The Contribution of Information Technology in Enhancing Employee
Performance: A Story from Indonesia Laboratory Service Company
Masruroh, Laksmi Sito Dwi Irvianti, Tinjung Desy Nursanti, Enny Noegraheni Hindarwati,
Fitri Cahya Meliani and Muhammad Ilham
Management Department (Binus Business School Undergraduate Program) Bina Nusantara University, Jakarta, Indonesia
Keywords: Information Technology, Employee Performance, Job Satisfaction, Organizational Culture.
Abstract: The purpose of this study was to determine the effect of organizational culture and information technology
on employees’ performance through job satisfaction at LABORATORY SERVICE COMPANY. The data
collection method used a questionnaire. The data analysis methods used in this study were path analysis and
Sobel test. The novelty of this research is that the research is done in different objects and locations compared
to previous studies. The results of this study indicate that organizational culture has a positive and significant
effect on job satisfaction, information technology has a positive and significant effect on job satisfaction,
organizational culture has a positive and significant effect on employee performance, information technology
has a positive and significant effect on employee performance, job satisfaction has a positive and no
significant effect on employee performance, organizational culture has a positive and no significant effect on
employee performance through job satisfaction, and information technology has a positive and significant
effect on employee performance through job satisfaction.
1 INTRODUCTION
Industry 5.0 is a trend that leads to automation and
data exchange in manufacturing technology, which
includes Cyber physical systems, IoT (Internet of
Things), and Cloud computing (Sugiarto, 2018). The
industrial revolution 4.0 has become a big leap for the
industrial sector, which fully utilizes information and
communication technology. Not only in the
production process, but also throughout the industrial
value chain, thus creating a new digital-based
business model that is useful for achieving high
efficiency and better product quality. The
implementation of industry 5.0 is able to change
various aspects of human life and has tremendous
potential in changing industrial aspects. One of the
priority programs carried out in the industry 4.0
roadmap is improving the quality of human resources
because talent is a key or important factor for the
successful implementation of industry 5.0 (Indonesia,
2018).
One of the leading companies in the laboratory
service field in Indonesia utilizing information
technology as a determinant of its business processes.
The use of information technology in the company is
the Laboratory Management Information System
(SIMLAB) based on websites and mobile apps. This
system consists of 10 processes starting from
receiving the order until the test result certificate is
complete. SIMLAB aims to increase efficiency and
effectiveness by digitizing the entire work process.
This system is integrated into all company laboratory
units in Indonesia online.
Figure 1: Process of SIMLAB.
The role of the use of information technology can
improve employee performance. Information
technology is the application of various techniques in
computers to handle a lot of data related to aspects of
managing and processing information in companies
(Ratna and Kaur, 2016). Meanwhile, Pasaman et al.
(Pasaman et al., 2015) stated that with the existence
of information technology in increasing productivity,
Masruroh, ., Sito Dwi Irvianti, L., Desy Nursanti, T., Noegraheni Hindarwati, E., Cahya Meliani, F. and Ilham, M.
The Contribution of Information Technology in Enhancing Employee Performance: A Story from Indonesia Laboratory Service Company.
DOI: 10.5220/0011246000003376
In Proceedings of the 2nd International Conference on Recent Innovations (ICRI 2021), pages 119-125
ISBN: 978-989-758-602-6
Copyright
c
 2022 by SCITEPRESS – Science and Technology Publications, Lda. All rights reserved
119

