Case Study
Year: 2021 | Month: January | Volume: 8 | Issue: 1 | Pages: 417-424
The Role of Incentives Strategy on Employee Performance through Job Satisfaction as Between Variables (Case Studies in Banks Muamalat Branch Medan)
Arif Hendarto1, Endang Sulistya Rini2, Beby Karina Fawzeea Sembiring3
1,2,3 Master of Management Universitas Sumatera Utara, Indonesia
Corresponding Author: Arif Hendarto
ABSTRACT
Human resources (HR) have a vital role in company. Likewise with PT. Banks Muamalat Indonesia, wants human resources with superior capabilities and expertise. Various efforts were made to improve employee performance, including by providing incentives as a stimulus for employees who work extra. The purpose of providing incentives is to increase employee morale in carrying out their work, in addition to increasing work results in order to achieve the target set by Bank Muamalat Medan Branch. The performance of the employees of Bank Muamalat, Medan, has met the criteria for Standard Operational Procedure (SOP), but there are still some employees who are not satisfied with the results and do not want to put more effort into improving work results. This study uses a quantitative approach with a correlational analytic design. The research analysis method uses Partial Least Square - Structural Equation Modeling (PLS-SEM) using the SmartPLS application (v 2.3.8). The results of the research on the outer model showed that no trimming was found, where all construct variables had proper validity and reliability. While the inner model found that incentives have a positive effect on performance satisfaction with the t test value of (43.604); incentives have a positive effect on employee performance with a t test value of (2.947); Performance satisfaction has a positive effect on employee performance with a t test value of (4.703). The indirect effect of the incentive variable with job satisfaction as a variable between positively influencing employee performance with a t test value of (28.718).Where the t value is above> the t table value.
Keywords: Human Resources, Satisfaction, Incentives, Performance.
[PDF Full Text]