The effect of compensation and organizational culture on employee work motivation at the Grand Mercure Hotel Bandung: A research framework

Abstract

Work motivation is a condition that encourages someone to conduct their duties at work. Work motivation is important to improve performance because it could encourage employee productivity. Achieving high employee motivation requires support from company management so that there are factors that can increase employee motivation, such as compensation and organizational culture. Compensation is given both physically and non-physically as a reward for the work that has been done. In addition, organizational culture is the values, traditions, and work procedures followed by members of the company. This study aims to determine how compensation, organizational culture, and work motivation of employees at Grand Mercure Hotel Bandung is, as well as to analyze the partial and simultaneous effect of compensation and organizational culture on employee motivation at Grand Mercure Hotel Bandung. The data in this study were analyzed using a descriptive quantitative method and verified using Structural Equation Model (SEM)-PLS analysis with compensation and organizational culture as independent variables, and employee motivation as the dependent variable. The data were taken by distributing questionnaires to 150 employees of the Grand Mercure Hotel Bandung. Finally, the data were processed and analyzed using SmartPLS version 3.3.9.

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