EMPLOYEE PERFORMANCE MODEL BASED ON E-HRM: EMPLOYEE GREEN BEHAVIOR AS A PERFORMANCE INDICATOR

 

Priyo Hadi Susananto1, Muhtosim Arief2, Bahtiar Usman3, Tiarapuspa4*

Faculty of Economics and Business, Universitas Trisakti, Jakarta, Indonesia1,3,4

Faculty of Economics and Business, Universitas Bina Nusantara, Jakarta, Indonesia2

Email: [email protected]*

 

ARTICLE INFO

ABSTRACT

Date received : December 10, 2022

Revision date : December 28, 2022

Date received : January 3, 2023

This paper provides a perspective on the concept of employee performance based on e-HRM in the coal mining service industry in Indonesia. The research methodology uses documentary analysis of empirical studies and examines the perceptions of managers working in the HRM field. e-HRM is human resources management that is supported by digital technology, while employee performance in this case is the performance of employees who work in coal mining companies. This study aims to identify e-HRM practices to improve employee performance in terms of green employee behavior in the workplace. The results show that employee performance is closely related to e-HRM, green employee motivation, and person-job fit. Dynamic business conditions are a challenge for companies to be able to achieve productivity, and efficiency and always pay attention to the impact of safety, health and environment (SHE). HRD Department must provide support and develop appropriate competencies for its employees to improve employee professionalism. Managers must also be adept at empowering employees, caring about employee welfare, and maintaining employee safety & health. This empirical study and interview of respondents are very necessary for companies that are trying to carry out digital transformation in the HRM field to build production performance and employee awareness of the conditions of the work environment.

Keywords:

e-HRM, person-job fit, green employee motivation, green employee behavior, employee performance

 


INTRODUCTION

Business conditions in Indonesia are experiencing extraordinary challenges, Indonesia is not in a competitive condition to enter the global market compared to other developing countries. Based on the 2015 BPS report, the business tendency index continues to decline. One of the business sectors that experienced a sharp decline was mining and quarrying, (Arief, Kartono, Buss, & Basuki, 2015). Factors that affect business continuity in this sector are commodity prices that are vulnerable to change in the global market, the issue of the impact of environmental pollution, and the emergence of alternative energy to replace the fossil energy. The use of alternative energy continues to more than double from 2020 to 2050 (International Energy Outlook 2021). Companies are required to quickly adapt to the challenges of business conditions and the demands of a green environment.

HRD practices can encourage appropriate innovation strategies in normal situations as well as in dynamic situations (Taghizadeh, Karini, Nadarajah, & Nikbin, 2020). However, HRD practice does not directly guarantee the achievement of employee performance because there are important aspects that need to be studied, that is the suitability of individual employees with their field of work (Bieńkowska & Tworek, 2020). This is confirmed by the opinion (Yafi, Tehseen, & Haider, 2021) who state that the role of person-job fit has a significant effect on the achievement of employee performance. Another aspect that is influential in achieving employee performance is employee motivation. This is reinforced by the opinion (Alabaddi et al., 2020) which explains the role of employee motivation in employee performance. The relationship between e-HRM practices and employee performance which is strengthened by person-job fit and employee motivation is the model construction in this study.

The novelty of this research is the employee performance model based on e-HRM, where this model has never been studied before in a coal mining company. This study also studies the role of person-job fit and employee motivation in mediating the relationship between e-HRM and employee performance, in this case, it is green employee behavior. The author uses the instrument of counterproductive work behavior as a dimension of this employee performance variable.

e-HRM brings significant changes, from practices that involve a lot of human resources to practices that are supported by information technology to support operational activities more efficiently. This shows the importance of a more strategic, unambiguous, and integrated HR practice (Iqbal, Ahmad, & Allen, 2019). The author uses an e-HRM approach, which consists of training and development, organizational development, and career development (Otoo & Mishra, 2018). This is reinforced by research conducted (Alabaddi et al., 2020), which states that e-HRM has a statistically significant role in increasing Employee Performance.

