Role of Key Performance Indicators and Compensation in Improving Employee Integrity and Performance

Abstract

This study aimed to determine the effect of key performance indicators (KPI) and compensation on the integrity and performance of employees at the Regional Secretariat of Banyuwangi Regency directly. The population in this study were civil servants in the Banyuwangi Regency Regional Secretariat, amounting to 195 people. With the Slovin formula, the number of research samples is 132 using the proportional sampling technique. Descriptive statistics were conducted to determine the description of respondents and research variables. Validity and reliability tests were conducted to test the measuring instrument in the form of research questionnaires. The analysis technique used is Structural Equation Modeling (SEM) using WarpPLS 7.0. The results of data analysis show that the key performance indicators (KPI) variables have no significant effect on integrity. Compensation has a significant effect on integrity. Key performance indicators (KPI) have a significant effect on employee performance. Compensation has a significant effect on employee performance. Integrity has a significant effect on employee performance