Achmad Sudiro

This paper is mainly to study implementation of organizational culture in enhancing business competitiveness. Culture is seen as a soft system tool that reflects beliefs that are able to drive business performance in an international environment. Today, culture is a part of instrument to measure organizational readiness in managing business in an international environment. The research is focused on evaluatiny organizational culture in international-scale hotel in Yogyakarta, Indonesia. International-scale hotels are faced with differences in the nature of employees and customers, so management needs to develop a culture type as a strategy to encourage business competitiveness. The research applies Denison’s organizational culture model with four dimensions: involvement, consistency, adaptability, and mission. Sample includes 248 working people at four star hotels with various positions, that is managers, supervisors and employees. The results of the study found that international hotel chains have the power to carry out internal alignment as a strategy to increase competitiveness through employee empowerment programs, team orientation, skills development, and alignment of work values. The results of the study illustrate the importance of internal and external dimension consistency for international business competitiveness.

The present study puts forward a model that examines variables of human resources management practices, organizational culture, knowledge management and organizational performance. By this model, it intends to explore the effects of human resources management practices and organizational culture on organizational performance. Particularly, it intends to find out their relationship with knowledge management as a mediator. The research applies SmartPLS for data analysis, with 163 respondents by means of saturation sampling technique. The results display several facts. First, both HRD practices and organizational culture have significant effects on knowledge management. Second, while knowledge management and organizational culture have a significant effect on organizational performance, HRD practices do not significantly affect organizational performance. It makes knowledge management only serve a partial mediation between human resources management practices and organizational performance, and serve a full mediation between organizational culture and organizational performance.

The service industry is currently facing the era of Industry 4.0, which results in an increasing need for talents who master information and technology to increase company productivity. Innovation is one of the strategies that service companies need to improve in order to compete with other companies. Organizational learning is also a company’s effort that is used to determine and meet the increasingly diverse needs of consumers to improve company performance. This study aims to investigate the role of innovation and organizational learning as mediating variables between human capital and organizational performance. The sample consisted of 305 managers in the service industry of Indonesia using a purposive sampling technique, with the minimum sample size determined using GPower software. Data were collected using a self-reported questionnaire distributed online via a Google form. Furthermore, data were analyzed using structural equation modeling partial least squares with the SmartPLS 3 software. The results reveal that human capital significantly affects organizational performance, innovation, and organizational learning. Then, innovation and organizational learning have a significant effect on organizational performance. Furthermore, innovation and organizational learning act as mediators between human capital and organizational performance. These findings shed new light of the importance of effective human capital management in improving organizational performance. Furthermore, innovation and organizational learning are variables that can bridge the two relationships in the service industry.

Acknowledgments
This study is funded by the Indonesia Endowment Fund for Education, Ministry of Finance of the Republic of Indonesia.