Volume
3, No. 10 October 2024 - (2184-2202)
p-ISSN 2980-4868 | e-ISSN
2980-4841
https://ajesh.ph/index.php/gp
The Influence of HRM, Employee Engagement, and Organizational Commitment on Employee Turnover Intention
Pinky
Sutrisno Saraswati1,
Justine Tanuwijaya2*,
Andreas Wahyu Gunawan3
Universitas Trisakti, Indonesia
Email : justine@trisakti.ac.id
ABSTRACT
High turnover rates are a significant challenge in
the healthcare sector, where employee retention is critical to maintaining
service quality and organizational performance. The purpose of this research is
to determine and analyze the effect of HRM, employee engagement and
organizational commitment on employee turnover intention at Tebet Hospital
Jakarta, Atmajaya Hospital Jakarta, and UKI Hospital. The research method used
was qualitative, which involved in-depth interviews with key respondents from
the three hospitals. Primary data was collected using a structured
questionnaire and analyzed using SEM-PLS (Structural Equation Modeling-Partial
Least Squares). The findings show that HRM has a positive but not statistically
significant influence on employee engagement, while significantly reducing
turnover intention. Organizational commitment is positively and significantly
related to employee engagement and decreased turnover intention. In addition,
turnover intention positively affects employee performance. This research has
implications highlighting the need for hospitals to develop more effective HRM
strategies that encourage employee engagement and strengthen organizational
commitment, ultimately reducing turnover rates.
Keywords: Employee
Engagement, Organizational Commitment, Employee Turnover, Human Resource
Management.
INTRODUCTION
Human
resources are fundamental to achieving success. Emphasizing the attachment of
human resources can improve the quality of competition, creativity, and needs (Riniwati, 2016).
Human resource attachment has a great influence on the development of
employees' abilities to the maximum (Dzimba & van der Poll, 2024).
Organizations must be aware that maintaining and cultivating existing employee
talents is a top priority and instilling organizational commitment is something
that must be done (Tumbelaka & Kaligis, 2023).
Nowadays,
the competition in the service industry is getting tougher, companies are
constantly trying to develop different ways to continue to survive in
competitive competition. In marketing research, service, service quality is one
of the drivers of consumer satisfaction and creates consumer loyalty (Zahara, 2020).
The rapid growth of competition in the business world has caused many companies
to realize that employees are the number one asset and are the center of
resources and diversity of society. A successful company depends on the
stability and talent of workers who are able to create good product or service
quality.
(Agarwal, 2018)
revealed "employee engagement reports are the most important part of the
organizational experience as this leads to performance retention and increased
productivity". When employees are engaged with a company, employees have
an awareness of the business. Awareness of the company's business that makes
employees will give all their best abilities to the company.
Commitment
is the level at which an employee is able to side with an organization and the
goals and desires to stay working in the organization (Sianipar & Haryanti, 2014).
Organizational commitment relates to the employee's feelings and beliefs about
the organization in which he or she works as a whole. According to Jennifer and
Gareth, there is a dimension of organizational commitment, namely affective
commitment, which is the commitment when the employee becomes a member of an
organization, happy, trusted, and feels good to be (Yusuf & Syarif, 2018).
Organizational commitment has three dimensions, namely affective commitment,
continuance commitment, and normative commitment (Wardianto et al., 2019).
Affective commitment is related to the emotional bond of employees and how
employees are involved in doing their work. Continuity commitment is related to
the employee's consideration to continue because the employee will feel
disadvantaged by the costs that will be burdened if he leaves the organization.
However, there is one
problem related to human resource problems is turnover. Turnover is a condition
for moving employees from an organization and is usually the last option (Kusumowardani &
Suharnomo, 2016). Turnover is often used for employees to get or seek a
better situation, but it causes losses to the organization they leave (Rahadi, 2021).
A research by the
Brandon Hall Group found that turnover rates in healthcare are four times
higher than in other industries in the United States. As technological
advancements have driven accelerated change in the workplace, healthcare
organizations are struggling to keep employees engaged. Engagement is not only
important for a company's productivity, but it is also a key factor in employee
turnover. Engagement gives employees a sense of belonging, allows them to build
a genuine relationship with an organization, and increases their desire to stay
at the company they work for (Adomako, 2023). High turnover is a challenge in various organizations in
managing employees as a competitive factor. (Parinsi & Musa, 2023) states that many professional organizations are in a dilemma
as a result of the competition that comes in attracting and retaining highly
skilled workers because they fail to match the salaries offered by their
competitors or offer more than their competitors. Therefore, the challenge for
many organizations today is to come up with an efficient reward strategy to
retain employees for the success of the organization (Terera & Ngirande, 2014). This also affects patient service activities because it is
related to involvement in building relationships between patients and health
service organizations (White-Williams et al., 2020).
