Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 https://doi.
org/10.
12928/fokus.
http://journal2.
id/index.
php/fokus P-ISSN: 2088-4079 E-ISSN: 2716-0521 Work environment and leadership style on employee performance: Evidence of work motivation mediation Kukuh Harianto1*.
Rike Kusuma Wardhani2.
Kharisma Ayu Hilma Ricza Aziz3 1,2,3 Universitas Islam Kadiri.
Jawa Timur.
Indonesia proudjava@gmail.
*Corresponding Author
ARTICLE INFORMATION
Article History Received: 12-12-2025 Revised: 17-03-2026 Accepted: 26-03-2026 Published: 26-03-2026 Keywords Work Environment.
Leadership Style.
Employee Performance.
Work Motivation.
ABSTRACT
Employee performance is a key factor in determining organizational effectiveness and productivity.
Organizational factors such as the work environment and leadership style are widely recognized as influencing employee performance, both directly and indirectly through psychological mechanisms such as work motivation.
This study aims to analyze the effects of the work environment and leadership style on employee performance, with work motivation as a mediating variable, at Bina Bangun Perkasa Kediri Company.
This research employs a quantitative causal approach using saturated sampling involving all 34 permanent employees as respondents.
Data were collected through questionnaires and analyzed using partial least squares-structural equation modelling with SmartPLS 4.
The results show that the work environment does not significantly affect employee performance or work motivation.
Leadership style does not directly influence employee performance but significantly affects work motivation, which in turn significantly improves employee performance.
Mediation analysis indicates that work motivation mediates the relationship between leadership style and employee performance, but not between the work environment and employee performance.
These findings differ from previous studies that generally report a significant influence of the work environment on employee performance through This article has open access under the CCAeBY-SA license.
Introduction Human resources represent a strategic organizational asset that determines an organizationAos capacity to achieve sustainable performance and maintain competitiveness.
Effective human resource management enables organizations to optimize employee capabilities to achieve organizational goals and maintain long-term competitiveness (Ulrich et , 2.
Employee performance is widely recognized as a key indicator of organizational effectiveness and productivity, reflecting how employees accomplish tasks and contribute to overall organizational outcomes (Cabarcos et al.
, 2.
In the human resource management literature, employee performance is influenced by several organizational factors, particularly fokus@mgm.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 leadership practices and workplace conditions that shape employeesAo attitudes and behaviors (Mazzetti et al.
, 2023.
Lin & Li, 2.
Leadership plays an important role in shaping employee behavior and performance through guidance, communication, and motivation.
Effective leadership practices help employees align their efforts with organizational goals and create a supportive environment that encourages productivity (Liu et al.
, 2.
At the same time, the work environment constitutes a critical organizational factor that affects employeesAo psychological well-being, engagement, and work effectiveness.
A supportive work environment characterized by adequate facilities, positive social interactions, and safe working conditions can significantly improve employeesAo ability to perform their tasks effectively (Zhenjing et al.
, 2022.
Kearney et , 2.
Therefore, leadership style and workplace conditions are frequently considered key determinants of employee performance in contemporary organizational research (Oubrich et , 2.
Beyond external organizational conditions, employee performance is also influenced by internal psychological factors, particularly work motivation.
Work motivation refers to the internal drive that directs employeesAo efforts toward achieving work goals and maintaining task persistence (Robbins & Judge, 2.
In the organizational behavior literature, motivation is often viewed as a critical mechanism linking organizational practices to employee outcomes.
Leadership practices and workplace conditions can stimulate employee motivation, which subsequently contributes to improved job performance and work engagement (Afonso et al.
Wang et al.
, 2.
Consequently, motivation is frequently examined as a mediating factor that explains how organizational conditions influence employee performance.
Despite the theoretical expectation that leadership style, work environment, and motivation positively influence employee performance, empirical evidence indicates that these relationships are not always consistent across organizational contexts.
Some studies report that leadership practices and workplace conditions significantly enhance employee motivation and performance outcomes (Liu et al.
, 2024.
Wang et al.
, 2.
However, other studies suggest that the relationship between motivation and employee performance may vary depending on contextual factors such as organizational structures, leadership dynamics, and employee expectations (Bonini et al.
, 2.
These inconsistencies indicate that the relationships among leadership style, work environment, motivation, and employee performance remain complex and require further investigation across different organizational Organizational context is widely recognized as an important factor influencing how leadership practices and workplace conditions affect employee attitudes and performance.
Different organizations may produce different employee responses because workplace structures, communication patterns, and management practices vary significantly across contexts (Oubrich et al.
, 2021.
Cabarcos et al.
, 2.
In particular, manufacturing-based organizations often rely heavily on workforce coordination, operational efficiency, and leadership effectiveness to maintain productivity.
In such environments, leadership practices and workplace conditions play a crucial role in shaping employee motivation and performance outcomes (Ulrich et al.
, 2.
In the context of Bina Bangun Perkasa Kediri Company, management has implemented several initiatives to improve both the physical and non-physical work environment, including facility upgrades, workspace adjustments, and more inclusive leadership practices that improve communication between leaders and employees.
As a manufacturing-oriented organization that depends heavily on employee productivity and coordination across operational units, the company represents a relevant context for examining the relationships among leadership style, work environment, motivation, and employee performance.
Therefore.
