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Edunity
Volume 3 Number 5 May, 2024
p- ISSN 2963-3648- e-ISSN 2964-8653
THE ROLE OF MOTIVATION IN MEDIATING THE
INFLUENCE OF ORGANIZATIONAL CULTURE ON
EMPLOYEE PERFORMANCE
Ryan Hadi Saputra
1
, I Gusti Made Suwandana
2
Universitas Udayana, Indonesia
Email: hadi.saputra2[email protected]
1
, gungdesuwandana@unud.ac.id
2
ABSTRACT
In a business, human resources are crucial. High-quality human resources may provide value to
a business, boost its competitive edge, and aid in decision-making that will ultimately improve
worker performance. Without effective staff performance, the company cannot accomplish its
objectives. In Denpasar City, Bali, this study was carried out at one of the state-owned businesses.
The pre-survey's findings suggested that there could be issues with staff performance at the
research location. 41 employees were chosen as the study's sample using the saturation sampling
approach. Questionnaires were distributed and interviews were conducted in order to collect
data. Path analysis with SPSS, the Sobel test, and the VAF test were the data analytic methods
employed in this study. Based on the study's findings, it can be concluded that organizational
culture has a positive and significant impact on worker performance, motivation has a positive
and significant impact on worker performance, and motivation can mediate the effect of
organizational culture on worker performance. From the standpoint of self-determination theory,
the implications of this study conceptually validate the findings of earlier research. The research's
practical implications offer a guide for a policy that managers and staff may use to enhance
employee performance through organizational culture and motivation.
Keywords: Employee Performance; Motivation; Organizational Culture
Introduction
The role of human resources enables the achievement of company objectives
(Iswandi, 2021). This requires the ability to improve the quality of human resources
because the development of technology and trade is determined by the humans who are
the actors and drivers (Jufrizen & Rahmadhani, 2020). Organizations need reliable
human resources so that they can provide a role in the form of their performance which
is very calculated to achieve the vision and mission of the organization. Therefore, a
company that can manage and optimize existing HR capabilities will be able to achieve
its goals (Sintaasih & Astitiani, 2019).
Quality human resources are an added value for the organization and help make
optimal decisions to contribute to its competitive advantage which is reflected in its good
performance (Yong et al., 2020). The corporation uses employee performance as a
baseline to gauge how well workers can do their given responsibilities, hence employee
performance matters (Dwinanda, 2022). It can also be said that performance is like the
answer to the success of an organization that has been planned (Putra & Surya, 2023).
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Organizational culture is thought to be the most important element influencing
employee performance (Rivai, 2020). Because organizational culture is a habit that arises
in the organizational hierarchy and symbolizes the standards of conduct adhered to by
members of the organization's workforce, it plays a crucial role in attempts to attain
organizational objectives (Sarumaha, 2022). Organizational culture is one of the
strategies to motivate employees to achieve maximum performance (Meutia & Husada,
2019). The impetus for someone to do work is what is called motivation (Aprila &
ArthaWibawa, 2020). Motivation that is generated due to external stimuli is external
motivation, in the form of regulations, company policies, interactions between
employees, and so on (Sutoro, 2020).
The purpose of this study is to measure the extent to which employee motivation
contributes to improving their performance. This study will look at the correlation
between the level of employee motivation and various performance indicators such as
productivity, work quality, and job satisfaction.
According to (Sularwan & Santoso, 2020), organizational culture has a favorable
association with employee performance and is crucial in enhancing employee
performance in a firm. On the other hand, study by (Anggara, Sujana, & Novarini, 2022)
claims that employee performance is not much impacted by company culture. This
research was done again because the problem's history reveals that there are
discrepancies in the research findings (research gap) between one study and earlier
studies.
Research Method
This study examines and determines the function of motivation in moderating the
impact of corporate culture on worker performance using an associative quantitative
methodology. This study was carried out at BPJS Ketenagakerjaan Denpasar City due to
signs of employee performance issues inside the organization. The research sample for
this study consisted of 41 employees, who comprised the population of the study. The
research sample was selected using the saturation sampling approach. Primary data
from interviews and questionnaire distribution are used in the research. Since variable
measurement makes use of several indicators, validity and reliability instrument tests
must be performed to ensure that the questionnaire data returns are feasible. A Likert
scale with a range of one to five, with the parameters of one strongly disagree to five
strongly agree, is used to measure the data obtained from the questionnaire. With the
use of SPSS version 25 software, the questionnaire data is analyzed using path analysis,
classical assumption test, sobel test, and VAF test.
