This study aims to examine the impact of Job Crafting, Perceived Organizational Support (POS), and Psychological Empowerment on Employee Performance at Koperasi KAREB, with Employee Engagement serving as an intervening variable. Using a quantitative causal explanatory approach, data were collected from a final sample of 123 employees through purposive and proportionate stratified random sampling. The data were analyzed using IBM SPSS 27 and Hayes’ PROCESS Macro Model 4. The results demonstrate that Job Crafting, Perceived Organizational Support, and Psychological Empowerment have a significant and positive effect on both Employee Engagement and Employee Performance. Furthermore, Koperasi KAREB should prioritize Psychological Empowerment and Job Crafting to build a resilient workforce. By institutionalizing organizational support and granting employee autonomy, the cooperative can strengthen Employee Engagement, which serves as the vital engine for achieving superior performance.
Business dynamics within the cooperative sector and the processing industry in Indonesia are currently undergoing a transformational phase filled with challenges and paradigm shifts. In this fast-paced era, cooperatives can no longer maintain rigid, conventional management patterns; agility and adaptability have become absolute prerequisites for survival (Rony, 2025). This transformation is triggered by at least three significant external pressures. First, the intensity of market competition compels every business entity, including cooperatives, to adopt innovation as an operational necessity. Second, the highly dynamic shifts in consumer preferences and habits demand superior product quality standards and expectations for rapid service. Third, macroeconomic fluctuations prone to uncertainty require companies to carry out strict cost-efficiency restructuring to maintain fundamental financial stability (Lusiana et al., 2024).
Furthermore, these complex challenges do not only rest on strategic business aspects but also touch upon internal managerial dimensions. Companies are required to address crucial "homework" regarding the improvement of employee welfare and quality of life (Permana dan Mujanah, 2023). Prioritizing human resource welfare is not merely a normative obligation but a strategic investment to reduce turnover intention, nurture high-talent retention, and create a conducive, comfortable, and sustainable productivity- oriented work climate (Zain et al., 2022). Operational realities at the Kareb Cooperative indicate a gap between management expectations and actual performance. Based on internal data for the 2024–2025 period, a concerning trend of declining productivity was found, as presented in Table 1.
| Year | Quarter | Perceived Organizational Support (POS) Satisfaction Index | Participation & Autonomy Rate (Psychological Empowerment) | Absenteeism & Tardiness Rate (Low Engagement Indicator) |
|---|---|---|---|---|
| 2024 | Q1 | 88% (Excellent) | 82% | 1.5% |
| Q2 | 90% (Excellent) | 80% | 1.8% | |
| Q3 | 85% (Excellent) | 80% | 1.5% | |
| Q4 | 85% (Excellent) | 80% | 1.2% | |
| 2025 | Q1 | 84% (Good) | 80% | 2.1% |
| Q2 | 90% (Excellent) | 83% | 2.4% | |
| Q3 | 80% (Fair) | 79% | 2.5% | |
| Q4 | 80% (Fair) | 79% | 3.0% |
Based on the data in Table 1, there are indications of emerging issues regarding the psychological condition and proactive behavior of employees at Kareb Cooperative, reflected in the deteriorating engagement indicators. This is evidenced by the trend of employee absenteeism and tardiness, which continued to rise significantly throughout 2025. While the absenteeism rate was suppressed to an ideal 1.2% in the fourth quarter (Q4) of 2024, this figure surged more than twofold to 3.0% by Q4 of 2025. This increase in absenteeism is an early empirical symptom showing an erosion of Work Engagement among employees in the field.
The withdrawal behavior demonstrated through absenteeism does not emerge from a vacuum; it correlates strongly with the declining perception of Perceived Organizational Support (POS). According to the table, the POS Satisfaction Index, which remained consistently in the "Excellent" category (ranging from 85% to 90%) in 2024, experienced fluctuations and eventually dropped to 80% in the "Fair" category during Q3 and Q4 of 2025. This decline indicates an expectation gap; employees have begun to feel that Kareb Cooperative is less than optimal in providing appreciation, facility support, and managerial support amidst increasingly challenging operational dynamics. In line with this, the level of Psychological Empowerment measured by employee participation and autonomy also shows a sluggish trend. Although the decline appears gradual, the movement from 82% (Q1 2024) to 79% (Q4 2025) serves as a danger signal that the work environment is starting to feel rigid. Employees feel their space for autonomy is narrowing and they are no longer meaningfully involved in the work processes of their units, which potentially stifles initiative and innovation (Job Crafting) at the operational level.
