The Relevance of Financial and Non-Financial Compensation on Professionalism and Lecturers Performance: Evidence from Makassar Private Universities (Indonesia)

Muhammad Hamzah Idris, Djabir Hamzah, Indrianty Sudirman and Nurdjanah Hamid

Journal of Asian Development, 2017, vol. 3, issue 2, 162-180

Abstract: This study aimed to test empirically the effect of financial and non financial compensation on professionalism and lecturer's performance. The study population was all lecturers who are certified, public and private lecturers at the private universities in Makassar (Indonesia). Stratified proportional random sampling was used to obtain the total sample of 111 lecturers'. Covariance-based SEM (SEMPLS) with a WarpPLS 5.0 used in this study. The results of the study provide evidence that financial and non financial compensation has a positive and significant effect on the lecturer's professionalism. Financial compensation has a positive and significant effect on the lecturer performance but non financial compensation did not. The level of professionalism has a positive and significant effect on the lecturer's performance. Professionalism can be evident as a mediating role in explained effect of financial and non financial compensation on lecturer's performance.

Keywords: Financial; non financial compensation; professionalism; lecturer's performance (search for similar items in EconPapers)
Date: 2017
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