The Effect of Competence and Job Satisfaction on Employee Loyalty in the Cement Industry
DOI:
https://doi.org/10.35877/454RI.qems1932Keywords:
Competence; Job Satisfaction; Employee LoyaltyAbstract
This study aims to examine the effect of competence (Competence) and job satisfaction (Job Satisfaction) on employee loyalty at PT Semen Baturaja Palembang. The research method used was a survey with a cross-sectional design, and the sample consisted of 98 employees selected using convenience sampling. Data were collected through a questionnaire with a Likert scale of 1 to 5, which had gone through a validity and reliability assessment. Data analysis was conducted using multiple linear regression with Smart PLS application. The results of the analysis show that competence and job satisfaction have a positive and significant effect on employee loyalty. Competence and job satisfaction can explain about 59.8% of the variation in employee loyalty. The recommendations proposed are that companies need to improve employee competencies through relevant training and development and pay attention to other factors that affect loyalty. In addition, it is important to continuously monitor and improve employee job satisfaction levels and conduct periodic evaluations to create a productive and competitive work environment. The implementation of these recommendations is expected to strengthen employee engagement, improve retention, and create a work environment that contributes to the overall success of the organization.
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Yalabik, Z. Y., Popaitoon, P., Chowne, J. A., & Rayton, B. A. (2013). Work engagement as a mediator between employee attitudes and outcomes. International Journal of Human Resource Management, 24(14), 2799–2823. https://doi.org/10.1080/09585192.2013.763844
Ali, M., Lodhi, S. A., Orangzab, Raza, B., & Ali, W. (2018). Examining the impact of managerial coaching on employee job performance: Mediating role of work engagement, leader-member-exchange quality, job satisfaction, and turnover intentions. Pakistan Journal of Commerce and Social Science, 12(1), 253–282.
AM, M. A., Helmi, S., Kassymova, G. K., Retnawati, H., Hadi, S., & Istiyono, E. (2022). Effect of job satisfaction on service quality mediated by lecturer performance at state universities. Materials of International Practical Internet Conference “Challenges of Science,” V, 62–71. https://doi.org/10.31643/2022.08
Andani, K., & Wahyono, W. (2018). Influence of sales promotion, hedonic shopping motivation, and fashion involvement toward impulse buying through a positive emotion. Management Analysis Journal, 7(4), 448–457.
Astarina, I., Budiyanto, & Agustedi. (2021). The rule of competence, compensation, and workshop on employee performance mediated by prime service of public health service. Accounting, 7(1), 65–74. https://doi.org/10.5267/j.ac.2020.10.013
Berber, N., Gaši?, D., Kati?, I., & Borocki, J. (2022). The mediating role of job satisfaction in the relationship between fwas and turnover intentions. Sustainability (Switzerland), 14(8), 110–116. https://doi.org/10.3390/su14084502
Brockner, J., Flynn, F. J., Dolan, R. J., Ostfield, A., Pace, D., & Ziskin, I. V. (2006). Commentary on “radical HRM innovation and competitive advantage: The Moneyball story.” Human Resource Management, 45(1), 127–145. https://doi.org/10.1002/hrm
Colquitt, J. A., Lepine, J. A., & Wesson, M. J. (2019). Organization behavior: Improving performance and commitment in the workplace. In McGraw-Hill Education (6th ed., Vol. 4, Issue 4).
Creswell, J. W., & Clark, V. L. P. (2011). Choosing a mixed methods design. In Designing and Conducting Mixed Methods Research (pp. 53–106). Sage Publications, Inc.
Egenius, S., Triatmanto, B., & Natsir, M. (2020). The effect of job satisfaction on employee performance through loyalty at credit union (CU) corporation of East Kutai District, East Kalimantan. International Journal of Multicultural and Multireligious Understanding, 7(10), 480. https://doi.org/10.18415/ijmmu.v7i10.1891
Esthi, R. B., Dan, & Savhira, I. (2020). The influence of training and discipline on employee performance in PT. Y-tech Autoparts Indonesia. Journal of Reseacrh in Business, Economics, and Education, 1(2), 101–108. https://www.neliti.com/id/publications/322985/the-influence-of-training-and-discipline-on-employee-performance-in-pt-y-tech-au
Hamzah, A., & Shamsudin, M. (2020). Why customer satisfaction is important to business? Journal of Undergraduate Social Science and Technology, 2(1), 1–14. http://blog.clientheartbeat.com/why-customer-satisfaction-is-important/
Helmi, S., Suyanto, M., Effendi, M. I., Hidayat, A., & Mustafa, Z. (2022). The influence of internal marketing on internal service quality mediated by job satisfaction and employee loyalty. Journal of Economics and Sustainable Development, 13(6), 63–69. https://doi.org/10.7176/jesd/13-6-09
Ishlahah, F., & Oktariyanda, T. A. (2023). Strategi Peningkatan Layanan Surat Izin Mengemudi Melalui Layanan Sinar (Sim Presisi Nasional) Di Kantor Satuan Lalu Lintas Polres Kabupaten Gresik. Publika, 11(1), 1361–1372.