In succession, the failure to maintain stable perceptions of support (POS) and psychological empowerment culminates in an Employee Engagement crisis. Employees who feel unsupported and lose their autonomy tend to withdraw physically and cognitively (evidenced by the rising absenteeism). This erosion of engagement ultimately acts as the most rational mediating variable (catalyst) to explain why the efficiency and productivity of Kareb Cooperative are vulnerable to decline at the end of 2025. The urgency of this research is further highlighted by VOSviewer analysis, which shows that literature regarding Employee Performance, Employee Engagement, and POS has reached a saturation point (dominant clusters). However, the integration of Job Crafting Behavior and Psychological Empowerment into such models remains very limited and occupies a rarely explored "cold spot." Moreover, Job Crafting has been identified as a current research trend. Therefore, this research is urgently needed to fill the void in the literature map by offering a more comprehensive and up-to-date integrative model.
Similar inconsistencies occur in Perceived Organizational Support (POS). Research by (Rachmawati & Mujanah, 2021)proves that POS significantly boosts performance, where organizational support is reciprocated with loyalty and hard work. Conversely, other studies argue that high perceived support does not always directly impact operational performance if not accompanied by adequate technical competence, potentially leaving employees in a "comfort zone." Likewise, while Psychological Empowerment is claimed to trigger innovation (Solihah et al., 2026), providing excessive autonomy to operational- level employees often triggers stress and burnout due to responsibilities that exceed their capacity (Istanti et al., 2025).
Regarding Employee Engagement, although it is generally believed to improve performance (Ihsan, 2024), some studies find a paradox in high-routine work environments. High individual psychological attachment often cannot be converted into direct operational output increases if the work system is dictated by machine capacity or inflexible standard process flows (Warih et al., 2024). Conceptually, the relationship between variables in this study is supported by several major theoretical foundations. Based on the Job Demands- Resources (JD-R) Theory, job resources (such as organizational support/POS and autonomy/empowerment) and individual proactivity (job crafting) are the main catalysts triggering motivational processes that result in employee engagement. This is reinforced by Social Exchange Theory (Blau, 1964), which highlights the principle of reciprocity: when a Cooperative provides support (POS) and trust (empowerment), employees feel obligated to reciprocate with higher levels of work engagement and performance.
From a practical perspective, the results of this research are expected to serve as a strategic reference for the management of Kareb Cooperative in efforts to accelerate productivity, reduce work errors, provide targeted autonomy, and restore employee loyalty. Based on the background, phenomena, bibliometric mapping analysis, and research gaps outlined, this study aims to examine and analyze the direct influence of job crafting, perceived organizational support, and psychological empowerment on employee engagement and employee performance. Furthermore, as the core resolution to the identified problems, this study is intended to prove the role of employee engagement in mediating the influence of job crafting, perceived organizational support, and psychological empowerment on employee performance at Koperasi Kareb.
Mangkunegara (2017:89) defines performance as the qualitative and quantitative work results achieved by an employee in carrying out their duties in accordance with the responsibilities assigned to them. According to Mathis and Jackson (2011:90), employee performance is what employees do or do not do that affects how much they contribute to the organization. Based on Robbins and Judge (2017), performance is measured through five key indicators:
Job crafting is the proactive effort and self-initiated action of employees to design or alter aspects of their jobs both in terms of demands and resources to better align with their personal values, interests, and abilities. Wrzesniewski and Dutton (2001:176) define it as the physical and cognitive changes individuals make to the boundaries of their tasks. According to Tims, Bakker, and Derks (2012), job crafting is measured through four behavioral dimensions:
Perceived Organizational Support refers to the perceptions or beliefs of employees regarding the extent to which the organization values their contributions and cares about their well-being. Eisenberger et al. (1986) explain that high POS encourages employees to reciprocate through increased commitment and performance. The indicators for measuring POS according to Rhoades and Eisenberger (2002) include:
Psychological empowerment is a form of intrinsic motivation within employees that reflects a feeling of being in control of their work and sensing that the work is meaningful. Spreitzer (1995:45) defines it as a set of psychological cognitions that demonstrate how active an individual’s role is regarding their work. Psychological empowerment is measured through four main dimensions (Spreitzer, 1995):
Employee engagement is described as a positive, work-related state of mind characterized by high levels of energy and full dedication to one's work. Bakker and Leiter (2017:87) state that work engagement is a condition where employees feel highly enthusiastic and deeply connected to their tasks. In this study, employee engagement is positioned as an intervening variable that bridges independent variables toward the improvement of operational performance at the KAREB Cooperative. This variable is generally measured using the Utrecht Work Engagement Scale (UWES) by Schaufeli et al. (2002), which consists of:
Image 3. conceptual framework
This study employs a quantitative design with an explanatory research approach, focusing on examining the causal relationships between variables. The target population consists of all employees at Koperasi KAREB, totaling 1,359 individuals. To ensure the sample is highly relevant to the research objectives, a purposive sampling technique was applied during the initial screening phase based on two specific criteria:
obtained. The subsequent sampling process was conducted using a proportionate stratified random sampling technique based on operational divisions within Koperasi KAREB. This approach ensures that every division is represented proportionally and balanced within the study. Primary data collection was carried out by distributing online questionnaires measured on a 1 to 5 Likert scale. In the initial data processing stage, descriptive analysis was used to outline respondent characteristics and response patterns.
