Key Factors of Employee Performance and Sustainable HR Practices in Indonesian Manufacturing Industry

Authors

  • Degdo Suprayitno Institut Ilmu Sosial dan Manajemen STIAMI

DOI:

https://doi.org/10.61194/ijmb.v2i1.135

Keywords:

Social Media Utilization, Employee Recruitment, Employee Retention, Employee Performance, Sustainable HR Practices

Abstract

In the framework of Indonesia's manufacturing sector, this study explores the complex relationships that exist between social media use, employee performance, recruiting, retention, and sustainable HR practices. A thorough quantitative research yielded insights into these links for a sample of 220 participants spanning various organizational levels. The study used partial least squares (SEM-PLS) structural equation modeling to investigate the direct and indirect relationships between the constructs. The findings show that social media use, hiring, and retention have a substantial beneficial direct impact on worker performance. Furthermore, an indirect effect was found, which shows that social media usage done well influences sustainable HR practices by mediating employee performance. The results provide firms looking to improve employee performance and promote sustainable HR practices in the ever-changing Indonesian manufacturing industry with practical takeaways.

References

Acintya, A., Ansari, D., Ali, S., & Hapsari, F. A. (2022). Sustainable manufacturing practices in micro, small, medium enterprises (MSMEs): evidence from Indonesia. Journal of Sustainability Science and Management, 17(10), 98–120. DOI: https://doi.org/10.46754/jssm.2022.10.008

Al Randi, S. I. A., Jalagat, R. C., & Bashayreh, A. (2022). Influence of Social Media Usage and Work Performance on Organizational Performance: The Case of A Broadband Company in Oman. Journal of Management and Economic Studies, 4(4), 419–435.

Aldhuhoori, R., Almazrouei, K., Sakhrieh, A., Al Hazza, M., & Alnahhal, M. (2022). The Effects of Recruitment, Selection, and Training Practices on Employee Performance in the Construction and Related Industries. Civil Engineering Journal, 8(12), 3831–3841. DOI: https://doi.org/10.28991/CEJ-2022-08-12-012

Alromaihi, M. A., Alshomaly, Z. A., & George, S. (2017). Job satisfaction and employee performance: A theoretical review of the relationship between the two variables. International Journal of Advanced Research in Management and Social Sciences, 6(1), 1–20.

Barry, R. B. A., Adman, A., Supardi, E., Sarino, A., Yatimah, D., & Purnama, R. (2019). Recruitement Effectiveness of Employees to Support Performance. 1st International Conference on Economics, Business, Entrepreneurship, and Finance (ICEBEF 2018), 196–200. DOI: https://doi.org/10.2991/icebef-18.2019.47

Bizhanova, K., Mamyrbekov, A., Umarov, I., Orazymbetova, A., & Khairullaeva, A. (2019). Impact of digital marketing development on entrepreneurship. E3S Web of Conferences, 135. https://doi.org/10.1051/e3sconf/201913504023 DOI: https://doi.org/10.1051/e3sconf/201913504023

de Kervenoael, R., Hasan, R., Schwob, A., & Goh, E. (2020). Leveraging human-robot interaction in hospitality services: Incorporating the role of perceived value, empathy, and information sharing into visitors’ intentions to use social robots. Tourism Management, 78, 104042. https://doi.org/https://doi.org/10.1016/j.tourman.2019.104042 DOI: https://doi.org/10.1016/j.tourman.2019.104042

Dewi, R. D. L. P., Aslindah, A., Masruhim, M. A., Taufik, M. Z., Rahmatiyah, R., Brantasari, M., Saktisyahputra, S., Hasan, M. N., Mas’ an Al Wahid, S., & Suprayitno, D. (2024). Buku Ajar Metodologi Penelitian Pendidikan. PT. Sonpedia Publishing Indonesia.