Bina Bangun Perkasa Kediri Company was selected as the research setting because 12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 its operational characteristics and recent organizational initiatives provide a relevant context for examining how leadership style and work environment influence employee motivation and Prior studies suggest that organizational environments characterized by strong leadership practices and supportive workplace conditions tend to foster higher employee motivation and performance (Cabarcos et al.
, 2022.
Afonso et al.
, 2.
However, despite these organizational improvements, employee performance across several units within the company remains inconsistent.
This situation indicates that improvements in workplace conditions alone may not necessarily lead to optimal performance outcomes.
It also suggests that internal psychological factors, particularly work motivation, may influence employeesAo responses to leadership practices and workplace Therefore, examining the mediating role of work motivation is essential to better understand how leadership style and work environment influence employee performance within this organizational context (Liu et al.
, 2024.
Wang et al.
, 2.
Based on these considerations, this study aims to examine the mediating role of work motivation in the relationship between work environment, leadership style, and employee performance at Bina Bangun Perkasa Kediri Company.
By integrating these variables into a comprehensive research model, this study contributes to the existing literature by providing empirical evidence on how organizational conditions and leadership practices interact with employee motivation to influence employee performance outcomes (Oubrich et al.
, 2.
Furthermore, the findings are expected to provide practical insights for organizations seeking to improve employee performance through effective leadership practices, supportive work environments, and stronger employee motivation.
Literature Review and Hypothesis Development Literature Review Work Environment The work environment is an important factor that influences employeesAo attitudes, motivation, and performance within an organization.
From a theoretical perspective, organizational behavior theory (OBT) explains that workplace conditions significantly affect employee behavior and performance outcomes.
Robbins and Judge .
state that the work environment, including physical conditions and social interactions, plays a crucial role in shaping employeesAo job satisfaction, motivation, and A supportive work environment can create positive employee attitudes and improve organizational effectiveness.
In addition, social exchange theory (SET) by Blau .
suggests that employees tend to reciprocate the treatment they receive from their organization.
When employees perceive that the organization provides a supportive and comfortable work environment, they feel valued and are more likely to demonstrate higher commitment, greater engagement, and improved job Zhenjing et al.
describe the workplace environment as encompassing both physical and behavioral dimensions that shape how employees interact with their surroundings and colleagues, where the physical dimension includes the conditions and resources that enable employees to perform their tasks effectively, while the behavioral dimension consists of the attitudes, norms, and interactions among individuals within the organization.
Extending this perspective.
Kearney et al.
emphasize that the work environment includes various organizational conditions such as workplace facilities, interpersonal relationships, and managerial support that influence employeesAo ability to perform their tasks.
A supportive work environment enables employees to feel comfortable and valued, which ultimately enhances their motivation and job performance.
Furthermore.
Dumitriu et al.
explain that the Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 workplace environment comprises interconnected physical and social conditions, organizational characteristics, intrinsic job aspects, and employeesAo perceptions, which collectively shape their work experience and influence their overall well-being and performance.
Leadership Style Leadership style is an important factor that influences employee attitudes, motivation, and performance within an organization.
From a theoretical perspective.
OBT explains that leadership behavior plays a crucial role in shaping employee performance and workplace dynamics.
Robbins and Judge .
state that effective leadership involves influencing, motivating, and directing employees to achieve organizational goals.
In addition.
SET by Blau .
suggests that when leaders provide support, trust, and fair treatment, employees tend to reciprocate through greater commitment and improved performance.
Khan et al.
describe leadership style as the way a leader steers a team, reflected in how they communicate, inspire, make decisions, and support team members in the workplace.
Supporting this view.
Meirinhos et al.
emphasize leadership style as a leaderAos capacity to influence and guide individuals to perform at their best in achieving organizational goals, highlighting methods for motivating, directing, and interacting with the team to drive effective performance and shared success.
Extending these perspectives.
Susita et al.
define leadership style as a pattern of leader behaviors that fosters motivation, communication, and collaboration to enhance employee performance in a dynamic work environment.
Similarly.
Hundie and Habtewold .
summarize leadership style as a relatively consistent set of behaviors, attitudes, and traits demonstrated by leaders in decision-making, directing, and influencing followers to perform efficiently and effectively.
More recently.
Thi and Thu .
explain that leadership style is the approach or behavior leaders use to influence, motivate, and guide employees toward organizational goals, encompassing how leaders interact, make decisions, and manage workplace relationships.
Likewise.
Cheng and Zhu .
state that leadership style broadly refers to the behavioral patterns leaders use to guide, influence, and inspire others toward shared objectives, whether through articulating a vision and providing encouragement or by setting clear expectations and offering supervision.
Employee Performance Employee performance refers to the level of work achievement demonstrated by employees in carrying out their duties and responsibilities within an organization.
From a theoretical perspective.
OBT explains that employee performance is influenced by organizational factors such as leadership, work environment, and motivation, which shape employeesAo attitudes and behaviors (Robbins & Judge, 2.
In addition.
SET by Blau .
suggests that employees tend to reciprocate the support and treatment they receive from their organization through higher levels of commitment and performance.
Lyubykh et al.
describe employee performance as the level of work achievement assessed by supervisors, indicating how effectively employees fulfill their duties and responsibilities.
Expanding on this view, employee performance can also be evaluated by comparing expected outcomes, such as predetermined targets or performance standards, with actual work results, reflecting the extent to which employees perform their tasks effectively, including aspects such as punctuality, accuracy, and adherence to organizational rules and procedures (Wang et al.
