The Mediating Effect of Job Satisfaction in Creating Employee Performance of The Public Fertilizer Company in Indonesia

Faisal, Matriadi and Mariyudi, Mariyudi and Muhammad, F. Chadafi (2019) The Mediating Effect of Job Satisfaction in Creating Employee Performance of The Public Fertilizer Company in Indonesia. In: IAC in Vienna 2019, 29 - 30 November 2019, Vienna, Austria.

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Abstract

Organizations in Recent decades are faced with more challenges that affect all organizations and increased the popularity of creativity and innovation as major contributors to company performance. The previous studies indicate that job satisfaction precedes and significantly influences several aspects of organizational performance and productivity. The overall objective of the investigation is to identify the mechanism and / or process of the mediating effect of job satisfaction that affects the results of individuals and companies at the company level. Data from 131 employees of PT. Pupuk Iskandar Muda was analyzed using partial least squares structural equation modeling (PLS-SEM) with Warp PLS to assess the hypothesized relationships. The empirical analysis shows that self-efficacy, organizational climate, and quality of work-life are positively associated with job satisfaction. Self-efficacy, organizational climate, quality of work-life, and job satisfaction are positively associated with employee performance. Moreover, the findings also indicate that the mediation of job satisfaction is also proven significant in the same relationship. Overall, this study could make important contribution to extant research in human resource management and organizational behavior crucially in the context of bureaucratic reform in Indonesia

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