Result And Discussion
Table 1
Respondent Characteristics
No
Variable
Classification
Number (People)
Percentage (%)
1
age
amount
21-30 years
31-40 years
41-50 years
51-60 years
12
21
7
1
41
29,3%
51,2%
17,1%
2,4%
100
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2
Gender
Male
Female
31
10
75,6%
24,4%
amount
41
100
3
Last Education
JUNIOR HIGH
SMA/SMK
S1
S2
1
9
28
3
2,4%
22%
68,3%
7,3%
amount
41
100
4
Length of
Service
<1 years
1-5 years
6-10 years
>10 years
1
10
20
10
2,4%
24,4%
48,8%
24,4%
amount
41
100
Table 1. Presents the characteristics of respondents. Characteristics based on age
show that respondents aged 31-40 years dominate with a percentage of 51.2 percent.
When viewed based on gender, data related to male employees dominate with a
percentage of 75.6 percent. Based on the respondent's education data, respondents with
the latest S1 education dominate, namely 68.3 percent. When viewed from the length of
work, those who work for 6-10 years dominate with a percentage of 48.8 percent.
The validity of the instrument is shown by a correlation coefficient value of ≥ 0.3.
A correlation coefficient of validity test findings over 0.3 was achieved by indicators of
employee performance, motivation, and organizational culture, indicating that they
meet the requirements and may be used to assess these variables in study. A Cronbach
Alpha of more than 0.60 indicates a consistent and trustworthy measurement device.
The organizational culture, motivation, and personnel performance scores are 0.758,
0.731, and 0.763, respectively, indicating that the dependability standards have been
satisfied.
The organizational culture variable has an average of 4.32 with the highest score
on the statement "I always understand the tasks that must be done first" and the
statement "I am able to work well together in a team", with a score of 4.46 which is
classified as very strong. The statement "The company gives employees freedom in
making decisions" and the statement "The company is able to provide a good career path
for employees", have the lowest score with a score of 4.12 which is classified as strong.
Motivation's average score of 4.36 falls into the strong category. The highest score
of the challenge indicator is the statement "I feel comfortable with my coworkers", with
a score of 4.49 which is classified as very high. The lowest average is the statement "I get
rewards that match the workload", with a score of 4.15 which is classified as high.
Employee performance has an average score of 4.31 and is categorized as quite
good. The statement "I do not violate the norms that exist in the company", has the
highest score with 4.54 which is classified as very good. The lowest average is the
statement "I am willing to work overtime when urgent so that all work is completed
properly according to the specified time", with a score of 4.10 which is classified as good.
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Table 2
Results of Regression Analysis for Sub-Structure 1
Model
Under standardized
Coefficients
Standardized
Coefficients
t
Sig.
B
Std. Error
Beta
(Constant)
24,201
4,470
5,414
0,000
Organizational
Culture
0,450
0,103
0,572
4.354
0,000
R²: 0,327
a. Dependent Variable: Employee Performance
b. Predictors: (Constant), Organizational Culture
Source: primary data processed, 2024
This is the formulation of the structural equation that was generated based on the
analytical results shown in Table 2.
Z = β2X + e1
Z = 0,572X + e1
According to the structural equation, the boredom variable has a coefficient of
0.572, indicating a positive relationship between organizational culture and employee
performance. In other words, if organizational culture rises, employee performance will
follow suit.
Table 3
Regression Analysis Results on Sub-Structure 2
Model
Under standardized
Coefficients
Standardized
Coefficients
t
Sig.
B
Std. Error
Beta
(Constant)
-3,586
5,740
-0,625
0,536
Organizational
Culture
0,464
0,122
0,446
3,804
0,001
Motivation
0,611
0,155
0,462
3,935
0,000
R²: 0,648
a. Dependent Variable: Employee Performance
b. Predictors: (Constant), Motivation, Organizational Culture
Source: primary data processed, 2024
This is the formulation of the structural equation that was generated based on the
analytical results shown in Table 2.
Y= β1X + β3Z + e2
Y= 0,446 + 0,462 + e2
The examination of how corporate culture affects employee performance yielded
a beta coefficient value of 0.446. This indicates that motivation is positively and
significantly impacted by organizational culture, and vice versa. The value of the beta
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coefficient for motivation is 0.462. This finding implies that employee performance is
significantly impacted by motivation and vice versa.
Table 4
Direct Effect and Indirect Effect of Research Variables
Variable
Influence
Direct Influence
Indirect Effect
Total Influence
X-Y
0,446
0,264
0,71
X-Z
0,572
-
0,572
Z-Y
0,462
-
0,462
Source: primary data processed, 2024
A overview of the route analysis technique's findings, which were utilized to
determine the outcomes of each path in each structural equation, is presented in Table
4. These results show that organizational culture has a direct impact of 0.446 on
employee performance, a direct impact of 0.572 on motivation, a direct impact of 0.462
on employee performance from motivation, and an indirect impact of 0.264 on
organizational culture on employee performance. The overall impact of organizational
culture on worker performance is 0.71 times larger than the direct impact, indicating that
the use of motivation as a mediating variable will improve the impact of organizational
culture on worker performance.
