Unleashing Banking Excellence: The Impact of Human Capital and Knowledge Management through Organisational Learning

This research aimed to investigate the effect of human capital (HC) and knowledge management (KM) on organizational performance (OP) with the mediating role of organizational learning culture (OLC) applied to the banking sector in Indonesia. A quantitative method was used in the investigation, and data were collected through questionnaires distributed to 144 respondents. Furthermore, Partial Least Squares Structural Equation Modeling (PLS-SEM) was used as the data analysis method, and hypothesis testing was carried out using the SmartPLS version 4.0 application. The results showed that HC and KM both possessed a positive and significant effect on OP through OLC mediation. This research further served as a reference for organization management aiming to achieve competitive and sustainable advantages through effective HC management and KM implementation, supported by the application of OLC. Additionally, the analysis emphasized the role of OLC in optimizing the contributions of HC and KM to OP and productivity. OLC further played a crucial role in internalizing a learning culture among employees, fostering unique capabilities and advantages that helped management create and promote new knowledge, eventually converting it into a competitive advantage.