Fakultas Ilmu Sosial & Ilmu Politik

The Influence of Organisational Culture on Performance and Sustained Business Growth of Cooperatives in Purwakarta Regency, Indonesia

https://www.scopus.com/pages/publications/85219049594

In this 2025 study, Raharja and Muhyi investigated the crucial role of organisational culture in shaping cooperative performance and sustaining long-term growth in Purwakarta Regency, Indonesia. Employing a quantitative approach with Partial Least Squares (PLS) analysis on responses from 69 cooperative managers, the research produced notable findings:
Organisational culture has a direct and significant effect on performance (64%).
Performance strongly impacts sustained business growth (56.6%).
Organisational culture indirectly contributes to growth through performance (36.2%).

Respondents’ perceptions of culture (mean = 3.11), performance (mean = 2.98), and sustained growth (mean = 2.91) all fell within the medium category, suggesting opportunities for strategic enhancement.

This research highlights that cultivating a strong organisational culture is not merely symbolic but a strategic necessity for cooperative resilience.

-For Cooperative Leaders: Building shared values, accountability, and efficiency can significantly improve outcomes.

-For Policymakers: Supportive policies and training that strengthen cooperative culture can drive sustainable growth.

-For Academia: The findings provide empirical evidence for further exploration into culture-performance-growth dynamics across grassroots economies.
By placing organisational culture at the forefront, cooperatives in Purwakarta—and beyond—can pave the way toward sustainable economic empowerment.

Discover more about this impactful research : https://www.scopus.com/pages/publications/85219049594