, 2.
In addition, within educational institutions facing increasing technological demands, 12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 employee performance is understood as individualsAo ability to execute their roles and responsibilities effectively amid evolving work requirements (Bourlakis, 2.
Similarly, job performance reflects employeesAo capability and efficiency in completing assigned duties, encompassing both measurable outcomes and behaviors that support organizational goals, including work quality, productivity, compliance with standards, and willingness to go beyond basic job requirements (Lin & Li, 2.
In line with these perspectives, employee performance reflects the outcomes of effective human resource practices.
It indicates the extent to which individuals develop a sense of social identification with their organization, team, or leader (Khan et al.
, 2.
Work Motivation Work motivation plays an important role in influencing employeesAo effort, persistence, and performance in the workplace.
From a theoretical perspective, motivation theory (MT) posits that individuals are driven by internal and external factors that motivate them to act and achieve specific goals.
Hierarchy of needs by Maslow .
suggests that individuals are motivated to fulfill a series of needs ranging from basic physiological needs to self-actualization, and the fulfillment of these needs can increase employeesAo willingness to exert effort in their work.
Robbins and Judge .
explain that motivation determines the direction, intensity, and persistence of individualsAo work-related behavior.
Gagny and Hewett, .
explain that motivation functions as a process of fulfilling human needs, where employees who experience need satisfaction are more inclined to exert greater effort in achieving organizational objectives.
Supporting this perspective.
Wang et al.
describe motivation as a driving force that determines the direction, intensity, and persistence of employee behavior in the workplace.
In line with this view.
Grabowski .
state that work motivation reflects the internal psychological processes that encourage individuals to initiate and sustain effort in performing their work tasks.
Similarly.
Mazzetti et al.
emphasize that motivation plays a crucial role in energizing employeesAo behavior, influencing their engagement, persistence, and willingness to invest effort in achieving work goals and organizational performance.
Hypothesis Development The Effect of the Work Environment on EmployeesAo Performance OBT explains that the work environment plays an important role in shaping employeesAo attitudes, behaviors, and work outcomes within organizations (Robbins & Judge, 2.
A supportive work environment that provides physical comfort, psychological safety, and adequate resources enables employees to perform their tasks more effectively (Zhenjing et al.
, 2.
In line with SET, when employees perceive that the organization provides a positive and supportive work environment, they tend to reciprocate this support through greater effort and improved work performance (Blau, 1.
Empirical evidence also supports this relationship.
Cabarcos et al.
found that work environmental variables, such as social support and empowerment, significantly contribute to employeesAo job performance.
Similarly.
Zhenjing et al.
reported that both physical and behavioral aspects of the workplace environment positively affect employeesAo commitment and performance.
Furthermore.
Dumitriu et al.
emphasized that a supportive workplace environment, including managerial support and job autonomy, plays a crucial role in enhancing employeesAo well-being and overall organizational performance.
H1: Work Environment Has a Significant Effect on EmployeesAo Performance.
Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 The Effect of Leadership Style on EmployeesAo Performance According to OBT, leadership plays an essential role in influencing employeesAo attitudes, motivation, and work outcomes within organizations (Robbins & Judge.
An effective leadership style can provide direction, support, and inspiration for employees, thereby encouraging them to perform their tasks more efficiently and achieve better performance (Teoh et al.
, 2.
In line with SET, when leaders demonstrate supportive and effective leadership behaviors, employees tend to reciprocate this support through greater commitment and improved work performance (Blau, 1.
Empirical evidence also supports this relationship.
Cahyadi et al.
found that leadership styles and high-involvement human resource practices significantly enhance individual employee performance.
Similarly.
Karim et .
reported that leadership styles positively and significantly influence employee performance in organizational settings.
Furthermore.
Susita et al.
and Liu et al.
demonstrated that effective and supportive leadership contributes to higher employee performance and the achievement of organizational H2: Leadership Style Has a Significant Effect on EmployeesAo Performance.
The Effect of Work Motivation on EmployeesAo Performance MT explains that employeesAo internal drive plays a crucial role in influencing their work behavior and performance.
According to hierarchy of needs, individuals are motivated to fulfill various levels of needs, ranging from basic needs to selfactualization, and this motivation encourages them to exert greater effort in achieving their work goals (Maslow, 1.
In organizational contexts, employees with higher motivation tend to demonstrate stronger commitment, greater productivity, and better task completion, which ultimately leads to improved performance (Wang et al.
This relationship is also supported by SET, which suggests that employees who feel motivated and supported by their organization are more likely to reciprocate through higher work performance (Blau, 1.
Empirical studies have confirmed this Riyanto et al.
found that work motivation positively and significantly affects employee performance.
Similarly.
Wang et al.
demonstrated that higher motivation levels lead to stronger job performance over Furthermore.
Lin and Li .
as well as Gazi et al.
also reported that employees with higher motivation tend to achieve better work outcomes and contribute to improved organizational effectiveness.
H3: Work Motivation Has a Significant Effect on EmployeesAo Performance.
The Effect of the Work Environment on Work Motivation According to OBT, the work environment plays an important role in shaping employeesAo attitudes and motivation within organizations (Robbins & Judge, 2.
supportive work environment that provides adequate resources, comfortable physical conditions, and positive interpersonal relationships can enhance employeesAo psychological well-being and encourage them to perform their tasks with greater enthusiasm (Lan et al.
