The Mediation of Work Motivation on the Effects of Work Discipline and Compensation on Performance Batik MSMEs Employees in Yogyakarta City, Indonesia

Abstract

Good employee performance in the era of the industrial revolution 4.0 as it is now is needed so that SMEs can still compete with competitors. MSMEs Batik is a characteristic of culture and culture found in Yogyakarta, Indonesia. So that in managing Batik culture requires good employee performance. The purpose of this study is to determine the mediation of work motivation on the effect of work discipline and compensation on employee performance. The research methodology is ex-post-facto research with a quantitative approach. The population in this study was 98 employees, the sampling technique using total sampling techniques. Data analysis techniques using descriptive analysis and path analysis. The results showed that: 1). Work discipline has a positive and significant effect on employee performance, 2). Compensation has a positive and significant effect on employee performance, 3). Work motivation has a positive and significant effect on employee performance, 4). Work motivation mediates the relationship of work discipline to employee performance, 5). Work motivation mediates the relationship of compensation to employee performance, 6). Work discipline and compensation have a positive and significant influence on employee performance, 7). Work motivation mediates the relationship of work discipline and compensation for employee performance.