Determinants of employee performance at public hospitals in Indonesia: Examining the moderating role of organizational culture

Abstract

Performance refers to the outcome or overall degree of achievement exhibited by an individual within a specified timeframe in executing duties about a range of potential outcomes, including conventional work outputs, goals, objectives, or mutually established benchmarks. With a moderated organizational culture, this study aims to analyze the effect of good corporate governance, organizational commitment, and internal controls on employees’ performance at public hospitals in North Sumatra, Indonesia. The paper employs an associative approach to the quantitative data type. The sample consists of 102 public hospital employees in North Sumatra, Indonesia. This study used a questionnaire to collect the data and SEM-PLS to analyze the data. The research results show that good corporate governance, organizational commitment, and internal control affect employee performance at public hospitals in North Sumatra, Indonesia (p < 0.05). Good corporate governance affects employee performance moderated by organizational culture (p < 0.05). Organizational commitment affects employee performance moderated by organizational culture (p < 0.05). Internal control affects employee performance moderated by the organizational culture at public hospitals in North Sumatra, Indonesia (p < 0.05). The implication is that organizational culture has a role attached to the individual level of an employee and as a strategy to improve employee performance.

Keywords

• employee performance
• Indonesia
• organization culture
• public hospitals
• SEM-PLS