, 2.
In line with SET, when employees perceive that the organization provides a supportive and conducive work environment, they tend to reciprocate with stronger motivation and greater effort at work (Blau, 1.
Empirical studies also support this relationship.
Kearney et al.
found that supportive physical and social work environments significantly enhance employeesAo motivation and engagement.
Similarly.
Kohnen et al.
reported that a positive and well-structured work environment strengthens employeesAo psychological empowerment and intrinsic motivation.
Furthermore.
Zhenjing et al.
and Kaviya et al.
demonstrated that supportive workplace conditions significantly 12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 improve employee motivation across various organizational contexts.
H4: Work Environment Has a Significant Effect on Work Motivation.
The Effect of the Leadership Style on Work Motivation According to OBT, leadership plays an essential role in influencing employeesAo attitudes, behaviors, and motivation within organizations (Robbins & Judge, 2.
effective leadership style can provide direction, support, and encouragement, which help employees feel valued and motivated to perform their tasks (Qalati et al.
, 2.
In line with SET, when leaders demonstrate supportive and fair leadership behaviors, employees tend to reciprocate this support by showing stronger motivation and greater effort in their work (Blau, 1.
Empirical studies have also supported this Yalynkaya et al.
found that leadership style significantly enhances employee motivation when leaders align their behavior with employeesAo needs and organizational goals.
Similarly.
Lin and Li .
reported that leadership development and supportive leadership behaviors increase employeesAo motivation and learning orientation.
Furthermore.
Kohnen et al.
and Liu et al.
also confirmed that effective and supportive leadership significantly strengthens employee motivation across various organizational contexts.
H5: Leadership Style Has a Significant Effect on Work Motivation.
The Effect of the Work Environment on EmployeesAo Performance Mediated by Work Motivation According to OBT, the work environment influences employeesAo attitudes, motivation, and behavioral outcomes within organizations (Robbins & Judge, 2.
supportive work environment that provides comfortable physical conditions, adequate resources, and positive interpersonal relationships can enhance employeesAo psychological well-being and encourage stronger motivation to perform their tasks (Dumitriu et al.
, 2.
In line with SET, when employees perceive supportive organizational conditions, they tend to reciprocate through higher motivation and improved work performance (Blau, 1.
In this context, work motivation may function as an important mechanism linking workplace conditions to employee Empirical studies support this mediating relationship.
Zhenjing et al.
found that the workplace environment significantly influences employee performance through mediating mechanisms such as motivation and engagement.
Similarly.
Nursaningrum et al.
reported that work motivation mediates the relationship between work environment and employee performance.
Furthermore.
Kaviya et al.
demonstrated that improvements in the work environment enhance performance primarily through increased employee motivation.
H6:
Employee Performance is significantly affected by the Work Environment through Work Motivation.
The Effect of Leadership Style on EmployeesAo Performance Mediated by Work Motivation According to OBT, leadership plays a crucial role in shaping employeesAo attitudes, motivation, and performance within organizations (Robbins & Judge, 2.
Effective leadership provides direction, support, and encouragement that can enhance employeesAo motivation to perform their tasks (Mphaluwa et al.
, 2.
In line with SET, when employees perceive supportive and inspiring leadership, they tend to reciprocate through stronger motivation and improved work performance (Blau.
In this context, work motivation functions as an important mechanism through which leadership style influences employee performance.
Empirical studies support Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 this mediating relationship.
Lin and Li .
found that leadership development and supportive leadership behaviors significantly enhance employeesAo motivation, thereby improving job performance.
Similarly.
Kohnen et al.
reported that engaging leadership strengthens employeesAo work motivation and contributes to better work Furthermore.
Wang et al.
demonstrated, using meta-analytic evidence, that work motivation is a key mechanism linking organizational factors, including leadership, to employee performance.
H7: Employee Performance is significantly influenced by Leadership Style through Work Motivation.
Research Framework The research model presented in Figure 1 illustrates the relationships among the work environment, leadership style, work motivation, and employee performance.
The model is developed based on the theoretical framework and findings from previous studies highlighting the importance of organizational factors in shaping employee In this model, work environment and leadership style are proposed as independent variables that directly influence employee performance.
These variables represent key organizational aspects that may shape employeesAo attitudes, behavior, and level of productivity in the workplace.
In addition, both variables are assumed to influence work motivation, which functions as a mediating variable that explains how organizational conditions affect employee performance.
Furthermore, work motivation is expected to have a direct effect on employee performance, indicating that higher levels of motivation may lead to better performance outcomes.
Work Environment Work Motivation Leadership Style Employee Performance Figure 1.
Research Framework Research Methods Population and Sampling Method This study employs a quantitative causal research design to examine the influence of the work environment and leadership style on employee performance, with work motivation as a mediating variable, using statistical analysis.
Quantitative research collects measurable data and analyzes it statistically to identify relationships among variables and to allow generalization to a broader population (Lim, 2025.
Slater & Hasson, 2.
, typically using standardized instruments and a deductive approach grounded in established theories or hypotheses (Barroga et al.
, 2.
The population of this study comprises all permanent employees of Bina Bangun Perkasa Kediri Company, totalling 34.
Given the relatively small population size, this study uses a census approach, including all members of the population who meet the inclusion criteria (Creswell & Creswell, 2018.
Saunders et al.
, 2.
