Human Resource Management Practices and Job Performance Under Investigation: Mediating Role of Job Satisfaction and Employee Value Proposition

Objective: This study investigates the influence of human resource management practices on job performance by mediating job satisfaction and employee value proposition among state-owned enterprise company employees. Design/Methods/Approach: This study was analyzed using an explanatory research approach with quantitative data collected through structured questionnaires involving 396 employees. Path Analysis was employed to investigate the research data using the Structural Equation Model and LISREL as statistical data processing tools. Findings: The results show that human resource management practices do not directly, positively, and significantly impact job performance in the company. However, the findings indicate a significant favorable influence of Human Resource Management Practices on Job Performance by mediating Job Satisfaction and Employee Value Proposition. Originality/Value: The existing literature highlights the unclear relationship between Human Resource Management Practices and Job Performance, often resembling a 'black box,' emphasizing the necessity to identify mediating variables operating through unexplained mechanisms. This study contributes to the existing literature by investigating the mediation role of employee value proposition alongside job satisfaction and explaining the relationship between human resource management practices and job performance in a state-owned enterprise. Practical/Policy implication : The state-owned enterprise company is advised to improve job satisfaction and perceived employee value proposition to increase job performance. Specifically, the state-owned enterprise company should improve its human resource management practices by providing better job stability and competitive salaries and incentives.


Introduction
The current landscape of human resource management is undergoing a significant transformation, primarily catalyzed by the unprecedented challenges posed by the COVID-19 pandemic and the emergence of advanced artificial intelligence (AI) and machine learning technologies.The transformation occurring in the labor market has increased the need for job mechanisms that are faster and more efficient, both within and across companies and sectors (World Economic Forum, 2023).In response to these challenges, companies are expected to develop their employees to keep up with the changing times through Human Resource Management Practices (HRMP).HRMP is a set of managerial responsibilities aimed at enhancing the potential of human resources, enabling employees to achieve improved organizational effectiveness Manzoor, Nawaz Sadozai, & Jan (2016).HRMP supports employees by increasing their confidence, giving them motivation, and reaching job satisfaction through additional activities and enthusiasm; in turn, it will increase an individual's job performance to achieve the organization's goals (Alsafadi & Altahat, 2021).Therefore, by investing in HRMP, companies can ensure they are well-equipped to face the challenges of today's business environment and maintain a competitive edge, measured by job performance.
Job performance (JP) is essential in organizations and critical to overall efficiency, productivity, and operational effectiveness.According to Na-Nan et al. (2018), JP serves as an indicator that reflects the level of efficiency and productivity among employees and operational efficiency within the organization, ultimately contributing to long-term success.In company management, improving job performance is influenced by various factors within HRMP, including recruitment, selection, training, performance feedback, compensation, and benefits.Alam et al. (2022) elaborate on various factors influencing JP within an organization, including job flexibility, time flexibility, reward systems, and effective communication across different employee levels.However, according to previous literature, the relationship between HRMP and JP cannot be explained directly.Therefore, mediating variables are needed to understand the mechanism of the relationship between HRMP and JP.Sobaih et al. (2019) explain that the relationship between HRMP and JP is not clear and direct, referred to as a "black box." Previous research has shown that JP plays a crucial role in organizational development and improved performance, with employee motivation and job satisfaction as critical factors (Alam, Das, Baksi, Pal, & Bhul, 2022).
Additional studies highlight the importance of HRMP in promoting employee satisfaction, which leads to higher performance.Batta, Bandameeda, and Parayitam (2023) emphasize the significance of HRMP in enhancing employees' skills, which impacts organizational performance and employee satisfaction.However, there is a gap in our understanding of the relationship between HRMP and JP, and further research is needed to elucidate this connection.In this study, we propose exploring the mediating variables that can explain the mechanism between HRMP and JP to understand employee motivation and satisfaction through the variables of an employee value proposition (EVP) and job satisfaction (JS).
According to Atteya (2012), JS refers to an individual's positive emotional reactions to a job.In other words, it is the level of contentment and happiness an individual feels in their work environment.This is because satisfied individuals are more likely to be motivated, committed, and engaged in their work, ultimately leading to better performance outcomes.In addition, Sun et al. (2022) demonstrate that high job satisfaction can improve employee work efficiency, as indicated by the causality direction from JS to JP.Therefore, organizations need to implement HRMP strategies to enhance JS.By doing so, organizations can ensure that their employees are content and happy, improving JP, work efficiency, and overall organizational success.
Meanwhile, EVP is an essential strategy for a company to increase individual job performance.Organizations should view the EVP strategy as an opportunity to improve employee performance and competitive advantage (Arasanmi & Krishna, 2019).Salau et al. (2018) revealed that EVP significantly and positively impacts JP.Therefore, HRM can develop an EVP with practices that differentiate it from competitors to establish and maintain a sustained competitive advantage (App et al.,2012).Thus, the establishment of an EVP in the company will exert an influence on the enhancement of employee job performance.Based on this relationship, this research will provide a review based on previous research findings.The use of EVP as additional mediation variables, alongside JS, in explaining the relationship between HRMP and JP is expected to make a valuable contribution to filling the gap in the literature on this topic.
Based on the preceding discussion, this study aims to investigate factors of HRMP that can improve company performance from the perspective of individual contributions measured through job performance.The research question focuses on whether HRMP impacts JP and whether there is a mediating role between EVP and JS in the relationship between HRMP and JP.The study's significance lies in its potential to provide valuable insights into optimizing HR strategies to enhance organizational performance, especially in the face of constantly changing external factors.In addition, this research seeks to boost its scholarly rigor and relevance by acknowledging potential counterarguments or alternative viewpoints.Through this approach, we aim to improve our research's validity and contribute value to the ongoing discussion on effective HR strategies.
This study provides several contributions across different aspects.Firstly, this study adds to the existing literature on HRMP and JP.It enhances the explanatory mechanism of the relationship between HRMP and JP by considering the role of EVP in addition to JS.According to App et al. (2012), HRM can shape the EVP by implementing distinct practices, underscoring the need to identify essential HRM practices for organizational success to attain sustained competitive advantage.Secondly, this study contributes to managerial practices by offering recommendations for enhancing HRMP effectiveness, considering EVP and JS, which consequently improve individual JP.These recommendations aim to assist organizations in optimizing their human resource management strategies to achieve better performance outcomes.Thirdly, this research offers valuable insights that can improve the practical application of social exchange theory within the HRMP and JP context.These insights shed light on the dynamics of the relationship between HRMP and JP, providing a deeper understanding of how organizations can leverage social exchange principles effectively.
The organization of this article consists of the literature review and hypothesis development, followed by the research method, results, and discussion, and the conclusion and suggestions based on the findings at the end section of this article.The literature review and hypothesis development will examine the theory, prior research, and hypothesis.The following section will introduce the empirical analysis methodology, presenting research findings.Finally, this study will discuss the implications for theory and practice and conclude by addressing the study's limitations and suggesting future directions.