it will create satisfaction for employees with a
workflow that is concise, flexible and up to date.
In addition to the use of information
technology,job satisfaction plays a role in improving
employee performance. According to Robbins Judge
(2015) Job satisfaction is a positive feeling from
someone about their job. Job satisfaction is a person’s
attitude towards their job, and job satisfaction is
important for the organization because it relates to the
perceptions of each individual employee which can
affect employee attitudes and behavior while working
(Hendri, 2019). With employees’ satisfaction in their
work, it makes employees continue to improve their
abilities and skills to be more professional in doing
their jobs happily in the tasks given by the company
so that there is an increase in employee performance
and company performance (Soomro and Shah, 2019).
Employees can be said to have good performance
if employees are able to have work results that match
company standards or exceed predetermined
standards (Himawan et al., 2019). According to
Dessler (2017) Organizational culture is the
characteristic values, traditions, and behaviors that
employees have in the company. In addition, Robbins
Judge (2017) organizational culture is a system that
has meaning that is implemented by members to
differentiate an organization from other
organizations. Organizational culture has an
important role in government and private companies
in shaping employee behavior which has an impact
on improving employee performance (Kuswati,
2020).
Employee performance appraisal is seen through
a Key Performance Indicator (KPI) called Individual
Performance Value (NKI) and this assessment is seen
from 5 perspectives. The results of the performance
value of each individual employee will be sorted
based on predicates, namely P1, P2, P3. P1 means
exceeding the target, P2 means that it is in accordance
with the target, and P3 means being below the target.
The company has ”expectation” that in the first
predicate (P1) it can continue to increase from year to
year, but the results are not in accordance with reality,
so this is a special concern for the company.
Table 1: Employee Performance Level of Laboratory
Service.
2016 2017 2018 2019
P1 45 45 31 30
P2 256 249 229 316
P3 3 7 9 10
Based on the description above, the researcher is
interested in researching the effect of Organizational
Culture and Information Technology on Employees’
Performance through Job Satisfaction at Laboratory
service. In this study, job satisfaction is used as an
intervening variable because from some of the
literature, such as journal articles, on average, they
examine the effect directly on employee performance.
This study aims to explore the effects of job
satisfaction as an intervening variable in mediating
organizational culture and information technology on
employee performance. Hopefully the results of this
study will provide several solutions in overcoming
the decline in employee performance by improving
organizational culture, increasing the use of
information technology, and increasing job
satisfaction in the company’s laboratory services
sector.
2 LITERATURE REVIEW
This study uses a quantitative research approach with
a causal associative research type. The variables
linked in this study are Organizational Culture (X1),
Information Technology (X2), Job Satisfaction (Z),
and Employee Performance (Y). The method used in
this research is a survey. The unit of analysis in this
study were individual employees at Laboratory
Service Company. The questionnaire data was
collected once in a certain period of time, so that the
time horizon used was cross-sectional. The research
was conducted on employees of Laboratory Service
Company with a total population of 330. The number
of samples in this study were 181 employees obtained
using the Slovin’s formula.
𝑛=

()

(1)
where:
n = sample
N = population
e = percentage error is 5
𝑛=

(,)

= 180.82 − 181 (2)
While the sampling method used is simple
random sampling technique. The data collection
method used a questionnaire. The data analysis
methods used in this study were path analysis and
Soble test. Data analysis using IBM SPSS version 25
software and data analysis methods using validity
test, reliability test, normality test, multicollinearity
test, heteroscedasticity test.
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2.1 Conceptual Model of the Study
For this study, a conceptual model is presented in
Figure 1 below.
Figure 2: Conceptual model.
Based on the conceptual model depicted in the
figure 1, the hypotheses of this study can be written
as follows:
● H1: there is an effect of organizational
culture on job satisfaction at Laboratory
service
● H2: there is an effect of Information
Technology on job satisfaction at Laboratory
service
● H3: there is an effect of organizational
culture on employee performance at
Laboratory service
● H4: there is an effect of information
technology on employee performance at
Laboratory service
● H5: there is an effect of job satisfaction on
employee performance at Laboratory service
● H6: there is an effect of organizational
culture on employee performance through job
satisfaction at Laboratory service
● H7: there is an effect of information
technology on employee performance
through job satisfaction at Laboratory service
2.2 Operationalization of Variables
Table 2: Operationalization of Variable.
2.3 Path Analysis
As an extension of multiple regression analysis, path
analysis also does not only test the effect of
independent variables on the dependent variable
directly, but also indirectly. This path analysis is
divided into two sub-structures, namely sub-structure
1 and substructure 2.
Figure 3: Path analysis diagram.
The structural equation is as follows:
Z = ZX1+ZX2+e1 (3)
𝑌 = 𝑌 𝑋1 + 𝑌 𝑋2 + 𝑌 𝑍 + 𝑒2 (4)
2.3.1 Sub-Structure - 1
Sub Structure 1 connects the variables of
Organizational Culture (X1), Information
Technology (X2), and Job Satisfaction (Z). Following
is sub structure 1 and its structural equation
2.3.2 Sub-Structure - 2
Sub Structure 2, connecting the variables of
Organizational Culture (X1), Information
Technology (X2), Job Satisfaction (Z), and Employee
The Contribution of Information Technology in Enhancing Employee Performance: A Story from Indonesia Laboratory Service Company
121

