The Effect of Intellectual Capital on Organizational Sustainability through Knowledge Management on Employees of Pd Dharma Jaya in Regionally Owned Enterprises of Dki Jakarta

Abstract

Organizational sustainability is an important strategy in improving the organization. It is not only providing economic benefits but also intellectual capital of knowledge for PD Dharma Jaya employees. Some facts in the company environment show that the company mostly thinks of a turnover in making a profit, and there is only a small effort in a company organization to obtain sustainability by increasing the intellectual capital of its employees with knowledge. This is because the sustainability of the organization is considered voluntary. Because we need research on the factors that affect the sustainability of an organization, the research objective is the effect of intellectual capital on organizational sustainability with employee knowledge management as an intervening variable in PD Dharma Jaya. The research method used is explanatory quantitative with SEM-PLS. The sample in this study was 139 employees of PD Dharma Jaya. The sampling technique used in this study was saturated sampling (census). The results show that human capital and structural capital, as well as relational capital, have a positive and significant effect on Knowledge Management. Human capital has a positive and significant effect on organizational sustainability. Structural capital and relational capital have a negative and significant effect on organizational sustainability. Knowledge Management mediates the influence of human capital on organizational sustainability. It has a positive and significant effect. Knowledge Management mediates the effect of structural capital on organizational sustainability. It has a negative and significant effect. Knowledge Management mediates the effect of relational capital on organizational sustainability. It has a positive and significant effect. Based on interdimensional correlation matrix analysis, to increase employee engagement, it is recommended to maintain and improve indicators: (1) maintaining good relationships with customers and prospective customers; (2) strengthening knowledge management among employees; (3) developing new ideas in collaboration; and (4) continuously improving hard skills and soft skills.