The Influence of Organizational Culture and Compensation on Employee Performance with Work Motivation as an Intervening Variable at PT XYZ
DOI:
https://doi.org/10.35870/emt.v9i4.5210Keywords:
Organizational Culture, Compensation, Work Motivation and Employee PerformanceAbstract
With work motivation acting as an intervening variable, this study attempts to evaluate and examine the effects of organizational culture and compensation on employee performance at PT XYZ. The dependent variables are employee performance and work motivation, whereas the independent variables are organizational culture and compensation. The research employed a data gathering strategy that involved delivering questionnaires to 165 workers of PT XYZ. Using primary data, the study methodology is quantitative and associative in character. and Structurally Equitional Modeling (SEM) with PLS 4 is the data analysis model utilized.The findings of this study demonstrate that, with a coefficient value of 0.364, organizational culture has a positive and significant impact on employee performance; compensation positively and significantly affects employee performance with a coefficient value of 0.247; organizational culture positively and significantly affects employee performance through work motivation with a coefficient value of 0.155; and compensation positively and significantly affects employee performance through work motivation with a coefficient value of 0.140. Employee performance is positively and significantly impacted by work motivation, as indicated by the coefficient value of 0.354.
Downloads
References
Avni, N., & Hamida, N. U. (2015). The Effect of Work Motivation and Work Discipline on Employee Performance (Case Study at PT. Pattindo Malang). Journal of Business Administration, 26(2), 1-8.
Edy, S. (2016). Manajemen sumber daya manusia. Kencana Prenada Media Group, Jakarta, 119.
Elvie, M. (2019). The influence of organizational culture, compensation and interpersonal communication in employee performance through work motivation as mediation. International Review of Management and Marketing, 9(5), 133.
Graha, A. M. C. A., & Rahardjo, E. (2016). Analisis Pengaruh Budaya Organisasi dan Kompensasi terhadap Kinerja Karyawan dengan Motivasi sebagai Variabel Intervening (Studi Kasus pada PT. LG Bagian Penjualan Indonesia Semarang). Diponegoro Journal of Management, 5(2), 188-199.
Hair Jr, J., Hair Jr, J. F., Sarstedt, M., Ringle, C. M., & Gudergan, S. P. (2023). Advanced issues in partial least squares structural equation modeling. saGe publications.
Handoko, T. H. (2016). Manajemen personalia dan sumberdaya manusia. Bpfe.
Hasan, M., Enas, U., Putra, A. R., Anggraini, R. I., Mustika, A., Ismainar, H., ... & Pramanik, P. D. (2022). Perilaku Organisasi (Organizational Behaviour). Penerbit Widina.
Hasibuan, M. S., & Hasibuan, H. M. S. (2016). Manajemen sumber daya manusia. Bumi aksara.
Rivai, V. (2006). Manajemen sumber daya manusia untuk perusahaan: Dari teori ke praktik.
Robbins, S. P., & Judge, T. A. (2015). Perilaku Organisasi .(R. Saraswati & F. Sirait, Trans.). Jakarta, Indonesia: Salemba Empat.
Schein, E. H. (2010). Organizational culture and leadership (Vol. 2). John Wiley & Sons.
Tjahjadi, K., & Uria, M. S. (2021). the Influence of Compensation, Organization Culture and Motivation on Employee Performance. Media Bisnis, 13(1), 47-54.
Widodo, D. S. (2017). The effect of compensation, leadership and organizational culture through work motivation on employee performance. Jurnal Manajemen Dan Kewirausahaan, 5(2), 1-7.
Wijaya, E. P. (2016). pengaruh kompensasi dan budaya organisasi terhadap kinerja karyawan pada PT. semangat baru jaya. Agora, 4(1), 83.
Downloads
Published
Issue
Section
License
Copyright (c) 2025 Ruri Faradhillah, Cecep Yoto Haryoto

This work is licensed under a Creative Commons Attribution 4.0 International License.
Authors who publish with this journal agree to the following terms:
1. Copyright Retention and Open Access License
Authors retain copyright of their work and grant the journal non-exclusive right of first publication under the Creative Commons Attribution 4.0 International License (CC BY 4.0).
This license allows unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
2. Rights Granted Under CC BY 4.0
Under this license, readers are free to:
- Share — copy and redistribute the material in any medium or format
- Adapt — remix, transform, and build upon the material for any purpose, including commercial use
- No additional restrictions — the licensor cannot revoke these freedoms as long as license terms are followed
3. Attribution Requirements
All uses must include:
- Proper citation of the original work
- Link to the Creative Commons license
- Indication if changes were made to the original work
- No suggestion that the licensor endorses the user or their use
4. Additional Distribution Rights
Authors may:
- Deposit the published version in institutional repositories
- Share through academic social networks
- Include in books, monographs, or other publications
- Post on personal or institutional websites
Requirement: All additional distributions must maintain the CC BY 4.0 license and proper attribution.
5. Self-Archiving and Pre-Print Sharing
Authors are encouraged to:
- Share pre-prints and post-prints online
- Deposit in subject-specific repositories (e.g., arXiv, bioRxiv)
- Engage in scholarly communication throughout the publication process
6. Open Access Commitment
This journal provides immediate open access to all content, supporting the global exchange of knowledge without financial, legal, or technical barriers.