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The Influence of Direct Compensation, Work Motivation, and The Work Environment on The Performance of Matahari Department Store Employees,

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The Influence of Direct Compensation, Work Motivation, and The Work Environment on The Performance of Matahari Department Store Employees,

Delta Plaza Surabaya

Lina Dwi Astutik, Elok Damayanti, Helen Pramudita

Departement of Management, Narotama University Surabaya

Jl. Arief Rachman Hakim No. 51 Surabaya, Indonesia

[email protected], [email protected], [email protected]

Abstract

This study discusses the influence of direct compensation, work motivation, and work environment on the performance ofMatahari Department Store employees, Delta Plaza Surabaya. Matahari Department Store is a retail company in Indonesia which is the owner of the Matahari department store chain.This study aims to determine the influence of direct compensation, work motivation, and work environment on the performance of Matahari Department Store employees, Delta Plaza Surabaya. The sampling technique in this study used a questionnaire technique. Respondents in this study were 80 employees with active status at Matahari Delta Plaza Surabaya. Methods of data analysis used multiple linear regression test, with the SPSS v.2.0 software test tool as an analysis tool.Based on the results compensation, motivation, work environment together have a significant effect on the employee performance.

Keywords :

Direct Compensation, Employe Performance , Work Environment, Work Motivation.

1. Introduction

Business and retail competition is getting tougher. Human resources are the most important factor in an organization for its talent, energy and creativity that are needed to achieve company’s goals. Company needs to have competent employees while working to face tough competition. Employees are an important component in carrying out company activities. Therefore, employees must have high performance and be supported by providing compensation in accordance with employee contributions, then high motivation, and a comfortable work environment for employees.

Lack of motivation from the company causes a decrease in employee performance, because employees also need motivation from the company so that they are enthusiastic about working.An uncomfortable work environment can also reduce employee performance. For example, work relationships that occur between salespeople do not go well, such as miss communication between salespeople, mutually indifferent if there are customers who want to be served while shopping, so that the work environment becomes uncomfortable and even customers feel unappreciated. Therefore, employees must help each other and communication with customers can run well.

2. Literature Review

2.1. Direct Compensation

According to Nawawi, (2011) Direct compensation means a remuneration provided by the company to employees for providing their achievements for the company's interests. This compensation is given, because it is directly related to the work performed by the employee. For example: wages / salaries, incentives / bonuses, job allowances.

2.2. Work Motivation

Steers and Porter, 1991(in Miftahun and Sugiyanto, 2010) statedthat work motivation is an effort that can lead to behavior, direct behavior, and maintain or maintain behavior in accordance with the work environment in the organization. Work motivation is a basic human need and an incentive that is expected to meet the desired basic needs, so that if the need exists it will result in the success of an activity. Employees who have high work motivation will try to get their work done as well as possible.

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11 2.3. Work Environment

Work environment According to Sedarmayanti, (2011) The work environment is the entire tooling and materials faced by the surrounding environment where a person works, their work methods, and their work arrangements both as individuals and as groups.

2.4. Employee Performance

Employee performance According to Mangkunegara, (2000) performance is the result of work produced by an employee to achieve the expected goals.

2.5. Human Resource Management

(Dessler, 2006) The definition of human resource management according to Dessler is the process of obtaining, training, assessing and compensating employees, paying attention to employee work relations, health, safety and issues of justice.

3. Theoretical Framework

3.1. The relationship between direct compensation variables on employee performance

According to research by Nurcahyani and Adnyani, (2016) states that compensation has a positive effect on employee performance.

3.2. The relationship between work motivation variables on employee performance

The results of the study by BayuDwiLaksonoHanafi show that the motivation variable on employee performance has a positive and significant effect because it has a t-value of 2.97> t-table 1.96.

3.3. The relationship between the work environment and employee performance

Tiaragita's research, Realize the work environment partially positive and significant impact on employee performance with nil 9.798> 1.983.

Figure 1. Employee Performance 3.4. Hypotheses

H1: There is a significant effect of partial compensation on the employee performance of Matahari Department Store Delta Plaza Surabaya

H2: There is a partially significant influence of motivation on the employee performance of Matahari Department Store Delta Plaza Surabaya

H3: Here is a partially significant influence of the work environment on the employee performance of Matahari Department Store Delta Plaza Surabaya

H4: There is a simultaneous significant influence of Compensation, Motivation and Work Environment on Employee Performance of Matahari Department Store Delta Plaza Surabaya.

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4. Research

Methods

4.1. Types of research

In this study, researchers used a quantitative approach. Quantitative research is a form of numbers to test a hypothesis. By using this approach, the significance of the relationship between the variables studied will be obtained.