Dirgiatmo, Y., Abdullah, Z., & Ali, R. H. R. M. (2020). Social media practices in Indonesian SMEs. International Journal of Business Information Systems, 35(1), 3–26. DOI: https://doi.org/10.1504/IJBIS.2020.109556

Doshi, P., & Nigam, P. (2023). Effect of social media on employee’s work performance. Journal of Organizational Effectiveness: People and Performance. DOI: https://doi.org/10.1108/JOEPP-06-2022-0167

Eniola, S. O., Alagah, D. A., & Oshi, J. E. O. (2022). Green Employee Involvement and Non-Financial Corporate Performance in of Deposit Money Banks of in South-West, Nigeria. International Journal of Business Management and Finance Research, 5(1), 8–16. DOI: https://doi.org/10.53935/26415313.v5i1.205

ERNAWATI, E., SUPRAYITNO, D., EVITHA, Y., & Latunreng, W. (2023). The Effect of Warehouse Layout on Work Productivity at PT Perkasa Primarindo. International Journal of Environmental, Sustainability, and Social Science, 4(1), 94–114. DOI: https://doi.org/10.38142/ijesss.v4i1.465

Evitha, Y., Sari, S. N., Suprayitno, D., & Irrianda, J. (2023). Digital Communication Management Government of the Republic of Indonesia for Inclusive and Sustainable Economic Recovery in Indonesia. KnE Social Sciences, 621–631.

Gorde, S. (2019). A Study of Employee Retention.

Hair, J. F., Risher, J. J., Sarstedt, M., & Ringle, C. M. (2019). When to use and how to report the results of PLS-SEM. European Business Review, 31(1), 2–24. https://doi.org/https://doi.org/10.1108/EBR-11-2018-0203 DOI: https://doi.org/10.1108/EBR-11-2018-0203

Harahap, N. A. P., Al Qadri, F., Harahap, D. I. Y., Situmorang, M., & Wulandari, S. (2023). Analisis Perkkembangan Industri Manufaktur Indonesia. El-Mal: Jurnal Kajian Ekonomi & Bisnis Islam, 4(5), 1444–1450. DOI: https://doi.org/10.47467/elmal.v4i5.2918

James, L., & Mathew, L. (2012). Employee retention strategies: IT industry. SCMS Journal of Indian Management, 9(3).

Johnson, A. F., Roberto, K. J., Hartwell, C. J., & Taylor, J. F. (2023). A social media engagement framework for applicant attraction and retention:# SocialMediaCongruence. Online Information Review, 47(1), 104–122. DOI: https://doi.org/10.1108/OIR-05-2021-0260

Jora, R. B., Mittal, P., Kaushal, S., & Raghuvaran, S. (2023). Tech-Enabled Sustainable HR Strategies: Fostering Green Practices. 2023 9th International Conference on Advanced Computing and Communication Systems (ICACCS), 1, 2496–2501. DOI: https://doi.org/10.1109/ICACCS57279.2023.10113050

Koch, T., Gerber, C., & De Klerk, J. J. (2018). The impact of social media on recruitment: Are you LinkedIn? SA Journal of Human Resource Management, 16(1), 1–14. DOI: https://doi.org/10.4102/sajhrm.v16i0.861

Konateh, H., Duramany-Lakkoh, E. K., & Udeh, E. (2023). Cost and Administrative Effectiveness of Recruitment and Selection Practices on Public Service Delivery in Public Sector Institutions. European Journal of Business and Management Research, 8(2), 21–30. DOI: https://doi.org/10.24018/ejbmr.2023.8.2.1814

Kossivi, B., Xu, M., & Kalgora, B. (2016). Study on determining factors of employee retention. Open Journal of Social Sciences, 4(05), 261. DOI: https://doi.org/10.4236/jss.2016.45029

Kumar, A., Dogar, H., Mangi, Q. A., Shaikh, S., & Bhutto, S. A. (2023). A Quantitative Analysis of Organizational Silence and Turnover Intention: An Outcome with CB-SEM. Journal of Social Sciences Advancement, 4(2), 7–14. DOI: https://doi.org/10.52223/JSSA23-040202-64

Lisowski, O., & Grajek, M. (2023). Social determinants of employee selection and interviewing. Journal of Education, Health and Sport, 13(4), 297–305. DOI: https://doi.org/10.12775/JEHS.2023.13.04.035

Lysandra, C. L., Noermijati, N., & Kurniawati, D. T. (2023). IMPROVING EMPLOYEE PERFORMANCE THROUGH THE USE OF SOCIAL MEDIA AT THE WORKPLACE: MEDIATED BY EMPLOYEE ENGAGEMENT AND JOB SATISFACTION. Jurnal Aplikasi Manajemen, 21(2), 393–403. DOI: https://doi.org/10.21776/ub.jam.2023.021.02.09

Malik, A., Ali, M. A., Rafiq, S., & Adnan, M. (2022). Employee Perception, Barriers towards Career Development and HRM Strategies tenacity Employee Career Development. Sustainable Business and Society in Emerging Economies, 4(2), 561–572. DOI: https://doi.org/10.26710/sbsee.v4i2.2415

Mathis, R. L., & Jackson, J. H. (2016). Human Resource Management : Personnel Human Resource Management. In Harvard Business Review (Vol. 13, Issue January 2019).

