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The Effect of Human Resource Management Practices on
Managerial Performance: Evidence from Local Civil
Servant
1, 2
Vera Anitra Dewi Sartika
1 2
{ va674@umkt.ac.id , ds106@umkt.ac.id }
Universitas Muhammadiyah Kalimantan Timur1,2
Abstract. Human resource management is based on the concept that every employee is a human being, not a
machine, and not just a business resource. Human resources have a major role in the activities of each
organization. Although supported by facilities, infrastructure, and excessive resources, without the support of
reliable human resources, organizational activities will not be completed properly. Human resource
management has been widely practiced in everyday life, but in reality, management practice is not always
easy and successfully influences people to work more productively. The purpose of this study was to examine
the effect of human resource management practices on managerial performance: civil apparatus of East
Kalimantan Province. The sample in this study amounted to 118 employees. The analysis technique used was
the SPSS Multiple Linear Regression Analysis 22. The results of the analysis indicated that human resource
management practices had a positive influence on managerial performance.
Keywords: Human Resource Management, Managerial Performance
1. Introduction
Human resource management is part of the management function. If management emphasizes
'how to achieve common goals with others, then HRM focuses on "people" both as subjects or
actors and, at the same time, as objects of actors. Thus, how to manage people in the organization
that is planned (planning), organized (organizing), implemented (directing), and controlled
(controlling) so that the goals achieved by the organization can obtain optimal, efficient, and
effective results.
Human resource management practices are the most crucial part of the financial, marketing,
and operational management practices, in which all these practices are inseparable from the role of
human resources. Therefore, general management practices form the basis of the discussion.
Human resource management practices focus more on discussing the rules on humans’ role in
realizing optimal goals. These regulations include issues of planning (human resource planning),
organizing, maintaining, disciplining, and eliminating workers, which is carried out to help the
realization of company goals and the satisfaction of employees and community. More precisely,
the human resource management practice regulates the human workforce in such a way as to
realize the optimal company goals and the satisfaction of employees and society.
One of the government agencies, the Regional Development Planning Agency in East
Kalimantan Province, is an organization that has a variety of objectives. Activities within
government agencies are always directed towards achieving predetermined goals. In the effort to
achieve this, production factors are needed, consisting of natural resources, human resources,
machinery, and capital. Also, technological developments are quite rapid to cause human thinking
patterns to change. It is undoubtedly influenced by circumstances, situations, and where the place
is located.
This condition of behavior change is based on the science, knowledge, and experience of
each individual. Individual or human is one of the factors of production. A government agency is
said to be effective if every individual within has a good performance in carrying out its duties.
Every organization, be it a company, social organization, or government organization, has a goal
that can be achieved through the implementation of specific jobs by using all available resources
within the organization. The most crucial role in achieving the organization’s goals is Human
Resources.
Local government organizations, especially the Regional Development Planning Agency in
East Kalimantan Province, are the institutions that run the government, whose source of legitimacy
comes from the community. The community gives trust to government administrators by having to
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ISBN: 978-602-6697-54-7
be balanced with a good performance so that services can be effectively improved and touched on
the community. Good governance must have human resources with sufficient ability to work and
handle government affairs. Human resources in an organization have an important role because,
without the support of good human resources, an organization can face problems in achieving
organizational goals.
Career planning in the human resource management framework begins with the underlying
assumption that a person who starts working after placement in an organization will continue to
work for the organization during its active period until he enters retirement. According to
Samsuddin (2010: 134), career planning has at least two scopes, namely: 1. Planning the level of
rank or employees’ rank. 2. Planning the goals of the organization or company [9].
Furthermore, performance appraisal is a guideline in the field of personnel to find out and
assess the work of employees during a specified period. In this case, the achievement is closely
related to individual productivity, training and development issues, career planning, and
remuneration.
Nevertheless, employee work performance is essential in an organization's efforts to achieve
its goals, so various activities must be carried out by the organization to improve it. One of them is
through performance appraisal. Job performance evaluation is the process by which organizations
evaluate or assess employee performance [4].
The source of the prospective employees’ placement comes from two sources: the company's
internal and external sources [8]. Sources of labor taken from the company's internal employees
are through promotion, transfer (job rotation), and demotion programs. External labor resources
are taken from outside the company. Meanwhile, placement is a process of assigning tasks and
work to employees who pass the selection to be carried out continuously, the inherent authority
and responsibility are as much as the portion and composition specified, and can account for all
risks that may occur over these duties and work, authorities, and responsibilities [1].
Workforce training is any attempt to improve workers’ performance at a particular job that
is their responsibility, or one task related to the job [13]. As for a reason for implementing training
for employees, newly recruited employees often do not correctly understand how to do work,
changes in the work environment and workforce, increase company competitiveness, improve
employee productivity, and adjust to existing regulations [5].
2. LITERATURE REVIEW
Research conducted by Tri Wikaningrum (2011) analyzed the practices and policies of
human resource management in Islamic Banking. It aimed to identify policies and practices for
developing Human Resources (HR) in Islamic banks and analyze their effects on organizational
performance. This study’s variables were HR development policies and practices, work attitudes,
selection, training, development, policy formalization, performance appraisal, promotion,
compensation, and performance. Data were analyzed using descriptive methods. The analysis
showed that HR management practices for most Islamic bank respondents were less than optimal.
It included the allocation of training time and frequency of implementation, basic clarity for
promotion arrangements, types, and amounts of compensation that were less competitive than the
same type of work at other banks, as well as performance appraisals that were less oriented
towards employee development.
