Communication Competence and Work Environment as Determinants of Employee Performance in the Banking Sector: Evidence from an Emerging Economy

Employee performance plays an essential role in sustaining service quality and organizational continuity in the banking sector, particularly within emerging economies facing increasing competitive pressures. This study investigates how communication competence and the work environment relate to employee performance at a regional branch of an Indonesian state-owned bank.

A quantitative study using a cross-sectional design was conducted with a sample of 53 employees, drawn randomly from a total population of 61 staff members. Primary data were obtained through structured self-administered questionnaires, and the relationships among variables were examined using multiple linear regression analysis.

The analysis reveals that communication competence and the work environment exert both joint and independent effects on employee performance, with statistically significant positive relationships. These factors explain a considerable share of the variance in performance outcomes, indicating that effective communication skills and favorable organizational conditions are critical determinants of employees’ work results.

In summary, the study underscores the practical importance of enhancing employees’ communication capabilities alongside creating a supportive workplace atmosphere to improve performance within banking institutions. Furthermore, the findings contribute empirical evidence from an emerging economy context and offer valuable implications for the formulation of human resource management strategies in the banking sector…