Employee competence and performance: organizational climate as moderating role

Main Article Content

Wahyudi Wahyudi
Achmad Rozi
Miranti Putry


The achievement of the company's vision and mission has been previously determined from the company's resources, especially human resources. Employees are the activator of every company activity, therefore the company's success depends on its employees. Collaboration between employees and company management become important for the achievement of organizational goals. The purpose of this study was to investigate the relationship between competence, organizational climate, and employee performance, where the moderating variable of organizational climate is used in this study.  Data were collected from questionnaires that had been filled out by respondents with a total 110 employees of PT. Selaras Donlim Indonesia, and then processed using SmartPLS 3 software with the Partial Least Squares Structural Equation Modeling (PLS-SEM) procedure. The results of this study support the three hypotheses proposed, where competence and organizational climate directly affect on employee performance significantly. Beside that, the moderating effect of organizational climate could strength competence in influencing employee performance significantly, the strength of the moderating effect is discussed.


Download data is not yet available.

Article Details

How to Cite
Wahyudi, W., Rozi, A., & Putry, M. (2022). Employee competence and performance: organizational climate as moderating role. Jurnal Manajemen Maranatha, 21(2), 165–176. https://doi.org/10.28932/jmm.v21i2.4671


Abolade, D. A. (2018). Impact of employees’ job insecurity and employee turnover on organisational performance in private and public sector organisations. Studies in Business and Economics, 13(2), 5-19. https://doi.org/10.2478/sbe-2018-0016

Ahmad, K. Z., Jasimuddin, S. M., & Kee, W. L. (2018). Organizational climate and job satisfaction: Do employees’ personalities matter? Management Decision, 56(2), 421-440. https://doi.org/10.1108/MD-10-2016-0713

Akinbowale, M. A., Lourens, M. E., & Jinabhai, D. C. (2014). Employee performance measurement and performance appraisal policy in an organisation. Mediterranean Journal of Social Sciences, 5(9), 342-347. https://doi.org/10.5901/mjss.2014.v5n9p342

Alfandi, A. M. (2016). Training impact on the performance of employees “A case of Jordanian travel and tourism institutions.” International Business Management, 10(4), 377-384. http://docsdrive.com/pdfs/medwelljournals/ibm/2016/377-384.pdf

Astarina, I., Budiyanto, B., & Agustedi, A. (2021). The rule of competence, compensation, and workshop on employee performance mediated by prime service of public health service. Accounting, 7(1), 65-74. https://doi.org/10.5267/j.ac.2020.10.013

Bag, S., Sahu, A. K., Kilbourn, P., Pisa, N., Dhamija, P., & Sahu, A. K. (2022). Modeling barriers of digital manufacturing in a circular economy for enhancing sustainability. International Journal of Productivity and Performance Management, 71(3), 833-869. https://doi.org/10.1108/IJPPM-12-2020-0637

Boxall, P., & Purcell, J. (2016). Strategy and human resource management. Palgrave Macmillan

Cepeda-Carrion, G., Cegarra-Navarro, J-G., & Cillo, V. (2019). Tips to use Partial Least Squares Structural Equation Modelling (PLS-SEM) in knowledge management. Journal of Knowledge Management, 23(1), 67-89. https://doi.org/10.1108/JKM-05-2018-0322

Chin, W. W., Marcolin, B. L., & Newsted, P. R. (2003). A partial least squares latent variable modeling approach for measuring interaction effects: Results from a Monte Carlo simulation study and an electronic-mail emotion/adoption study. Information Systems Research, 14(2), 189-217. https://doi.org/10.1287/isre.