Methodological guidelines indicate that sample sizes greater than 12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 30 are generally considered adequate for statistical analysis in social science research, and RoscoeAos rule of thumb suggests that sample sizes between 30 and 500 are appropriate for most behavioral studies (Sekaran & Bougie, 2.
Furthermore, in partial least squaresstructural equation modelling (PLS-SEM), relatively small sample sizes can still yield reliable estimates as long as the minimum sample size requirements are met (Hair et al.
Therefore, the use of 34 respondents in this study satisfies the minimum requirement for quantitative data analysis, and all employees are included as the research Data Collecting Method The primary data for this study were collected through a questionnaire distributed via Google Forms.
Each item was derived from the indicators of the research variables and assessed using a five-point Likert scale.
The questionnaire was adapted from previously established measurement instruments.
The work environment (WE) variable was measured using eight items developed from Kearney et al.
The leadership style (LS) was assessed using eight items adapted from Gemeda and Lee .
Employee performance (EP) was evaluated using eight items based on Siraj et al.
, and work motivation (WM) was measured using eight items referring to the indicators provided by Grabowski et al.
Data Analysis Method The collected data were analyzed using SmartPLS version 4.
0 with the PLS-SEM approach, which comprises two stages: outer model and inner model evaluations.
The outer model assessment ensures that the measurement indicators satisfy reliability and validity requirements (Hair et al.
, 2.
Outer loadings reflect the correlation between each indicator and its latent construct.
values above 0.
70 indicate good validity, though loadings between 0.
5 and 0.
7 may be retained if supported by other criteria (Hair et al.
Internal consistency is evaluated using CronbachAos alpha.
values greater than 0.
indicate adequate measurement stability (Marar et al.
, 2.
, alongside composite reliability, which also requires values above 0.
7 to confirm consistent construct representation (Dash & Paul, 2.
Convergent validity is assessed using average variance extracted (AVE), with values exceeding 0.
50 indicating that the construct explains more than half of the variance among its indicators (Cheung et al.
, 2.
The inner model evaluation was conducted to examine the structural relationships between constructs and to test the proposed hypotheses (Hair et al.
, 2.
This evaluation involved analyzing the path coefficients to determine the strength and direction of the relationships among variables (Hair et al.
, 2.
Results and Discussion Characteristics of Respondent The characteristics of the respondents in this study provide an overview of the demographic profile of employees at Bina Bangun Persada Kediri Company, who constitute the research sample.
The information presented includes several aspects, such as gender, age, education level, and length of service.
Understanding the respondentsAo characteristics is essential for providing context for the analysis results and for determining whether individual background factors may influence the relationships among the variables under study.
The respondentsAo characteristics are presented in Table Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 Table 1.
Respondent Characteristics Classification Gender Age Education Level Length of Service Description Male Female 18 Ae 23 years old 24 Ae 29 years old 30 Ae 35 years old 36 Ae 41 years old 42 Ae 47 years old 48 Ae 53 years old >54 years old Junior High School or Equivalent High School or Equivalent Diploma Bachelor Master Doctoral < 1 year 1 Ae 3 years 4 Ae 6 years 7 Ae 9 years 10 Ae 12 years >12 years Frequency Total Percentage Based on the data in Table 1, the majority of respondents .
6%) were male, indicating that the companyAos workforce is predominantly male.
Regarding age, most employees were between 24 and 29 years old .
1%), suggesting that the organization is primarily composed of individuals in early adulthood, followed by smaller proportions in older age groups.
The respondentsAo educational background shows a strong dominance of bachelorAos, accounting for 64.
In comparison, those with high school qualifications account for 29.
4%, and only a small fraction hold a diploma or masterAos degrees.
This distribution reflects a relatively well-educated workforce.
Data on length of service indicate that the largest group of employees had worked for 7Ae9 years .
4%), followed by those with 1Ae3 years .
6%) and 4Ae6 years .
6%).
the remaining categories were more evenly distributed.
Overall, these characteristics illustrate a male-dominated, relatively young, predominantly undergraduate-educated workforce with moderate tenure in the organization.
Validity Test Outer loading is one of the indicators in the outer model test, used to assess each indicatorAos contribution to the latent construct it measures.
It reflects the degree of correlation between an indicator and its corresponding latent variable.
An indicator is considered to have good validity when its factor loading exceeds 0.
However, values 5 and 0.
7 may still be retained, provided the construct meets other validity and reliability criteria.
This assessment is essential to ensure that each item in the research instrument consistently and accurately represents the intended construct.
The results of the outer-loading test, generated with SmartPLS 4, are presented in Figure 2.
12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 Figure 2.
Measurement Model The values for outer loading presented in Figure 2 are summarized in Table 2, providing a detailed reference for evaluating the validity of each indicator relative to its latent construct.
Outer loading values indicate the strength of the relationship between each indicator and its associated construct, where higher values reflect better indicator reliability in representing the latent variable.
Table 2.
Validity Test Result
Item
Indicator WE1
WE2
WE3
WE4
WE5
WE6
WE7
WE8
LS1
LS2
LS3
LS4
LS5
LS6
LS7
LS8
EP1
EP2
EP3
EP4
EP5
EP6
EP7
EP8
WM1
WM2
WM3
Work Environment Leadership Style Employee Performance Work Motivation Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131
Item
Indicator WM5
WM6
WM7
WM8
Work Environment Leadership Style Employee Performance Work Motivation Based on the outer loading results presented in Table 2, all indicators demonstrate strong relationships with their respective latent constructs, confirming adequate convergent validity.
