Building a Sustainable Work Culture through Sustainable HRM and Psychological Capital to Support Sustainable Performance among MSMEs in Medan

Tri Melda Mei Liana; Anita Tresia Samosir; Sunday Ade Sitorus; Hendrik Samosir

doi:10.32535/ijabim.v11i1.4477

Building a Sustainable Work Culture through Sustainable HRM and Psychological Capital to Support Sustainable Performance among MSMEs in Medan

Tri Melda Mei Liana, Anita Tresia Samosir, Sunday Ade Sitorus, Hendrik Samosir

Abstract

This study examines the effects of sustainable human resource management (HRM) and psychological capital on sustainable performance, with sustainable work culture as a mediating variable, among micro, small, and medium enterprises (MSMEs) in Medan. The study uses a quantitative approach with a sample of 105 respondents and analyses the data using SmartPLS version 4.0. The results show that sustainable HRM significantly affects sustainable performance (t = 4.658 > 1.96; p = 0.000 < 0.05). Psychological capital has no significant effect on sustainable work culture (t = 1.546 < 1.96; p = 0.122 > 0.05) or sustainable performance (t = 0.898 < 1.96; p = 0.369 > 0.05). Sustainable HRM significantly affects sustainable work culture (t = 4.052 > 1.96; p = 0.000 < 0.05), but its effect on sustainable performance is not significant (t = 0.358 < 1.96; p = 0.720 > 0.05). The indirect effect of psychological capital on sustainable performance through sustainable work culture is not significant (t = 1.421 < 1.96; p = 0.155 > 0.05). The indirect effect of sustainable HRM through sustainable work culture is significant (t = 3.388 > 1.96; p = 0.001 < 0.05). These findings are expected to inform efforts by MSMEs in Medan to improve sustainable performance and work culture through sustainable HRM and psychological capital. They may also guide decisions on employee policies.

Keywords

Sustainable HRM, Psychological Capital, Sustainable Work Culture, Sustainable Performance

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DOI: https://doi.org/10.32535/ijabim.v11i1.4477