Creating an organizational environment capable of retaining
talented human resources is an immediate step that must be achieved to reduce
employee turnover. According to (White, 2019) that organizations should focus on communication,
decision-making, compensation, incentives, career development, rewards and
management as 5 things that can be done to maintain human resources in an
organization.
The success of an organization depends heavily on its
employees. According to (Ekhsan, 2019), turnover can be achieved when employees have good job
satisfaction. If the employee turnover of a company is high, it will have a bad
impact on the state of its employees which can ultimately lead to a decrease in
employee job satisfaction. The decline in job satisfaction is a manifestation
of the attitude of employees who cannot feel the things that can make employees
survive, such as compensation and incentives that are not fulfilled or the
attitude from managers to employees that is less communicative.
Type B hospitals are hospitals that are able to provide
medical services with broad specialists and limited subspecialists. It is
planned to establish a type B hospital in each provincial capital that
accommodates referral services from district hospitals. This type B hospital
has a vision to become a trusted, holistic, and competitive hospital. With a
mission to provide quality services by prioritizing patient safety, developing
human resources professionally, and ethically.
Hospitals strive to provide health services to the maximum,
so human resources are required to carry out their duties as well as improve
service performance. Attachment among fellow employees is needed so that they
are able to provide quality service, because if the employee gets comfort while
working, the employee will try to do the work and obligations until it is
completed and well above the standards made by the organization.
This phenomenon shows
that human resources, especially those that ensure a high level of performance,
are extremely important for the business success of an organization (Pandita & Ray, 2018). According to various studies, the results show that talent
management is a significant contributor to financial performance and business
continuity, regardless of the size and scale of its activities (Khilji & Pumroy, 2019).
Based on preliminary
studies conducted at Tebet Hospital Jakarta, Atmajaya Hospital Jakarta, and UKI
Hospital, it was found that in the initial interviews conducted by the author
with twenty employees who became key respondents related to this research. And
it can be seen that the average employee turnover in 2021 - 2023 is 45
employees (10.67%). In this research, initial interviews were conducted to ask
for their responses regarding the HR management system implemented in the
company related to employee engagement and organizational commitment. Referring
to the theories and research that have been presented related to employee
engagement, as well as organizational commitment to hospitals and employee
turnover intention.
Based on the background
above, the purpose of this research is to determine and analyze the effect of
HRM, employee engagement and organizational commitment on employee turnover
intention at Tebet Hospital Jakarta, Atmajaya Hospital Jakarta, and UKI
Hospital. So that the benefits in this research are to contribute to hospital
management in understanding the factors that influence employee turnover
intention, especially in the context of human resource management (HRM),
employee engagement, and organizational commitment. This research is also
expected to provide valuable input to design more effective HR management
strategies in increasing employee engagement and strengthening organizational
commitment, which in turn can reduce turnover rates.
RESEARCH METHODS
|
Sum |
150 |
100,0% |
Source: Data
processed The research method use is a qualitative research method. While this
type of research uses a qualitative description type, where the researcher will
describe or construct in-depth interviews with the research subject based on
existing facts or evidence (Kriyantono & Mckenna, 2017). (Moleong, 2015)
mentioned that qualitative research is research that uses a natural background
with the intention of phenomena that occur and is carried out by involving
various existing methods such as interviews, questionnaire assessments, and the
use of documents.
The primary data collection method
used in this research is a questionnaire. Questionnaire is a data collection
technique that is carried out by giving a set of questions or written
statements to respondents to answer (Abdussamad,
2022). In this research, the questions
in the questionnaire are arranged according to the order of variables that are
in accordance with the indicators, the purpose is so that the questions in the
questionnaire do not deviate from the research objectives. In this research,
researchers used a Likert scale for 32 to measure a person's attitude, opinion,
and perception of social phenomena. The questionnaire used is a closed
questionnaire in which answers have been provided (strongly agree, agree,
moderately agree, disagree, and strongly disagree).
The data collected in this research
came from a questionnaire with ordinal data measurements. The measurement of
ordinal data (ordinal scale) will show data in accordance with a certain order
or sequence. While the type of ordinal scale used is a sematic scale, which is
a response to a stimulus presented in the form of a sematic category, which
states a certain level of property or information.