Research conducted (Mi et al., 2020), shows that person-organization fit promotes green employee behavior. (Xiao, Mao, Huang, & Qing, 2020) their research confirms that there is a positive influence shown by the employee-organization fit on employee voluntary green behavior. The influence becomes stronger when employees perceive a green organizational climate. With this empirical research approach, the authors suspect that there is a significant influence in the relationship between person-job fit and employee performance in the coal mining industry.

HRM practice has a positive effect on green employee motivation which includes: green intrinsic motivation and green extrinsic motivation. Green intrinsic motivation is defined as a desire, love, or interest in environmentally friendly behavior that is driven by a desire for internal satisfaction. Meanwhile, green extrinsic motivation is employee motivation that is influenced by external factors, when employees participate in environmentally friendly activities in the hope of getting external rewards, such as money, material rewards, praise, or recognition. Mediation analysis revealed that green motivation mediates the relationship between Green HRM practices and employees' environmental performance (Ahmed et al., 2021).

Green employee motivation has a significant influence on green environmental performance (Yafi et al., 2021). Green environment performance is an investment in research & development in organizational mechanisms to achieve competitive advantage (Xu, Liu, & Shang, 2021). The application of e-HRM in Green HRM practices related to individual employees affects employees' eco-friendly behavior (Kim et al., 2019). According to (Ones and Dilchert, 2012; Norton et al., 2015), there are five functional categories of employee green behavior. i.e. 1) working thoroughly (sustainable productivity and efficiency), 2) maintaining occupational safety and health, 3) preserving the environment, 4) influencing others, and 5) taking initiative.

Text Box: Employee Performance
(Green Employee Behavior)
Text Box: e-Human Resources Management 
(e-HRM)
 

 

 

 

 

 

 

 

 

 


                                                                                                                            

Figure 1. Framework of Employee Performance Model

Source: Author Work, 2022

 

METHOD

This study uses an exploratory research method that aims to find novelty in the topic of study with two approaches, that is literature study and empirical validation. A qualitative study by combining interviews to study the perspective of managers in the coal mining company and searching for literature is different from previous research. This combination of literature searches and employee interviews is necessary because quantitative methods limit responses and provide little insight into the diverse feelings and experiences of employees which may not be adequately reflected through the variables in the questionnaire used for the survey.

The literature study was conducted by collecting various articles from trusted journals that were relevant to five main points of study, i.e. e-HRM, employee performance, green environment performance, person-job fit (P-JFit), and green employee motivation. Next, the researcher sorts the main points of the study into two categories of literature, namely conceptual literature, and causality literature. The literature study is limited to 2015 to 2021 with reviews related to the role of HRD, HRM, e-HRM, and HRIS on employee green behavior. The lack of literature related to employee green behavior, the authors use an environmentally sound employee performance approach in the form of counterproductive workplace behavior, adapted from (Norton, Parker, Zacher, & Ashkanasy, 2015), (Tiarapuspa et al 2018) and (Francoeur et al, 2019).

Empirical Validation is carried out from October 2021 to November 2021 with the depth interview (face validity) method for managers at coal mining companies in Indonesia. Interviews were carried out for a duration of 45 minutes to 120 minutes online using the Zoom meeting platform to explore written answers from sources. The selected respondents were 10 respondents who had more than 5 years of work experience and had work links with HRM practices.

 

A.  Research Analysis and Instruments

1.  Literature Study

Exploring HRD practices regarding green employee behavior allows this research to deal with complex but very interesting problems. Thus, this study requires a quantitative methodology, as conventional statistical methods fail in all these aspects (Gummesson, 2007). Data collection and literature search were carried out systematically. The number of sample cases is based on theoretical saturation, where no additional data information can be found in developing the properties of the conceptual categories. The keywords for the literature search were: e-HRM, HRDP, Green HRM, green employee behavior, employee performance, P-JFit, and green employee motivation. These keywords are used in several publishers or academic search engines for international journals, namely Google Scholar (scholar.google.co.id), Emerald Publishing Limited (www.emerald.com), and Elsevier (www.journals.elsevier.com), and Springer (https://link.springer.com/).

