Abstract

This study aimed to determine the effect of recruitment and training with HR competencies as an intervention, as well as rewards on the performance of village-owned enterprises (BUM Desa), in the province of East Java. The population in this study was all BUM Desa in the province of East Java. Questionnaires were distributed to respondents electronically using online media, with a total of 59 respondents. This study was a quantitative study using descriptive statistical analysis and inferential statistics. This study used the Structured Equation Model Partial Least Square (SEM PLS) which was processed with the SMART PLS version 4 application. Before the analysis, the outer model was tested through validity and reliability tests. Furthermore, the structural model test was carried out with the Inner Model Test which was divided into the R-Square test, Path Coefficient, T-Statistics Test (Bootstrapping), Predictive Relevance, and Fit Model. The processing results showed that the recruitment and training variables had a significant positive effect on the performance of BUM Desa through HR competencies. Likewise, the reward variable, which is an integral part of HR management, had a significant positive effect on the performance of BUM Desa. In general, this research could prove the hypothesis that has been previously set by the researcher.

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