To find out and assess the
attitude and perception of respondents about customer value, service quality,
and customer satisfaction affect employee loyalty. In this research, the Likert
scale was used. The instruments in this research
were developed from previous research instruments. This research instrument is
measured by the Likert scale, which is a scale used to measure the attitudes,
opinions, and perceptions of a person or group of people about certain events. The questionnaire is created through
google forms and shared via WhatsApp and Instagram.
RESULTS AND DISCUSSION
In
this chapter, the data collected, the results of data processing and interpretation of the results of data
processing.
Table
1. Profile Response (n=150)
|
Profil Respond
|
Characteristic |
Frequency |
Percentage |
|
Company Name |
Tebet
Hospital Jakarta UKI
Hospital Atmajaya
Hospital Jakarta Total
|
57 43 50 150 |
38% 28,7% 33,3% 100,0% |
|
Gender |
Man Woman Total |
87 63 150 |
58% 42% 100% |
|
Education
Level |
Diploma
Sarjana
Postgraduate
Doctor Total |
24 88 37 3 150 |
16% 58,7% 24,7% 2% 100,0% |
|
Age
|
20-29
Years 30-39
Years 40-49
Years >50
Years Total |
68 71 12 2 150 |
45,3% 47,3% 8% 1,3% 100,0% |
|
Working
Period |
˂1
Year 1-3
Years 3-5
Years >5
Years Total |
7 42 39 62 150 |
4,7% 28% 26% 41,3% 100,0% |
|
Service
Unit |
Medical
Unit Inpatient
Unit Nursing
Unit Administrative
Unit House
Keeping & Technical Unit Legal Total |
45 23 24 44 13 1 150 |
30% 15,3% 16% 29,3% 8,7% 0,7% 100,0% |
The
table above shows that the number of respondents who meet the criteria and
requirements to fill out the questionnaire in this research is 150 respondents.
The results of data processing showed that all respondents worked
in the health industry, with a total of 150 respondents and a percentage of
100%.
The table shows that the majority of respondents are men,
which is 58%. Then, for women by 42% or 63 respondents. The results of data
processing showed that most of the respondents had a bachelor's degree, which
was 58.7% or 88 respondents. For those with the last postgraduate education is
24.7%, for the last education of Doctor is 2%, and the last education of
Diploma is 16% or 24 respondents.
From the results of data processing, the majority of respondents
aged between 30 and 39 years old were 47.3% or 71 respondents. Then,
respondents aged 20 to 29 years old were 45.3% or 68 respondents, respondents
aged 40 to 49 years were 8% or 12 respondents and for respondents over 50 years
old were 1.3% or 2 respondents.
Based on the results of data
processing, the majority of respondents had a working period of more than 5
years of 41.3% or 62 respondents, respondents with a working period of 1 to 3
years amounted to 28% or 42 respondents, respondents with a working period of 3
to 5 years amounted to 26% or 39 respondents, and the smallest respondents with
a working period of <1 year amounted to 4.7% or 7 respondents.
Based on the results of data
processing, the majority of respondents worked in the medical service unit by
30% or 45 respondents, worked in the administrative service unit by 29.3% or 44
respondents, in the inpatient service unit by 15.3% or 23 respondents, in the
house keeping and technical unit by 8.7% or 13 respondents, and in the legal
unit by 0.7% or 1 respondent.
Descriptive
Analysis of Questionnaire Results
The descriptive analysis of the questionnaire results is intended
to explain how much the respondents perceive in understanding each indicator
through the questions in the questionnaire. Based on the results of the
questionnaire answers from each of the respondents, descriptive analysis for
each variable can then be analyzed according to the information that has been
obtained in the field.
Descriptive
Variables of HRM
According to Stoner,
human resource management is an ongoing procedure that aims to supply a company
with the right people to be placed in the right positions and positions when
the organization needs it. Table 2. shows the results
of responses from respondents from Tebet Hospital, UKI HOSPITAL, Atmajaya
Jakarta Hospital to the indicators of each HRM construct.
Table 2. Frequency of Variable Answers of HRM
|
HRM |
||||||
|
Indicator |
Value |
Total |
||||
|
STS 1 |
TS 2 |
CS 3 |
S 4 |
SS 5 |
||
|
XI |
5% |
43% |
15% |
37% |
0% |
100% |
|
X2 |
0% |
5% |
26% |
62% |
7% |
100% |
|
X3 |
0% |
0% |
22% |
67% |
11% |
100% |
|
X4 |
0% |
15% |
21% |
64% |
0% |
100% |
|
Mean |
1% |
16% |
21% |
57% |
5% |
|
Source: Primary Data
From Table 2. it can be seen that the
average answer given has a tendency to score 4 (Agree), which is with a
percentage of 57%. This shows that the average HRM of Tebet Jakarta Hospital,
UKI Hospital, and Atmajaya Jakarta Hospital in the category is quite likely to
be close to high (good). This is supported by the value of the X3 and X4
indicators where it shows that the help from fellow colleagues and support from
superiors can affect employee performance in a good or positive direction.