Performance (Y). Following is sub structure 2 and its
structural equation.
2.3.3 Sobel Test
To test the mediation hypothesis, it can be done
through the Sobel test. The Sobel test aims to see the
strength of the influence of the mediating variable
being able to significantly act as a mediator between
the independent variable and the dependent variable.
3 RESULT AND DISCUSSION
3.1 Demography
Based on the results of the questionnaire, it was found
that the number of respondents based on gender,
consisted of 66.9% male (121 respondents) and
33.1% female (60 respondents) with a total of 181
respondents. Meanwhile, the number of respondents
based on age, respondents consisted of age
<30 years
with a percentage of 63.5% (115 respondents), 30-40
years with a percentage of 16% (29 respondents),
and¿ 40 years with a percentage of 20.4% (37
respondents). It can be concluded that the age of the
respondents in this study was dominated by the age of
under 30 years. Respondents based on the latest
education consisted of SMA / SMK with a percentage
of 6.6%, (12 respondents), diploma (D1/ D2/ D3)
with a percentage of 19.9% (36 respondents), S1 with
a percentage of 69.6% (126 respondents), and S2 with
a percentage of 3.9% (7 respondents). It can be
concluded that this study was dominated by
respondents with the latest education by S1 graduates.
Respondents based on work tenure consisted of 1-5
years with a percentage of 54% (99 respondents), 6-
10 years with a percentage of 15.5% (28
respondents), 11-15 years with a percentage of 10.5%
(19 respondents), and
>15 years with a percentage of
19.3% percent (35 respondents), It can be concluded
that the respondents of this study were dominated by
those with tenure of 1-5 years of work.
3.2 Hypotheses Result
The analysis is using SPSS software, the data analysis
methods used in this study were path analysis and
Sobel test.
3.2.1 Sub-Structure 1 Result
Table 3: Sub-Structure 1 Model Summary.
Model R R Square Adjusted
R Square
Std. Error
of the
Estimate
1 .693
a
.480 .474 2.445
This means that organizational culture and
information technology had an effect of 0.480 or 48%
on job satisfaction. The remaining score of the effect
of organizational culture and information technology
on job satisfaction was 52% caused by external
factors not included in the research object. The
amount of the path coefficient in other variables
outside this study:
𝑒1 =