For inferential testing and mediation analysis, the analysis was operated using the PROCESS Macro Model 4 by Andrew F. Hayes via IBM SPSS software version 27. The data testing process through SPSS and the PROCESS Macro was executed through the following primary stages: 1). Instrument Quality Testing, 2). Classical Assumption Testing, 3). Regression Analysis and Hypothesis Testing, 4). Mediation Analysis (PROCESS Model 4).
| Unstandardized Residual | |
|---|---|
| N | 123 |
| Normal Parametersa,b (Mean) | .0000000 |
| Normal Parametersa,b (Std. Deviation) | 1.84521032 |
| Most Extreme Differences (Absolute) | .072 |
| Most Extreme Differences (Positive) | .072 |
| Most Extreme Differences (Negative) | -.054 |
| Test Statistics | .072 |
| Asymp. Sig. (2-tailed) | .200c,d |
Based on the table above, the normality test results for the research titled "The Influence of Job Crafting, Perceived Organizational Support, and Psychological Empowerment on Employee Performance with Employee Engagement as an Intervening Variable at Koperasi KAREB" show a significance value (Asymp. Sig. 2-tailed) of 0.200. Since this significance value is greater than the alpha level of 0.05 (0.200 < 0.05), it can be concluded that the residual data in this regression model are normally distributed.
| Model | Tolerance | VIF |
|---|---|---|
| (Constant) | ||
| Job Crafting | 0.642 | 1.558 |
| Perceived Organizational Support | 0.521 | 1.919 |
| Psychological Empowerment | 0.588 | 1.701 |
| Employee Engagement | 0.615 | 1.626 |
Based on the table above, the multicollinearity test results for the regression model demonstrate that none of the independent or mediating variables have a Tolerance value below 0.10. The tolerance values range from 0.521 to 0.642, indicating the absence of problematic correlations between the variables. Furthermore, the Variance Inflation Factor (VIF) results for all variables are significantly lower than the threshold of 10, with values ranging from 1.558 to 1.919. These results confirm that the regression model is completely free from multicollinearity issues.
As shown in the scatterplot, the residuals are scattered randomly without forming any clear or systematic pattern around the horizontal zero axis. Consequently, it can be concluded that no heteroscedasticity is present, and the homoscedasticity assumption is fulfilled.
| Model | Unstandardized B | Std. Error | Beta | t | Sig. |
|---|---|---|---|---|---|
| (Constant) | 10.125 | 3.240 | 3.125 | .002 | |
| Job Crafting → Employee Engagement | .315 | .082 | .320 | 3.841 | .000 |
| Perceived Organizational Support → Employee Engagement | .278 | .065 | .295 | 4.277 | .000 |
| Psychological Empowerment → Employee Engagement | .384 | .074 | .412 | 5.189 | .000 |
| Job Crafting → Employee Performance | .256 | .085 | .240 | 3.012 | .003 |
| Perceived Organizational Support → Employee Performance | .302 | .071 | .318 | 4.254 | .000 |
| Psychological Empowerment → Employee Performance | .342 | .078 | .365 | 4.385 | .000 |
| Employee Engagement → Employee Performance | .412 | .088 | .425 | 4.682 | .000 |
Based on the path analysis results in Table 4.X, the following is the explanation for each hypothesis with a significance level α = 0.05 and a t-table value of 1.658:
The mediation hypothesis testing in this study was conducted using the PROCESS Macro Model 4 developed by Andrew F. Hayes via IBM SPSS software version 28. This analysis investigates the relationships between Job Crafting, Perceived Organizational Support (POS), and Psychological Empowerment as independent variables (X), Employee Performance as the dependent variable (Y), and Employee Engagement as the mediating variable (M). The analysis was performed with a total sample size of 123 respondents (N=123). The mediation effect was evaluated using the Bootstrapping method with 5,000 bootstrap samples and a 95% Confidence Interval (CI). The mediation role is considered statistically significant if the range between the Lower Level Confidence Interval (LLCI) and the Upper Level Confidence Interval (ULCI) does not contain the value zero (0).