Minha, H. C., & Tanth, G. (2023). Effective approaches to attracting and hiring the right talent for organizational success. DOI: https://doi.org/10.31219/osf.io/85tk2

Mirdhal, E. G., Kurniawan, Y., & Candra, S. (2023). The Impact of Information Technology and Social Network in Knowledge Sharing for Organization Performance (A Case Study Approach). 2023 8th International Conference on Business and Industrial Research (ICBIR), 1134–1139. DOI: https://doi.org/10.1109/ICBIR57571.2023.10147520

Munro, N. (2018). An exploration of the role of social media platforms in the employee recruitment process. University of Salford (United Kingdom).

Murire, O., Chinyamurindi, W., & Cilliers, L. (2020). Challenges faced by employers when using social media for recruitment and selection purposes. 2020 Conference on Information Communications Technology and Society (ICTAS), 1–8. DOI: https://doi.org/10.1109/ICTAS47918.2020.233997

Nakra, N., & Kashyap, V. (2023). Investigating the link between socially-responsible HRM and organizational sustainability performance–an HRD perspective. European Journal of Training and Development. DOI: https://doi.org/10.1108/EJTD-02-2023-0019

Okonkwo, I., & Awad, H. A. (2023). The Role of Social Media in Enhancing Communication and Collaboration in Business. Journal of Digital Marketing and Communication, 3(1), 19–27. DOI: https://doi.org/10.53623/jdmc.v3i1.247

Oncioiu, I., Anton, E., Ifrim, A. M., & Mândricel, D. A. (2022). The influence of social networks on the digital recruitment of human resources: An empirical study in the tourism sector. Sustainability, 14(6), 3693. DOI: https://doi.org/10.3390/su14063693

PALUPI, A., AL FURQON, M., LESTARI, H. S., & LEON, F. M. (2023). DIGITAL TRANSFORMATION, FINANCIAL LEVERAGE, BOARD SIZE ON THE PERFORMANCE OF MANUFACTURING COMPANIES IN INDONESIA. DOI: https://doi.org/10.37602/IJSSMR.2022.6111

Perkasa, D. H., Harbiato, F., Al Faruq, M., Wuryandari, N. E. R., & Rostini, C. N. (2023). The Influence of Recruitment, Training, and Motivation Systems on Employee Performance Bank Mandiri Latumentten Branch West Jakarta. KnE Social Sciences, 89–103.

Phiri, M. (2020). Exploring digital marketing resources, capabilities and market performance of small to medium agro-processors. A conceptual model. Journal of Business and Retail Management Research, 14(2). DOI: https://doi.org/10.24052/JBRMR/V14IS02/ART-01

Presbitero, A., Roxas, B., & Chadee, D. (2016). Looking beyond HRM practices in enhancing employee retention in BPOs: focus on employee–organisation value fit. International Journal of Human Resource Management, 27(6), 635–652. https://doi.org/10.1080/09585192.2015.1035306 DOI: https://doi.org/10.1080/09585192.2015.1035306

Primanthi, M. R., & Kalirajan, K. (2023). Sources of productivity growth in the indonesian manufacturing industries. Journal of Economic Analysis, 2(4), 31–46. DOI: https://doi.org/10.58567/jea02040002

Rehman, S., Ullah, A., Naseem, K., Elahi, A. R., & Erum, H. (2022). Talent acquisition and technology: A step towards sustainable development. Frontiers in Psychology, 13, 979991. DOI: https://doi.org/10.3389/fpsyg.2022.979991

Rohman, A. (2023). The Role of Knowledge Sharing, Social Media, and Trust in Job Performance. Jurnal Ilmiah Manajemen Dan Bisnis, 9(1), 37. https://doi.org/10.22441/jimb.v9i1.15318 DOI: https://doi.org/10.22441/jimb.v9i1.15318

Saharan, T. (2021). Problems and Prospects of Social Media Recruitment. In Transforming Human Resource Functions With Automation (pp. 82–103). IGI Global. DOI: https://doi.org/10.4018/978-1-7998-4180-7.ch005

Salha, R. (2022). The Influence of a Company’s Sustainability Initiatives on Its Employee Retention. Lebanese American University.