Theoretical Background
HRMP encompasses all activities related to human resource management within an organization (Boxall & Purcell, 2022).According to Dessler (2017), HRMP is acquiring, training, assessing, evaluating, and compensating employees while considering labor relations, occupational health and safety, and fairness.HRMP is defined as a set of policies and practices implemented by organizations to effectively utilize human resources in achieving organizational goals (Hazeen et al., 2023).HRMP is a system that attracts, develops, motivates, and retains employees to ensure effective implementation and sustainability of the organization and its members (Schuler & Jackson, 1987).Furthermore, Delery & Doty (1996) define HRMP as a set of consistent internal policies and practices designed and implemented to ensure that the company's human capital contributes to achieving its business objectives.According to Huselid (1995), HRMP encompasses selective recruitment, intensive training, performance management, compensation, benefits, employee relations, and policies that enhance employee motivation and commitment, thus contributing to the company's competitive advantage and organizational performance.
JP is defined as the behavior exhibited by individuals toward the organization, measured based on the contributions made by those individuals (Hung, 2020).Petsri (2014) defines JP as employee behaviors related to job responsibilities and organizational objectives.Meanwhile, Aung et al. (2023) define JP as the outcome of various activities that organizational members contribute to various organizational actions.Steers (1991) describes JP as how employees can fulfill their tasks and achieve the expected organizational goals.JP indicates individual employees' efficiency and productivity, as well as the organization's operational efficiency and long-term success (Na-Nan et al., 2018).Davidescu et al. (2020) define JP as the total value of specific employee behavioral segments for the organization within a standard time period and the contribution of employee behavior to organizational objectives.According to Alam et al. (2022), JP is an integral part of organizational development and improved performance stemming from employee motivation and JS.JP is influenced by individual characteristics, outcomes, the work environment, and education, with common determinants including declarative knowledge, procedural knowledge and skills, and motivation (Davidescu et al., 2020).
Various HRM literature also found that the relationship between HRMP and performance outcomes is unclear and direct, termed a "black box," necessitating the identification of mediating variables through unexplained mechanisms (Sobaih et al., 2019).In previous research literature, HRMP is assumed to lead to positive performance outcomes (Edgar & Geare, 2009).However, other studies indicate that some aspects of HRMP did not impact JP.Batta et al. (2023) did not discover evidence supporting a positive relationship between performance appraisal and job performance.However, career planning, employee compensation, and training and development demonstrated positive associations with job performance.Therefore, the potential limitations of this study also lie in determining suitable mediating variables to explain the relationship between HRMP and JP.According to Alsafadi & Altahat (2021), alternative factors or variables in explaining the impact of HRMP on improving JP play a mediating role.In this study, we have incorporated the mediating role of EVP.The inclusion of EVP as a mediator is supported by the findings of App et al. (2012), who explained that HRMP can shape EVP within a company and identify the necessary HRMP crucial for establishing and maintaining sustained competitive advantage.Therefore, this research has developed a research model to investigate further and clarify the impact of HRMP on job performance with the mediation of job satisfaction and employee value proposition.