Based on a literature search for this study, various articles between 2015 and 2021 were identified as relevant cases, as the first 5-6 years after the transaction was expected to be most significantly related to the impact on the organization. The sample includes one exception where the transaction occurred before the specified time range. This case is added to the final data when data saturation appears to have been reached, but it is hoped that this case will provide valuable evidence due to the different timescales.

The author studied and identified several kinds of literature according to the time range specified above and produced 32 selected articles from 68 articles related to the topic of this research.

 

Table 1. Literature Study

 

Authors

Variables

Finding

Code

Themes

1.

Adi et al., 2021

Personal Motivation

Empowerment of green employees

Safety, health, and a green environment are important factors to increase green performance

 

 

GEB

 

 

 

Green Employee Behavior

 

2.

 

 

Qureshi et al., 2021

Green HR Practices

Green Motivation

Environmental Performance

Green HR affects employees' environmental performance

3.

Xu et al., 2021

Green Innovation

   Innovation Input & Output

   Innovation Environment

Green innovation performance is an R&D investment in organizational

systems

4.

Arulrajah et al., 2016

Employee Green Performance

Organization’s environmental Performance

The concept of green performance on employee performance to achieve a green environment

5.

Na-nan et al, 2019

Self-Efficacy

perceived Environmental support

knowledge sharing

Employee Job Performance

Self-Efficacy (SE) affects employee performance, perceived environmental support and knowledge sharing,

6.

Norton A., et al, 2015

Employee Green Behavior: A

Theoretical Framework, Multilevel

Review, and Future Research

Agenda

A theory-based conceptual model based on person-environment interaction, job performance taxonomy, and self-determination theory

7.

Campbell & Wiernik, 2015

Organizational psychology

Organizational behavior's

Employee job performance and organization’s goals

 

EJP

 

Employee Job Performance

8.

Pradhan & Jena, 2017

Employee Performance

Task-Contextual-Adaptive

Performance

Creation and maintenance of work environment and impact on employee performance

9.

Yafi et al., 2021

Green Competencies

Green Motivation

Green Environment Performance

A significant influence between Green Motivation and           Green Environment    Performance

 

EWM

 

Green Employee Motivation

 

 

10.

Ouakouak et al., 2020

Ethical leadership

Emotional leadership

Employee motivation has a positive impact on job performance

11.

Kim et al., 2019

Green HRM

Employees eco-friendly behavior

Environmental performance

Green Employee Motivation: Green HRM and individual features

12.

Kundu et al., 2019

Perceived role clarity

Innovative work behavior

Motivation individually and serially mediate the effect of perceived role clarity on IWB

13.

Jia et al., 2018

 

 

GHRM

   Employees’ Green Passion Transformational Leadership

Green Creativity

Green employee motivation has an important influence on inspiring employee commitment

14.

Ahmed et al, 2021

Green HR Practices

Green Motivation

Environment Performance

A conceptual model based on person-environment interaction, job performance, and motivation theory

15.

Anwar et al., 2020

Green Competencies Building

Green Motivation Enhancing

Green Employee Involvement

OCBE

Environmental Performance

Green behavior acts as a link mechanism between strategic HRM and environmental performance.

 

 

HRP

GEP

 

 

Green HRM

Green Employee Performance

16.

Alabaddi et al., 2020

Green HR Practices

e-HRM

Significant effect of e-HRM on Green HRM practices on     Green Employee        Performance

17.

Freund & Froese, 2020

Business model innovation

Sustainability

HRD has included an element of concern for the environment

18.

Taghizadeh et al., 2020

Environmental dynamism

Innovation strategy

Knowledge management capability has a significant effect on innovation strategy

19.

