Objective - This study explores and examines the theoretical framework regarding the influence of strategic leadership styles that include transformational leadership style and transactional leadership styles as well as their influence on commitment to service quality and how leadership style influences service innovation in local enterprise water services.

Methodology/Technique - The number of respondents in this study were 120 employees who were selected using a purposive sampling method and were represented by each section relating to the task of serving customers. Structural Equation Modeling (SEM) is used to analyze the research data.

Findings - The results show that transformational leadership style has an influence on commitment to services quality and service innovation.

Novelty - Likewise, the transactional leadership style affects commitment to services quality, but it does not affect service innovation.

Type of Paper: Empirical.

Keywords: Transformational and Transactional Leadership Style; Commitment to Service Quality (CSQ); Service Innovation (SI).

JEL Classification: M10. M11. M19