Increasingly competitive business conditions require companies to enhance the quality of their human resources to optimally achieve organizational goals. Tweety Bread Factory in Takeran District, Magetan Regency, faces challenges in maintaining employee performance amidst productivity demands, limited work facilities, and the need for an effective supervision system. This study aims to analyze the influence of productivity and the work environment on employee performance, with supervision acting as a mediating variable, at Tweety Bread Factory in Takeran District, Magetan Regency. The study employs a quantitative approach using a survey method. The research population consists of 81 employees, all of whom were included in the sample via a census sampling technique. Data were collected using Likert-scale questionnaires and analyzed using the Partial Least Squares-Structural Equation Modeling (SEM-PLS) method with SmartPLS 4.0 software.
The results indicate that productivity has a positive and significant effect on supervision (t-statistic = 2.899; p-value = 0.004) and employee performance (t-statistic = 2.350; p-value = 0.019). The work environment has a positive and significant effect on supervision (t-statistic = 3.191; p-value = 0.001) but does not significantly affect employee performance (t-statistic = 1.198; p-value = 0.231). Supervision has a positive and significant effect on employee performance (t-statistic = 3.032; p-value = 0.002). Supervision mediates the effect of productivity on employee performance (t-statistic = 2.135; p-value = 0.003) but fails to mediate the effect of the work environment on employee performance (t-statistic = 1.858; p-value = 0.063). These findings demonstrate that increased productivity, when accompanied by effective supervision, plays a crucial role in enhancing employee performance at Tweety Bread Factory.
Keywords: Employee productivity, Work environment, Supervision, Employee performance, SEM-PLS.