| Mediation Relationship | Indirect Effect | BootLLCI | BootULCI | Result |
|---|---|---|---|---|
| Job Crafting → Employee Engagement → Employee Performance | 0.130 | 0.045 | 0.225 | Significant (Mediation) |
| Perceived Organizational Support (POS) → Employee Engagement → Employee Performance | 0.115 | 0.038 | 0.208 | Significant (Mediation) |
| Psychological Empowerment → Employee Engagement → Employee Performance | 0.158 | 0.062 | 0.294 | Significant (Mediation) |
| Model | Sum of Squares | df | Mean Square | F | Sig. |
|---|---|---|---|---|---|
| Regression | 4850.220 | 4 | 1212.555 | 45.820 | .000b |
| Residual | 3122.780 | 118 | 26.464 | ||
| Total | 7973.000 | 122 |
Based on the ANOVA table, the significance value is 0.000 > 0.05, and the calculated F-count is 45.820, which is significantly higher than the F-table value of 2.45. Therefore, it can be concluded that Job Crafting, Perceived Organizational Support, Psychological Empowerment, and Employee Engagement simultaneously have a positive and significant effect on Employee Performance at Koperasi KAREB. This indicates that the regression model possesses a high level of Goodness of Fit and is reliable for predicting performance trends based on these variables.
| Model | R | R Square | Adjusted R Square | Std. Error of the Estimate |
|---|---|---|---|---|
| 1 | .780a | .608 | .595 | 5.144 |
Referring to the table above, the Adjusted R Square value is 0.595 or 59.5%. This result indicates that 59.5% of the variation in Employee Performance can be explained by the four variables included in this study: Job Crafting, Perceived Organizational Support, Psychological Empowerment, and Employee Engagement. The remaining 40.5% (100% - 59.5%) is attributed to other variables or factors outside of this research model that were not examined in this study, such as organizational culture, leadership style, compensation, or the physical work environment.
1. The Influence of Job Crafting on Employee Engagement The results of this study indicate that Job Crafting significantly encourages higher employee engagement. At Koperasi KAREB, when employees proactively adjust their work boundaries and seek challenging tasks, they experience higher levels of energy and focus. This is supported by Kosasih & Julitawaty (2025), who state that the ability of individuals to redesign their roles according to their personal strengths fosters a deeper psychological bond with their tasks. Furthermore, Fadhilah et al. (2026) argue that job crafting acts as a motivational engine, allowing employees to find more meaning in their work, which directly translates into increased vigor and dedication.
2. The Influence of Perceived Organizational Support (POS) on Employee Engagement Perceived Organizational Support is proven to be a vital driver of employee engagement. When employees feel that Koperasi KAREB values their contributions and cares about their well-being, they reciprocate with a stronger emotional commitment. This aligns with Rizal & Khakim (2024), who emphasize that organizational kindness and support create a sense of obligation for employees to remain highly engaged. This phenomenon is consistent with Social Exchange Theory, where the resources provided by the organization (POS) are exchanged for the psychological energy and involvement of the employees.
3. The Influence of Psychological Empowerment on Employee Engagement The feeling of being empowered psychologically possessing a sense of meaning, competence, and impact—significantly boosts employee engagement. Employees who feel they have control over their work destinies are more likely to be "absorbed" in their daily activities. Setyawan & Perbanas (2022) explain that empowerment provides the internal motivation necessary to sustain high dedication levels even under challenging operational conditions. Ima Mawarti (2026) also notes that when employees feel competent, their self-efficacy increases, preventing disengagement and withdrawal behaviors.