𝑝 1 − 𝑅𝑆𝑞𝑢𝑎𝑟𝑒
(5)
𝑒1 =

√ 0.52
(6)
e1 = 0.72 (7)
Based on the data processing and analysis above,
the effect of organizational culture (X1) and
Information Technology (X2) on employee
performance (Y) had to be tested statistically using
the following statistical hypotheses:
● HO: There is no significant effect of
organizational culture on job satisfaction at
Laboratory service.
● Ha: There is a significant effect of
organizational culture on job satisfaction at
Laboratory service.
● HO: There is no significant effect of
information technology on job satisfaction
at Laboratory service.
● Ha: There is a significant effect of
information technology on job satisfaction
at Laboratory service.
Table 4: Testing Organizational Culture (X1) and
Information Technology (X2) on Job Satisfaction (Z).
Hypotheses Standardized
Coefficients
t-value t-table Sig Conclusion
H
1
0.552 8.034 1.97 0.000 H
1
was
accepted
H
2
0.199 2.893 1.97 0.004 H
2
was
accepted
Based on the table above, the correlation
coefficient of organizational culture on job
satisfaction was 0.552 and the correlation coefficient
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of information technology on job satisfaction was
0.199. It is known that t value is greater than t table,
namely 8.034> 1.97 and the Sig value is smaller than
0.05, namely 0,000 <0.05. So, there is a positive and
significant effect of Organizational Culture on Job
Satisfaction. This study has proved empirically that
organizational culture is an important factor because
a good organizational culture will create job
satisfaction for employees. This finding was
supported by a previous study (Cronley and Kim,
2017), (Pawirosumarto et al., 2017) which states that
organizational culture has a positive and significant
effect on job satisfaction. Based on the table above, it
is known that t value is greater than t table, namely
2.893> 1.97 and the Sig value is smaller than 0.05,
namely 0,004< 0.05. So, there is a positive and
significant effect of Information Technology on Job
Satisfaction. This study has proved empirically that
use of information technology will create job
satisfaction for employees. This finding was
supported by a previous study (Pawirosumarto et al.,
2017), with the existence of information technology
in increasing productivity, it will create satisfaction
for employees with a workflow that is concise,
flexible and up to date.
3.2.2 Sub-structure 2 Result
Table 5: Model Summary Sub-Structure 2.
Model R R Square Adjusted R
Square
Std. Error of
the Estimate
1 .657
a
.432 .422 2.234
a. Predictors: (Constant), Job Satisfaction (Z),
Information Technology (X2), Job Satisfaction (X1)
The table above showed that organizational culture,
information technology, and job satisfaction had an
effect of 0.422 or 42.2% on employee performance.
The remaining score of the influence of
organizational culture, information technology, and
job satisfaction was 57.8% caused by external factors
not included in the research object. The amount of the
path coefficient in other variables outside this study:
𝑒2 =

𝑝 1 − 𝑅𝑆𝑞𝑢𝑎𝑟𝑒
(6)
𝑒2 =

√ 0.578
(7)
e2 = 0.76 (8)
Based on the data processing and analysis above,
the effect of organizational culture (X1), Information
Technology (X2) and Job Satisfaction (Z) on
employee performance (Y) had to be tested
statistically using the following statistical
hypotheses:
● HO: There is no significant effect of
organizational culture on employee
performance at Laboratory service.
● Ha: There is a significant effect of
organizational culture on employee
performance at Laboratory service.
● HO: There is no significant effect of
information technology on employee
performance at Laboratory service.
● Ha: There is a significant effect of information
technology on employee performance at
Laboratory service.
● HO: There is no significant effect of job
satisfaction on employee performance at
Laboratory service.
● Ha: There is a significant effect of job
satisfaction on employee performance at
Laboratory service.
Based on the table above, the correlation
coefficient of organizational culture on employee
performance was 0.537, the correlation coefficient of
information technology on employee performance
was 0.166 and the correlation coefficient of job
satisfaction was 0.005. It is known that t value is
greater than t table, namely 6.392 >1.97 and the Sig
value is smaller than 0.05, namely 0,000 ¡0.05. So,
there is a positive and significant effect of
Organizational Culture on employee performance.
This study has proved empirically that organizational
culture is an important factor because a good
organizational culture can improve employee
performance. Organizational culture has an important
role in government and private companies in shaping
employee behavior which has an impact on
improving employee performance (Himawan et al.,
2019). This finding was supported by a previous
study (Kuswati, 2020; Robert and David, 2019)
which states that organizational culture has a positive
and significant effect on employee performance.
Moreover, it is known that t value is greater than t
table, 2.259 >1.97 and the Sig value is smaller than
0.05, 0,025 <0.05. So, there is a positive and
significant effect of information technology on
employee performance. This study has proved
empirically that information technology can improve
employee performance. This finding was supported
by a previous study conducted by (Nuskiya, 2018;
Sung, 2020) which stated that information technology
has a positive and significant effect on employee
performance. Robert and David (2019) also found
The Contribution of Information Technology in Enhancing Employee Performance: A Story from Indonesia Laboratory Service Company
123