Hypothesis Development
significant and positive effect on JP.Katua, Mukulu, and Gachunga (2014) discovered that HRMP, such as recognition and compensation, had a direct relationship with JP.Muchhal (2014) also found that HRMP, such as compensation, performance evaluation processes, and promotions, correlated with different performance dimensions, such as JP.Sobaih et al. (2019) indicated that HRMP provided more opportunities for employees to utilize their skills and enhance their capabilities, motivation, and engagement, which were associated with improved JP.These findings serve as the basis for formulating the first hypothesis in this research, which posits a positive relationship between HRMP and JP.H1: HRMP has positive and significant effects on JP.
JS is a psychological sense of assurance and contentment derived from fulfilling personal needs, desires, and expectations within the work environment, encompassing a sense of loyalty to one's job (Spector, 1997).The concept of JS has its roots in the Hawthorne experiments (Sonnenfeld, 1985), which encompass employees' subjective reactions to their work environments.According to Herzberg's dual-factor theory (Herzberg et al., 1959), JS factors consist of motivators (e.g., challenging tasks, recognition, responsibility) and hygiene factors (status, job security, salary, fringe benefits, etc.), which can be understood as intrinsic and extrinsic factors, respectively (Goetz et al., 2012).JS describes the satisfaction level of employees, assessing the extent to which their organizational experiences fulfill their requirements, their perception of their job, and the emotional aspects linked to it while considering factors such as job characteristics, remuneration, working environment, career advancement, and acknowledgment (Sun et al., 2022).
HRMP plays a central role in increasing employee satisfaction.It creates an environment that supports employees by stimulating increased self-confidence, motivation, JS, and enthusiasm in executing various tasks and responsibilities (Alsafadi & Altahat, 2021).According to Atteya (2012), HRMP can also enhance JS and potentially support organizational success by reducing employees' intention to quit and decreasing negative communication among employees.Therefore, this underscores the crucial role of HRMP in fostering employee satisfaction and contributing to overall organizational effectiveness.
Previous research found a similar direction between the explanation above and the relationship between HRMP and JS.Atteya (2012) proves a positive relationship between HRMP and JS.Moreover, Rodjam et al. ( 2020) indicated a positive and significant impact of HRMP on employee performance and JS.Sobaih et al. (2019) also confirmed a positive and significant relationship between HRMP and JS and organizational citizenship behavior.Furthermore, the research results of Dorta-Afonso et al. ( 2021) validated these findings by showing a positive relationship between HRMP and employee JS.H2: HRMP has positive and significant effects on JS.
Employer branding, a relatively new concept or innovation in the marketing world, is currently considered one of the highly beneficial strategies organizations employ to retain, attract, and develop unique talents.EVP integrates this branding approach into HRMP (Almehalawy et al., 2023).In its connection with HRMP, Employer branding can influence intellectual capital, innovation, and corporate reputation, thus making a solid contribution to the strategic Human Resource Management (SHRM) approach (Martin et al., 2011).Thus, by creating a positive employer brand, organizations can enhance their competitiveness in the labor market and establish a reputation as an employer of choice.
EVP is defined as a set of attributes and values within an organization that provide reasons for individuals to decide whether to take on a new job or remain in their current position (Ober, 2016).EVP represents a collection of values/benefits the organization offers in return for employees' services (Binu Raj, 2021).EVP is a reciprocal arrangement prospective employees will receive for their performance, encompassing specific skills and experiences they bring to the company (Backhaus, 2016).EVP refers to the values or benefits acquired or perceived by employees to be gained or experienced through being part of the organization (Herger, 2007).Pawar & Charak (2016)states that the EVP describes the understanding of the brand from an employer's perspective.Okello et al. (2021) conclude that the benefits employees derive from EVP, in non-financial advantages or reciprocity, can influence an individual's JS and overall satisfaction with a company.