Dawson, J. F. (2022). Interpreting interaction effects. http://www.jeremydawson.co.uk/slopes.htm

Diamantidis, A. D., & Chatzoglou, P. (2019). Factors affecting employee performance: An empirical approach. International Journal of Productivity and Performance Management, 68(1), 171-193. https://doi.org/10.1108/IJPPM-01-2018-0012

Ehrhart, M. G., Ehrhart, K. H., & Schneider, B. (2015). Organizational climate. In Wiley Encyclopedia of Management (pp. 1-3). John Wiley & Sons, Ltd

Ferdinand, A. T. (2014). Metode penelitian manajemen: Pedoman penelitian untuk penulisan skripsi, tesis dan disertasi ilmu manajemen. Badan Penerbit Universitas Diponegoro

Fuertes, G., Alfaro, M., Vargas, M., Gutierrez, S., Ternero, R., & Sabattin, J. (2020). Conceptual framework for the strategic management: A literature review-descriptive. Journal of Engineering, 2020, 1-21. https://doi.org/10.1155/2020/6253013

Ghi, T. N., Thu, N. Q., Huan, N. Q., & Trung, N. T. (2022). Human capital, digital transformation, and firm performance of startups in Vietnam. Management, 26(1), 1-18. https://doi.org/10.2478/manment-2019-0081

Goldin, I., & Muggah, R. (2020). Why the world needs better - not less - globalization. Worl Economic Forum. https://www.weforum.org/

Golini, R., & Gualandris, J. (2018). An empirical examination of the relationship between globalization, integration and sustainable innovation within manufacturing networks. International Journal of Operations & Production Management, 38(3), 874-894. https://doi.org/10.1108/IJOPM-12-2016-0725

Griffin, R. W., & Moorhead, G. (2014). Managing people in organization. South-Western

Grobler, A., & Rensburg, M. J. van. (2019). Organisational climate, person-organisation fit and turn over intention: A generational perspective within a South African Higher Education Institution. Studies in Higher Education, 44(11), 2053-2065. https://doi.org/10.1080/03075079.2018.1492533

Haerofiatna. (2021). Pengaruh kompetensi dan iklim organisasi terhadap kinerja dosen Universitas Primagraha. JIIP-Jurnal Ilmiah Ilmu Pendidikan, 4(4), 309-317. https://doi.org/10.54371/jiip.v4i4.275

Hager, P. (2017). The integrated view on competence. In Competence-based vocational and professional education (pp. 203-228). Springer. https://doi.org/10.1007/978-3-319-41713-4_10

Hair, J. F., Sarstedt, M., Ringle, C. M., & Mena, J. A. (2012). An assessment of the use of Partial Least Squares Structural Equation Modeling in marketing research. Journal of the Academy of Marketing Science, 40(3), 414–433. https://doi.org/10.1007/s11747-011-0261-6

Hair, J. F., Hult, G. T. M., Ringle, C. M., & Sarstedt, M. (2017). A primer on Partial Least Squares Structural Equation Modeling (PLS-SEM). SAGE Publications

Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/10.1108/EBR-11-2018-0203

Jiang, X., Du, J., Zhou, J., & Cui, Y. (2020). The impact of negative informal information before a change on performance: A within-person approach. International Journal of Environmental Research and Public Health, 17(2). https://doi.org/10.3390/ijerph17020670

Kenny, D. A. (2018). Moderator variables: Introduction. Davidakenny. https://davidakenny.net/cm/moderation.htm

Kindarto, A., Zhu, Y-Q., & Gardner, D. G. (2020). Full range leadership styles and government IT team performance: The critical roles of follower and team competence. Public Performance & Management Review, 43(4), 889-917. https://doi.org/10.1080/15309576.2020.1730198

Ko, W-H. (2015). Constructing a professional competence scale for foodservice research & development employees from an industry viewpoint. International Journal of Hospitality Management, 49, 66-72. https://doi.org/10.1016/j.ijhm.2015.06.002

Kuenzi, M., Mayer, D. M., & Greenbaum, R. L. (2020). Creating an ethical organizational environment: The relationship between ethical leadership, ethical organizational climate, and unethical behavior. Personnel Psychology, 73(1), 43-71. https://doi.org/10.1111/peps.12356