Saputra, A. D., Yanuardi, R., & Maharani, A. (2023). THE ROLE OF THE MANUFACTURING ON THE INDONESIAN ECONOMY. Indonesian Journal of Multidisciplinary Sciences, 2(1), 157–166. DOI: https://doi.org/10.59066/ijoms.v2i1.322

Shneikat, B., Dreisbach, S. M., Elrehail, H., Kumar, V. V. A., & Alzoubi, A. A. (2023). Achieving Sustainable Organization: from Talent Management Strategy to Employee Effectiveness. 2023 International Conference on Business Analytics for Technology and Security (ICBATS), 1–5. DOI: https://doi.org/10.1109/ICBATS57792.2023.10111173

Shrivastava, R. (2022). Talent management and effectiveness of recruitment process: a study of higher education institutions in central India. International Journal of Professional Business Review: Int. J. Prof. Bus. Rev., 7(6), 12. DOI: https://doi.org/10.26668/businessreview/2022.v7i6.841

Sunitha, V., Venkatesh, V., & Subith, D. (2023). A Study on Employees Retention with Reference to Cholamandalam Investment and Finance Company Limited, Chennai. Russian Law Journal, 11(12S), 89–93. DOI: https://doi.org/10.52783/rlj.v11i12s.2004

Suprayitno, D., & Hermawan, E. (2022). THE EFFECT OF ORGANIZATIONAL CLIMATE AND COMPETENCE ON THE PERFORMANCE OF PT. SAHARJO ENAM SEMBILAN. PalArch’s Journal of Archaeology of Egypt/Egyptology, 19(3), 929–944.

Suprayitno, D., Iskandar, S., Dahurandi, K., Hendarto, T., & Rumambi, F. J. (2024). Public Policy In The Era Of Climate Change: Adapting Strategies For Sustainable Futures. Migration Letters, 21(S6), 945–958.

Suprayitno, D., & Wibowo, H. U. (2020). Loyalty of Seafarers in the Shipping Industry in Jakarta Province, Indonesia. PalArch’s Journal of Archaeology of Egypt/Egyptology, 17(7), 10065–10084.

Teruna, D., & Ardiansyah, T. (2022). Recruitment Capabilities and Attractive Compensation in Supporting of the Employee Retention Paradigm. Majalah Ilmiah Bijak, 19(2), 206–221. DOI: https://doi.org/10.31334/bijak.v19i2.2452

Tikhonov, A., & Konovalova, V. (2020). The Impact of Social Media on Recruitment: Opportunities, Benefits, and Challenges. Proceeding of the International Science and Technology Conference" FarEastСon 2019" October 2019, Vladivostok, Russian Federation, Far Eastern Federal University, 415–423. DOI: https://doi.org/10.1007/978-981-15-2244-4_39

Van Hoang, D. (n.d.). Impact of Social Network Usage on Employees’ Work Performance in Public Organizations: Evidence from Vietnam. Proceedings of the International Conference on Business Excellence, 17(1), 1691–1701. DOI: https://doi.org/10.2478/picbe-2023-0151

Wolok, E., Yapanto, L. M., Lapian, A. L. C. H. P., Wolok, T., & Aneta, A. (2023). Manufacturing Industry Strategy in Increasing the Acceleration of Economic Growth in Indonesia. International Journal of Professional Business Review, 8(4), e01927–e01927. DOI: https://doi.org/10.26668/businessreview/2023.v8i4.1927

Zahmat Doost, E., & Zhang, W. (2023). The effect of social media use on job performance with moderating effects of Cyberloafing and job complexity. Information Technology & People. DOI: https://doi.org/10.1108/ITP-04-2022-0249

Downloads

Published

2024-02-29

How to Cite

Suprayitno, D. (2024). Key Factors of Employee Performance and Sustainable HR Practices in Indonesian Manufacturing Industry. Sinergi International Journal of Management and Business, 2(1), 57–72. https://doi.org/10.61194/ijmb.v2i1.135

Issue

Section

Articles