Partial Least Squares Structural Equation Modeling Research Articles

Pengaruh Kinerja Kualitas Layanan, Kualitas Produk, Kepuasan Pelanggan dan Niat Beli Ulang pada Restoran Hoka-Hoka Bento di Kabupaten Tangerang

The fast food restaurant industry has experienced rapid growth and has become one of the important sectors in the culinary business, fast food restaurant business actors continue to innovate to meet the needs and desires of consumers. The intention to repurchase is the most important part that must be considered by restaurant business actors which directly impacts the sustainability and growth of the business. This study aims to fill the knowledge gap about the role of service quality performance on product quality, customer satisfaction, and repurchase intention in Hoka-Hoka Bento restaurant customers in the Tangerang Regency area. Data collection was obtained through a questionnaire distributed online in June 2024. The sampling method used is non-probability sampling with purposive sampling technique The data analysis technique used is Partial Least Square-Structural Equation Modeling (PLS-SEM). The results of data processing show that the performance of service quality,product quality, and customer satisfaction have a positive and significant effect on repurchase intentions. This research contributes to companies to improve service quality performance in forming repurchase intentions in consumers. Further research is expected to use a larger scale of respondents and use different platforms.

Analisis Faktor-Faktor yang Mempengaruhi Loyalitas Pelanggan pada Restoran Cepat Saji di Kabupaten Tangerang

The fast food industry has grown rapidly driven by urbanization, modern lifestyles, and innovation in menus and service. This industry also faces significant challenges, namely intense competition. Therefore, companies need to improve factors that can strengthen relationships with customers and encourage them to remain loyal. This research aims to analyze the influence of service quality, price and food quality on customer satisfaction and customer loyalty at the Tigaraksa fast food restaurant. This research uses quantitative methods and uses non-probability sampling methods with purposive sampling techniques. The data analysis technique used was Partial Least Square-Structural Equation Modeling (PLS-SEM), with a sample size of 240 respondents. The results of data processing prove that service quality has a positive effect on customer satisfaction. Price has a positive effect on customer satisfaction. Food quality has a positive effect on customer satisfaction. Service quality has a positive effect on customer loyalty. Price has a positive effect on customer loyalty. Food quality has a positive effect on customer loyalty, and customer satisfaction can increase customer loyalty. This research contributes to restaurant managers continuing to improve service quality, setting competitive prices, and ensuring consistent food quality in order to achieve higher customer satisfaction and loyalty.

Mathematical resilience and learning climate in view of learning style: The impact of improving mathematical reasoning in vocational schools

This research aims to analyze the influence of mathematical resilience and learning climate on the mathematical reasoning of Vocational High School (SMK) students, as well as examining the role of learning style as a moderating variable. Mathematical resilience, which reflects students' ability to persist in facing difficulties in learning mathematics, as well as a positive learning climate, is thought to have an important contribution to mathematical reasoning abilities. The research approach used is a quantitative approach. This research was conducted at two vocational schools in Malang with a total of 200 respondents. Data was collected through mathematical resilience questionnaires, learning climate, learning styles, and mathematical reasoning tests, then analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4 software. Validity and reliability tests showed that all instruments used met the criteria determined, with an AVE value above 0.5 and a Composite Reliability value above 0.7, indicating a valid and reliable instrument. All indicators used in this research also met the significance test with a p-value below 0.05. The research results show that mathematical resilience has a significant influence on students' mathematical reasoning (path coefficient 0.237, t-statistic 3.803, p-value 0.000). The learning climate was also proven to have a positive effect on mathematical reasoning (path coefficient 0.287, t-statistic 4.125, p-value 0.000). However, learning style does not significantly moderate the influence of mathematical resilience on mathematical reasoning but plays a moderate role in the relationship between learning climate and mathematical reasoning (t-statistic 2.102, p-value 0.036). These findings provide insight into the importance of learning strategies that support resilience and learning climate to improve students' mathematical reasoning abilities at the vocational secondary education level.

