The Impact of Work Environment and Financial Stimuli on Employee Work Effectiveness Mediated by Organizational Compliance
A Study at PT. Bank Mandiri (Persero) Tbk Jepara Branch
DOI:
https://doi.org/10.61132/digitalinnovation.v3i3.752Keywords:
Banking Sector, Financial Stimulus, Organizational Compliance, Work Effectiveness, Working EnvironmentAbstract
This study aims to evaluate the causal mechanism of the work environment and financial stimulus in encouraging employee work effectiveness through the role of organizational compliance mediation at PT Bank Mandiri (Persero) Tbk, Jepara Branch. A quantitative approach was used by distributing questionnaires to 120 employees selected through accidental sampling based on the formulation of the Hair sample size. Data analysis was carried out comprehensively using Structural Equation Modeling (SEM) to test the relationship between latent variables. Empirical results show that the work environment and financial stimuli have a positive and significant effect on organizational compliance. Simultaneously, the two exogenous predictors together with organizational compliance have a direct positive and significant impact on increasing employee work effectiveness. These findings confirm that organizational compliance plays a role as an intervening variable that strengthens the contribution of the work ecosystem and financial incentives in achieving sustainable operational effectiveness. The practical implications of this study emphasize the importance of strategies to improve ergonomic work facilities, transparency of performance-based incentive schemes, and strengthening internal compliance cultures. An integrated management framework that combines operational comfort, compensation fairness, and internal regulatory enforcement is key in maintaining productivity, service quality, and organizational competitiveness in the midst of financial sector dynamics.
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