According to App et al. (2012), HRMP can create value EVP for employees, enhancing the company's attractiveness and retaining highly competent employees.Kucherov et al. (2023) confirm a positive relationship between Employee Branding Orientation (EBO), part of HRMP, and employer branding strategy and EVP.Furthermore, Bagienska (2018) underlines the critical role of EVP in deriving employer branding, encompassing various factors such as rewards, opportunities, and organizational culture, all of which are elements contained within HRMP.H3: HRMP has a positive and significant effect on EVP.
JS refers to an individual's reaction to their job, which occurs when they compare the actual outcomes of their work with the expectations, anticipations, or perceptions they consider appropriate (Madamba & De Jong, 1997).In a business context, many managers believe that satisfied employees are generally more productive and have higher levels of JS, which, in turn, contribute to improved performance (Atteya, 2012).According to Whitman et al. (2010), the relationship between JS and JP has been extensively studied in HRMP and organizational behavior literature.Moreover, Mira et al. (2019) found a positive relationship between employee JS and JP.These results align with those of Sobaih et al. (2019), who found a positive and significant relationship between JS and JP.Through direct measurement, Rodjam et al. (2020) showed JS's positive and significant impact on JP.Furthermore, enhancing JS can benefit organizations by increasing employee engagement, lowering turnover rates, and improving overall organizational performance.H4: JS has a positive and significant effect on EVP.
Organizations should view EVP strategy as an opportunity to improve employee performance and organizational competitive advantage (Arasanmi & Krishna, 2019).When managers successfully fulfill the EVP, it encourages employees to reciprocate with dedication, engagement, and greater commitment to the organization (Rhoades & Eisenberger, 2002).Additionally, Salau et al. (2018) identified career growth and reward flexibility as predictive factors of EVP that enhance the performance of sample companies.Their research revealed that EVP has a significant and positive impact on JP.Similarly, Saputro et al. ( 2022) demonstrated that EVP positively and significantly influences employee performance.These findings underscore the importance of EVP in driving JP and organizational success, highlighting the need for organizations to prioritize developing and implementing effective EVP strategies.H5: EVP has a positive and significant effect on JP.
JS is a crucial component within an organization because it shapes employees' attitudes and beliefs, influencing their behavior and interactions with the organization (Alsafadi & Altahat, 2021).Satisfied employees exhibit positive behavior and high work motivation, reflected in their performance.In this study, JS serves as a mediator to explain the relationship between HRMP and JP.Rodjam et al. (2020) suggest that employees will perform well when they feel that the company has a strong HRMP and a high level of satisfaction.The research conducted by Wani & Ganie (2023) indicates that JS can mediate the relationship between HRMP and JP, especially regarding training and job performance among professional librarians in academic libraries.Furthermore, Rodjam et al. (2020) found that JS significantly mediates the relationship between HRMP and JP, specifically between performance appraisal and job performance, as well as reward and compensation and job performance.Additionally, the study conducted by Alsafadi & Altahat (2021) found a mediating role of JS (job enrichment and job stability).These findings underscore the importance of job satisfaction as a mediator in the relationship between HRMP and JP, emphasizing its significant role in organizational effectiveness and employee performance.H6: JS mediates the relationship between HRMP and JP.
Implementing HRMP strategies within the organization determines the process of creating value in EVP.According to App et al. (2012), HRMP can create the EVP by developing effective practices that distinguish the organization from its competitors.As a result, more companies are leveraging EVP strategically to attract, develop, and retain top talent, thus improving employees' competitive advantages and JP (Salau et al., 2018).In line with that, several studies also indicate the mediating role of EVP in explaining the relationship between the implementation of HRMP and JP.Kucherov et al. (2023) show the mediating role of EVP in explaining the relationship between Employer Branding Orientation (EBO) and Recruitment Performance (Rperf), as demonstrated by the positive and significant influence between EBO and EVP, as well as EVP and Rperf.H7: EVP mediates the relationship between HRMP and JP.

