Track: Business Management

Abstract

This study analyzes the model of the influence of competence and innovation on employee performance mediated by compensation variables in the scope of the Development Planning Agency at Sub-National Level (BAPPEDA) Bulukumba Regency. Primary data collection using a questionnaire. The statement used can be declared valid if the correlation value (r) exceeds 0.3. Cronbach Alpha test is used to test the level of reliability (reliability) of each variable. If the Cronbach alpha value is getting closer to 1, it indicates that the consistency of reliability is also higher. Data analysis was performed using SPSS with stratified regression analysis. This requirement is used to determine the correlation between the independent variables, namely competence (X1) and innovation (X2) on employee performance (Y2) which is mediated by the compensation variable (Y1). This research was conducted at BAPPEDA Bulukumba Regency for five months. The data source in this research is secondary data from information on the object of research, scientific journals, and books related to research variables, and primary data obtained directly from respondents or the samples in this study. Data analysis used a path analysis. The results showed that: 1) Competence has a positive and significant effect on compensation; 2) Innovation has a positive and significant effect on compensation; 3) Competence has a positive and significant effect on performance; 4) Innovation has a positive and significant effect on performance; 5) Compensation has a positive and significant effect on performance; 6) Competence has a positive and significant effect on performance through compensation; and 7) Innovation has a positive and significant effect on performance through compensation.