RJOAS January 2025
by Saputra I Kadek Oki Adi, Agung Anak Agung Putu, Aristana I Nengah, Puspitawati Ni Made Dwi (Faculty of Economics and Business, Mahasaraswati University, Denpasar, Indonesia)
Organizational citizenship behavior is one of the important things in an organization. The behavior of helping colleagues, volunteering to carry out activities that exceed their duties, avoiding conflict and tolerance as well as respecting each other and building a positive atmosphere are included in the form of organizational citizenship behavior. The purpose of this research is to test and confirm the influence between compensation variables, work stress, organizational commitment, and organizational citizenship behavior (OCB). This research uses quantitative methods. The sampling technique was non-probability sampling with saturated sampling and the number of respondents was 80 employees of the Istana Dewata Architect and Contractor. This research uses SEM analysis with the SMARTPLS 4 program.
The development of the business world has increased people's interest in getting involved as business people. This gives rise to increasingly competitive competition. The number of business actors in the service sector is increasing day by day, giving rise to competitive competition in the business world. They are required to make changes that can help the existence of their company. They are also faced with increasingly advanced technological changes. These changes will automatically change thought patterns, behavior and ways of dealing with problems which tend to become increasingly complex. Companies must have good human resources to support the company's sustainability.
Organizational citizenship behavior is one of the important things in an organization. Extra individual behavior, which is not exclusively or explicitly recognized in a formal work system, can increase the effectiveness of organizational functions in achieving organizational goals (Sule & Priansa, 2018: 415). Additional attitudes outside the job description in the organization are often referred to as organizational citizenship behavior. Examples of behavior of helping colleagues, volunteering to carry out activities that exceed their duties, avoiding conflict and tolerance as well as respecting each other and building a positive atmosphere are included in the form of organizational citizenship behavior. Napitupulu (2018:22) suggests that Organizational citizenship behavior or extra-role is behavior in an organization that is not directly rewarded by the formal reward system. This means that organizational citizenship behavior or extra-role is behavior in an organization that is not directly rewarded by the formal reward system.
Istana Dewata Architect and Contractor is a combined business unit between goods and services, where Istana Dewata Architect and Contractor provides services as an architect and contractor and also has a trading business unit, namely a building materials shop. This company has been around for approximately 16 years, with 80 employees. Based on the results of observations and interviews conducted by researchers, several employee OCB problems were identified, namely the lack of employee willingness to help colleagues who were experiencing difficulties in the situations they were facing, both workloads in the organization and other people's personal problems.
Companies currently face the problem of a lack of mutually helpful behavior among co-workers based on sincerity and volunteerism in order to achieve the company's vision and mission. They lack the initiative to help other colleagues, especially in completing work that is not part of their team members. Then another problem is that not all employees have loyalty to the company by doing work outside of their main duties, because each employee already has a fairly large workload. Apart from that, there is a problem regarding the lack of behavior that indicates responsibility for organizational life at the Istana Dewata Architect and Contractor. The problem is that employees lack the initiative to express opinions or provide input as well as creativity and innovation for changes for the betterment of the organization. The input given to the organization is only expressed when problems occur, before that employees only wait for input or direction from superiors. Organizational citizenship behavior is very important for the development of human resources in an organization or company which can improve company performance.
This research focuses on examining the effect of compensation on Organizational Citizenship Behavior through work stress and organizational commitment.
Compensation is a form of remuneration provided by the company according to the employee's performance within a certain time period. According to Bangun (2020:255) Compensation is something that an employee receives for the energy and knowledge he provides to the company to achieve its goals. According to Akbar, et al, (2021:125) compensation is all forms of financial return and benefits obtained by employees as part of an employment relationship. According to Rivai (2017) the indicators used to measure compensation are as follows: salary, bonuses, incentives, adequate facilities.
According to Nusran (2019:72) the definition of stress is an internal condition caused by physical (body) demands, the environment and social situations that have the potential to be damaging and uncontrollable. Ellyzar & Amri (2017:37) stated that work stress is a feeling of pressure experienced by employees in a job. According to Vanchapo (2020:37), work stress is an emotional state that arises due to a mismatch between workload and an individual's ability to deal with the pressures they face. According to Robbins, & Judge (2017), there are five indicators for measuring work stress, namely: task demands, role demands, interpersonal demands, organizational structure, organizational leadership.