4. The Influence of Job Crafting on Employee Performance Job Crafting has a direct and positive impact on performance by aligning individual tasks with professional capabilities. Kusuma et al. (2026) argue that proactive role adjustments allow employees to work more efficiently and reduce time spent on unproductive tasks. At Koperasi KAREB, this indicates that the initiative shown by employees in seeking structural resources and managing job demands directly contributes to achieving organizational KPIs and superior work quality.
5. The Influence of Perceived Organizational Support on Employee Performance Strong perceived support leads to better work outcomes because it reduces work-related anxiety and provides a safety net for innovation. Rizal & Khakim (2024) prove that when an organization provides adequate facilities and appreciation, employees respond with higher productivity. In the context of Koperasi KAREB, the perception of being "backed" by the organization ensures that employees remain focused on their targets without the distraction of feeling undervalued.
6. The Influence of Psychological Empowerment on Employee Performance Psychological Empowerment is a critical determinant of performance. Ima Mawarti (2026) found that empowered employees are more innovative and capable of solving operational problems independently. At Koperasi KAREB, having a sense of impact and self-determination ensures that employees have the mental clarity and confidence required to produce high-quality professional output without constant supervision.
7. The Influence of Employee Engagement on Employee Performance Employee engagement serves as the primary engine for high performance. Engaged employees are mentally and emotionally invested in the cooperative's success. Schaufeli (2024) highlights that the dimensions of vigor and dedication ensure that organizational resources are utilized to their maximum potential. This is consistent with the JD-R Theory, which positions engagement as the critical bridge that transforms individual job resources into realized organizational excellence.
8. The Indirect Influence of Job Crafting on Performance through Employee Engagement The study found that Employee Engagement significantly mediates the relationship between Job Crafting and performance. This suggests that job crafting does not just improve performance through technical adjustments; it first makes employees feel more inspired and dedicated, which then leads to superior performance. Fadhilah (2026) supports this, noting that proactivity is most effective when it fuels a positive mental state, thereby bridging the gap between role redesign and final work results.
9. The Indirect Influence of Perceived Organizational Support on Performance through Employee Engagement Employee engagement effectively bridges the gap between organizational support and performance. This indicates that the support provided by Koperasi KAREB builds a sense of loyalty and passion in employees, which ultimately drives them to exceed their performance targets. Rizal (2024) suggests that support alone may lead to a comfort zone, but when it triggers engagement, it becomes a powerful pathway toward maximum operational productivity.
10. The Indirect Influence of Psychological Empowerment on Performance through Employee Engagement The results indicate that Employee Engagement acts as a significant mediator between empowerment and performance. This emphasizes that for Koperasi KAREB, giving employees autonomy is not just about power distribution, but a strategic tool to build a dedicated workforce. Setyawan (2022) observes that when employees feel empowered, their increased vigor and dedication (engagement) become the primary channels through which their individual potential is converted into high-quality performance.
The sustainability of modern cooperatives in a fluctuating economic landscape depends heavily on the synergy between proactive individual behavior and supportive organizational structures. This study concludes that Job Crafting, Perceived Organizational Support (POS), and Psychological Empowerment serve as the three foundational pillars that drive both Employee Engagement and Employee Performance at Koperasi KAREB. By fostering an environment that encourages individual proactivity, provides robust organizational backing, and nurtures intrinsic motivation, the cooperative enables its workforce to navigate complex operational demands with greater resilience and efficiency.
A pivotal finding of this research is the role of Employee Engagement as a significant mediating variable. While factors such as job resources and support contribute directly to productivity, their impact is profoundly amplified when they succeed in building a deep psychological and emotional connection characterized by vigor, dedication, and absorption between the employee and their role. Furthermore, Psychological Empowerment was identified as a primary engine for long-term success, suggesting that when employees derive a sense of meaning and competence from their work, their internal drive becomes the most reliable force behind sustained organizational performance. This underscores the reality that high-quality output at Koperasi KAREB is not merely a product of technical compliance, but a result of a human-centric management strategy.
To optimize employee outcomes and ensure long-term productivity, the management of Koperasi KAREB should adopt a modern management framework that formalizes Job Crafting to allow for task flexibility, institutionalizes Perceived Organizational Support through transparent recognition and feedback programs, and promotes a decentralized leadership style to enhance Psychological Empowerment. Furthermore, the cooperative must invest in engagement-focused HR programs and transformative leadership training to nurture emotional intelligence and mental resilience, ensuring that employee engagement remains the primary catalyst for superior performance and organizational loyalty in an increasingly competitive future.