Pengaruh HRM Keadilan Organisasi, Manajemen Konflik, Etika Organisasi Terhadap Hubungan Karyawan dengan Intervening Iklim Kepercayaan

In the modern corporate environment, organizational justice, effective conflict management, and strong ethics are crucial elements in creating harmonious and productive employee relationships. The purpose of this research is to find out how HRM influences organizational justice, conflict management, organizational ethics on employee relations with the intervening climate of trust. This research was conducted at the XYZ company which operates in the shoe manufacturing sector located in Pasar Kemis Tangerang. Descriptive – correlative research design with quantitative methods and using purposive sampling techniques which were distributed via (google form) to 275 respondents aged 18 – 60 years who worked in the production section of the company. Primary data analysis was carried out using the Partial Least Square - Structural Equation Modeling (PLS-SEM) method. The conceptual model was analyzed using Structural Equation Modeling. The findings of this research reveal that organizational justice has a positive influence on employee relationships, management has a positive influence on employee relationships, organizational ethics has a positive influence on employee relationships, organizational justice has a positive influence on the climate of trust, conflict management has a positive influence on the climate of trust. , organizational ethics has a positive influence on the climate of trust, climate of trust has a positive influence on employee relations, climate of trust mediates the relationship between organizational justice and employee relations, climate of trust does not mediate the relationship between conflict management on employee relations and climate of trust does not mediate the relationship between organizational ethics on employee relations.

Bagaimana Workplace Ostracism Mempengaruhi Turnover Intention yang Dimediasi oleh Job Performace dan Organizational Virtuousness Serta Authentic Leadership Sebagai Moderasi

This study examines the impact of workplace ostracism on employee turnover intention in manufacturing companies in Bekasi Regency, as well as the moderating roles of authentic leadership and organizational virtuousness in this relationship. Utilizing a quantitative approach with an online questionnaire employing a Likert scale, the research involved 202 respondents selected through purposive sampling. Data analysis was conducted using Structural Equation Modeling-Partial Least Square (SEM-PLS) to assess the relationships among variables and their validity. The findings indicate that workplace ostracism significantly affects employee turnover intention. However, perceptions of organizational virtuousness and authentic leadership did not positively moderate this relationship. Additionally, workplace ostracism negatively impacts job performance, while lower job performance is negatively related to turnover intention. These results underscore the importance of fostering an inclusive and supportive work environment to mitigate ostracism, enhance job performance, and increase employee retention.

Increasing Teacher Creativity Through Strengthening Teamwork, Personality And Work Motivation

Creativity is a behavior that must be possessed by humans in order to adapt to a rapidly changing environment. The challenges faced in daily life, including at work, make humans creative, both in thinking and in acting. The purpose of this study is to find solutions, namely strategies and ways to improve teacher creativity by examining the influence of other variables on teacher creativity. These variables are teamwork, personality, and work motivation. This study is a non-parametric study because the entire population of 153 private high school teachers in Depok City, West Java, Indonesia, was taken as a sample. Data were collected using questionnaires and analyzed using PLS-SEM (Partial Least Square-Structural Equation Modeling). The results showed that teamwork, personality and work motivation have positive direct and indirect effects on teacher creativity. A discussion of the research findings and their implications as well as suggestions will be discussed further at the end of the article.

What influences the on-site recycling behaviour of C&D plastic waste in Australia? An action determination model approach

While the recycling of construction waste has received widespread attention, plastic waste generated at construction sites has been overlooked. At the same time, existing studies on pro-environmental behaviour have only considered practical knowledge of implementing recycling, while ignoring the possible impact of circular economy knowledge on recycling behaviour. This study investigates on-site personnel's behaviour regarding C&D plastic waste recycling through the lens of the comprehensive action determination model (CADM), which uniquely incorporates behaviour as a key variable and extends with moderating effect of knowledge of the circular economy. Utilizing Partial Least Squares Structural Equation Modelling (PLS-SEM), results indicate that perceived behavioural control is the most substantial factor influencing recycling behaviour of plastic waste on construction sites rather than intention. This is in stark contrast to existing pro-environmental behaviours research and reflects the importance of providing resources and encouragement to increase personnel's confidence in performing recycling behaviours on site, contributing more to actual behaviours than intention. Key areas for improvement were identified, including management encouragement, resource allocation (site area, timeline, budget), and recycling training. Contrary to expectations, awareness of the circular economy did not statistically significantly moderate the predictors of recycling behaviour and intentions, perhaps because participants had limited knowledge of plastic consumption and recycling rates in the construction industry. As construction personnel become more familiar with the circular economy, future research should re-evaluate these moderating effects and consider conducting categorical moderation analyses with larger sample sizes, incorporating variables such as work experience, project type, and project phase.