However, there are 2 indicators in X1 and X2 that have very low values because
they are considered to be salaries received that are not in accordance with the
burdens/responsibilities carried out and the absence of clarity of job
positions in the company.
Descriptive Employee Engagement
Variables
Employee Engagement is a multidimensional idea
emotionally, cognitively or physically. Engagement occurs when a person is
consciously alert and emotionally connected to others. Table 3. shows the results of the responses from
respondents from Tebet Hospital, UKI Hospital, and Atmajaya Jakarta Hospital to
the indicators of each organizational commitment construct.
Table 3. Employee Engagement Variable Answer Frequency
|
Employee Engagement |
||||||
|
Indicator |
Value |
Total |
||||
|
STS 1 |
TS 2 |
CS 3 |
S 4 |
SS 5 |
||
|
X5 |
0% |
0% |
0% |
32% |
68% |
100% |
|
X6 |
0% |
0% |
36% |
53% |
11% |
100% |
|
X7 |
0% |
0% |
11% |
67% |
22% |
100% |
|
X8 |
0% |
0% |
11% |
48% |
41% |
100% |
|
Mean |
0% |
0% |
15% |
50% |
35% |
|
Source: Primary Data
From Table 8, it can be seen that the average answer given has a
tendency to score 4 (Agree), which is with a percentage of 50%. This shows that
the average employee attachment to Tebet Hospital, UKI Hospital, and Atmajaya
Hospital Jakarta is still in the category of quite tending to approach the high
direction (good).
This should be paid more attention to by the company's management
so that the attachment of its employees can be better or at least maintained.
In the long run, companies with employees who have a bad attachment to the
company will have a negative impact, including company employees who are not
really focused, do not concentrate on work, do not pay attention to the
responsibilities of the work they do, in the health industry in particular,
patients will complain about the inability of employees to handle patients well
so that the reputation of this hospital becomes bad. The company cannot run its business
effectively and efficiently.
Descriptive Variables of
Organizational Commitment
Organizational commitment is an
employee's association with the organization or a collection of employees'
emotional feelings and beliefs towards the company. Organizational commitment
is an important concept in management. Table 4. shows the results of the responses from
respondents from Tebet Hospital, UKI Hospital, and Atmajaya Jakarta Hospital to
the indicators of each organizational commitment construct.
Table 4. The Results of the Responses from Respondents
|
Organizational Commitment |
||||||
|
Indicator |
Value |
Total |
||||
|
STS 1 |
TS 2 |
CS 3 |
S 4 |
SS 5 |
||
|
X9 |
17% |
42% |
23% |
11% |
7% |
100% |
|
X10 |
11% |
49% |
22% |
18% |
0% |
100% |
|
X11 |
6% |
30% |
33% |
24% |
7% |
100% |
|
X12 |
0% |
25% |
28% |
27% |
19% |
100% |
|
X13 |
6% |
19% |
20% |
55% |
0% |
100% |
|
Mean |
8% |
33% |
25% |
27% |
7% |
100% |
Source: Primary Data
From Table 4, it can be seen that the
average answer given has a tendency to score 2 (Disagree), which is with a
percentage of 33%. This shows that the average organizational commitment of
employees of Tebet Hospital, UKI Hospital, and Atmajaya Hospital Jakarta in the
category is quite likely to approach the low direction. With a low level of
organizational commitment to employees, it has the potential to have a negative
impact on the company, including: providing negative effects in the workplace
such as poor work performance, lack of good performance and employees tend to
look for new jobs so as to increase the company's turnover rate. If this is not
paid attention to by the company, of course, in the long run it can result in
several things, such as high replacement costs, and a decrease in the
effectiveness of the company's operations.
Descriptive Turnover Intention
Variables
There are several definitions of turnover intention, including the
employee's intention to leave the organization/company, the tendency of
employee behavior to leave the company, which causes the actual turnover intention and turnover
intention is the main factor that supports the action to resign from the
company. Table 5. shows the results of
the responses from respondents from Tebet Hospital, UKI HOSPITAL, Atmajaya
Jakarta Hospital to the indicators of each
turnover intention construct.