Lajili, K., Lin, L. Y-H., & Rostamkalaei, A. (2020). Corporate governance, human capital resources, and firm performance: Exploring the missing links. Journal of General Management, 45(4), 192-205. https://doi.org/10.1177/0306307019895949

Liu, Y., Loi, R., & Lam, L. W. (2011). Linking organizational identification and employee performance in teams: The moderating role of team-member exchange. The International Journal of Human Resource Management, 22(15), 3187-3201. https://doi.org/10.1080/09585192.2011.560875

Maamari, B. E., & Majdalani, J. F. (2017). Emotional intelligence, leadership style and organizational climate. International Journal of Organizational Analysis, 25(2), 327-345. https://doi.org/10.1108/IJOA-04-2016-1010

Macke, J., & Genari, D. (2019). Systematic literature review on sustainable human resource management. Journal of Cleaner Production, 208, 806-815. https://doi.org/10.1016/j.jclepro.2018.10.091

Madhukar, V., & Sharma, S. (2017). Impact of organisational climate on employee motivation: A conceptual perspective. International Journal in Management & Social Science, 5(7), 325-336. https://indianjournals.com/ijor.aspx?target=ijor:ijmss&volume=5&issue=7&article=026

Manuaba, I. B. P., Sujana, I. W., & Widnyana, I. W. (2020). Influence of leadership and organizational climate on employee performance with job satisfaction as intervening variable at Denpasar National Polytechnic. International Journal of Contemporary Research and Review, 11(01), 21718-21728. https://doi.org/10.15520/ijcrr.v11i01.782

Marnisah, L., Zamzam, F., Handayani, S., Yustini, T., Wijaya, H., Maris, H., & Irwanto, D. (2021). Factors affecting e-procurement division employee performance. International Journal of Data and Network Science, 5(1), 19-24. https://doi.org/10.5267/j.ijdns.2020.11.007

McClelland, D. C. (1973). Testing for competence rather than for “intelligence.” American Psychologist, 28(1), 1-14. https://doi.org/10.1037/h0034092

Memon, M. A., Cheah, J-H., Ramayah, T., Ting, H., Chuah, F., & Cham, T. H. (2019). Moderation analysis: Issues and guidelines. Journal of Applied Structural Equation Modeling, 3(1). https://doi.org/10.47263/JASEM.3(1)01

Memon, M. A., Ting, H., Cheah, J-H., Thurasamy, R., Chuah, F., & Cham, T. H. (2020). Sample size for survey research: Review and recommendations. Journal of Applied Structural Equation Modeling, 4(2). https://doi.org/10.47263/JASEM.4(2)01

Newman, A., Tse, H. H. M., Schwarz, G., & Nielsen, I. (2018). The effects of employees’ creative self-efficacy on innovative behavior: The role of entrepreneurial leadership. Journal of Business Research, 89, 1-9. https://doi.org/10.1016/j.jbusres.2018.04.001

Obeng, A. F., Zhu, Y., Azinga, S. A., & Quansah, P. E. (2021). Organizational climate and job performance: Investigating the mediating role of harmonious work passion and the moderating role of leader–member exchange and coaching. SAGE Open, 11(2), 1-14. https://doi.org/10.1177/21582440211008456

Permarupan, P. Y., Saufi, R. A., Kasim, R. S. R., & Balakrishnan, B. K. P. D. (2013). The Impact of organizational climate on employee’s work passion and organizational commitment. Procedia - Social and Behavioral Sciences, 107, 88-95. https://doi.org/10.1016/j.sbspro.2013.12.403

Pradoto, H., Haryono, S., & Wahyuningsih, S. H. (2022). The role of work stress, organizational climate, and improving employee performance in the implementation of work from home. Work, 71(2), 345-355. https://doi.org/10.3233/WOR-210678

Rimbayana, T. A. K., Erari, A., & Aisyah, S. (2022). The influence of competence, cooperation and organizational climate on employee performance with work motivation as a mediation variable (Study on the food and agriculture office clump of Merauke Regency). Technium Social Sciences Journal, 27, 556-578. https://doi.org/10.47577/tssj.v27i1.5200