The dynamic patterns of critical ecological areas in the Yellow River Basin are driven primarily by climate factors but threatened by human activities

While the identification of critical ecological areas (CEAs) has been limited by the availability of resources, funds, and land space, these areas are central for maintaining the contributions from nature and ecosystem biodiversity. Thus, in this study, CEAs were systematically identified and classified via long-term ecosystem assessment with a multifunctionality–stability–integrity framework in the Yellow River Basin (YRB). The intensity and pathways of the driving factors of CEA dynamics were also determined by the geographical detector model (GDM) and the partial least squares structural equation model (PLS-SEM). The results revealed a gradual decrease in the proportion of CEAs in the upper and lower reaches from 2005 to 2020, in contrast with a significant increase in the middle reaches. The CEAs were distributed mainly in the Sanjiangyuan and Ziwuling regions and the Qingling, Qilian, Lvliang and Taihang Mountains. The areas with low, medium, and high levels of CEAs accounted for 12.48%, 17.73% and 12.54%, respectively, of the YRB. Moreover, climate factors, especially precipitation, were the foremost drivers influencing the dynamic patterns of CEAs. However, notably, the CEAs in the YRB experienced continuous degradation from 2005 to 2020 due to intensified human activities. Our results confirmed the important role of climate factors in determining the distribution of CEAs while underscoring the necessity of mitigating human disturbances to maintain ecosystem functions. These investigations of the dynamics and drivers of CEAs based on long-term multi-dimensional ecosystem assessments could provide useful insights for developing ecological conservation and sustainable development strategies.

ICT skills, entrepreneurial self-perceived creativity, and digital entrepreneurship: Insights from the stimulus-organism-response model

This study, anchored in the Stimulus-Organism-Response theory, aims to explore how ICT skills-related stimuli (information skills, operational skills, and creative skills) stimulate cognitive organisms (entrepreneurial self-perceived creativity), which, in turn, increases behavioral responses (attitude towards digital entrepreneurship and digital entrepreneurial intention) as well as investigate the detrimental effects of technology anxiety. Employing a cross-sectional design, the study leverages data from a sample of 604 higher education students across six universities in Vietnam. Hypotheses are assessed using partial least squares structural equation modeling (PLS-SEM). The results reveal positive influences of operational, informational, and creative skills on entrepreneurial self-perceived creativity, which significantly affected attitudes toward digital entrepreneurship and entrepreneurial intention. While technology anxiety negatively impacts entrepreneurial self-perceived creativity and attitudes toward digital entrepreneurship, its significant influence on digital entrepreneurial intention is not observed. The study also unveils the mediating role of entrepreneurial self-perceived creativity in the relationship between ICT skills, technology anxiety, and attitudes toward digital entrepreneurship and digital entrepreneurial intention. The research contributes to the theoretical understanding of digital entrepreneurial ventures, shedding light on the intricate dynamics among ICT skills, entrepreneurial self-perceived creativity, technology anxiety, and entrepreneurial responses. It also explores the applicability of the SOR model in emerging economies, providing valuable insights into the digital entrepreneurial landscape.

EMPOWERING B40 YOUTH IN PENINSULAR MALAYSIA: RISK LITERACY FACTORS AND WELL-BEING

ABSTRACT The prevalence of drug abuse, self-injury, and juvenile delinquency highlights the concerning social risks faced by young people today. Hence, educating this group on risks or risk literacy is crucial. Risk literacy is perceiving risks to make rational decisions for healthier well-being. This study aims to determine risk literacy factors influencing the well-being of B40 youth. To achieve the study's objective, data was gathered from a survey involving 423 youths from the low-income group (B40) in Peninsular Malaysia. A two-stage sampling technique was employed, and data were analysed using partial least squares structural equation modelling (PLS-SEM). The study shows that thoughtful decision-making and effective risk communication are the main predictors of youth well-being. Being a risk-literate youth is essential to reduce the risk of poor decisions. The study's findings, which have the potential to significantly impact policy formulation, are crucial for assisting this group in escaping poverty. This, in turn, can enhance their overall well-being. Keywords: Decision-Making, Risk Literacy, Risk Communication, Youth, Well-Being

Enhancing Bank Performance: Integrating Enterprise Risk Management with Mobile Banking Applications