The indicators for work environment exhibit very high loadings, ranging from approximately 0.
902 to 0.
957, indicating that each item contributes substantially to the construct.
Similarly, the leadership style indicators exhibit high outer loadings of 0.
925, indicating strong measurement reliability for this construct.
The indicators of the mediating variable work motivation also exhibit high loadings, mostly 90, suggesting that they effectively capture the underlying latent dimension.
Finally, the indicators of employee performance exhibit strong loadings ranging from 852 to 0.
947, further supporting the robustness of the measurement model.
Collectively, these results indicate that all constructs are measured with high precision, as each indicator exceeds the commonly accepted threshold of 0.
7 for outer loadings, thereby confirming the reliability and validity of the reflective measurement model employed in this study.
Reliability Test Reliability was assessed using CronbachAos alpha, composite reliability, and the average variance extracted (AVE).
CronbachAos alpha and composite reliability values 7 indicate that the indicators measure their constructs consistently and An AVE value above 0.
5 demonstrates that the construct accounts for more than half of the variance in its indicators.
The complete reliability results are presented in Table 3.
Table 3.
Reliability Test Result Variable CronbachAos Alpha Composite Reliability Work Environment Average Variance Extracted (AVE) Leadership Style Employee Performance Work Motivation Table 3 summarizes the results of the reliability and convergent validity assessments for all constructs in this study.
The CronbachAos alpha values for work environment, leadership style, employee performance, and work motivation range from 965 to 0.
981, while the composite reliability coefficients fall between 0.
971 and 0.
All values exceed the recommended threshold of 0.
7, indicating excellent internal consistency and confirming that the indicators consistently represent their respective latent constructs.
In addition, the AVE values .
883 for work environment, 0.
822 for leadership style, 0.
835 for employee performance, and 0.
826 for work motivatio.
exceed the minimum criterion of 0.
50, indicating that each construct explains more than half of the variance in its indicators.
Overall, the results presented in Table 3 affirm that the measurement model exhibits strong reliability and convergent validity, and is therefore suitable for subsequent structural analysis.
12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 Hypothesis Test The results of the direct and indirect hypothesis testing, as presented in Table 4, indicate that the work environment neither directly influences employee performance nor significantly affects work motivation, leading to the rejection of both hypotheses.
Leadership style is likewise not proven to enhance employee performance directly.
however, it does have a significant effect on work motivation, leading to partial acceptance of the related hypotheses.
Work motivation has a meaningful, direct impact on employee performance, supporting the corresponding hypothesis.
Furthermore, work motivation does not mediate the relationship between the work environment and employee Still, it effectively mediates the influence of leadership style on employee performance, indicating that only the leadership-style-mediated pathway is supported.
Table 4.
Hypothesis Test Hypothesis Work Environment Ie Employee Performance Leadership Style Ie Employee Performance Work Motivation Ie Employee Performance Work Environment Ie Work Motivation Leadership Style Ie Work Motivation Work Environment Ie Work Motivation Ie Employee Performance Leadership Style Ie Work Motivation Ie Employee Performance Original Sample Sample Mean Statistics Values Discussion The Effect of the Work Environment on EmployeesAo Performance The results of this study reveal that the work environment does not have a significant direct effect on employee performance, thereby contradicting the proposed hypothesis that a supportive work environment would directly enhance performance This finding indicates that the work environment may be perceived by employees as sufficiently adequate for completing routine tasks, but not as a motivating organizational resource capable of stimulating higher levels of From a theoretical standpoint.
OBT suggests that workplace conditions primarily influence employeesAo attitudes and psychological states, which subsequently shape behavioral outcomes, including performance (Robbins & Judge, 2.
Consequently, environmental factors rarely exert a direct impact on performance but tend to operate through intermediate psychological mechanisms such as motivation, engagement, or perceptions of organizational support.
This interpretation is supported by recent research showing that workplace environmental conditions tend to enhance employee performance primarily through psychological pathways, such as engagement, rather than through direct effects (Li et , 2.
Empirical evidence further indicates that workplace environmental factors alone are often insufficient to directly improve employee performance when psychological or behavioral mediators are not considered (Cherian et al.
, 2.
Similarly, studies have shown that the influence of the work environment on performance tends to emerge only when employees interpret environmental conditions as meaningful organizational support that strengthens their motivation and fairness perceptions (Gazi et al.
, 2024.
Pham et al.
, 2.
Therefore, the findings of this study suggest that the work environment functions primarily as a contextual or Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 enabling factor rather than a direct determinant of employee performance, implying that its effectiveness in improving performance depends largely on how it shapes employeesAo internal psychological responses.
The Effect of Leadership Style on EmployeesAo Performance The results of this study indicate that leadership style does not have a significant direct effect on employee performance, contradicting the proposed hypothesis that effective leadership would directly enhance performance outcomes.
This finding suggests that employees may not perceive leadership practices as a motivating force that directly stimulates higher performance.
From an OBT, leadership primarily shapes employeesAo attitudes, perceptions, and motivation, which subsequently influence behavioral outcomes such as performance (Robbins & Judge.
Consequently, leadership often operates through psychological and organizational mechanisms rather than exerting an immediate direct effect on When employees perceive leadership behavior as merely routine managerial practice rather than as meaningful support that enhances motivation and engagement, its influence on performance becomes less apparent.
