Indonesian Journal of Industrial Engineering & Management
Vol 5, No 1: February 2024

Analysis of the Effect of Compensation, Motivation, and Work Environment on Job Satisfaction and Employee Job Loyalty Using the Partial Least Square (PLS) Method at PT. XYZ

Syarif, Muhammad (Unknown)
Iriani, Iriani (Unknown)



Article Info

Publish Date
22 Jun 2024

Abstract

PT.XYZ engaged in the wood processing industry by producing and exporting plywood. Based on preliminary research conducted, it is known that the current condition is that there are problems regarding decreased job satisfaction which results in a low employee work loyalty attitude towards the company. The purpose of this study is to determine the effect of compensation, motivation, and work environment on job satisfaction, to determine the effect of job satisfaction on employee job loyalty, and to provide suggestions for development and improvement to companies related to human resource management. All permanent employees of the production division PT. XYZ is the research population totaling 95 people, with a sample size of 50 employees. The research method is quantitative using a questionnaire with a scale of 1 to 5. The data analysis technique in this study uses the Structural Equation Modeling-Partial Least Square (SEM-PLS) method. The results showed that compensation has a significant effect on job satisfaction, motivation has a significant effect on employee job satisfaction, work environment has a significant effect on employee job satisfaction, and job satisfaction has a significant effect on employee job loyalty.

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Journal Info

Abbrev

ijiem

Publisher

Subject

Control & Systems Engineering Decision Sciences, Operations Research & Management Engineering Industrial & Manufacturing Engineering

Description

The journal aims to advance the theoretical and applied knowledge of this rapidly evolving field, with a special focus on industrial engineering and management, organisation of production processes, management of production knowledge, computer integrated management of production flow, enterprise ...