THE SIGNIFICANCE OF ORGANIZATIONAL CULTURE AND WORK ENVIRONMENT ON EMPLOYEE PERFORMANCE

Abstract

BACKGROUND : The purpose of this study is to determine whether there is an influence of organizational culture and work environment on employee performance at the Public Works Office (UP) of Barru Regency, South Sulawesi. Previous studies have yielded inconsistent results. For example, research conducted by Rizal (2019) and Ibrahim (2022) indicates that organizational culture has a positive and significant effect on employee performance. However, differing results were reported in studies by Warongan (2022) and Sulistiawan (2017).Due to the conflicting findings in previous studies regarding the influence of organizational culture and work environment on employee performance, conducting further research is necessary to obtain a more comprehensive understanding of the outcomes. METHOD : The study's population includes 53 employees. A saturated sampling method was used to select the sample for this research. The study adopts a quantitative approach and employs various data analysis methods, such as instrument testing (validity and reliability tests), classical assumption tests (normality, multicollinearity, and heteroscedasticity tests), and hypothesis testing (partial t-test). RESULTS & DISCUSSION: The results of this study indicate that organizational culture and work environment have a significant positive effect on employee performance at the Public Works Office (PU) of Barru Regency, South Sulawesi. CONCLUSION : The results of the hypothesis testing suggest that organizational culture positively impacts employee performance. This finding is consistent with research conducted by Rijanto & Mukaram (2022), which asserts that organizational culture significantly influences employee performance variables. In today's era, having an adaptive and flexible organizational culture is crucial for a company's success. Organizational culture encompasses a set of values, norms, beliefs, and behaviors that shape an organization's identity. It influences how work is done, how members interact, and the values they hold dear. Companies that can align their culture with technological changes and market dynamics will gain a competitive advantage. A culture that embraces innovation, promotes learning, and encourages team collaboration enables quick adaptation and responsive decision-making in a constantly evolving work environment (Sutrisno, 2020). Furthermore, the hypothesis testing reveals that the work environment negatively impacts employee performance. This result is consistent with studies conducted by Joarder et al. (2011) and Chairani (2014). The more comprehensive the facilities provided to support employees in their work, the less likely they are to seek alternative employment. This study emphasizes the importance for management to consider how organizational culture and work environment influence employee performance. Future researchers are encouraged to expand on this study by examining different variables or indicators to gain a more comprehensive understanding of the factors that impact employee performance.