This study investigates how the implementation of mobile banking and enterprise risk management (ERM) contributes to the success of financial institutions in a rapidly evolving financial environment. To understand the relationship between ERM, mobile banking adoption, and bank performance, we surveyed 250 senior bankers from the 25 largest banks in Indonesia using Partial Least Squares Structural Equation Modeling (PLS-SEM). Our findings indicate that effective ERM implementation positively affects bank performance. Mobile banking enhances customer convenience, streamlines operations, and broadens market reach, increasing customer satisfaction, operational efficiency, and profitability. Additionally, using mobile banking applications mediates the positive indirect impact of ERM on bank performance. This research highlights that ERM's effect on Indonesian banking performance is partly mediated by adopting mobile banking applications. The study contributes to the literature on RBV theory, which suggests that banks can create innovative ERM strategies and leverage its unique resources, such as mobile banking, to remain competitive and sustain their performance. The innovation aligns with the principles of TAM, which highlights the significance of perceived usefulness and ease of use in technology adoption.

Growers’ behavioral intentions towards agricultural insurance participation: Big Five personality traits within the TPB framework

This study seeks to establish the influence of the Big Five personality traits, which include Openness, Neuroticism, Conscientiousness, Agreeableness, and Extraversion, on growers’ willingness to embrace crop insurance schemes. Furthermore, it explores the role of Attitude, Subjective Norms, and Perceived Behavioral Control, as proposed in the Theory of Planned Behavior (TPB), on this relationship. Using a structured questionnaire, data were collected from 412 growers of arecanut and pepper. The data were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) via Smart-PLS 3.3. The analysis revealed that Perceived Behavioral Control (β = 0.462**), Subjective Norms (β = 0.260**), and Attitude (β = 0.115**) positively influenced growers’ behavioral intentions. Interestingly, the Big Five personality traits themselves did not have a direct effect on these intentions. Further mediation analysis demonstrated that Attitude and Subjective Norms fully mediated the effects of Extraversion (α = 0.026**, β = 0.069), Neuroticism (α = 0.019**, β = –0.016), and Openness (α = 0.024**, β = 0.069) on Behavioral Intention. However, these variables did not mediate the relationship between Agreeableness (α = 0.011, β = 0.058), Conscientiousness (α = –0.017, β = –0.080), and Behavioral Intention. Additionally, perceived behavioral control mediated the link between personality traits and intention, though this was not the case for Conscientiousness. This study contributes to the application of the TPB by incorporating the Big Five personality traits and exploring their interaction with the TPB dimensions.

RURAL TOURISM DEVELOPMENT: HOW TO ATTRACT THE RESIDENTS’ PARTICIPATION? A STUDY OF THE CENTRAL HIGHLANDS, VIETNAM

The main aim of this study is to measure the impact of factors including sense of place, perceived benefits, perceived costs, and quality of life on the residents’ willingness to assist in rural tourism development in the Central Highlands, Vietnam. SPSS software was used to check the suitability of the model, and partial least squares structural equation modeling (PLS-SEM) was used to run a regression analysis of the balance equations and to measure the level of impact between factors. The regression equation then provided the interaction between the variables as the explanation for the hypotheses. The statistical results of 443 survey responses were analyzed from five provinces of this region. Quality of life showed a positive impact on residents’ willingness to support rural tourism development, while perceived benefits related to cultural and social issues had negative impacts. These findings and the discussion may aid policymakers in planning strategies for rural tourism development in the Central Highlands, Vietnam.

How do push and pull factors affect non-vegetarians’ intention to buy plant-based meat products?

PurposeThis study aims to analyze the push and pull factors and its relationship with the theory of planned behavior about non-vegetarians’ intentions to buy plant-based meat products. Previous studies seldom explored the intention of non-vegetarians’ intention to buy plant-based meat products.Design/methodology/approachAn online survey was conducted among 447 non-vegetarians to investigate these relationships. Partial least squares-structural equation modeling (PLS-SEM) was employed to scrutinize the data.FindingsAmong the push factors product safety and flavor positively influence consumers’ attitude, whereas environmental protection and flavor positively influence subjective norms. Animal welfare, environmental protection and flavor positively influence perceived behavioral control. Among the pull factors, curiosity, product nutrition and price positively influence consumer attitudes toward plant-based meat products. Curiosity and price also positively influence subjective norms, but only product nutrition positively influences perceived behavioral control. On the other hand, the results also confirm that non-vegetarian customers' intentions to buy plant-based meat products is primarily influenced by attitude and perceived behavioral control, whereas subjective norms do not influence the intention to buy plant-based meat products. This study also reveals that there exists a moderating influence from perceived behavioral control between attitude and intention to buy plant-based meat products, whereas the moderating effect of perceived behavioral control on subjective norms and intention is insignificant.Originality/valueThe findings of this study offer practical recommendations for persuasive marketing strategies associated with plant-based meat substitutes.

