 3 questions: Career Roadmap (Planning and Tracking, Career Coaching on Demand, Internal Mobility (Jobs and Gigs, Networking and Community, Company Groove for engagement, and 3 questions: Timeliness in completing the task, Completion of employment , work without error for performance, to refine the analysis, the research comes with a Sony voice recorder type ICD-UX512F used to search for the clarity of the argument to the informant on the acceptance or rejection of the hypothesis. The result is a leadership influence on engagement, corporate culture and employee performance. This leadership influence will increase if the variables included engagement of employees. Interesting finding of this study is the high performance of employees can not be said to be due to the influence of culture ccorporate, but because of variable engagement, corporate culture influences the performance will be meaningful. This suggests that the importance of engagement in an organization. Keywords: Leadhersip, Corporate Culture, Engagement, Performance. I. Introduction High employee performance can not be separated from the ways in leading employees organizations, Individual performance is influenced by the ability, skills, knowledge, attitudes, motivation and job stress (Gibson et. al. 2000), while other studies say that the performance of the individuals affected by the existence of the soul organizational citizenship behavior and commitment organisasinal (Yupono, 2009) as well as the intelligence of the leadership in managing subordinates through customs, beliefs and willingness based on standard operating procedures are implemented in the organizational culture. Another very important aspect in driving performance is profound willingness of employees described in the sub-culture in health care, doctors, nurses and management which has different characteristics, such as: relationship with the environment, reality and truth, the basis of humanity, the relationship between private. This difference can be seen by the character of their ability and willingness to help fellow co-workers or friends within the organization for smooth running of the organization that is described in the engagement. Engagement may constitute the mechanism through which HRM practices impact individual and organisational performance. However, engagement has emerged as a contested construct, whose meaning is susceptible to ‘fixing, shrinking, stretching and bending’. (Truss, at, al, 2013). From the description above, the problem is formulated and tested at the same time: a). leadership in service companies to improve the performance of its employees, b). leadership can influence organizational culture, c). organizational culture can improve the performance of the employees, d). engagement can improve performance, e). engagement can improve leadership and organizational culture on performance Leadership Leadership is a special case of interpersonal influence that gets an individual or group to do what the leader wants done (Wood, at al., 2001), has two important roles, namely: 1). Complete the task, is the main objective in the establishment of a group led by its leader. Leaders must ensure that the group's objective will be achieved. If not achieved, it will cause frustration, disharmony, criticism and the disintegration of the group.2). Maintain effective relationships, ie relationships with members of the group leader and the ridge between group