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This study aims to analyze the relationship of work spirituality, organizational commitment and performance of rural credit institution (Lembaga Perkreditan Desa [LPD]) administrators.Design/methodology/approachTo obtain the data, the researcher uses the interview and questionnaire techniques. The questionnaire is used as the research instrument whose validity and reliability have been tested. This study uses the quantitative approach. The analysis technique used is the path analysis. The significance level of the mediation role is analyzed by using Sobel test.FindingsThe work spirituality is proven to give a positive and significant effect to the performance of administrator and organizational commitment. It can be summarized that the higher the work spirituality, the better the performance at work and the higher organizational commitment. The organizational commitment also gives a positive and significant effect to the LPD administrator’s performance. The organizational commitment is proven to be the partial mediator variable for the relationship between the work spirituality and work performance of LPD administrator.Research limitations/implicationsFirst, LPD as the druwe institution or owned by the traditional village has to be directed to the attempt of improving the standard of living of Krama Desa Adat and supporting the development of the traditional village. Second, it is important for LPD to be run by the human resource with high work spirituality; thus, it can positively affect their commitment to the organization and improve their performance at work.Originality/valueThe originality of this study is the finding of various empirical studies that have not been explained in an integrated way about the relationship between the work spirituality and organizational commitment, as well as the individual performance. Therefore, this study analyzes further about the relationship among them. In the previous study, there are many researchers who analyze the industry, but few do it in the local wisdom-based organizations such as LPDs that are developing rapidly in Bali.
International Journal of Ethics and Systems – Emerald Publishing
Published: Aug 22, 2019
Keywords: Organizational commitment; Performance; Path analysis; Bali; Work spirituality
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