February 2025

Volume 08 Issue 02 February2025
The Influence of Employee Value Proposition on Employee Performance Through the Mediating Role of Work Culture and Employee Engagement at the Representative Office of Bank Indonesia in the Working Area of East Java Province
1Budi Suryawan, 2Umu Khouroh,3Makhamad Natchir
1Postgraduate Master of Management Student, Merdeka University of Malang, Indonesia
2,3Postgraduate Program of Merdeka University of Malang, Indonesia
DOI : https://doi.org/10.47191/ijsshr/v8-i2-05

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ABSTRACT

This study aims to analyze the influence of Employee Value Proposition (EVP) on employee performance, with the mediating role of organizational culture and employee involvement at Bank Indonesia Representative Offices in East Java Province. EVP, which includes career development, financial well-being, and work-life balance, is considered a strategic element for fostering a supportive work culture, increasing employee engagement, and driving organizational performance. This study adopts a quantitative approach using Partial Least Squares Structural Equation Modeling (PLS-SEM) to examine the causal relationship between variables. Data was collected through a Likert scale questionnaire filled out by 135 employees selected from a population of 201 permanent staff working at Bank Indonesia Representative Offices in Surabaya, Malang, Kediri, and Jember. The findings show that EVP has a positive and significant impact on organizational culture, employee engagement, and employee performance. Organizational culture serves as an important mediator, reinforcing the relationship between EVPs and employee performance, while employee engagement enhances these relationships by fostering energy, dedication, and focus among employees. Development values in EVPs, such as continuous training programs, emerge as the dominant factor that drives a productive organizational culture and employee engagement. The study concludes that organizations that integrate EVPs with a strong organizational culture and high employee engagement can achieve significant improvements in employee performance. Practical recommendations include strengthening career development programs, improving employee well-being, and instilling organizational values that promote engagement and productivity.

KEYWORDS:

employee value proposition, work culture, employee engagement, employee performance.

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Volume 08 Issue 02 February 2025

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