that technology information, which is the use of
smartphones, can improve employee performance. It
is also known that t value is smaller than t table, 0.005
>1.97 and the Sig value is greater than 0.05, for which
0.946 <0.05. So, there is a positive and no significant
effect of job satisfaction on employee performance.
This finding was supported by previous study which
was conducted by who have researched in the service
sector, and education institution. One reason for this
result is that being an employee of a state-owned
enterprise already gave employee satisfaction, thus
job satisfaction does not have any impact on
employee performance.
Table 6: Testing Organizational Culture (X1) and
Information Technology (X2) on Job Satisfaction (Z).
Hypotheses Standardized
Coefficients
t-value t-table
H
3
0.537 6.392 1.97
H
4
0.166 2.259 1.97
H
5
0.005 0.005 1.97
Hypotheses Standardized
Coefficients
t-value t-table
H
3
0.537 6.392 1.97
3.3 Sobel Test
HO: there is no effect of organizational culture on
employee performance through job satisfaction at
Laboratory service.
Ha: there is an effect of organizational culture on
employee performance through job satisfaction at
Laboratory service.
(𝑏

𝑆𝑎

) + (𝑎

𝑆𝑏

) + (𝑆𝑎

𝑆𝑏

)
(11)

𝑞 (0.037)

(0.048)

+ (0.593)

(0.068)

+ (0.048)

(0.068)

(12)
Sob = 0.04 (13)
t = 𝑡=


(14)
𝑡=
(,)(,)
,
(15)
𝑡 = 0.58 (16)
Based on the results of the Sobel test, t count is
0.548, where the value is smaller than t table (1.97)
with a significance level of 0.05. Thus, it can be
concluded that there is a positive and no significant
effect of Organizational Culture on Employee
Performance through Job Satisfaction at Laboratory
service. So, H6 was rejected. H0: there is no effect of
information technology on employee performance
through job satisfaction at Laboratory service. Ha:
there is an effect of information technology on
employee performance through job satisfaction at
Laboratory service.
𝑆𝑜𝑏 =

(𝑏

𝑆𝑎

) + (𝑎

𝑆𝑏

) + (𝑆𝑎

𝑆𝑏

)
(17)

(0.230)

(0.050)

+ (0.429)

(0.065)

+ (0.050)

(0.065)

(18)
𝑆𝑜𝑏 = 0.03 (19)
t = 𝑡=


(20)
𝑡=
(,)(,)
,
(21)
𝑡 = 3.29 (22)
Based on the results of the Sobel test, t calculate
is 3.29, where the value is greater than t table (1.97)
with a significance level of 0.05. Therefore, it can be
concluded that there is a positive and significant
effect of Information Technology on Employee
Performance through Job Satisfaction at Laboratory
service. So, H7 was accepted.
4 CONCLUSION AND
SUGGESTIONS
4.1 Conclusion
The results of this study indicate that organizational
culture has a positive and significant effect on job
satisfaction. This study has proved empirically that
organizational culture is an important factor because
a good organizational culture will create job
satisfaction for employees. Information Technology
has a positive and significant effect on Job
Satisfaction, this study has proved empirically that
use of information technology will create job
satisfaction for employees. There is a positive and
significant effect of Organizational Culture on
employee performance. This study has proved
empirically that organizational culture is an important
factor because a good organizational culture can
improve employee performance. There is a positive
and significant effect of information technology on
employee performance, this study has proved
empirically that information technology can improve
employee performance. There is a positive and no
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124

significant effect of job satisfaction on employee
performance. Based on the results of the Sobel test,
there is a positive and no significant effect of
Organizational Culture on Employee Performance
through Job Satisfaction at Laboratory service. The
findings in this study, there is a positive and
significant effect of Information Technology on
Employee Performance through Job Satisfaction at
Laboratory service. This means that using
information technology makes employees feel
satisfied at work because it can accelerate their work,
make their work easier and more effective, improve
work performance and productivity, and be useful in
supporting their creativity at work so that it has an
impact on improving employee performance.
4.2 Suggestions
Companies should pay attention to organizational
culture because in the results of this study it was
found that the role of organizational culture can
improve employee performance. Companies need to
create a comfortable atmosphere in the company so
that employees feel comfortable working by
establishing good communication. In addition, the
company can provide all forms of support that can
support employee creativity in the use of information
technology such as upgrading information
technology, communicating with employees about
the company’s goals and plans for digital
transformation, providing outreach, especially
regarding the advantages of infor- mation technology
for employees, providing training or a kind of
workshop for employees about the use and utilization
of information technology at work.
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