Table 5. Frequency of Turnover Intention Variable
Answers
|
Turnover Intention |
||||||
|
Indicator |
Value |
Total |
||||
|
STS 1 |
TS 2 |
CS 3 |
S 4 |
SS 5 |
||
|
X14 |
11% |
4% |
37% |
34% |
13% |
100% |
|
X15 |
11% |
4% |
30% |
11% |
43% |
100% |
|
Mean |
11% |
4% |
34% |
23% |
28% |
100% |
Source: Primary Data
From Table 5. , it can be seen that
the average answer given has a tendency to score 3 (Neutral), which is with a
percentage of 34%. This shows that the turnover intention rate of employees of
Tebet Hospital, UKI HOSPITAL, Atmajaya Hospital Jakarta is in the sufficient
category. However, the score of 4 (Agree) and score 5 (Strongly Agree) also has
a fairly large and influential percentage, namely 23% and 28%.
This also affects the high level of turnover intention in
employees, of course, it has a negative impact on the company, for example, the
high level of actual employee resignation, the general division of the HR
(Human Resources) department will eventually be disrupted by the recruitment
and selection process of new employees which can cause high turnover costs, as
well as the company's productivity decreases so that the company's profits and
targets achieve also decrease.
Analyzes SEM-PLS
SEM-PLS analysis was carried out through 2 analyses, namely
measurement model analysis (outer model) and structural model analysis (inner
model).
Measurement Model Evaluation Results
(Outer Model)
The data processing in this research uses the SEM-PLS Smart
application PLS 3.0. The data
that has been filled in by the respondents is made into 1 in a CSV (Comma Separated
Values) type data tabulation. This data processing is to determine the shape of
the model, the loading factor, significant in each latent variable. Data
processing using SEM-PLS is carried out by running data repeatedly so that the
validity and reliability values are met. There are 3 measurement criteria to
assess the Outer model, namely Convergent Validity, Discriminant Validity, and
Composite Validity.
Convergent validity with reflective indicators can be seen from
the correlation, among others, indicators with their construction values.
Indicators with loading factor values are said to be valid/reliable if they
have a correlation value above 0.7, but nevertheless for the initial stage of
research from the development of a loading value measurement scale of 0.5 to
0.6 is considered sufficient (Chin, 2022 in Ghozali, 2018). However, if the
value produced is not >0.5, the indicator is declared invalid and the
indicator must be removed from the model so
that data must be re-processed.
Table 6. Outer Loading Value in SEM-PLS Phase 1 Data
Processing
|
HRM |
Employee Engagement |
Organizational Commitment |
Turnover Intention |
|
X1 |
0.796 |
|
|
|
X2 |
0.820 |
|
|
|
X3 |
0.553 |
|
|
|
X4 |
0.717 |
|
|
|
X5 |
|
0.935 |
|
|
X6 |
|
0.866 |
|
|
X7 |
|
0.920 |
|
|
X8 |
|
-0.343 |
|
|
X9 |
|
0.682 |
|
|
X10 |
|
|
0.987 |
|
X11 |
|
|
0.983 |
|
X12 |
|
0.888 |
|
|
X13 |
|
0.810 |
|
|
X14 |
|
0.811 |
|
|
X15 |
|
0.904 |
|
Source: SEM-PLS Phase 1 data processing
From the results of SEM-PLS Phase 1 data
processing in the table above, it is found that there are still invalid
indicators, namely on X8 with a loading factor value of -0.343 indicators with
a small loading factor value showing a small contribution so that the indicator
needs to be eliminated and reprocessed data.