Organizational commitment is a person's attitude or behavior towards an organization in the form of loyalty and achieving the organization's vision, mission and goals and employees are very interested in the goals, values and targets of their organization. According to Yusuf & Syarif (2018:25) organizational commitment is a topic that is always a good reference for the management of an organization as well as researchers with a special interest in focusing on human behavior. According to Mardiyana, et al., (2019: 103) organizational commitment can be interpreted as a situation where an employee sides with a particular organization with the aim and desire to maintain his membership in that organization. The organizational commitment indicators in Busro (2018:86) state that: indicators of affective commitment, continuous commitment indicator, normative commitment indicators.
The term organizational citizenship behavior is defined as individual behavior with the freedom to choose that will indirectly contribute to the effectiveness of organizational functioning. According to Aprianti (2019) organizational citizenship behavior is individual behavior that is free (discretionary), which does not directly and explicitly receive expectations from the formal reward system, and which overall drives the effectiveness of organizational functions. Be free, helpful, obedient to rules, sportsmanship and positive because these behaviors are not required by role requirements or job descriptions which are clearly required based on the contract with the organization but are a personal choice.
According to Putri (2017) organizational citizenship behavior is a term for employees who provide added value to the work they are assigned and add value to the company. Discretionary individual behavior is not directly or explicitly recognized in the reward system and in promoting the effective functioning of the company. According to M. S. Lubis (2015:31) organizational citizenship behavior indicators are as follows: altruism, conscientiousness, sportsmanship, courtesy, civic virtue.
This research uses four variables, namely compensation, work stress, organizational commitment, and organizational citizenship behavior. These four variables have been determined to test the hypothesis.
Based on the research conceptual framework in Figure 1, the research hypothesis can be formulated as follows: H1: Compensation has a positive and significant effect on organizational citizenship behavior. H2: Compensation has a negative and significant effect on work stress. H3: Compensation has a positive and significant effect on organizational commitment. H4: Work stress has a negative and significant effect on organizational citizenship behavior. H5: Organizational commitment has a positive and significant effect on organizational citizenship behavior. H6: Work stress has a negative and significant effect on organizational commitment. H7: Work stress mediates the effect of compensation on organizational citizenship behavior. H8: Organizational commitment plays a mediating role in the influence of compensation on organizational citizenship behavior.
This research aims to see the influence between compensation variables, organizational citizenship behavior, work stress and organizational commitment. This research leads to explanatory research. This type of explanatory research highlights the relationship between research variables and tests the hypotheses that have been formulated. Hypothesis testing in this research is expected to explain the relationship between exogenous and endogenous variables in the research model. Compensation is identified as an exogenous variable. Work stress, organizational commitment and organizational citizenship behavior (OCB) function as endogenous variables. The population of this study consisted of all 80 employees of the Istana Dewata Architect and Contractor.
The sampling technique used was non-probability sampling with saturated sampling. The instrument in this research has been tested for validity and reliability on 30 respondents. A variable is said to be valid if the correlation coefficient is ≥ 0,30), reliable if the Cronbach's Alpha value is ≥ 0,70 (Ghozali, 2020). and is said to have good discriminant validity. The recommended AVE value is greater than 0,50. The data in this study was obtained through distributing questionnaires distributed to all employees, which were measured using a five-point Likert scale with a value of 1 for 'Strongly Disagree' and a value of 5 for 'Strongly Agree'. Data were analyzed using structural equation modeling (SEM) in the SmartPLS 4.0 program. The hypothesis is tested based on the p-value and t-statistic, where a hypothesis can be supported empirically if the p-value is <0,05 and the t-statistic is >1,96.
The characteristics of respondents shown in this research are grouped according to gender, age, education and years of service. Based on the questionnaire that was distributed to 80 respondents, it was found that respondents were dominated by men with a percentage of 68.8%, next were respondents aged 25-34 years who dominated with a percentage of 47.5%. Respondents' educational level was dominated by high school/equivalent with 58.8% and for work experience it was dominated by respondents with <2 years of work with a percentage of 46.3%.
Based on Table 1, it can be seen that the AVE value ranges from 0.691 to 0.746. This means that the AVE value is greater than the correlation value between variables. Based on the provisions that a variable is said to be valid, if the AVE value is greater than the correlation value between variables, then based on these provisions, the variables in this research model are valid. The AVE value also meets the recommended requirements, namely it must be greater than 0.50.