Previous empirical studies also indicate that leadership does not always exert a direct influence on employee performance, particularly when situational and organizational factors weaken the effectiveness of leadership practices (Meiryani et al.
, 2.
Similarly, research has shown that leadership style may not significantly affect employee performance unless supported by mediating variables such as motivation, commitment, or job satisfaction (Hundie & Habtewold, 2024.
Liu et al.
, 2.
Therefore, the findings of this study suggest that leadership functions primarily as a contextual and motivational driver rather than a direct determinant of employee performance, implying that its effectiveness in improving performance depends on organizational mechanisms that strengthen employeesAo motivation, perceptions of fairness, and psychological engagement.
The Effect of Work Motivation on Employee Performance The findings of this study indicate that work motivation has a significant direct effect on employee performance, suggesting that employees with higher levels of motivation tend to demonstrate greater productivity, stronger initiative, and higherquality task completion.
This result supports the proposed hypothesis and highlights the important role of motivational factors such as recognition, goal clarity, meaningful work, and opportunities for growth in shaping employeesAo willingness to perform From a theoretical perspective.
MT, particularly hierarchy of needs, explains that individuals are driven to exert effort at work to fulfill needs ranging from basic physiological needs to higher-level needs such as esteem and self-actualization (Maslow, 1.
When these needs are fulfilled within the workplace, employees tend to demonstrate stronger motivation and engagement, which subsequently contributes to improved performance outcomes.
Consistent with OBT, motivated employees are more likely to invest greater effort, persist in completing tasks, and strive for higher levels of achievement, ultimately enhancing performance (Robbins & Judge, 2.
Employees with higher motivation may perceive that their contributions are recognized and valued by the organization, thereby strengthening their commitment and willingness to perform their tasks effectively.
From the perspective of SET, when employees perceive that the organization provides support, recognition, and fair 12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 treatment, they tend to reciprocate these positive conditions through stronger commitment and improved performance (Blau, 1.
Empirical evidence also supports this relationship, as previous studies have demonstrated that work motivation significantly enhances employee productivity, commitment, and performance across various organizational contexts (Riyanto et al.
Nursaningrum et al.
, 2024.
Wang et al.
, 2.
Therefore, these findings reinforce the theoretical argument that motivation functions as a fundamental psychological driver of employee performance, indicating that emplsoyees who experience strong motivation and perceive recognition and organizational support are more likely to demonstrate higher levels of engagement, productivity, and overall work performance.
The Effect of the Work Environment on Work Motivation The findings of this study reveal that the work environment does not have a significant direct effect on employee motivation, indicating that improvements in environmental conditions are insufficient to directly stimulate employeesAo motivational responses.
This result suggests that employee motivation may be influenced more strongly by internal psychological factors and personal needs rather than by physical or situational characteristics of the workplace.
From the perspective of MT, individuals are driven to exert effort to fulfill hierarchical needs, ranging from basic physiological needs to higher-level needs such as esteem and self-actualization (Maslow, 1.
In organizational settings, workplace facilities, comfort, and layout may facilitate task completion and operational efficiency.
however, these environmental conditions do not necessarily fulfill higher-level motivational needs such as recognition, achievement, and personal growth.
Consequently, improvements in the work environment may not automatically translate into stronger employee motivation.
The employees may perceive that the existing work environment provides adequate physical support for performing daily tasks but does not significantly influence their aspirations, recognition, or opportunities for development.
Empirical studies similarly suggest that workplace environmental factors do not always directly stimulate employee motivation and often require supporting psychological or organizational mechanisms to produce motivational outcomes (Zhenjing et al.
, 2.
Other research also demonstrates that the influence of workplace conditions on motivation tends to emerge when environmental factors interact with organizational practices, leadership support, or job resources that strengthen employeesAo psychological engagement (Nursaningrum et al.
, 2024.
Kaviya et al.
, 2.
Therefore, the findings of this study reinforce the argument that the work environment primarily serves as a supportive contextual factor rather than a direct motivational driver, implying that employee motivation is more likely to increase when organizationals systems provide recognition, opportunities for achievement, and opportunities for personal development.
The Effect of Leadership Style on Work Motivation The results of this study indicate that leadership style has a significant direct effect on work motivation, suggesting that the leadership approach implemented encourages employeesAo enthusiasm and strengthens their willingness to perform.
This finding supports the proposed hypothesis and indicates that employeesAo motivational responses are closely shaped by their perceptions of their leadersAo guidance, support, and communication.
From a theoretical perspective.
SET explains that relationships Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 between leaders and employees are based on reciprocal exchanges, where supportive leadership behavior encourages employees to reciprocate through stronger motivation and commitment (Blau, 1.
In addition.
MT, particularly hierarchy of needs, suggests that employees are motivated when their psychological needs, such as recognition, belonging, and esteem, are fulfilled within the workplace (Maslow, 1.
Leadership behaviors that provide appreciation, guidance, and opportunities for participation, therefore, play an important role in satisfying these needs and strengthening employeesAo motivation.
Leadership practices that emphasize clear direction, open communication, and recognition of employeesAo contributions may enhance employeesAo sense of value within the organization and encourage them to perform their duties more effectively.
Empirical studies also support this relationship, showing that leadership practices significantly influence employee motivation and work outcomes across different organizational contexts (Collie, 2023.
Karim et al.
, 2023.