Mi et al., 2020

P-JFit

Psychological Distance

Employee Green Behavior

Person-organization fit promotes employee green behavior effectively

 

 

 

PJF

 

 

Person-Job Fit

 

20.

Xiao et al., 2020

Employee-organization fit

Green organizational climate

Voluntary green behavior

A positive influence is shown from employee organization fit on employee voluntary green behavior

21.

Bie´nkowska &Tworek, 2020

EDC

Person-Job Fit

Employee Job Performance

Job Performance model based on employee dynamic capabilities (EDC)

22..

Rajper et al., 2020

Person Job Fit

Person Organization Fit

Employee Job Performance

PJF has a significant and positive relationship with EJP

23.

Venkatesh at al., 2017

Person–Organization

Person–Job

Person-job fit focuses more on the suitability of individuals with specific work environments

24.

Johnson, et al., 2020

e-HRM

e-employee selection

e-recruiting & selection

eHRM and AI could help them attract, motivate and retain talented employees

 

HRP

HRM

 

e-Human Resources Management

Human Resources Development Practices

 

25.

Kareem & Hussein, 2019

Human Resource Development

Employee Performance

Organizational Effectiveness

HRD practices are significantly related to employee performance

 

26.

Irum & Yadav, 2019

E-HRM, HRIS, HRMS

 

HRIS offers packages for organizational processes according to company needs

27.

Iqbal et al., 2019

e-HRM

Impersonal trust

Employee productivity

e-HRM supports organizations by enhancing trust and productivity outcomes

28

Otoo & Mishra, 2018

HRDP

Employee Performance

HRD practices impact employee performance

29.

Frank Nana Kweku Otoo, 2019

HRMP

Organizational performance

Employee competencies

HRM practices impact organizational performance through their influence on employee performance

30.

Basnyat & Lao., 2019

Employees’ perceptions

HRMP

Employee turnover

The way the HR department handles and implements those policies are valued more employee

31.

Junni, P., 2016

Organizational innovation

   Environmental Dynamism

   Transformational Leadership

Leadership behavior has an important role in dealing         with the Environmental  dynamism

 

ED

DC

 

Environmental Dynamism

Dynamic capabilities

32.

Arief et al., 2015

Entrepreunerial Process

Dynamic Capability

Dynamic capabilities are an effective strategic perspective     to achieve business excellence

 

Sources: Work Author

 

The author also tested the validity of the counterproductive workplace behavior instrument (Norton et al., 2015) as a dimension for employee performance in a sample of 515 respondents. The results of data testing using SmartPLS 3.0 show that all indicator items are valid based on the value of outer loadings > 0.7 (Ghozali, 2016). The test results of the counterproductive workplace behavior indicator items, which can be seen in table 2 and table 3, are as follows:

 

Table 2. Outer Loading instrument of Counterproductive Workplace Behavior

 

Indicators

Original Sample (O)

Sample Mean (M)

Standard Deviation (STDEV)

T Statistics

(IO/STDEVI)

P Value

1.

Productivity & Efficiency

0.878

0,877

0,016

53,548

0,000

2.

Safety Awareness

0,745

0,740

0,032

23,475

0,000

3.

Reliability

0,782

0,779

0,027

28,876

0,000

4.

Value Application

0,741

0,741

0,026

28,704

0,000

5.

Taking Initiative

0,813

0,813

0,022

36,410

0,000

       Source: Model reconstruction by the author and data processing with SmartPLS 3.0, 2022

 

Table 3. Outer Model Residual Descriptive

 

Indicators

Mean

Median

Min

Max

Std Dev

Excess Kurtosis

Skewness

Number of N

1.

Productivity & Efficiency

0.000

-0.128

-1,178

2,146

0,479

2,953

1,067

515

2.

Safety Awareness

0,000

-0,209

-3,175

2,408

0,667

2,007

0,142

515

3.

Reliability

0,000

-0,197

-2,990

2,092

0,623

1,522

0,474

515

4.

Value Application

0,000

 0,186

-4,184

2,311

0,672

4,952

-1,312

515

5.