Ringle, C. M., Wende, S., & Becker, J. M. (2015). SmartPLS 3. SmartPLS GmbH. Boenningstedt. http://smartpls.com

Ringle, C. M., Sarstedt, M., Mitchell, R., & Gudergan, S. P. (2020). Partial Least Squares Structural Equation Modeling in HRM research. The International Journal of Human Resource Management, 31(12), 1617-1643. https://doi.org/10.1080/09585192.2017.1416655

Sabuhari, R., Sudiro, A., Irawanto, D. W., & Rahayu, M. (2020). The effects of human resource flexibility, employee competency, organizational culture adaptation and job satisfaction on employee performance. Management Science Letters, 10(8), 1777-1786. https://doi.org/10.5267/j.msl.2020.1.001

Samad, S. (2020). Achieving innovative firm performance through human capital and the effect of social capital. Management & Marketing: Challenges for the Knowledge Society, 15(2), 326-344. https://doi.org/10.2478/mmcks-2020-0019

Sarstedt, M., Ringle, C. M., Cheah, J-H., Ting, H., Moisescu, O. I., & Radomir, L. (2020). Structural model robustness checks in PLS-SEM. Tourism Economics, 26(4), 531-554. https://doi.org/10.1177/1354816618823921

Sarstedt, M., Ringle, C. M., & Hair, J. F. (2021). Partial Least Squares Structural Equation Modeling. In Handbook of Market Research (pp. 1-47). Springer International Publishing

Schneider, B., Ehrhart, M. G., & Macey, W. H. (2011). Perspectives on organizational climate and culture. In APA handbook of industrial and organizational psychology, Vol 1: Building and developing the organization. (pp. 373-414). American Psychological Association

Schneider, B., Ehrhart, M. G., & Macey, W. H. (2013). Organizational climate and culture. Annual Review of Psychology, 64(1), 361-388. https://doi.org/10.1146/annurev-psych-113011-143809

Schneider, B., & Barbera, K. M. (2014). The Oxford handbook of organizational climate and culture. Oxford University Press

Subramanian, I. D., & Shin, Y. N. (2013). Perceived organizational climate and turnover intention of employees in the hotel industry. World Applied Sciences Journal, 22(12), 1751-1759. https://doi.org/10.5829/idosi.wasj.2013.22.12.161

Tay, S. I., Alipal, J., & Lee, T. C. (2021). Industry 4.0: Current practice and challenges in Malaysian manufacturing firms. Technology in Society, 67. https://doi.org/10.1016/j.techsoc.2021.101749

Ulrich, D., & Dulebohn, J. H. (2015). Are we there yet? What’s next for HR? Human Resource Management Review, 25(2), 188-204. https://doi.org/10.1016/j.hrmr.2015.01.004

Vong, L. T-N., Ngan, H. F. B., & Lo, P. C-P. (2018). Does organizational climate moderate the relationship between job stress and intent to stay? Evidence from Macau SAR, China. Journal of Chinese Human Resource Management, 9(1), 2-20. https://doi.org/10.1108/JCHRM-09-2017-0022

Wahyudi, W. (2021). Pengaruh pelatihan terhadap kinerja karyawan yang dimediasi oleh disiplin kerja. ECo-Buss, 4(2), 265-273. https://doi.org/10.32877/eb.v4i2.272

Xu, M. L., & Leung, S. O. (2018). Effects of varying numbers of Likert scale points on factor structure of the Rosenberg Self-Esteem Scale. Asian Journal of Social Psychology, 21(3), 119-128. https://doi.org/10.1111/ajsp.12214

Yang, Y., Lee, P. K. C., & Cheng, T. C. E. (2016). Continuous improvement competence, employee creativity, and new service development performance: A frontline employee perspective. International Journal of Production Economics, 171(2), 275-288. https://doi.org/10.1016/j.ijpe.2015.08.006