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A Structural Analysis of Workload and Compensation Dynamics in Shaping Employee Performance: Evidence from Lopo Mandheling Coffee, Mandailing Natal Regency

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Dr. João Silva 1 , Dr. Maria Oliveira 1 ,
4 Department of Computer Engineering University of São Paulo, Brazil
4 Faculty of Economics University of Campinas, Brazil

Abstract

This study investigates the structural relationship between workload, compensation, and employee performance within the context of a coffee enterprise, Lopo Mandheling Coffee, located in Mandailing Natal Regency. The research addresses the growing need to understand how organizational inputs influence workforce productivity in small-to-medium enterprises (SMEs), particularly in the hospitality and beverage sector. Drawing upon quantitative research methodologies, the study employs a structured analytical framework to evaluate the causal relationships among key variables. The findings reveal that both workload and compensation significantly influence employee performance, with compensation demonstrating a stronger mediating effect. The study contributes to theoretical development by integrating reward-based performance theories with workload management perspectives. Practically, it offers insights for optimizing human resource strategies in emerging market contexts.

Keywords

Workload management, compensation systems, employee performance

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