The Influence of Work Ability, Work Environment and Organizational Culture on Employee Performance with Motivation as a Mediating Variable

The purpose of this study is to investigate the factors that contribute to the decline in employee performance at ABC Company, specifically work ability, organizational culture, work environment, and motivation. This type of research employs quantitative methods in applied business research. The sample size was 58 ABC company employees who are still active and have worked for the company for at least three years. To test the hypotheses in this study, a PLS-based SEM approach was used. PLS testing was done in two stages: measurement model test and structural model test. A measurement model test was performed to assess the validity and reliability of each indicator’s constructs. Meanwhile, the structural model test was performed to see if there is an influence between variables/correlations between constructs as assessed by the PLS t-test. This study demonstrates that work ability has a significant impact on employee performance. In the meantime, organizational culture, work environment, and motivation have no effect on employee performance. Motivation cannot mediate the relationship between employee performance and work ability, organizational culture, and work environment.