4.2. Research Object

According to Sudjana, (2010) Population is the totality of all possible values, counting or measurement results, quantitative or qualitative regarding certain characteristics of all complete and clear group members who want to study their properties. This research was only conducted on sales clerk and cashier of the delta Plaza Surabaya sun.

4.3. Sample

The sample is a part or representative of the population to be studied (Arikunto, 2006). If the research is carried out by part of the population, it can be said that the research is a sample study. In this study, using non- probability sampling techniques, namely sampling techniques from populations found or determined by the researcher and / or according to expert considerations. Sampling is done by selecting subjects based on specific criteria set by researchers with purposive sampling method. The sample consisted of 80 employees from Matahari Department Delta Plaza Surabaya.

4.4. Data Type

This study uses primary data. Primary data is a source of research data obtained directly from the original source, not through intermediary media.

4.5. Data Source

This data will be obtained from the results of filling out a questionnaire regarding compensation, motivation and work environment on employee performance which is filled out by employees of the Matahari Department Store Delta Plaza Surabaya.

4.6. Data Analysis Technique

Data collection is a systematic and standard procedure for obtaining the necessary data. an important component in research is the researcher's process of data collection. Each study has a different data collection process, depending on the type of research the researcher intends to do.

5. Result And Discussion

The classic assumption test is a requirement that must be fulfilled in multiple linear regression analysis.

This test aims to provide certainty that the regression equation obtained has accuracy in estimation, unbiased, and consistent.

5.1. Normality Test

Figure 2. P-Plot

This test is used to determine the data contained in each variable is normally distributed or not. Normality Test Results can be seen in Figure 1.

The graph above shows that all existing data is normally distributed, because all data spreads to form a straight diagonal line, so the data meets normal assumptions or follows the line of normality.

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13 5.2. Multicollinearity Test

Multicollinearity test is used to find out whether in the regression model there is a variance in variance from the residuals of one observation to another . Multicollinearity Test Results can be seen in Table 1.

Table 1. Multicollinearity Test Cofficients

Model Unstandardized

Coefficients

Stand ardize d Coeff

icient s Collinearity Statistics

t ig

B

Std.

Err or Beta

Tole

ranc e VIF 1

(Constan t)

13,7 28

1,4 98

9,1 65

,00 0

Compens ,877 ,33 ,456 2,5 ,01 ,256 1,7

ation 8 69 1 05

Motivati ,706 ,23 ,104 2,4 ,02 ,153 1,5

on 1 59 8 34

Work Environ

ment ,773

,16

2 ,095

2,4 51

0,3

5 ,179

1,5 79 Dependent Variable : Employee Performance

In table 1, it can be seen that the data meet the multicollinearity test requirements because the tolerance value of each variable is ≤ 0.10 and the VIF value of each variable is ≥10 which means that the variable does not occur multicollinearity.

5.3. Autocorrelation Test

Autocorrelation test is used by researchers to test whether in the linear regression model there is a correlation between the interruption error in the t period and the confounding error in the t (previous) period. in this study, researchers used the Durbin Watson (DW test) approach . The results of the Durbin Watson test can be seen in Table 2.

Table 2. Autocorrelation Test Durbin-

Watson

Description

1.908 There is no

autocorrelation

To find out the existence of autocorrelation or can not be known by the DW-Test with the terms du <d <4 - dU , a good regression model is one that does not have autocorrelation. The test results using the Durbin Watson table can be seen in Table 3.

5.4. Heterokedasticity Test

Heterokedasticity test used to find out whether the regression model occurred inequality variants of residuals of the observations to other observations . Heteroscedasticity test can be seen in Figure 2.

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Figure1. Heterokedasticity Test

In Figure 2, it can be seen that the points spread randomly and spread both above and below 0 on the Y axis, and there are no specific patterns, this concludes that there is no heterokedasticity.

5.5. Multiple Linear Regression Test

The results of multiple linear regression analysis in this study can be seen in Table 4.

Table 4.Multiple Linear Regression Test Cofficients Stand

ardize Model Unstandardized Coefficients

Std.

d Coeff icient s

t Sig

Collinearity Statistics

Tole

B Err

or

Beta ranc e

0

VIF

a. Dependent Variable : Employee Performance

Based on the analysis results in table 4, the linear regression equation is obtained as follows: Y = 13,728 + 0,877 (X1) + 0,706 (X2) + 0,773 (X3)

5.6. Coefficient of Determination R^2

The coefficient of determination test aims to find out how much the model's ability to explain the variation of the dependent variable. Test results in this study can be seen in table 5.

Table 5. Coefficient of Det ermination Test 𝑹𝟐 Adjusted R

Square

Description

.375 Middle

The test results of the coefficient of determination (R^2) indicate that the Adjusted R Square value of 0.375 or 37.5%. This means that the rate of profit change that can be explained by independent variables is 37.5%, while the remaining 62.5% is influenced by other variables not examined.

