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ABSTRACT
This study aims to understand the influence of organizational culture (OC) on job satisfaction (JS) and employee performance (EP); employee engagement (EE) on JS and EP; JS on EP; OC and EE on JS and EP; and the mediating influence of JS on the relationship between OC and EP and EE on EP. Fifty two employees were gathered as research sample via stratified random sampling. Survey questionnaire was employed to collect data, which were analyzed through t test, F test, multiple linear regression analysis, and path analysis. Results revealed that OC positively and significantly influences JS and EP; EE significantly and positively affects JS and EP; JS positively and significantly affects EP; OC and EE positively and significantly influence JS and EE. Furthermore, JS mediated the relationship between OC and EP, whereas JS also mediated the relationship between EE and EP.
Keywords: Employee Engagement, Employee Performance, Job Satisfaction, Organizational Culture.
1. INTRODUCTION
Organizations in the current globalization era experience swift and uncontrolled changes. Therefore, an organization should adapt to changes and its environment. It must have competent employees with strong skills to achieve its goals. According to Dessler (1997), human resource management is a policy and practice that is needed by someone who is responsible for the individual aspects or human resources of a managerial position in the fields of recruitment, screening, training, compensation, and judgment. Schuler et al. (1992 in Sutrisno, 2009) noted that human resource management acknowledges the importance of labor as human resources which is vital for achieving the organization's purpose and the use of the several functions of human resource management.
An organization can be considered good if employee performance (EP) meets the company's target. Mathis and Jackson (2006) defined EP as the action that an employee does or does not do. The main factors that influence EP include the ability of individuals to do work, the efforts that are rendered, and the support of the organization. Robbins (1996) expressed a second opinion and said that EP is a tangible result that is displayed by each person based on defined criteria.
Accordingly, EP can be increased by encouragement and can be reduced if one factor does not exist. Bernardin and Russell (1993) mentioned that performance is the record of...