Kebe et al.
, 2024.
Liu et al.
, 2.
Therefore, the findings reinforce the theoretical argument that leadership plays a critical role in strengthening employee motivation, as employees who perceive leadership behavior as supportive, fair, and appreciative are more likely to reciprocate these conditions by demonstrating higher motivation and engagement in their work.
The Effect of the Work Environment on EmployeesAo Performance Mediated by Work Motivation The results of this study indicate that work motivation does not significantly mediate the relationship between the work environment and employee performance.
This finding suggests that the existing environmental conditions do not strongly influence employeesAo motivational responses in a way that subsequently enhances In other words, although the work environment may provide operational support that helps employees complete their tasks, it does not significantly strengthen their psychological motivation to improve performance.
From a theoretical perspective.
MT posits that motivation arises when individuals perceive that their psychological and higher-level needs, such as recognition, esteem, and self-actualization, are fulfilled (Maslow, 1.
Physical or situational aspects of the work environment, including workplace facilities, layout, and comfort, may help employees perform their duties more efficiently.
however, these environmental conditions do not necessarily satisfy higher-level psychological needs that foster stronger motivation.
OBT also suggests that environmental factors often influence employee outcomes through psychological mechanisms such as attitudes, perceptions, and motivation, rather than through direct behavioral effects (Robbins & Judge, 2.
From the perspective of SET, employees tend to reciprocate organizational support when they perceive fairness, recognition, and meaningful opportunities within the workplace (Blau, 1.
When environmental conditions are not interpreted as indicators of organizational support or fairness, employees may not develop stronger motivational responses that translate into improved performance.
Empirical research also suggests that workplace conditions influence employee outcomes primarily through psychological resources such as engagement and motivational states rather than through direct environmental effects (Mazzetti & Schaufeli, 2.
Similarly, studies indicate that the relationship between the work environment and employee performance often involves complex mediating mechanisms, such as organizational support, engagement, or leadership, rather than motivation alone (Zhenjing et al.
, 2022.
Nursaningrum et al.
, 2.
12928/fokus.
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 Therefore, the findings of this study suggest that work motivation does not function as a mediating mechanism between the work environment and employee performance in this organizational context.
Instead, other organizational factors such as leadership support, recognition, or development opportunities may play a more important role in translating environmental conditions into improved employee The Effect of Leadership Style on EmployeesAo Performance Mediated by Work Motivation The findings of this study indicate that leadership style has a significant indirect effect on employee performance through work motivation.
This result suggests that the implemented leadership approach enhances employeesAo motivation, which subsequently contributes to improved employee performance.
In other words, leadership not only influences performance directly but also strengthens employeesAo motivation, which encourages them to perform their tasks more effectively.
From a theoretical perspective.
SET explains that relationships between leaders and employees are based on reciprocal exchanges in which supportive leadership behaviors encourage employees to reciprocate through stronger motivation and commitment (Blau, 1.
Leadership behaviors that emphasize appreciation, communication, and fairness can therefore strengthen employeesAo psychological attachment to their work and encourage them to exert greater effort.
Furthermore.
MT suggests that employees become motivated when their psychological needs, such as recognition, belonging, and esteem, are fulfilled (Maslow.
Leadership practices that provide appreciation, guidance, and opportunities for participation can therefore satisfy these needs and increase employeesAo motivation in the workplace.
Consistent with OBT, motivation functions as an important psychological mechanism that drives employeesAo work behavior and ultimately improves performance outcomes (Robbins & Judge, 2.
Empirical studies also support this relationship, demonstrating that leadership behaviors strengthen employeesAo psychological motivation and engagement, which subsequently contribute to improved work performance across different organizational contexts (Kohnen et al.
, 2024.
Liu et al.
, 2024.
Pham et al.
, 2.
Therefore, the findings reinforce the argument that leadership most effectively influences employee performance by strengthening employeesAo motivational states.
When employees perceive leadership behavior as supportive, fair, and appreciative, they tend to develop stronger motivation that ultimately translates into improved performance outcomes.
Conclusion This study shows that work motivation plays an important role in influencing employee performance at Bina Bangun Perkasa Kediri Company.
The findings indicate that the work environment does not significantly influence employee performance either directly or through work motivation.
In contrast, leadership style significantly improves employee performance by increasing employeesAo motivation.
These results suggest that internal psychological factors, particularly motivation, are more influential than external working conditions in enhancing employee performance.
From a theoretical perspective, the findings support motivational theories emphasizing the role of internal motivation in shaping employee behavior and From a practical perspective, organizations should prioritize leadership practices that encourage and support employee motivation through effective communication, fairness, and recognition.
While a supportive work environment remains important for facilitating work Harianto et al.
(Work environment and leadership style on employee performance: Evidence of .
Jurnal Fokus Manajemen Bisnis Volume 16.
Issue 1.
March 2026.
Page 111-131 activities, improvements in the work environment alone may not automatically improve employee performance without strategies that strengthen motivation.
However, this study has several limitations.
The research was conducted in a single organization with a relatively small sample size, which may limit the generalizability of the In addition, this study focused on a limited number of variables and used crosectional data, which cannot capture changes in employee behavior over time.
Future research is recommended to include larger sample sizes and diverse organizational contexts to improve Further studies may include variables such as employee engagement, organizational commitment, and job satisfaction to provide a more comprehensive understanding of the factors influencing employee performance.
References