Research Design and Sample
Several researchers have studied the relationship between HRMP, JP, and JS in Indonesia.Martono and Putri (2018) examined the impact of HRMP on JP, with job embeddedness and perceived organizational support as mediating factors, in several state universities in Central Java, demonstrating a positive effect of HRMP on JP.Tunnufus & Noor (2022) showed that HRMP and work motivation predict a positive relationship with work commitment in commercial private banks in Indonesia.Among various previous studies, no research has used EVP as a mediator in explaining the relationship between human resource management practices and job satisfaction in Indonesia.Therefore, this research contributes to adding literature on the mediation of the EVP based on social exchange theory.According to Blau (1964), social exchange theory is an action an individual will take depending on the responses evoked by others.In this case, the job performance generated by an employee will be determined by JS and EVP received from HRMP.
Specifically, this study will address the limitations highlighted in the study conducted by Sobaih et al. (2019), in which the study results may have been influenced by demographic variables, as most respondents (95%) were male and represented the hotel industry in Egypt.However, these findings can be confirmed and generalized to other developing countries.In this context, the research endeavors to overcome these limitations by studying in an SOE company in Indonesia.Focusing on a different industry and country also allows for a broader understanding of the relationship between HRMP, JS, and JP.Based on the literature review and hypothesis presented above, the research model in this study explains the relationship between HRMP and JP with the mediation role of JS and EVP, as illustrated in Figure 1.This research uses a quantitative approach to explore causal research design.The sample in this study comprises active employees at functional levels or staff from various operational regions at one of the state-owned enterprises across the main islands in Indonesia.Indonesia is the world's 15th largest economy and is a prominent member of the G20, a coalition of the largest advanced and emerging economies globally.Furthermore, Indonesia is known for its vast territory and large population.Indonesia is the fourth most populous country globally, with over 238 million people, featuring around 17,508 islands and divided into 35 provinces (Shaturaev, 2021).Ahriansyah & Martdianty (2024) highlighted that Indonesia's labor productivity per worker ranks lowest among five Southeast Asian countries, trailing only behind the Philippines, suggesting a more profound analysis to understand the underlying factors affecting Indonesia's productivity levels and inform strategies for fostering economic growth.This highlights the need for a thorough study to discover what affects and formulate strategies to increase productivity in Indonesia.Meanwhile, SOE in Indonesia also makes critical contributions to the nation.
SOEs play a critical role in providing essential goods and services, fostering job creation, supporting small businesses, and bolstering government revenue, and they contributed approximately 1.9%-2.5% of government revenue in 2015-2017 (Jahja et al., 2020).SOEs also provide the potential to serve as catalysts for inclusive economic growth and development in increasingly emerging markets.According to Ginting & Naqvi (2020), SOEs contribute around 25% of India's GDP, 30% of the People's Republic of China's, 25% of Thailand's, and 38% of Vietnam's.In contrast, their contribution ranges from 6% to 8% in Indonesia.Furthermore, SOEs also have an essential role in the national economy, particularly in effectively managing and utilizing critical production sectors to fulfill the population's needs and ultimately enhance the overall welfare and prosperity of the people (Rusli et al., 2020).
The subjects of this study are employees of state-owned enterprises (SOE) in an electricity company operating in Indonesia.The company is currently implementing a transformation across different business processes, including HR management, through the Human Experience Management System (HXMS) by aligning with the 2022 HC roadmap, emphasizing the importance of enhancing employee experience for organizational success (Ferdiaz, 2023).The HXMS policy represents the company's initiative to improve employee productivity within the SOE.According to Ahriansyah & Martdianty (2024), the productivity of the SOE, measured by sales (MWh)/employees, is notably lower than that of other neighboring countries.The HXMS policy reflects the company's commitment to enhancing employee productivity within the SOE.Ahriansyah & Martdianty (2024) also found that the SOE's productivity in Indonesia, measured by sales (MWh)/employees, is significantly lower than that of neighboring countries.Therefore, our study aims to further explore the role of HXMS as an HRMP implemented in the SOE in Indonesia to enhance employee productivity.
Respondents were selected using the purposive sampling method.Respondents in this research are active employees at functional levels or staff from various operational regions and offices at the SOE across the main islands in Indonesia.The data for this research was obtained from primary sources and collected through an online questionnaire distributed to a selected group of respondents.This research collected 396 respondents, which is assumed adequate for the minimum number of representative samples.Path Analysis was employed to examine the research data using the Structural Equation Model and LISREL as statistical data processing tools.

