Abstract

The objective of this study is to examine the impact of work ability, budget participation, and spirit at work on performance, as well as to determine the mediating role of work motivation in the relationship between work ability, budget participation, spirit at work, and performance. The research was conducted with a sample of 99 food providers in the Semampir and Kenjeran districts of Surabaya City, where the owners also participated as respondents and managers. Primary data was collected through the distribution of questionnaires to the participants, and data analysis was carried out using the Partial Least Square (PLS) method. The results of the study reveal that 1) an improvement in work ability significantly enhances performance, 2) budget participation does not have a significant impact on performance, 3) high spirit at work can lead to a significant improvement in performance, 4) work motivation does not mediate the relationship between work ability and performance, 5) on the other hand, work motivation acts as a mediator between budget participation and performance. The more involvement in budget determination, the higher the work motivation. 6) Work motivation does not mediate the relationship between spirit at work and performance, as spirit at work directly influences performance without the need for work motivation as an intermediary.

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