Innovation in European SMEs: Exploring the Influence of Investments, Funding, Knowledge, and Intellectual Assets

Abstract This study examines the factors influencing innovation activities among small and medium-sized enterprises (SMEs) across Europe, utilizing data from the European Innovation Scoreboard 2024. SMEs play a vital role in the European economy but face significant challenges in fostering innovation due to limited resources and funding. The research explores the impact of firm investments, public and private funding, knowledge resources, and intellectual assets on SME innovation. Using Partial Least Squares Structural Equation Modeling (PLS-SEM), the analysis found that firm investments and knowledge resources have a significant positive effect on innovation activities. However, public and private funding and intellectual assets showed no significant direct influence on innovation. The findings contribute to a deeper understanding of the complex landscape of SME innovation in Europe, with implications for policy and strategic decision-making. Limitations include the cross-sectional nature of the data and the lack of sector-specific analysis, pointing to areas for further research. Keywords: European SMEs, Innovation activities, Knowledge resources, Intellectual assets, Funding, R&D investments.

The Relationship Between Governance Capacity and Business Performance: A Case Study of Vietnam’s Auto Auxiliary Industry

The purpose of this study was to assess the present business performance of Vietnam’s auto auxiliary industry. Another aim was to identify the factors, including organizational factors, internal capacities, and external networks, that positively and negatively impact the governance capacity of Vietnam’s auto auxiliary industry. Finally, the relationship between governance and business performance within the context of Vietnam’s auto auxiliary industry was examined in the study. The research methodology employed a comprehensive approach, combining Partial Least Squares Structural Equation Modeling (PLS-SEM) utilizing Smart-PLS 3.0, interviews conducted through the Delphi technique, and an exhaustive table study. Three hundred questionnaires were distributed, yielding 265 responses from diverse participants, including private enterprises, state-owned enterprises, joint-venture enterprises, and governmental bodies. The results of the study were that Governance Capacity mediated the relationship between organizational factors (Government Policies, Market Competition, Globalization and Supply Chains, Economic Conditions, Environmental and Sustainability Concerns, and Human Resources Expertise) and Business Performance within Vietnam’s auto auxiliary industry. The recommendations provided practical insights for industry stakeholders seeking to improve governance practices and optimize business performance within Vietnam’s auto auxiliary sector.

The nexus between green HRM and environmental performance for sustainable business excellence: the role of employees’ environmental passion and pro-environmental behavior

Leveraging intellectual capital as a component of an extant sustainable business excellence model and using the theoretical lens of Ability-Motivation-Opportunity (AMO) theory, this paper investigates the impact of Green Human Resource Management (GHRM) practices on the hotel environmental performance by indirect effects of employees’ environmental passion and employees’ pro-environmental behavior. We utilized multi-time survey data collected from employees working in the hotel industry to test hypothesized relationships. Data have been analyzed through Partial Least Square Structural Equation Modelling (PLS-SEM). The findings reveal that green human resource management practices positively influence hotel environmental performance via single mediation of environmental passion and pro-environmental behavior and serial mediation of environmental passion and pro-environmental behavior. Furthermore, the moderating effects of environmental passion were also statistically significant. Our research contributed to offering implications for both scholars and practitioners generally in the tourism and hospitality sector and particularly in hotels on the need to implement effective HR systems integrated with the environmental goals of the organization to provoke a sense of environmental responsibility and nurture green values to achieve environmental objectives.

