The Influence of Leadership and Work Environment on Performance of the Production Team of a Timber Processing Company in Bojonegoro

Enoch David Lontolawa; Kustini Kustini

doi:10.63922/ijebir.v4i05.1973

Enoch David Lontolawa Department of Management Economics, Faculty of Economics and Business, National Development University "Veteran" East Java
Kustini Kustini Department of Management Economics, Faculty of Economics and Business, National Development University "Veteran" East Java

DOI: https://doi.org/10.63922/ijebir.v4i05.1973

Keywords: Leadership, Work Environment, Employee Performance, Production, Woodworking Company

Abstract

Entering the era of digitalization, companies are required to work efficiently and effectively, including the Wood Processing Company in Bojonegoro, a premium wood flooring export company based in Bojonegoro that was established in 1985. The company focuses on producing high-quality teak and merbau wood flooring to meet the market's need for aesthetic and durable products. However, in recent months, the company has faced a decline in production performance which is mainly influenced by human resource problems. This study aims to analyze the influence of leadership and work environment on the performance of the production team of a Timber Export Company.The research uses a saturated sampling method, where all members of the population are sampled. Thus, the research respondents were the entire production team of 44 people. Data was collected through questionnaires and analyzed using validity, reliability, and data processing tests with SmartPLS. The results of the study show that leadership has a significant positive influence on employee performance. In addition, the work environment has also been proven to have a positive and significant effect on employee performance.

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