The Role of Job Satisfaction in Mediating the Effect of Work Environment on Employee Performance

Abstract

The increasingly intense competition in the business world encourages companies to optimize employee performance in order to achieve the desired goals. Product and service innovation, as well as effective human resource management, are important to improve the company's competitiveness. This study examines the effect of the work environment on employee performance through the role of job satisfaction variables as mediators. This research uses an associative quantitative approach, with a research sample of 100 respondents calculated using the Slovin formula. The research data is primary data obtained through interviews and distributing questionnaires. The data analysis technique used in this research is path analysis with SPSS, Sobel test, and VAF test. The results of this study indicate that the work environment has a positive and significant effect on employee performance, the work environment has a positive and significant effect on job satisfaction, job satisfaction has a positive and significant effect on employee performance, and job satisfaction significantly mediates the effect of the work environment on employee performance.