Exploring the Role of Artificial Intelligence in Achieving a Net Zero Carbon Economy in Emerging Economies: A Combination of PLS-SEM and fsQCA Approaches to Digital Inclusion and Climate Resilience

In this paper, we examine the role of artificial intelligence (AI) in sovereignty and carbon neutrality, emphasizing digital inclusion and climate-resilient AI strategies for emerging markets. Considering the previous studies on AI for carbon neutrality and digital inclusion for climate research along with technology policy frameworks as a guide, this paper undertakes Partial Least Squares Structural Equation Modelling (PLS-SEM) with AI strategies and carbon neutrality outcomes. At the same time, fuzzy-set Qualitative Comparative Analysis (fsQCA) is used to reveal different configurations leading to achieving climate resilience. The model covers various aspects of AI-enabled policy, including technology adoption, policy frameworks, digital literacy, and public engagement. Survey data were collected from key stakeholders in climate policy, technology sectors, and local communities using a structured survey to understand their attitudes towards negative emissions technologies from prominent experts in emerging countries like Vietnam, Italy, Malaysia, and Greece. PLS-SEM results reveal the importance of AI in developing carbon neutrality, a critical AI strategic dimension (Data analytics capability and policy support). Some aspects of the fsQCA findings present heterogeneous outcomes, highlighting complex combinations of digital inclusion, AI adoption, and climate resilience which are industry-specific. This study would further enrich the literature concerning climate strategies by exploring AI, digital inclusion, and carbon neutrality interactions. Theoretically, practical and enriching suggestions for future research are derived to help AI intelligence infuse sustainable climate actions.

The Impact of Lean Management on Sustainable Performance: The Moderating Role of Employee Performance in the Steel Industry

Sustainability has become a global imperative, positioning Lean management as a critical approach to achieving this goal, with employee performance efficiency playing a vital role in industrial manufacturing. Therefore, this study investigates how Lean waste management practices, supported by employee engagement, enhance sustainable performance in the steel industry, aligning with ESG indicators and the Sustainable Development Goals (SDGs). The model is empirically validated using Partial Least Squares Structural Equation Modeling (PLS-SEM) based on 385 responses from executives of steel manufacturing plants in the Eastern Region of Thailand. The findings reveal that lean management practices have a significant positive impact on sustainability, contributing to improved environmental, governance, and social outcomes. Employee performance also directly influences sustainability and has a strong positive effect on waste management, emphasizing its critical role in enhancing operational efficiency and sustainable practices. Interestingly, the study finds that employee performance significantly and negatively moderates the relationship between lean management and sustainability. This indicates that while high-performing employees enhance sustainability through their direct contributions, their overall effectiveness in operational areas may reduce the specific measurable impact of lean practices on sustainability outcomes. The results highlight the importance of integrating employee engagement and lean management strategies to optimize sustainability in the steel industry. Organizations are encouraged to foster a culture of continuous improvement and align operational strategies with human resource capabilities to achieve long-term sustainable success.

Impact of Human Resource Development Practices on Employee Performance in Ghana's Community Banking Sector

Aim – This study investigates the influence of Human Resource Development (HRD) practices on employee performance in community banks, with a specific focus on the mediating role of employee competence. Design/methodology/approach – The study adopted an explanatory research design aligned with a positivist epistemology. Data was collected over three months using a self-administered questionnaire distributed to a sample of 254 employees selected through a stratified random sampling technique from the three leading community banks in Ghana's Ashanti region. Partial Least Squares Structural Equation Modeling (PLS-SEM) analysis was then employed to analyze the collected data. Findings – The analysis revealed significant positive relationships between HRD practices and both employee performance and competence. Furthermore, the study confirms that employee competence mediates the relationship between HRD practices and employee performance. Limitation – The study employs a cross-sectional design, limiting the ability to establish definitive causal relationships. Practical implications – Community banks can leverage this research to design and implement targeted HRD programs that enhance employee skills and knowledge, leading to improved performance and ultimately contributing to the financial well-being of rural communities. Findings on the mediating role of employee competence suggest that HRD practices should go beyond just training and development, encompassing initiatives that foster a learning culture and encourage knowledge application within the organization. The study's focus on community banks in Ghana extends the generalizability of HRD practices research to developing economies, informing HR strategies for these institutions. Originality/value – This study emphasizes the vital role of well-planned HRD interventions in community banks, specifically in enhancing employee skills and knowledge for improved organizational performance. It provides valuable insights into HRD practices within these institutions, highlighting its potential to drive financial inclusion and support economic growth in rural areas. Additionally, the study advances knowledge on HRD-performance dynamics in an underexplored context: community banks in developing economies.