A group of indicators that measure a variable has good composite reliability if it has a composite reliability value above 0.70. A variable has good reliability if it has a Cronbach's alpha (a) value above 0.60. The reliability test results in Table 1 using the composite reliability method show that the composite reliability value of each variable is greater than 0.70 and the Cronbach's alpha (a) value is each greater than 0.60. This means that the variables in this research model are reliable.
The test results regarding the effect of compensation on organizational citizenship behavior show a Path Coefficients value of 0.701, as well as a p-value of 0.000 < 0.05 with a t statistics value of 6.519 > 1.960. This means that compensation has a positive and significant effect on organizational citizenship behavior, which means Hypothesis 1 (H1) is accepted. Compensation is basically an award given by the company to every employee who has made a positive contribution to the company. Compensation is a very fundamental thing for an employee. The amount of compensation received can represent the value of their performance in the company. Providing fair compensation can make employees work on their own accord without being forced by their superiors. The results of this research are supported by research conducted by Susilo (2021), Hadi (2022), Susilowati (2022) and Rustandi (2023) showing the results that compensation has a positive and significant influence on organizational citizenship behavior.
The test results regarding the effect of compensation on work stress show a Path Coefficients value of -0.563, as well as a p-value of 0.000≤ 0.05, with a t statistics value of 7.664 > 1.960. This means that compensation has a negative and significant effect on work stress, which means Hypothesis 2 (H2) is accepted. Compensation can reduce employee stress levels, where compensation can be one of the main keys in reducing employee work stress levels. Apart from that, compensation can also help companies control the performance of their employees. If the employee's performance is good, the company can promise additional money as compensation or in the form of non-financial compensation. The results of this research are supported by research conducted by Noratta (2022), Riyadi (2019), and Puspitawati (2020) showing the results that compensation has a negative and significant influence on work stress.
The test results regarding the effect of compensation on organizational commitment show a Path Coefficients value of 0.413, as well as a p-value of 0.001≤ 0.05, with a t statistics value of 3.492> 1.960. This means that compensation has a positive and significant effect on organizational commitment, which means Hypothesis 3 (H3) is accepted. The relationship between compensation and organizational commitment has a positive effect because with compensation that is appropriate to the job, employees will feel comfortable in a job. Employees are given appropriate compensation so the employee will have good organizational commitment. The results of this research are supported by research conducted by Rahmat (2022), Handoko (2018) and Martini (2021) which shows that compensation has a positive and significant effect.
The test results regarding the effect of work stress on organizational citizenship behavior show a Path Coefficients value of 0.264, as well as a p-value of 0.000 < 0.05 with a t value of 3.522 > 1.960. This means that work stress has a positive and significant effect on organizational citizenship behavior, which means Hypothesis 4 (H4) is not accepted. In this research, this means that the stress that occurs in employees is eustress (positive stress) which can be used as motivation so that they are not seen by management as individuals who cannot work well. This means that employees really maintain their existence as good employees, so they are able to use stress as motivation to maintain productivity. The results of this research are supported by research by Meraldy, et al., (2022) and Hermawan, et al., (2022) which proves that work stress has a positive and significant effect on organizational citizenship behavior.
The test results regarding the influence of organizational commitment on organizational citizenship behavior show a Path Coefficients value of 0.315, as well as a p-value of 0.005 < 0.05, a t statistics value of 2.825 > 1.960. This means that organizational commitment has a positive and significant effect on organizational citizenship behavior, which means Hypothesis 5 (H5) is accepted. Employees' high commitment to the organization can be seen from the great efforts made voluntarily for the company's progress. Employees who demonstrate their commitment to company values will have a greater possibility of participating in achieving company goals. The organizational commitment possessed by an employee will make him feel that he has a great responsibility (Wicaksono and Masyukur, 2018). The results of this research are supported by research conducted by Kurniawan (2022), Claudia (2018), Saraswati (2019), Gregoplaner (2019), Sukrisnawati, et al. (2019) and Nurjanah, et al. (2020) shows that organizational commitment has a positive and significant effect on organizational citizenship behavior.
