The effect of organizational culture on employee performance mediated by job satisfaction and work motivation: Evident from SMEs in Indonesia

Abstract

This study aims to examine the influence of organizational culture on employee performance mediated by job satisfaction and work motivation. This research is a quantitative research with a case study at the SME PT PMS Company in Surabaya, Indonesia by distributing questionnaires to 50 employees. The data were processed using Structural Equation Modeling with the Smart PLS 3 programs. The results showed that in fact the respondents thought that organizational culture and work motivation had no direct significant effect on employee performance, and work motivation could not mediate organizational culture on employee performance. Organizational culture has a significant direct effect on job satisfaction and work motivation and job satisfaction has a significant direct effect on employee performance. Likewise, job satisfaction can mediate organizational culture on employee performance where all relationships lead in a positive direction. There has been no research that examines the relationship model of those 4 variables which is intended to determine the wider relationship between these variables and this study provides an overview of employee behavior in SME companies and is useful as input in determining strategies, especially for companies to improve their performance.

Reviewing the Human Capital Performance Stimulants of Employees In Logistic Transportation with a Quantitative Approach

“…Based on the results of the tests that have been carried out, it is stated that the third hypothesis is accepted, which means that organizational culture has a positive and significant effect on job satisfaction. These results are in line with previous research conducted by Wahyuniardi and Nababan (2018), Husodo (2018), Suparta and Ardana (2019), Pratama et al (2020), andWahjoedi et al (2021), which states that organizational culture has a positive and significant effect on job satisfaction. Organizational culture in the company can make employees align their views on one goal.…”

“…The compactness between company employees can make employee performance better, because of good cooperation with fellow coworkers. Based on the results of tests that have been carried out, the variable job satisfaction as a moderating variable of the variables of work discipline, work environment and organizational culture on employee performance has a positive influence, these results are in line with previous research conducted by Wahjoedi (2021) and risnaldy (2019) which means that if work discipline, work environment and organizational culture are improved within the company, it will increase job satisfaction. work that will improve the performance of employees of PT Surya Lintas Abadi.…”

“…Based on the results of the research and discussion, it can be concluded that work discipline has a positive and significant effect on job satisfaction according to Yuliana (2018), Nuryatin (2020), and Subhan and Yusuf (2020), the work environment has a positive and significant effect on job satisfaction according to the research of Astuti & Iverizkinawati (2018), Januarty et al (2020), andFathoni et al (2021), organizational culture has a positive and significant effect on job satisfaction according to the research of Wahyuniardi and Nababan (2018), Husodo (2018), Suparta and Ardana (2019), Pratama et al (2020), andWahjoedi et al (2021), job satisfaction has a positive and significant effect on employee performance according to the research of Susanto (2019), Garaika (2020), Martha andPutra (2020), andEnde &Firdaus (2021), work discipline has no effect on employee performance according to the research of Hardiansyah et at. (2019).…”

The Impact of Transformational Leadership Styles and Organizational Culture on Employee Performance: Systematic Literature View

“…Research conducted by (Paais, 2020) has the result that organizational culture has a negative impact on employee performance, this shows that the application of organizational culture in the regional secretariat agencies of South Sulawesi regencies/cities has not had a real impact on improving Employee performance, the cause is because there are still weaknesses in the application of organizational culture, in line with research conducted by (Wahjoedi, 2021) that synchronization of organizational culture is needed Employee Performance expected by the company with the Organizational Culture created so that the organizational culture has a positive impact on Employee Performance.…”

The influence of leadership style on employee performance mediated by work conflict and moderated by job stress

“…and behaviors of the personnel in the organization. The congruence between organizational characteristics and workers' desires needs to be worked out to lead to a high degree of cohesion [26].…”