Training, Competence, and Employee Productivity: The Mediating of Job Satisfaction and The Moderating of AI Technology

Abstract

Employee productivity and job satisfaction have become increasingly important in the context of digital transformation, as artificial intelligence (AI) continues to reshape workplace processes and employee experiences. Nevertheless, limited empirical research has examined how competency and training influence employee productivity through job satisfaction while considering the moderating role of AI technology, particularly in the context of IT firms. To address this gap, this study examines the effects of training and competency on employee productivity, the mediating role of job satisfaction, and the moderating role of AI technology. The sample consisted of 168 employees of PT Krakatau Information Technology, selected using a saturated sampling technique. This organizational context is particularly relevant because employees operate in a technology-intensive environment where continuous competency development and adaptation to AI may influence both job satisfaction and productivity. Data were collected through a survey and analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM) with SmartPLS 4. The results show that training has no significant direct effect on employee productivity (p = 0.259; t = 0.647), whereas competency has a positive and significant effect on employee productivity (p < 0.001; t = 4.899). Both training and competency have positive and significant effects on job satisfaction (p = 0.002; t = 3.865 and p < 0.001; t = 5.603, respectively). Furthermore, job satisfaction has a positive and significant effect on employee productivity (p = 0.024; t = 3.482), indicating that employee development may contribute to productivity through greater job satisfaction. These findings suggest that employee competency serves as a strategic asset that can substantially enhance organizational productivity. Organizations should develop a structured AI roadmap, strengthen employees’ AI and digital competencies, and integrate AI into core business processes with strong managerial support to maximize its potential productivity benefits.