Measurements
The questionnaire consists of statements based on relevant theories, reflecting the operational variables under investigation.It provides response options for respondents through a Likert scale, specifically a 6-point Likert scale ranging from (1) strongly disagree to (6) strongly agree.The JP variable in this study refers to the IWPQ dimensions (Ramos-Villagrasa et al., 2019), consisting of three dimensions: Task Performance, Contextual Performance, and Counterproductive Behavior, with 18 indicator items.The HRMP variable in this study refers to (Sobaih et al., 2019) and consists of three dimensions: ability-enhancing practices, motivation-enhancing practices, and opportunity-enhancing practices, with 22 indicator items.Meanwhile, the JS variable in this study refers toAlsafadi & Altahat (2021), which consists of two dimensions, job enrichment and job stability, with 10 indicator items.Lastly, the EVP variable in this study refers to Alsafadi & Altahat (2021) and consists of four dimensions: company strength, career growth, reward flexibility, and ethical culture, with 13 indicator items.The overall indicators and dimensions in this study are presented in Table 1

MEP2
When new positions come up in management, this company normally tries to fill them with people from inside the company rather than recruit them from outside.

MEP3
Employees in this job regularly (at least once a year) receive a formal evaluation of their performance.

MEP4
The pay is related to the personal performance in any way through some sort of performance or merit-related pay.MEP5 Employees get sufficient benefits-other than pay.

MEP6
Job security is almost guaranteed to employees in the company.MEP7 My working conditions here are good.

MEP8
This company spends enough money on health and safety-related matters, and I always feel safe working here in these conditions.

OEP1
Employees in this job regularly receive formal communication regarding company goals and objectives.

OEP2
Employees complete an employee attitude survey on a regular basis (e.g., annually).

OEP3
Employees in this job are involved in formal participation processes, such as quality improvement groups, problem-solving groups, roundtable discussions, or suggestion systems.

OEP4
Employees in this job get sufficient opportunities to express views on issues and concerns at work.

OEP5
Employees are given influence in company decisions that affect their job or work.

OEP6
The company helps employees to achieve a balance between home life and work.

OEP7
My employer asks my opinions about how I can improve my job and about making the company successful.

OEP8
Deliberate design of jobs to make full use of workers skills and abilities and work organized around team working for majority of staff The company gives me job enrichment.

JE5
The company gives me additional responsibilities other than your business.

JST1
The company provides us with job stability.JST2 I enjoy stability with the company I work for.

JST3
The company provides us with long-term job stability.

JST4
Job stability is important to me.

JST5
Job stability helps you understand the current and future goals of the company.

Characteristics of Respondents
This research utilized respondents who are employees of a state-owned enterprise (SOE) in Indonesia, holding functional levels, having worked in the company for a minimum of 1 year, and being actively employed during the research period conducted in October-November 2023.This research's total number of respondents amounted to 396 individuals, sourced from various units across all operational regions of A state-owned enterprise (SOE) in Indonesia.The demographic distribution of respondents in this study indicated a proportional variation that mirrors the employee population of A state-owned enterprise (SOE) in Indonesia, as shown in Table 2.This research member is dominated by male respondents (69%), while in terms of age composition, respondents were predominantly within the 27-42 age group (71%).Based on the educational levels, it is noted that the majority hold a bachelor's degree (S1) (54%).The work period of respondents in this study mostly ranged between 6 to 15 years (65%).

SEM Analysis
Based on the proposed research model, the data were analyzed using the Structural Equation Model (SEM) method to test the research hypotheses using Lisrel 8.8 software.Hair et al. (2019) stated that SEM is suitable for analyzing theoretical models with formative factors, provided statistical identification is feasible.The analysis conducted through SEM consists of measurement model analysis and structural model analysis.