Figure 1
Path Analysis Model
Source: primary data processed, 2024
With a total determination value of 0.763, organizational culture and motivation
variables account for 76.3 percent of employee performance variables, with other factors
not included in the model accounting for the remaining 23.7 percent.
The Kolmogorv-Smirnov One-Sample A test is performed to ascertain whether or
not the study's data is regularly distributed. For sub-structures 1 and 2, asymp.sig. (2-
Employee
Performance (Y)
β1=0,446
β2=0,572
β3=0,462
e2=0,593
e1=0,820
Organizational
Culture (X)
Motivation
(Z)
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tailed) Kolmogorov-Smirnov values are 0.200 and 0.090. The fact that this result is higher
than the alpha threshold of 0.05 indicates that the research model's data has a normal
distribution and passes the normality test. Because the regression model has a tolerance
of > 0.10 and a VIF value of < 10, the results of the multicollinearity test demonstrate that
the model is free from multicollinearity. Each model with a Sig. value over 0.05 indicates
that the variables are free of absolute residuals and heteroscedasticity symptoms,
according to the findings of the heteroscedasticity test.
The influence of corporate culture on employee performance was tested, and the
findings showed that H0 is accepted and H1 is rejected. The beta coefficient value was
0.446, with a significance threshold of 0.001 < 0.05. This value suggests that employee
performance is positively and significantly impacted by corporate culture. This implies
that employee performance inside the firm may be enhanced by an organization's
stronger organizational culture (Jufrizen & Rahmadhani, 2020). Employee performance
inside a corporation can be positively impacted by organizational culture, according to
a different study (Meng & Berger, 2019).
The influence of corporate culture on motivation was tested, and the findings
showed that H0 is accepted and H1 is rejected. The beta coefficient value was 0.572, with
a significance threshold of 0.000 < 0.05. These findings suggest that motivation is
positively and significantly impacted by company culture. Employee motivation inside
a firm will rise in direct proportion to the quality of its organizational culture (Siregar,
2020). Similarly, studies conducted by (Putra & Surya, 2023) indicate that a company's
organizational culture might impact employee motivation.
The hypothesis testing results regarding the impact of motivation on employee
performance indicate that H₀ is accepted and H₀ is rejected. The beta coefficient value is
0.462 at a significance level of 0.000 ≤ 0.05. This demonstrates that employee performance
is positively and significantly impacted by motivation. Employee motivation is crucial
to their ability to perform efficiently and complete given duties in accordance with the
operational requirements of the business. Another force that enables someone to act in a
way that advances certain goals is motivation (Indahingwati et al., 2019). An employee's
performance increases with their level of job motivation (Suryawan & Suwandana,
2019).
Using the Sobel test to test a hypothesis on how corporate culture influences
employee performance through motivation, the results showed that the Z value was
2.463 > 1.96. These findings suggest that the impact of corporate culture on worker
performance may be mitigated by the motivation variable. This demonstrates how
motivation may act as a mediator between company culture and worker performance.
Accordingly, motivation acts as a mediator in the indirect relationship that exists
between employee performance characteristics and organizational culture variables
(Antony & Hariyanto, 2021). An organization's high organizational culture is thought to
boost motivation, which can significantly improve worker performance (Purnamasari,
2021).
Theoretical implications are implications related to the contribution of research to
concepts in science. The implications in this study can strengthen previous research and
become a reference regarding the relationship between organizational culture and
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employee performance mediated by motivation through the perspective of Self-
Determination Theory. The hypothesis in this study is proven, where organizational
culture and motivation are able to significantly affect employee performance. So that the
results of this study can be one of the references for BPJS Ketenagakerjaan Denpasar City
which is the research location to consider the performance of its employees by paying
attention to organizational culture and employee motivation.
Conclusion
Several conclusions can be made from the research results, including the
following: motivation has a positive and significant effect on employee performance,
organizational culture has a positive and significant effect on employee performance,
and motivation significantly mediates the effect of organizational culture on employee
performance. To improve employee performance, the leadership of BPJS
Ketenagakerjaan Denpasar City must be aware of the organizational culture that is in
place at the firm. It is anticipated that future studies will be able to broaden the study's
population and breadth, alter data analysis methods as necessary, and improve research
references.
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