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Journal : Wiga : Jurnal Penelitian Ilmu Ekonomi

Factors that Influence Organizational Performance in Manufacturing Companies in Batam City Asri, Dhita Hafizha; Amanda, Xena
Wiga : Jurnal Penelitian Ilmu Ekonomi Vol. 15 No. 1 (2025): March 2025
Publisher : Institut Teknologi dan Bisnis Widya Gama Lumajang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.30741/wiga.v15i1.1305

Abstract

This study aims to analyze the factors affecting Organizational Performance in manufacturing companies in Batam City, focusing on the mediating roles of Organizational Culture, Motivation, Strategic Planning, Challenges, and Program Performance. The research addresses performance issues frequently encountered in industrial sectors, particularly within competitive manufacturing environments. A total of 359 respondents, consisting of employees from a manufacturing company in Batam, were selected using the sampling technique proposed by Hair et al. Data analysis was conducted using SmartPLS to evaluate relationships between variables. The results indicate that Motivation significantly influences Organizational Performance, although the high path coefficient is accompanied by relatively small p-values. Strategic Planning also contributes positively to performance but with a lower effect. Conversely, Challenges were found to have a strongly negative impact on Organizational Performance, highlighting the critical need for effective management of organizational obstacles. These findings suggest that enhancing motivation and strategic planning, while proactively addressing challenges, can improve overall organizational outcomes. The study contributes valuable insights for company leaders and policymakers seeking to optimize performance in dynamic manufacturing settings.
Effect of Sustainable HRM Practice on Organizational Performance Mediated by Knowledge Management, Work Engagement and Organizational Culture Yuswardi, Yuswardi; Asri, Dhita Hafizha; Saputra, Osgood Feriady Darma
Wiga : Jurnal Penelitian Ilmu Ekonomi Vol. 15 No. 2 (2025): September 2025
Publisher : Institut Teknologi dan Bisnis Widya Gama Lumajang

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.30741/wiga.v15i2.1511

Abstract

The manufacturing sector is currently under significant pressure to enhance productivity and sustainability due to rapid industry changes, technological advancements, and intensified global competition. This creates an urgent need for integrating sustainable Human Resource Management (HRM) practices to support long-term organizational performance. This study investigates the impact of sustainable HRM practices on organizational performance within the manufacturing industry in Batam, Indonesia. Employing a quantitative research approach, data were collected through structured questionnaires distributed to 370 employees across multiple companies. The research involved several stages of data analysis, including validity testing, reliability analysis, and structural equation modelling (SEM), to evaluate the hypothesized relationships among variables. The results revealed that sustainable HRM practices significantly influence knowledge management, work engagement, and organizational culture, which collectively enhance organizational performance. These findings imply that manufacturing firms should emphasize the development of sustainable HRM strategies, such as effective knowledge sharing systems and fostering a positive organizational environment. Implementing such practices will improve employee engagement, promote innovation, and sustain competitive advantage. Overall, this research underscores the importance of integrating sustainability initiatives into HRM practices to achieve resilient and high-performing manufacturing organizations.