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Journal : West Science Business and Management

The Effect of Compensation, Organizational Culture, and Rewards on Employee Productivity in Retail Companies in Indonesia Wahdiniawati, Siti Annisa; Immamah, Eka
West Science Business and Management Vol. 2 No. 03 (2024): West Science Business and Management
Publisher : Westscience Press

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.58812/wsbm.v2i03.1273

Abstract

This study examines the effect of compensation, organizational culture, and rewards on employee productivity in retail companies in Indonesia. Using a quantitative research design, data were collected from 140 retail employees and analyzed using Structural Equation Modeling with Partial Least Squares (SEM-PLS 3). The findings reveal that compensation, organizational culture, and rewards all have significant positive effects on employee productivity. Compensation emerged as the strongest predictor, followed by organizational culture and rewards. These results suggest that fair compensation, a supportive organizational culture, and effective reward systems can significantly enhance employee performance in the retail sector. The study provides practical recommendations for retail companies to improve workforce productivity through strategic human resource management.