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The Influence of Morality and Integrity on Corporate Performance with Anti-Fraud Awareness as an Intervening Variable at PT XYZ Ali, Mariyuana Abdussamad; Dayona, Gurawan; Sofiati, Nunung Ayu
Journal Integration of Management Studies Vol. 3 No. 3 (2025)
Publisher : Integrasi Sains Media

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58229/jims.v3i3.396

Abstract

The phenomenon of fraud within Indonesian state-owned enterprises (SOEs) is becoming increasingly complex and has far-reaching impacts on both company performance and reputation; PT XYZ, as a strategic entity responsible for managing national infrastructure, is highly vulnerable to fraud, which can lead to financial losses and a decline in public trust. With anti-fraud awareness serving as an intervening factor, this study aims to investigate how morality and integrity affect business performance. Academic study employs is quantitative explanatory design using validated questionnaires. Data were collected from 160 employees of PT XYZ’s subsidiary. Analysis was conducted using SmartPLS 3. The study emphasizes the development of an integrative model that simultaneously incorporates the dimensions of morality, integrity, and anti-fraud awareness into a framework of influence on company performance. This model is the first to be tested empirically of its kind., particularly within the context of Indonesia’s infrastructure sector, contributing both theoretical and practical insights into value-based anti-fraud studies in public listed companies. The model introduces a conceptual approach that positions anti-fraud awareness as a mediating element between moral values and integrity, and organizational performance—an area that has been scarcely explored quantitatively in the governance of strategic public enterprises. The findings reveal that morality and integrity have a strong influence on corporate performance. This demonstrates that individual character quality contributes significantly to achieving cleaner and more accountable organizational outcomes. The practical implications of this research support the importance of transforming work culture through value-based human resource development strategies, such as the establishment of a Global Integrity Mentorship Program, implementation of Ethics Nudging, and enhancement of the Psychological Safety Index to foster collective awareness of fraud risk.
The Influence of Work Ethics and Morality on Organizational Performance through Organizational Commitment as a Mediating Variable (Empirical Study at PT XYZ Tbk) Ali, Mariyuana Abdussamad; Prilaksono, Kursusantyo Dudung; Dayona, Gurawan; Sofiati, Nunung Ayu
Indonesian Journal of Economics and Management Vol. 5 No. 3 (2025): Indonesian Journal Of Economics and Management (July 2025)
Publisher : Jurusan Akuntansi Politeknik Negeri Bandung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.35313/ijem.v5i3.6627

Abstract

Organizational performance today increasingly relies on the quality of human resources, not only in terms of technical competence but also in ethical integrity and moral orientation. Amid growing concerns over the decline of employee accountability and loyalty in large corporations such as PT XYZ Tbk, there is a critical need to examine the contribution of personal values—particularly work ethics and morality—in driving organizational performance. Previous Studies. Although several prior studies have demonstrated that work ethics and morality play a significant role in shaping organizational commitment (Yousef, 2001; Salahudin et al., 2016; Rokhman, 2010), the integrative relationship among these three variables, particularly with commitment as a mediating factor, remains underexplored in the context of Indonesian corporations. Novelty/Originality. This study proposes an empirical model to examine the influence of work ethics and morality on organizational performance through the mediation of organizational commitment. Using the Structural Equation Modeling (SEM) approach, the study investigates both direct and indirect relationships among these variables and establishes a strong theoretical framework for understanding how individual ethical values contribute to collective organizational outcomes. Research Problem. Does work ethics and morality influence organizational performance directly or indirectly through organizational commitment as a mediating variable? Research Objective. This study aims to examine the direct and indirect effects of work ethics, morality, and organizational commitment on organizational performance and to provide conceptual and practical insights into these relationships in the context of a publicly listed Indonesian company. Practical Implications. The findings of this study can be utilized by human resource managers to design ethical workplace interventions, strengthen employees’ emotional attachment to the organization, and enhance sustainable performance. Value Added. By integrating ethical dimensions into organizational behavior analysis, this study enriches the academic literature and highlights the importance of aligning personal morality with institutional performance goals, particularly in the face of transformation pressures and increasingly complex stakeholder expectations.