Table 7. Outer Loading Value in SEM-PLS Phase 2 Data
Processing
|
HRM |
Employee Engagement |
Organizational Commitment |
Turnover Intention |
|
X1 |
0.796 |
|
|
|
X2 |
0.821 |
|
|
|
X3 |
0.554 |
|
|
|
X4 |
0.717 |
|
|
|
X5 |
|
0.926 |
|
|
X6 |
|
0.869 |
|
|
X7 |
|
0.910 |
|
|
X8 |
|
|
|
|
X9 |
|
0.716 |
|
|
X10 |
|
|
0.987 |
|
X11 |
|
|
0.983 |
|
X12 |
|
0.887 |
|
|
X13 |
|
0.806 |
|
|
X14 |
|
0.815 |
|
|
X15 |
|
0.905 |
|
Source: SEM-PLS Phase 2 data processing
From the results of SEM-PLS Phase 2 data
processing in Figure 4.6 and Table 10. above,
It was found that all indicators were valid/had
met the loading factor value of >0.5. In addition to evaluating the value of
the loading factor, the validity of the construct can also be assessed by
looking at the AVE (Average Variance Extracted) value where the AVE value is
able to show the ability of the latent variable value to represent the original
data score. The higher the AVE value, the higher the ability to explain the
value of indicators that measure latent variables. The cut-off value of the AVE
used is 0.50 where the AVE value of at least 0.50 indicates a good measure of convergent validity, which
means that the probability of the indicator in a construct entering another
variable is lower (less than 0.50) so that the probability of the indicator
being convergent and entering in the construct whose value in the block is
greater than 50%. The following AVE values are generated from SEMPLS phase 2
data processing:
Figure
1. Graph of AVE values in SEM-PLS Phase 2 data processing
Table
8. AVE values in SEM-PLS Phase 2 data
processing
|
Variable |
AVE |
|
HRM |
0.532 |
|
Employee Engagement |
0.730 |
|
Organizational Commitment |
0.738 |
|
Turnover Intention |
0.970 |
Source:
SEM-PLS Phase 2 data processing
From Figure and Table 8. , it can be seen that
the SEM-PLS data processing in phase 2 testing produces the AVE value of each
variable can be declared good because it has met the requirements with a value
of more than 0.5. This shows that latent variables can explain more than 50% of
the variance of the indicators. So from Table 7. , Table 8. , and Figure, it
can be concluded that all indicators and constructs in the model have met the
criteria of the Convergent Validity
test.
Furthermore, a discriminant validity test is
carried out, to test whether the indicators of a construct are not highly
correlated with indicators from other constructs. The discriminant validity of
the measurement model with reflective indicators is assessed based on the cross
loading measurement with the construct. If the correlation of the construct
with the measurement item is greater than the size of the other construct, then
it indicates that the latent construct predicts the size on the block better than
the size of the other block. The following are the results of loading and cross
loading values from the results of SEM-PLS phase 2 data processing:
Table
9. Loading and Cross Loading
|
|
HRM |
Organizational Commitment |
Turnover Intention |
Employee Engagement |
|
X1 |
0.796 |
0.608 |
-0.670 |
0.210 |
|
X2 |
0.821 |
0.357 |
-0.541 |
0.216 |
|
X3 |
0.554 |
0.289 |
-0.360 |
-0.023 |
|
X4 |
0.717 |
0.253 |
-0.403 |
0.206 |
|
X5 |
0.457 |
0.926 |
-0.726 |
0.393 |
|
X6 |
0.404 |
0.869 |
-0.492 |
0.595 |
|
X7 |
0.397 |
0.910 |
-0.405 |
0.524 |
|
X9 |
0.027 |
0.716 |
-0.403 |
-0.559 |
|
X10 |
-0.652 |
0.987 |
-0.403 |
-0.378 |
|
X11 |
-0.701 |
0.983 |
-0.378 |
-0.206 |
|
X12 |
0.354 |
0.604 |
-0.449 |
0.887 |
|
X13 |
0.326 |
0.584 |
-0.498 |
0.806 |
|
X14 |
0.217 |
0.508 |
-0.055 |
0.815 |
|
X15 |
0.099 |
0.425 |
-0.045 |
0.905 |
Source: SEM-PLS Phase 2 data processing
An indicator can also be declared valid if it has
a loading factor higher than its cross
loading value. From Table 12. it can be
seen that the construction correlation of all loading values has a greater
value than cross loading. It can be concluded in the table above that each
construct predicts the indicators on each block better than the indicators in
the other blocks. Another method to find discriminant validity is to compare
the square root value of the AVE (√AVE) of each construct with the value
of the correlation between the construct and the other constructs (latent variable
correlation). The model has a sufficient
Discriminant Validity value if the AVE root for each construct is greater than
the correlation between the construct and the other constructs as seen in the
table below.