The test results regarding the influence of work stress on organizational commitment show a Path Coefficients value of -0.343, as well as a p-value of 0.000<0.05 with a t value of 3.549>1.960. This means that work stress has a negative and significant effect on organizational commitment, so Hypothesis 6 (H6) is accepted. Employees who experience work stress will have difficulty concentrating, which will hinder their work and have an impact on their commitment to the organization decreasing. If left to continue, work stress will have an impact on employees' physical & psychological health, such as headaches, fatigue and lack of enthusiasm (Robbins & Judge, 2017). When the stress experienced by employees becomes increasingly severe, this stress can make employees become sick and even resign (turnover). The results of this research are supported by research by Firdaus, R. R. (2019), Permatasasi (2020) and Setiawan (2018) showing the results that work stress has a negative and significant influence on organizational commitment.
The effect of compensation on organizational citizenship behavior through work stress as a mediating variable shows that work stress is able to partially mediate the effect of compensation on organizational citizenship behavior. The results are proven from testing the mediation effects of C, D and A which have significant values, so Hypothesis 7 (H7) is accepted. If the compensation system provided by the company is fair enough for employees, it will minimize employees' feelings of stress regarding their work, so that employees will try to do their work better and be more responsible for each task given by the company. Timeliness in providing compensation and the amount that must be received by each employee in a company will later improve employee performance so that providing compensation can lead to organizational citizenship behavior in employees.
The results of this research complement several research results related to the direct influence between the three variables, namely compensation, work stress and organizational citizenship behavior, including research conducted by Noratta (2022) and Riyadi (2019) showing the results that compensation has a negative and significant effect on work stress. In research conducted by Setiaji (2020), Ali (2023) and Cahyono (2016) the results show that work stress has a negative and significant effect on organizational citizenship behavior. Meanwhile, research conducted by Susilo (2021), Hadi (2022) and Rustandi (2023) shows that compensation has a positive and significant influence on organizational citizenship behavior. which means it is very possible that the work stress variable has a mediating role in the influence of compensation on organizational citizenship behavior and is proven in the results of this study which show that work stress plays a mediating role in the influence of compensation on organizational citizenship behavior.
The influence of compensation on organizational citizenship behavior through organizational commitment as a mediating variable shows that organizational commitment is able to fully mediate the influence of compensation on organizational citizenship behavior. The proven results from testing the mediation effects of C and D are significant, but the effect of A is not significant, so Hypothesis 8 (H8) is accepted. Compensation will be higher if accompanied by high work commitment from employees. Commitment is a feeling of loyalty to the company, namely being able to carry out the duties and responsibilities assigned to the employee well. Which means, with fair compensation, employees will have enthusiasm in carrying out their work, both from within and outside the individual themselves, which will direct employees to always be committed to the work they are carrying out so that it is hoped that organizational citizenship behavior will increase. Employees who have high commitment will more easily achieve high organizational citizenship behavior because with a high level of commitment employees tend to be active and creative in completing their work. The results of this research are supported by research conducted by Rahmat (2022) which shows that organizational commitment mediates the effect of compensation on organizational citizenship behavior.
There are eight conclusions that can be drawn from the results of this research. First, compensation has a positive and significant effect on organizational citizenship behavior. Second, compensation has a negative and significant effect on work stress. Third, compensation has a positive and significant effect on organizational commitment. Fourth, work stress has a positive and significant effect on organizational citizenship behavior. Fifth, organizational commitment has a positive and significant effect on organizational citizenship behavior. Sixth, work stress has a negative and significant effect on organizational commitment. Seventh, work stress is able to mediate the indirect influence of compensation on organizational citizenship behavior with partial mediation properties. Eighth, organizational commitment is able to mediate the indirect influence of compensation on organizational citizenship behavior with full mediation properties.
Furthermore, the findings of this research imply several suggestions for the management of Istana Dewata Architect and Contractor, including providing bonuses to employees who are able to achieve the specification goals set by the company, or for their dedication to the company. Emphasize that employees are able to create a comfortable work environment for fellow co-workers by not putting work pressure on fellow co-workers. Provide space for each employee to provide input to the company, thereby increasing the employee's sense of responsibility towards the company.
Original paper, i.e. Figures, Tables, References, and Authors' Contacts available at http://rjoas.com/issue-2025-01/article_04.pdf