Besides, Fenina Ezra Wulan Kasenda (2016) analyzed the effect of Human Resource
Management Practices on Employee Performance at the Office of State Assets and Auction
(Kpknl) Manado. The research objective was to determine whether human resource management
practices: career planning, work performance appraisal, and training had a simultaneous effect on
organizational performance in the Office of State Assets and Auction Services (KPKNL) Manado.
The study results were that Career Planning, Job Performance Assessment, and Human Resources
Training simultaneously had a significant effect on the performance of employees at the KPKNL
Manado. Career Planning and Job Performance Assessment had a positive and significant effect on
employee performance at the KPKNL Manado. The second most influential variable was career
planning, which influenced employee performance in this study compared to the other two
variables. Training did not significantly influence employee performance at the Manado KPKNL.
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Moreover, Cheng Ling Tan and Aizzat Mohd Nasurdin (2011) conducted research on the
Practice of Human Resource Management and Organizational Innovation: Assessing the Role of
the Effectiveness Mediation of Knowledge Management. In this research, they explained that
organizational innovation had been an essential weapon for organizations to compete in this
competitive business environment. Malaysian manufacturing companies especially tried to change
their business model from labor-intensive to knowledge-intensive, which aimed to immerse
themselves in higher value-added activities, such as developing new products, processes, and
services to maintain competitiveness in competition. One way to increase organizational
innovation was through effective human resource management (HRM) and effective knowledge
management. This study examined the direct relationship between HRM practices (performance
appraisal, career management, training, reward systems, and recruitment) and organizational
innovation (product innovation, process innovation, and administrative innovation). Besides, it
also examined the mediating role of KM effectiveness in a direct relationship. Data were obtained
from a sample of 171 large manufacturing companies in Malaysia. Regression results showed that
HRM practices generally had a positive effect on organizational innovation. Specifically, the
findings indicated that training was positively related to three dimensions of organizational
innovation (product innovation, process innovation, and administrative innovation). Performance
appraisal was also found to have a positive effect on administrative innovation. Besides, this study
showed that training and performance appraisal were positively related to the effectiveness of
knowledge management.
Therefore, this current study was to analyze the effect of human resource management
practices (career planning, achievement assessment, work placement, and training) on managerial
performance in the Regional Development Planning Board of East Kalimantan Province.
H1. It is assumed that career planning has a positive effect on managerial performance at the
Regional Development Planning Agency of East Kalimantan Province.
H2. It is assumed that the performance appraisal has a positive effect on managerial performance
at the Regional Development Planning Agency of East Kalimantan Province.
H3. It is assumed that work placement has a positive effect on managerial performance at the
Regional Development Planning Agency of East Kalimantan Province.
H4. It is assumed that training has a positive effect on managerial performance at the Regional
Development Planning Agency of East Kalimantan Province.
3. Research Methods
This study used a qualitative descriptive approach analyzed by statistical analysis methods
with the SPSS computer program. Using this type of research, researchers were expected to
describe human resource management practice to organizational culture, organizational climate,
work environment, and work discipline at the Regional Development Planning Agency, East
Kalimantan Province.
The subjects of this study were employees of the Regional Development Planning Agency of
East Kalimantan Province (BAPPEDA, East Kalimantan Province). Based on data from employees
of PT. Multi Harapan Utama in Samarinda, the total number of employees in 2018 was 167
people. The sampling technique in this study employed Proportionate Stratified Random
Sampling. This technique is utilized if the population has members or elements that are not
homogeneous and proportionally distributed [12]. Based on the calculation, the number of samples
in this study was 118 employees of the Regional Development Planning Agency, East Kalimantan
Province.
4. Reliability Analysis
In this study, the reliability measurement was seen from Cronbach's Alpha value of all
variables. The instrument is said to be reliable if the Cronbach's Alpha value is higher than 0.60
[11].
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ISBN: 978-602-6697-54-7
Table 1 Reliability Test Results
Variable Cronbach's Alpha
Career Planning 0,838
Achievement Assessment 0,839
Work Placement 0,758
Training 0,693
Managerial Performance 0,912
Source: Primary data processed, June 2018
5. Result and Analysis
This research was conducted at the Regional Development Planning Agency, East
Kalimantan Province, as a research object. The list obtained was sorted according to the criteria
specified in the sampling, then taken that had fulfilled these criteria to be used as respondents in
this study. Samples that did not meet these criteria were automatically not used as respondents.
Respondents in this study were employees at the Regional Development Planning Agency Office
in Samarinda.
The distribution of questionnaires in this study was done by filling out the questionnaire
online through the help of google docs technology. The number of questionnaires distributed was
toward 120 people from 15-21 May 2018. Of the 120 questionnaires distributed, questionnaires
were filled with 118 people, and the remaining two questionnaires were not filled out because they
refused to fill out. Thus, the questionnaire used in this study was 118 people, with the following
data:
Table 2 Education Level of Respondents
Education Level Percentage
Diploma 13,6 %
S2/Masters 8,5 %
S3/Doctor 1,7 %
Bachelor 41, 5 %
High school 34,7 %
Total 100 %
Source: Primary data processed, June 2018
Table 5 above shows that the education level of high school was 34.7%, the Diploma was
13.6%, the bachelor was 41.5%, S2 was 8.5%, and S3 was 1.7%. From these calculations, the
majority of employees at the Regional Development Planning Agency in East Kalimantan
Province had a bachelor’s degree.
Table 3 Gender of Respondents
Gender Percentage
Men 55,1 %
Women 44,9 %
Total 100 %
Source: Primary data processed, June 2018
The above table shows that the majority of Regional Development Planning Agency
employees are men with 55.1% and women with 44.9%. In this study, a data validity test was
performed by looking at the value of the loading analysis results. Data is declared valid if it meets
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