Table 10. Discriminant Validity Value
|
|
HRM |
Employee Engagement |
Organizational Commitment |
Turnover Intention |
|
HRM |
0.729 |
0.293 |
0.552 |
-0.685 |
|
Employee Engagement |
0.293 |
0.854 |
0.609 |
-0.302 |
|
Organizational Commitment |
0.552 |
0.609 |
0.859 |
-0.709 |
|
Turnover Intention |
-0.685 |
-0.302 |
-0.709 |
0.985 |
Source:
SEM-PLS
Phase 2 data processing
Table 10. above shows that all the AVE root values of
each construct are greater than the correlation between the construct and the
other constructs. So from Table 9. and Table
10. , it can be concluded that all constructs in the estimated model have met
the criteria of the Discriminant
Validity test. The last thing done in the Outer Model evaluation is to conduct a Composite Reliability test. The Composite
Reliability test is a better method
compared to the cronbach alpha value in
testing reliability in the SEM model. Composite reliability, which measures a
construct, can be evaluated with two measures, namely internal consistency and
cronbach's alpha (Ghozali, 2020, p.75). Cronbach's alpha tends to be a lower
bound estimate in measuring reliability, while composite reliability does not
assume reliability, while composite reliability is a closer approximation
assuming that parameter estimation is
more accurate (Ghozali, 2020, p.76). The composite reliability interpretation
is the same as Cronbach's alpha where a limit value of 0.7 and above is
acceptable. The following are the results
of composite reliability and Cronbach's alpha from SEM-PLS phase 2 data
processing:
Figure
2. Composite Reliability
Figure
3. Cronbasch’s Alpha
Table 11. Composite Reliability and Crombach Alpha Values
|
|
Composite Reliability |
Cronbach’s Alpha |
|
HRM |
0,817 |
0,721 |
|
Employee Engagement |
0,915 |
0,876 |
|
Organizational Commitment |
0,918 |
0,878 |
|
Turnover Intention |
0,985 |
0,970 |
From the Figure and Table above, it can be seen
that the research model is considered reliable because the Composite
Reliability and Cronbach's Alpha values of all variables have been above 0.7.
Thus, it can be concluded that the four variables have reliable reliability
because they meet the criteria of the
Composite Reliability test.
Hypothesis Testing
Testing hypotheses between constructs, namely
exogenous constructs against endogenous constructs and endogenous constructs
against endogenous constructs, was carried out using the bootstrap resampling method developed by Geisser (Ghozali, 2020: p. 25).
The test statistics used are t-statistics or
t-test, the application of the resampling method allows the application of
freely distributed data does not require normal distribution assumptions, and
does not require a large sample.
Hypothesis testing uses full model analysis of
Structural Equation Modeling (SEM) with smartPLS. In the full SEM model with
PLS, in addition to predicting the model, it also explains whether or not there
is a relationship between latent variables. The relationship of the path
analysis of all latent variables in PLS in the research is as follows:
1. Outer model that specifies the relationship
between indicators and latent variables.
2. Inner model that specifies the relationship
between latent variables.
3. Weight relation where the case value of the
latent variable can be estimated.
The decision on the acceptance of the hypothesis
in this research was carried out with the provision that the t-table one tail
test value determined in this research was 1.96 for a significance of 0.05.
Furthermore, the t-table value is used as a cut off value for the acceptance or
rejection of the hypothesis proposed:
1) The outer weight value of each indicator and its significance value.
Weight value The
recommended t-statistic is above and the t-statistic above the t-table value of
1.645 for α = 0.05 in the One Tailed test.
2) Look at the inner weight value of the relationship between latent variables.
Weight value of The relationship must show a positive direction with a t-value
above the t-table 1.96 for α = 0.05 on the one tailed test.
3) The research hypothesis is accepted if the weight
value of the relationship between latent variables indicates the direction with
a statistical t-value above the t-table value of 1.96 for α = 0.05:
4) The research hypothesis is rejected if the weight
value of the relationship between variables shows a t-statistical value below
the t-table value for α= 0.05;
There are 5 hypotheses that will be tried to be
answered in this research, and from the results hypothesis testing as follows:
Table 12. Results of Hypothesis Testing
|
Relation |
Original Sample (O) |
T Statistics (O/STDEV) |
Conclusion |
|
HRM → Employee Engagement |
0.061 |
0.678 |
There is a POSITIVE influence but the result
is not significant/hypothesis REJECTED |
|
HRM → Turnover Intention |
-0.408 |
16.897 |
There is a NEGATIVE influence and the
results are significant/hypothesis ACCEPTED |
|
Organizational Commitment → Employee Engagement |
0.705 |
12.321 |
There is a POSITIVE influence and the
results are significant / hypothesis ACCEPTED |
|
Organizational Commitment → Turnover Intention |
-0.427 |
9.216 |
There is a NEGATIVE influence and the
results are significant/hypothesis ACCEPTED |
|
Turnover Intention → Employee Engagement |
0.246 |
3.382 |
There is a POSITIVE influence and the
results are significant / hypothesis ACCEPTED |
Discussion
The discussion of the research results was
carried out to obtain scientific arguments on the results of hypothesis
testing. The following is a discussion of the results of the research:
a. Hypothesis 1 (HRM affects Employee Engagement)
b. Based on Table 12, the magnitude of the influence
parameter coefficient of the HRM variable on employee engagement (original
sample) is 0.061, which means that there is a POSITIVE influence between the
two variables. Or can
c. It is interpreted that the higher the HRM, the
better the employee engagement will be. Then from the T-statistical value
produced is 0.678 which means that the result is said to be NOT SIGNIFICANT
because of the statistical t value smaller than the t-table (0.678 < 1.96)
or it can be said that the HYPOTHESIS is REJECTED.
