The Role of Innovative Work Behavior Mediates Organizational Culture on Employee’s Performance

Abstract

The aims of this study were to explain: (1) the influence of organizational culture on innovative work behavior; (2) the influence of organizational culture and innovative work behavior on employee performance; and (3) the role of innovative work behavior in mediating the influence of organizational culture towards employee performance in the Rural Bank industry in Badung Regency, Bali Province. This research was conducted in 52 Rural Bank in Badung Regency, with 156 employees as respondents. Data was collected by questionnaire instruments that had been tested for validity and reliability. Data analysis was performed using the SEM-PLS approach. The results revealed that organizational culture had a positive and significant influence on innovative work behavior. Organization culture and innovative work behavior also showed positive and significant impact on employee performance in the Rural Bank industry. In addition, it could be concluded that innovative work behavior mediates significantly the influence of organizational culture towards employee performance in the Rural Bank industry in Badung Regency.