The Effect of Organizational Climate and Competence on Employee Performance Through Work Motivation at PT. Jambi Regional Development Bank Sutomo Branch

This study aims to analyze the influence of organizational climate and competence on employee performance through work motivation at PT. Bank Pembangunan Daerah Jambi, Sutomo Branch. The study used a quantitative approach with an explanatory research design. The study population was all 55 employees of PT. Bank Pembangunan Daerah Jambi, Sutomo Branch. Given the relatively small population, this study used a census sampling technique, thus all members of the population were included in the study sample. Primary data were collected through questionnaires using a five-point Likert scale. Data analysis was conducted using the Structural Equation Modeling–Partial Least Squares (SEM-PLS) approach using SmartPLS software. The analysis included testing the outer model, inner model, coefficient of determination (R²), predictive relevance (Q²), effect size (f²), hypothesis testing, and analysis of direct and indirect effects through bootstrapping. The results showed that organizational climate had a positive and significant effect on employee work motivation and performance. Competence also had a positive and significant effect on both employee motivation and performance. Furthermore, work motivation was shown to have a positive and significant effect on employee performance. The results of the mediation test indicate that work motivation positively mediates the influence of organizational climate on employee performance and the influence of competence on employee performance. This finding indicates that improving the quality of the organizational climate and employee competence will be more effective in improving performance if accompanied by increased work motivation. The implications of this research suggest that the management of PT. Bank Pembangunan Daerah Jambi Sutomo Branch needs to continue creating a conducive organizational climate, improving competence through ongoing education and training programs, and developing policies that can enhance employee work motivation as an effort to sustainably improve organizational performance.