Factors Affecting Work Satisfaction and Employee Performance in Automotive Industrial Chain

Indrayani Indrayani · Awis

6 citations0/0 files storedInternational Journal of Economics and Business Administration

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Employee Performance and Management Job Satisfaction and Organizational Behavior Employee Performance and Motivation

Abstract

Purpose: This study aimed to analyze the determination of compensation, motivation and organizational commitment to employee performance and job satisfaction as an intervening variable.Design/methodology/approach: The statistical method used is the Structural Equation Model with a total sample of 112 respondents.This study uses a questionnaire to measure the factors affecting work satisfaction as compensation, motivation, organizational commitment, job satisfaction and employee performance.Findings: The results of this study found that there were positive and significant effects of compensation on the job satisfaction, and organizational commitment to job satisfaction as well as the effect of motivation on employee's performance.Moreover, the insignificant effect is found in the effect of the job satisfaction on employee performance, the motivation on the job satisfaction, the compensation towards the employee performance and the organizational commitment on the employee performance.Mediation test proves that the job satisfaction is able to mediate the effects of compensation, motivation and organizational commitment on employee performance. Practical Implications:The results of this study can be the basis for the management of automotive product distributors in Batam City to increase compensation, and motivation for employees to improve job satisfaction and company performance.Originality/value: This study confirms the result that there are positive and significant effects of compensation on job satisfaction and organizational commitment to job satisfaction, and the effect of motivation on employee's performance.

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References

1976One More Time: How Do You Motivate Employees?2008Organizational Behavior : Improving Performance and Commitment in the Workplace 2001Firm‐Wide Incentives and Mutual Monitoring at Continental Airlines 1996Why do employees resist change 2008Organizational Behavior and Management 200922. Human Resource Management 2010Human resource management 2002Dimensions of work satisfaction as predictors of commitment type

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