d. Hypothesis 2 (HRM affects Turnover Intention)
e. Based on Table 4.16, the magnitude of the
parameter coefficient of the influence of the HRM variable on turnover
intention (original sample) is -0.408 which means that there is a NEGATIVE
influence between the two variables. Or it can be interpreted that the lower
the HRM, the higher the employee's turnover intention will be. Then the
T-statistical value produced is 12.321 which means that the result is said to
be SIGNIFICANT because the statistical t-value is greater than the t-table
(12.321 > 1.96) or it can be said to be a HYPOTHESIS ACCEPTED.
f. Hypothesis 3 (Organizational Commitment Affects
Employee Engagement)
g. Based on Table 4.16, the magnitude of the
parameter coefficient of the influence of the variable of organizational
commitment on employee engagement (original sample) is 0.705, which means that
there is a POSITIVE influence between the two variables. Or it can be
interpreted that the higher the organization's commitment, the better the
employee engagement will be. Then from the T-statistical value generated is
16.897 which means that the result is said to be SIGNIFICANT because the
statistical t-value is greater than the t-table (16.897 > 1.96) or it can be
said that the hypothesis is ACCEPTED.
h. Hypothesis 4 (Organizational Commitment Affects
Turnover Intention)
i. Based on Table 4.16, the magnitude of the
parameter coefficient of the influence of the organizational commitment
variable on turnover intention (original sample) is -0.472 which means that
there is a NEGATIVE influence between the two variables. Or It can be
interpreted that the lower the organization's commitment, the more turnover Employee
intention will also be higher. Then from the T-statistical value is 9,216 which
means the result is said to be SIGNIFICANT Because the statistical t-value is
greater than the t-table (9.216 > 1.96) or it can be said that THE
HYPOTHESIS WAS ACCEPTED.
j. Hypothesis 5 (Turnover Intention affects Employee
Engagement)
k. Based on Table 4.16 The magnitude of the
parameter coefficient of influence of the turnover variable intention to
employee engagement (original sample) of 0.246 which means there is a POSITIVE
influence between the two variables. Or it can be interpreted that the lower
the turnover intention, the better the employee attachment will be. Then from
the T-statistical value produced is 3.382 which means that the result is said
to be SIGNIFICANT because the statistical t-value is greater than the t-table
(3.382 > 1.96) or it can be said that the HYPOTHESIS is ACCEPTED.
CONCLUSION
Based
on the analysis and discussion, several key conclusions can be drawn. First,
the influence of human resource management (HRM) on employee engagement shows a
positive relationship, although this influence is not statistically
significant, as indicated by the original sample value of 0.061 and a T-value
of 0.678, which is smaller than the critical t-table value (1.96).
Consequently, the hypothesis regarding HRM's influence on employee engagement
is rejected. However, the influence of HRM on turnover intention reveals a
negative and significant relationship, with an original sample value of -0.408
and a T-value of 12.321, confirming that effective HRM practices can
significantly reduce turnover intention. Additionally, organizational
commitment demonstrates a strong and significant positive relationship with
employee engagement, as reflected by an original sample value of 0.705 and a
T-value of 16.897, supporting the hypothesis that higher organizational
commitment increases employee engagement. Similarly, organizational commitment
has a significant negative effect on turnover intention, with an original
sample value of -0.472 and a T-value of 9.216, affirming that greater
commitment reduces the likelihood of turnover.
Moreover,
the study reveals a positive and significant relationship between turnover
intention and employee performance, with an original sample value of 0.246 and
a T-value of 3.382. This suggests that while turnover intention typically
reflects negative employee sentiments, it can also serve as a critical
indicator for performance outcomes, making it a valuable metric for HR
planning. This research contributes to the understanding of the
interconnectedness of HRM, organizational commitment, and employee behavior in
the healthcare sector. Future research should explore external factors such as
market conditions, leadership styles, and employee well-being programs to see
how they influence turnover intention and engagement. Longitudinal studies or
cross-sector comparisons could offer more comprehensive insights into the
long-term impact of HR strategies on performance and retention outcomes.
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Pinky
Sutrisno Saraswati, Justine Tanuwijaya, Andreas Wahyu Gunawan (2024) |
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First publication right: Asian Journal of Engineering, Social and Health
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