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Employee Work Performance in State-Owned Enterprises in Indonesia: A Reflection

Author

Listed:
  • Endah Utami
  • Sigit Handoyo
  • RR Yoekhisna Agistaputri Setiyo Negoro
  • Wirawan Hardinto

Abstract

The quality of performance of State-Owned Enterprises (SOEs) in Indonesia is currently in the spotlight because it is considered unsatisfactory. One of the causes of the low performance of this organization is the level of quality of performance of the organization's employees which is also unsatisfactory. In this study, factors that can affect the quality of performance of SOEs employees in Indonesia are analyzed. These factors include leadership style, work discipline, work motivation and work environment. Data were collected by distributing questionnaires to a number of field employees and validity and reliability tests were carried out on the data. Hypothesis testing is done by using Multiple Linear Regression test. The results of this study prove that only achievement-oriented leadership style and work motivation can boost the quality of performance of SOEs employees; work discipline and work environment do not have any impact on improving the quality of their performance. This proves that a leader who can provide motivation and read reward needs for employees is very much needed in SOEs. However, issues of discipline and work environment should also get more attention. The implication of this research is that SOEs must assess employee performance in terms of the quality of work and not only in terms of the achievement of the set target without paying attention to the quality of the achievement itself.

Suggested Citation

  • Endah Utami & Sigit Handoyo & RR Yoekhisna Agistaputri Setiyo Negoro & Wirawan Hardinto, 2022. "Employee Work Performance in State-Owned Enterprises in Indonesia: A Reflection," International Journal of Innovative Research and Scientific Studies, Innovative Research Publishing, vol. 5(4), pages 363-377.
    • Handle: RePEc:aac:ijirss:v:5:y:2022:i:4:p:363-377:id:875
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