The Effect of Company Policy and Organizational Culture on Employee Engagement through Levels Job Satisfaction at PT Ecogreen Oleochemicals

Abstract

The method used in this study is a causal model survey method, collecting data using a questionnaire that was prepared in advance and distributed to 100 respondents. Analysis of parametric and non-parametric statistical data, using Structural Equation Modeling-Partial Least Square regarding research variables, instrument testing, normality testing, hypothesis testing, and discussion of hypothesis testing and path analysis results. This study uses path analysis to examine the pattern of relationships that reveal the effect of a variable or set of variables on other variables, both direct and indirect effects, assisted by Smart PLS Ver 3.0 software. The results in this study indicate that: 1) Company Policy directly has a positive and significant effect on Employee Satisfaction with a p-value of 0,002 < 0,05, 2) Company Policy directly has an insignificant effect on Employee Engagement with a p-value of 0.126 > 0.05, 3) Organization Culture directly has a positive and significant effect on Employee Satisfaction with a p-value of 0.000 < 0.05, 6) Company Policy with Employee Satisfaction as mediation has a positive and significant effect on Employee Engagement with a p-value of 0.030 < 0.05, 7) Organization Culture with Employee Satisfaction as mediation has a positive and significant effect on Employee Engagement with a p-value of 0.003 < 0.05. Keywords: Company Policy, Organization Culture, Employee Satisfaction, Employee Engagement.