Perceived Organizational Support as the Mediating Mechanism Linking Work Engagement, Job Satisfaction and Job Performance in Indonesian Rural Banking

Abstract

This study examines the mediating role of perceived organizational support (POS) in the relationships between work engagement, job satisfaction, and job performance among employees of an Indonesian rural bank. Grounded in Social Exchange Theory, the research focuses on the underexplored context of Bank Perkreditan Rakyat (BPR), where collectivist culture, local ownership, and limited resources may shape reciprocity mechanisms in the workplace. A quantitative cross-sectional design was applied using a saturated sample of 132 non-executive employees of PT BPR Bank Boyolali, Central Java, Indonesia. Data were collected through self-administered questionnaires using validated five-point Likert-scale measures and analyzed with Partial Least Squares Structural Equation Modelling (PLS-SEM) using SmartPLS 4. The findings show that work engagement and job satisfaction significantly and positively influence both job performance and POS. POS also positively predicts job performance and partially mediates the relationships between work engagement and job performance, as well as between job satisfaction and job performance. The model explains 60.7% of the variance in both POS and job performance. These findings contribute empirical evidence from a rural banking context and offer practical guidance for strengthening employee performance through supportive management practices, engagement-oriented job design, and satisfaction-enhancing reward systems.