Measurement Model Analysis
The measurement model analysis used research data to determine the theoretical correspondence between measured and latent variables (constructs).Hair et al. (2019) explain that the measurement model in SEM is employed to establish theoretical relationships between the measured variables and latent variables, where the researcher utilizes theory, prior experience, and research objectives to identify independent variables that can explain dependent variables.To determine these relationships, the measurement model analysis in SEM involves testing the validity and reliability of the measurement model.The variables tested encompass all research variables, including HRMP, JS, EVP, and JP.
Overall, the findings from Table 3 affirm the validity of the measurement model.Hair et al. (2019) state that loadings are considered significant if they meet 0,50 or greater.The standardized factor loading (SFL) values exceeding the threshold of 0.5 across all variables-HRMP, JS, EVP, and JP-indicate the robustness of the relationships between the measured indicators and their respective constructs.This suggests a strong alignment between the model's theoretical constructs and observed variables.The reliability test of the research model was conducted to measure the reliability and consistency of the measurement model in consistently measuring latent constructs.This study utilized Construct Reliability (CR), Average Variance Extracted (AVE), and Cronbach Alpha as measures of reliability and internal consistency for the observed variables representing latent constructs.A CR value greater than 0.7 is required to meet construct reliability standards.Meanwhile, AVE represents the average percentage of variation explained by the items within a construct, requiring more than 0.5 (Hair, Black, Babin, & Anderson, 2019).In addition, to assess the consistency of the entire scale, the generally agreed-upon lower limit for Cronbach's alpha is 0.70 (Hair, Black, Babin, & Anderson, 2019).Based on the calculations presented in Table 3, the CR, AVE, and Cronbach Alpha values for each research variable meet the requirements, indicating consistent and reliable measures of the latent construct variables.

Structural Model Analysis
Structural model testing is an overall evaluation in SEM to assess the appropriateness of the structural model used in the study, and it can be employed to test research hypotheses.The structural model expresses the dependency relationships between independent and dependent variables, even when a dependent variable becomes independent in another relationship (Hair et al., 2019).The analyses conducted on this measurement model include testing the fit of the measurement model and analyzing the causality relationship between latent variables based on the research's hypothesis.Thus, overall, this research's goodness of fit results shows results in the good fit category.The evaluation of the goodness of fit considered three crucial measures: Root Mean Square Residual (RMR), Normed Fit Index (NFI), and Comparative Fit Index (CFI), as shown in Table 4.The SRMR value in the structural model stands at 0.049, which falls within the acceptable range of <0.05 (Hair et al., 2019).Hence, it remains acceptable to be considered a good fit.Similarly, the NFI and CFI values of 0.97, respectively, surpass the threshold of 0.90 (Hair et al., 2019), signifying a good fit.Overall results of the hypothesis testing for direct effects, as shown in Table 5, indicate the presence of significant direct relationships among variables in hypotheses 2, 3, 4, and 5.The t-values for these inter-variable relationships exceed the critical t-value of 1.645, signifying their significance.However, for hypothesis 1, there is no observed direct relationship between HRMP and JP, as the t-values are below the threshold of 1.645, rendering it statistically non-significant.This finding suggests that while HRMP significantly influences other variables as per hypotheses 2, 3, 4, and 5, they do not have a direct, statistically significant impact on JP.This implies the use of mediating in this research to explain the relationship between HRMP and JP.

Supported
The results of hypothesis testing for indirect effects, as shown in Table 6, confirm the mediating role of JS and EVP in the relationship between HRMP and JP.This is indicated by hypothesis 6, where the direct effect value from HRMP to JP is insignificant.In contrast, the indirect effect values from HRMP to JS and JS to JP are significant.Furthermore, in hypothesis 7, the direct effect value from HRMP to JP is also insignificant, and the indirect effect values from HRMP to EVP and EVP to JP are significant.Referring to Zhao et al. (2010), the findings in Table 6 indicate the presence of mediation in the category of indirect-only mediation, where there is a significant influence solely in the indirect relationships, specifically through the mediation of job satisfaction and employee value proposition.This outcome suggests that the impact of HRMP on JP is mediated through the effects on JS and EVP.Such mediation implies that the influence of HRMP on JP is not direct but operates through the intermediate mechanisms of enhancing JS and EVP.This aligns with existing literature emphasizing the importance of employee satisfaction and perceived value proposition in mediating the relationship between HR practices and overall job performance.

