EFFECT OF TALENT MANAGEMENT AND RELATIONAL CAPITAL ON ORGANIZATIONAL PERFORMANCE THROUGH ENTREPRENEURIAL ORIENTATION

This study aimed to examine and analyze the influence of talent management and relational capital on organizational performance through entrepreneurial orientation in the context of rural banks in South Sulawesi province, Indonesia. This study utilizeda survey method with data collection techniques using questionnaires and interviews. The research data were analyzed using structural equation modeling (SEM) with the Partial Least Square (PLS) approach. There were 16 rural banks used as sample from a total of 20 rural banks of population. Furthermore, 69 respondents were used which composed of commissioners and managers from the 16 rural banks. This study showed that (1) talent management directly had a positive and significant effect on entrepreneurial orientation based on p-value <0.01; (2) talent management directly has a positive and significant effect on organizational performance based on p-value 0.03; (3) relational capital directly affects positively and significantly on entrepreneurial orientation shown by p-value<0.01; (4) relational capital directly had a positive and significant effect on organizational performance indicated by p-value 0.03; (5) and entrepreneurial orientation directly had a positive and significant effect on organizational performance indicated by p-value<0.01.