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The Effect of Salary and Reward on Performance through Productivity Arman Syarif; Ahmad Sopyan; Mira Rozzana; Ida Jaya; M. Ikhsan
Jurnal Relevansi : Ekonomi, Manajemen dan Bisnis Vol 10 No 3 (2026): June
Publisher : Lembaga Penelitian dan Pengabdian Kepada Masyarakat (LPPM), STIE Krakatau

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61401/relevansi.v10i1.444

Abstract

This study investigates the effect of salary and reward on employee performance with productivity as a mediating variable to understand how compensation practices translate into performance improvements. The purpose is to clarify both the direct and indirect mechanisms through which salary and reward influence organizational outcomes. Employing a quantitative research design, data were collected using structured questionnaires from employees and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) in SmartPLS to test the hypothesized relationships among constructs. The results indicate that salary and reward have significant positive effects on both productivity and performance, and productivity significantly mediates the relationships between compensation variables (salary and reward) and performance, supporting the mediation model. However, the direct effect of productivity on performance was not supported in this context, suggesting that additional factors may influence performance beyond productivity alone. In conclusion, while salary and reward are important drivers of work outcomes, their impact on performance is enhanced when productivity is considered as an intermediary process. The study is limited by its cross-sectional design, which constrains causal interpretations and generalizability across contexts. Nevertheless, the findings contribute to human resource management literature by highlighting the role of productivity in linking compensation and performance, offering practical insights for organizations aiming to optimize compensation strategies to improve employee outcomes.
Service Quality Management and Governance Quality: Dual Drivers of Public Service Performance M. Ikhsan; Mira Rozanna
Jurnal Relevansi : Ekonomi, Manajemen dan Bisnis Vol 10 No 4 (2026): August
Publisher : Lembaga Penelitian dan Pengabdian Kepada Masyarakat (LPPM), STIE Krakatau

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.61401/relevansi.v10i4.654

Abstract

This study examined the effects of service quality management and governance quality on public service performance and investigated the moderating role of governance quality in the relationship between service quality management and public service performance. This study contributed to public administration and governance studies by providing empirical insights for public service organizations, policymakers, and practitioners regarding strategies to improve service performance. Using a quantitative explanatory research design with a cross-sectional survey approach, data were collected from 66 respondents involved in financial management, operations, service delivery, internal supervision, governance, and performance reporting. The data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) to evaluate measurement models, structural relationships, and moderation effects. The results showed that service quality management and governance quality positively and significantly affected public service performance. However, governance quality negatively and significantly moderated the relationship between service quality management and performance, indicating a substitution effect rather than a reinforcing effect. The study concluded that service quality management and governance quality independently improved public service performance, but their simultaneous implementation did not necessarily generate additional performance benefits. This study was limited by its single organizational context, cross-sectional design, and reliance on self-reported data. The findings contributed to public administration literature by highlighting the substitutive role of governance quality and emphasizing the importance of reform sequencing in public service organizations.