Discussion
This research suggests that in state-owned companies in Indonesia, employees' job performance can be significantly enhanced through the improvement of job satisfaction and perceived employee value proposition.Therefore, it can be inferred that higher work motivation levels among employees are associated with increased job satisfaction, ultimately resulting in a positive and significant impact on employees' performance in state-owned banks in Indonesia (Dewi et al., 2019).Performance can also be influenced by the misalignment between the company's implemented Employee Value Proposition and employee expectations, resulting in employees not being optimal at work (Saputro & Putranti, 2022).Thus, based on the findings of this research, managers can develop strategies to enhance job performance by considering various crucial aspects in improving job satisfaction and perceived employee value proposition among employees.
This research found that HRMP can impact job performance by mediating job satisfaction and employee value proposition.The results of this study found that the most crucial aspect in implementing human resource management practices is job designs that offer opportunities for employees to utilize their skills and abilities and collaborate in teams fully.To impact job performance, these selected HRMPs need to pay attention to employee job satisfaction and the employee value proposition within the company.This research found that improving employee job satisfaction can be achieved by creating job stability by improving job security guarantees.Meanwhile, in creating an employee value proposition, providing competitive salaries as work incentives serves as recognition of employees' objective work results, making it a crucial aspect.Therefore, to increase job performance in the company, it is suggested that managers should consider implementing HRMP strategies by enhancing job design to provide opportunities for employees to utilize their skills and abilities and collaborate in teams, as well as providing job security guarantees and competitive salaries for employees.
This research significantly contributes to the existing literature by confirming the mediating roles of job satisfaction and employee value proposition in the relationship between human resource management practices and job performance.The findings align with previous studies conducted by Rodjam et al. (2020), Alsafadi & Altahat (2021), as well as Wani & Ganie (2023), which also identified job satisfaction as a crucial mediator in the relationship between human resource management practices and job performance.Moreover, the results of this study corroborate the findings from research conducted by Alam et al. (2022) and Kucherov et al. (2023), indicating that employee value proposition significantly mediates the relationship between human resource management practices and job performance.

Conclusion
In conclusion, the identified mediating roles of job satisfaction and employee value proposition highlight the intricate relationship between human resource management practices and job performance.It emphasizes the significance for organizations to prioritize strategies aimed at enhancing job satisfaction and aligning employee value propositions with HR practices to improve job performance.Furthermore, this research contributes theoretically by shedding light on the crucial mediating factors in the relationship between HRMP and JP.It underscores the importance of implementing HRMP strategies that emphasize enhancing job design to provide employees with opportunities for skill utilization, team collaboration, job security assurances, and competitive salary, optimizing human resource management practices, and fostering a conducive work environment.
Based on the research findings, we find an indirect effect between human resource management practices and job performance, mediated by job satisfaction and employee value proposition, while no direct influence was observed between human resource management practices and job performance.Therefore, the practical implications of this research suggest that managers in state-owned companies in Indonesia can enhance JP by improving JS and aligning the perceived EVP with organizational goals.The study suggests that higher levels of work motivation are linked to increased job satisfaction, leading to improved employee performance.However, addressing any misalignment between the implemented EVP and JS is crucial, as this can hinder optimal JP.This study also found that reward flexibility is the most reflective of EVP, with employee competitive salary incentives being the most crucial aspect.Additionally, the research indicates that job stability is perceived as the most reflective of JS, with long-term job security provided by the company to employees being the most critical aspect in fostering employee JS.Based on these findings, managers should prioritize strategies that improve JS and perceived EVP, emphasizing enhancing job design to provide opportunities for skill utilization and team collaboration.Additionally, ensuring job stability and offering competitive salaries are essential for enhancing employee satisfaction and perceived value proposition.Therefore, managers should consider implementing HRMP strategies that prioritize these aspects to effectively enhance employee performance and organizational success.
This study has its limitations that could potentially impact the research outcomes.These limitations affected the goodness of fit results, where the absolute fit measure in this research is represented solely by the RMR value of 0.049.However, the research achieved goodness of fit based on incremental-fit measures.According to (Ramos-Villagrasa et al., 2019), measuring JP is a complex phenomenon that requires different approaches depending on the objective, and current research has demonstrated that brief scales like the IWPQ can be utilized effectively.The limitation of the study lies in the limited diversity of respondents' backgrounds, as they only come from one SOE company.Future researchers should consider broadening the sample by including other SOE companies or private companies in Indonesia to provide more comprehensive research findings.

Figure
Figure 1.Research Model

Figure 2 .
Figure 2. Structural Model Results Based on these findings, it is evident that each variable in this study has varied t-test values and directions of relationships.The relationships among variables in Figure 2 indicate direct and indirect effects in this research model.Therefore, the next step is to conduct tests for direct and indirect effects to determine the relationships among each variable.Direct and indirect effects tests are conducted by comparing the one-tailed t-test values with the critical tvalue of 1.645 based on the hypotheses used in this study. .

Table 2 .
Characteristic of respondents

Table 3 .
Validity and reliability test result

Table 4 .
The Goodness of Fit result

Table 5 .
Hypothesis test result

Table 6 .
Mediation test result