THE EFFECT OF WORK FACILITIES, JOB SATISFACTION,AND EXTRINSIC REWARDS ON EMPLOYEEPERFORMANCE (Case Study at P.O. Haryanto Kudus)

Abstract

Background & Purpose: This study emphasizes that employee performance is a crucial
element for organizational success, particularly in the transportation sector, which presents
unique work challenges. At P.O. Haryanto Kudus, employee performance is influenced by
work facilities, job satisfaction, and extrinsic rewards. Given the limited simultaneous study
of these three factors in the transportation industry, this study was conducted to analyze
their influence and provide practical recommendations for improving human resource
quality.
Method: This study uses a quantitative method with a positivistic approach to analyze the
influence of work facilities, job satisfaction, and extrinsic rewards on employee
performance at P.O. Haryanto Kudus. Primary data were collected through a Likert-based
questionnaire distributed to 67 respondents, who were determined using a simple random
sampling technique from a population of 200 employees. Data analysis was carried out
using Partial Least Square (PLS).
Results: The results of the study indicate that providing work facilities plays a significant
role in improving employee performance at P.O. Haryanto Kudus Branch. Adequate
facilities, particularly work tools and equipment, have been shown to boost employee
productivity, work ethic, and effectiveness in carrying out their duties. This finding aligns
with previous research that emphasized the importance of facilities as a strategic factor in
supporting employee morale and performance. Therefore, company management needs to
consistently identify and fulfill work facility needs as an effort to optimize employee
performance and achieve organizational goals.
Conclusion & Suggestion: This study concludes that work facilities and job satisfaction
have a significant positive effect on employee performance at P.O. Haryanto Kudus, while
extrinsic rewards have no significant effect. This demonstrates the importance of providing
adequate facilities and increasing job satisfaction as key strategies in boosting productivity,
while the reward system needs to be evaluated to be more performance-based.
Theoretically, these findings support the Work Environment Theory, the Two-Factor
Theory, and the Reinforcement Theory, but further research is needed in other sectors with
broader variables