International Journal of Scientific and Research Publications, Volume 6, Issue 7, July 2016 26 ISSN 2250-3153 www.ijsrp.org The Impact of Working Climate and Motivation towards Job Satisfaction That Implies the Employee Performance in PT Indonesia Power Generation Business Unit of Suralaya Banten Putri Setya Utami * , Musa Hubeis ** , M Joko Affandi *** * Post Graduate, School of Business, Bogor Agricultural University (IPB), Indonesia ** School of Business, Bogor Agricultural University (IPB), Indonesia *** School of Business, Bogor Agricultural University (IPB), Indonesia Abstract- A company prominence relies heavily on the quality of its employees, thus every company always takes certain efforts to shape their Human Resources (HR) to be in its best quality and performance. Working climate can affect work motivation when a company is conducive and it can be a means of sustainable learning for employees. When the needs are fulfilled, there will be reduction of tension, thus working satisfaction is achieved and leads to the improvement of employee performance. The objectives of this study are: (1) to analyze the influence of the working climate towards job satisfaction and its implications towards employee performance; (2) to analyze the influence of motivation towards job satisfaction and its implications towards employee performance; (3) to analyze the influence of job satisfaction towards employee performance. This research employed quantitative approach and involved 117 enforcement officials as respondents. Data analysis was conducted by employing SEM with LISREL (Linear Structural Relationship) version 8.3 program software. The results of this research show that the dimensions of working climate share a positive significant influence towards employees work motivation. The dimensions of working climate share a positive influence towards job satisfaction. The dimensions of motivation share a positive influence towards job satisfaction. The dimensions of job satisfaction share a positive influence towards employee performance. The statistic of data analysis results shows that there is indirect significant impact between working climate towards employee performance through job satisfaction and there is indirect significant impact between motivation towards employee performance through job satisfaction. Index Terms- employee performance, job satisfaction, motivation, working climate I. INTRODUCTION he company will always captivate, develop and sustain employees who posses innovative skills and high performance. When the employee performance in a company is regarded as good, it is necessary to develop a conducive working environment so that employees quality is improved and thus they remain loyal to give contribution to the company. One of the aspects that plays significant role in developing a conducive working environment is working climate. Working climate shares a crucial role in improving employee performance in a company. The working climate is an aspect in an organization that is perceived by the people within this organization. This perceived aspect could affect their behavior and will ultimately determine the level of productivity of their work. Employees productivity is highly related to the structure within the organiztion, i.e., the jobs divisions, employees responsibilities towards their works, both in private, group, as well as in organisation; communication conducted by superiors towards their subordinates; an appreciation for the human resources (HR); rewards and sanctions that are applied (Luthans, 2005). Working climate can affect work motivation. If a company has a conducive working climate which fits to become a means of sustainable learning for employees, then the employees will be encouraged and motivated to produce the best for his company (Ismiyarto et.al., 2015). On the other hand, motivation also plays a significant role as an important factor in encouraging an employee to do the work. Motivation is the willingness of individuals to issue high efforts to achieve the goals of the organization. There are three key elements in motivation, namely effort, objectives of the organization, and necessity. Effort is a measure of the intensity. When a person is motivated, they will strive mightily to achieve the goals, though a high effort does not gurantee a person to produce high-performance. Therefore, it is necessary to support this effort with intensity and quality and focusing this effort to achieve the goal of the organization. Necessity is the internal conditions that rising the encouragement. When the necessity is not successfully fulfilled, it will cause tension that stimulates urge within individuals. This urge will then raise the behavior to find certain goal. If the necessity is fulfilled, then there will be reduction of tension, thus job satisfaction will be achieved, which will lead to the improvement of employees performance. The problem that is frequently encountered by companies related to HR is sustaining potential resources so that they keep their performance up. A company who has been developing good reputation on their working performance can potentially lose their performance quality to be damaged due to, directly or indirectly, the level of employees job satisfaction. In accordance with the above description, PT Indonesia Power which is the biggest electricity power generation company T