The Effect of Intellectual Capital, Organizational Capability, and Governance, Risk, and Compliance (GRC) on Sustainability Competitive Advantage (SCA) with Bank Performance as an Intervening Variable at Regional Development Banks (BPD) in Sumatra Region

Abstract

This research was conducted with the aim of analyzing what factors influence the competitiveness of Regional Development Banks (BPD) in the Sumatra region, such as intellectual capital, organizational capabilities, and Governance Risk Management Compliance (GRC). This research uses eight banks in the Sumatra region, namely BPD Riau Kepri (Riau and Riau Islands), BPD North Sumatra, BPS Sumbel Babel, BPD Nagari, BPD Lampung, BPD Jambi, BPD Bengkulu, and BPD Aceh as the population and sampling through questionnaires to 60 respondents who are at the level of directors to top-level managers at the eight banks. Model estimation is done using SEM PLS to see the impact of independent variables on Sustainable Competitive Advantage (SCA) with bank performance variables as intervening variables, see the impact of independent variables on bank performance, and see the impact of independent variables on Sustainable Competitive Advantage. The results of this study indicate that each independent variable of intellectual capital, organizational capability and Governance Risk Compliance shows a positive influence on Sustainabale Competitive Advantage through bank performance as an intervention variable and the influence of independent variables on bank performance and Sustainabale Competitive Advantage shows a positive influence.