Citation:

Nadia Mufida, Denta Felli Ananda. "Elevating Employee Performance through Motivation: “Old School” Concept that Still Works Well" International Research Journal of Economics and Management Studies, Vol. 4, No. 5, pp. 183-191, 2025.

Abstract:

Food consumption is one of the common indices of nationwide welfare. Most food manufacturers in Indonesia consist of micro and small-sized home industries, which contribute significantly to the country’s economy, as measured by GDP indices. Thus, organizations within the food industry need to maintain both their organization and employee performance. The study aims to examine both the direct and indirect effect of work motivation on employee performance with servant leadership and work environment as the antecedent at a food supplement home industry level producer in Jakarta. This study uses a non-probability sampling technique called purposive sampling with 70 respondents of non-managerial food producers’ home industry employees. Primary data were collected through online questionnaires and analyzed with structured equation modelling partial least square statistical method. This study concluded that servant leadership and work motivation have a positive direct effect on employee performance, the work environment has no direct effect on employee performance, and servant leadership and work environment have a direct effect on work motivation. For the indirect effect, this study shows that work motivation has a mediating effect from the effect of servant leadership and work environment on employee performance.

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Keywords:

Servant Leadership, Work Environment, Work Motivation, Employee Performance.