1

(Constan t)

13,7 28

1,4 98

9,1 65

,00 Compens

ation ,877 ,33

8 ,456 2,5

69

,01

1 ,256 1,7

05 Motivati

on ,706 ,23

1 ,104 2,4

59

,02

8 ,153 1,5

34 Work

Environ ment

,773 ,16

2 ,095 2,4

51

0,3

5 ,179 1,5

79

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15 5.7. F Test (Simultaneous)

Simultaneous hypothesis testing aims to determine the effect independent variables simultaneously (together) on the dependent variable. The f test results in this study can be seen in table 6.

Table 6. F Test

F Sig. Description

16.781 .000 Significant

F test (simultaneous) above can be said that the F test results simultaneously with F count of 16.781 with a significant level of 0.000. The significant value of F is greater than 0.05 which means that it has a significant effect simultaneously on the variables of Compensation (X1), Motivation (X2), Work Environment (X3) and Employee Performance (Y).

5.8. T test (partial)

Partial hypothesis test aims to determine the effect independent variables partially (individually) on the dependent variable. T test results in this study can be seen in Table 7.

Model Unstandardized Coefficients

Std.

Table7. T Test Cofficients Stand ardize d Coeff icient

s

t Sig

Collinearity Statistics

Tole

B Err

or

Beta ranc e

0

VIF

b. Dependent Variable : Employee Performance

Based on the data table above in the T test (partial) above, it is known that the significant value of the compensation variable (X1) is 0.011 <0.05, so the results of the compensation variable (X1) have a significant effect on the employee performance variable (Y). The motivation variable (X2) is 0.028 <0.05, so the results of this variable have an effect on the Employee Performance variable (Y). And the Work Environment variable (X3) is 0.035 <0.05, so the results of this variable have a significant effect on the Employee Performance variable (Y). Therefore, the compensation, motivation and work environment variables have a significant influence on the employee performance variable (Y).

6. Conclusion and Suggestion

6.1 Conclusion

Based on the analysis that has been carried out, several conclusions can be drawn as follows:

1. The results of data processing using SPSS show that the compensation variable partially has a significant effect on employee performance, with the results of the T test 0.011 <0.05.

2. The results of data processing using SPSS show that the motivation variable has a partially significant effect on employee performance with the results of the T test of 0.028 <0.05.

3. The results that have been tested in data processing using SPSS on the Work Environment variable partially have a significant effect on Employee Performance with the T test results of 0.035 <0.05.

1

(Constant )

13,7 28

1,49 8

9,16 5

,00 Compens

ation ,877 ,338 ,456 2,56

9

,01

1 ,256 1,70

5 Motivati

on ,706 ,231 ,104 2,45

9

,02

8 ,153 1,53

4 Work

Environ ment

,773 ,162 ,095 2,45

1

0,3

5 ,179 1,57

9

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16 6.2 Suggestion

Based on the above conclusions, the authors provide some suggestions that are expected to be useful for Matahari Department Store Delta Plaza Surabaya, which are as follows:

1. Based on the results of data processing, the company needs policies on Work Motivation variables to increase the potentials of employees who have worked for a long time in the company.

2. For further researchers, it is hoped that they can enter and add other variables as independent variables, so that from further research that will be carried out will be able to find out other variables that greatly affect employee performance at the Matahari Department Store company, Delta Plaza Surabaya.

Referencess

Arikunto, S. (2006). Prosedur Penelitian Suatu Pendekatan Praktik (Jakarta). Rineka Cipta. Dessler, G. (2006).

Manajemen Sumber Daya Manusia. Dessler.

Mangkunegara, A. A. A. P. (2000). Manajemen Sumber Daya Manusia. Remaja Rosdakarya.

Miftahun, & Sugiyanto. (2010). Pengaruh dukungan social dan kepemimpinan transformasional terhadap komitmen organisasi dengan mediator motivasi kerja. Jurnal Psikologi Volume, 37(1), 94 – 109.

Nawawi. (2011). Manajemen Sumber Daya Manusia: Untuk Bisnis Yang Kompetitif. Gajah Mada University Press.

Nurcahyani, N. M., & Adnyani, I. G. A. D. (2016). Pengaruh Kompensasi Dan Motivasi Terhadap Kinerja Karyawan Dengan Kepuasan Kerja Sebagai Variabel Intervening. E-Jurnal Manajemen Unud, 5(1), 500–

532.

Sedarmayanti. (2011). Manajemen Sumber Daya Manusia. Salemba Empat.

Steers, R. M., & Porter, L. W. (1991). Motivation and Work Behavior. Mc Graw-Hill. Sudjana, N. (2010).

Dasar-dasar Proses Belajar. Sinar Baru.

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