The Impact of Organizational Citizenship Behavior, Employee Engagement, and Managerial Decision-Making on the Microfinance Institutions Performance

Donni Junipriansa; Ganjar Mohamad Disastra

doi:10.56444/mem.v40i1.5496

The Impact of Organizational Citizenship Behavior, Employee Engagement, and Managerial Decision-Making on the Microfinance Institutions Performance

Donni Junipriansa, Ganjar Mohamad Disastra

Abstract

This study examines the impact of employee organizational citizenship behavior (OCB) and engagement on the performance of microfinance institutions, with a focus on the moderating role of managerial decision-making. Data were collected from 100 key microfinance institutions employees in Greater Bandung, with interviews of 10 experienced staff (>5 years) conducted to refine the questionnaire and ensure alignment with microfinance institutions work conditions. Using Structural Equation Modeling using Partial Least Squares (SEM-PLS) for data analysis, this study finds that both organizational citizenship behavior (OCB) and employee engagement significantly enhance microfinance institutions performance. The results further indicate that managerial decision-making serves as a critical mediator between OCB, employee engagement, and organizational performance. These findings underscore the importance of managerial decision-making in amplifying the effects of OCB and employee engagement on microfinance institutions performance. Furthermore, this research introduces alternative metrics for assessing OCB, employee engagement, managerial decision-making, and organizational performance.

Keywords

Organizational citizenship behavior (OCB), employee engagement, managerial decision-making, microfinance institutions performance

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References

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DOI: http://dx.doi.org/10.56444/mem.v40i1.5496