Kärner, T., Warwas, J., & Schumann, S. (2021). A learning analytics approach to address heterogeneity in the classroom: The teachers’ diagnostic support system. Technology, Knowledge and Learning, 26(1), 31–52. https://doi.org/10.1007/s10758-020-09448-4
Kim, K. Y., Eisenberger, R., & Baik, K. (2016). Perceived organizational support and affective organizational commitment: Moderating influence of perceived organizational competence. Journal of Organizational Behavior, 37(Special Isseu), 558–583. https://doi.org/10.1002/job
Kurdi, B. Al, Alshurideh, M., & Alnaser, A. (2020). The impact of employee satisfaction on customer satisfaction: Theoretical and empirical underpinning. Management Science Letters, 10(15), 3561–3570. https://doi.org/10.5267/j.msl.2020.6.038
Nguyen, P. T., Yandi, A., & Mahaputra, M. R. (2020). Factors that influence employee performance: Motivation, leadership, environment, culture organization, work achievement, competence and compensation (a study of human resource management literature studies). DIJDBM: Dinasti International Journal Business Management, 1(4), 645–662. https://doi.org/10.31933/DIJDBM
Nurliza, N., Fitrianti, W., & Pamela, P. (2021). A study on the effects of innovation marketing process for Indonesian SMEs’ in food and beverage sector. Management Science Letters, 11, 1747–1754. https://doi.org/10.5267/j.msl.2021.2.008
Pratiwi, A. R., & Muzakki, M. (2021). Perceived organizational support terhadap komitmen organisasi dan kinerja karyawan. Jurnal Ilmiah Manajemen Dan Bisnis, 22(1), 111–120. https://doi.org/10.30596/jimb.v22i1.5282
Prentice, C., Dominique Lopes, S., & Wang, X. (2020). The impact of artificial intelligence and employee service quality on customer satisfaction and loyalty. Journal of Hospitality Marketing and Management, 29(7), 739–756. https://doi.org/10.1080/19368623.2020.1722304
Saks, A. M. (2019). Antecedents and consequences of employee engagement revisited. Journal of Organizational Effectiveness, 6(1), 19–38. https://doi.org/10.1108/JOEPP-06-2018-0034
Setyadi, B., Helmi, S., & Hidayat, A. (2022). The influence of employee performance on customer loyalty is mediated by service quality and customer satisfaction. Journal of Positive School Psychology, 6(9), 5091–5102. https://journalppw.com/index.php/jpsp/article/view/13488/8744
Setyadi, B., Helmi, S., Ismail, S., & Mohamad, S. (2022). The effect of internal marketing of islamic banks in palembang city on the quality of customer service with job satisfaction as a mediator. Ikonomika?: Jurnal Ekonomi Dan Bisnis Islam, 7(1), 57–74. https://doi.org/https://doi.org/10.24042/febi.v7i1.13703
Setyadi, B., Helmi, S., & Mohamad, S. I. bin S. (2023). Customer satisfaction mediates the influence of service quality on customer loyalty in islamic banks. International Journal of Islamic Business and Economics (IJIBEC), 7(1), 25–36. https://doi.org/10.28918/ijibec.v7i1.6924
Sharma, S., & Srivastava, S. (2018). Relationship between service quality and customer satisfaction in hotel industry. TRJ Tourism Research Journal, 2(1), 42. https://doi.org/10.30647/trj.v2i1.20
Sun, L., & Bunchapattanasakda, C. (2019). Employee engagement: A literature review. International Journal of Human Resource Studies, 9(1), 63. https://doi.org/10.5296/ijhrs.v9i1.14167
Tran, X., Dauchez, C., & Szemik, A. M. (2013). Hotel brand personality and brand quality. Journal of Vacation Marketing, 19(4), 329–341. https://doi.org/10.1177/1356766713481218
Yalabik, Z. Y., Popaitoon, P., Chowne, J. A., & Rayton, B. A. (2013). Work engagement as a mediator between employee attitudes and outcomes. International Journal of Human Resource Management, 24(14), 2799–2823. https://doi.org/10.1080/09585192.2013.763844
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Published
2023-08-03
How to Cite
Bakti Setyadi, Dewi Sartika, & Sulaiman Helmi. (2023). The Effect of Competence and Job Satisfaction on Employee Loyalty in the Cement Industry. Quantitative Economics and Management Studies, 4(5), 1003–1011. https://doi.org/10.35877/454RI.qems1932
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