Talking Initiative

0,000

-0,129

   -2,918

2,101

0,582

3,280

0,108

515

          Source: Model reconstruction by the author and data processing with SmartPLS 3.0, 2022

 

2.  Deep Interview

Qualitative studies with interview methods on topics specified in open-ended questions are very effective for understanding the values, opinions, behavior, and social context of participants (Mack et al., 2005). The use of qualitative methods in this study aims to capture employees' perceptions of how they feel about HRD practices in the coal mining company where they work or have worked in the past, and how these practices play a role in shaping employee performance.

This research was conducted by interviewing 10 (ten) experts who have more than 5 years of experience working in the coal mining company and have been directly involved in HRD practices in the company where they work. Furthermore, to obtain the latest information from HRD practice, experts were selected with experience in handling training & development in the last 3 (three) years, since 2018. Interviews were conducted in November 2021.

Empirically justified guidelines suggest that small samples in qualitative research can still adequately represent the study population (Francis et al., 2010; Yang et al., 2012). For the current study, the sample data is relatively small, namely, 10 people who were interviewed, but the researchers used exploratory research using literature searches and interviews with practitioners who are experts in their fields. Furthermore, the results of the interviews were strengthened by a literature search.

The data analysis technique used in this study is grounded theory analysis technique, namely: the process of collecting data to produce a theory in which the researcher collects, codes, and analyzes the data and decides what kind of data to collect and where to get it to develop the theory he is developing. This data collection process is controlled by the theory being developed either substantively or formally (Nyoman, 2014). This analysis technique follows a procedure adapted from Ward (2018).

 

RESULTS AND DISCUSSION

A.  Analysis of the “Literature Review” Discussion Results

1.  e-HRM and Employee Performance

e-HRM brings a significant change from practices that involve a lot of human resources to practices that are supported by information technology and carry out most operational activities more productively and efficiently. E-HRM parameters commonly used in the service industry, namely e-performance management, e-performance appraisal, e-benefit management, e-recruitment and selection, e-training and development, e-performance appraisal, e-grievance management, and knowledge management (Iqbal et al., 2019).

Employee Performance is an integral part of studying organizational performance. Organizational performance is an important factor that affects the ability of employees to operate effectively and gain the company's competitive advantage (Na-Nan, Saribut, & Sanamthong, 2019). According to (Campbell & Wiernik, 2015), the basic model of performance includes core technical and contextual performance, organizational citizenship behavior, and counterproductive work behavior. Understanding the environmental impact of a job confirms the concept of green employee behavior (Arulrajah, Opatha, & Nawaratne, 2016).

The practice of green employee behavior contributes to the organization's performance targets that are environmentally friendly by encouraging employees to behave in a productive, efficient, and environmentally friendly manner. Green employee performance, according to (Adi, Mulyadi, Setini, & Astawa, 2021), is an activity involved in the development, implementation, and maintenance of the environment. According to (Anwar et al., 2020), indicators of green employee behavior are expressed in employee work behavior to complete tasks well, work discipline, consistently following rules, cooperation between employees, and job satisfaction. Hypothesis 1 (one) states that e-HRM practices play a role in increasing Employee Performance (EP).

 

2.    e-HRM, Person-Job Fit, and Employee Performance

One of the factors that influence employee performance is person-job fit (Edwards Jeffrey R., 1991). (Lauver & Kristof-Brown, 2001) stated that increasing a person’s job fit will have an important impact on employee performance. (June, Sethela & Mahmood, 2011) argue that person-job fit is a significant predictor of employee job performance, therefore company managers need to consider person-job fit in hiring employees.

e-HRM affects Person-Job fit. The suitability of employees with the prerequisites in their work is strengthened by the opinion (Johnson, Stone, & Lukaszewski, 2020), which states that person-job fit can be interpreted as the suitability of employees with the demands of the work environment to strengthen e-HRM practices on employee performance. Hypothesis 2 (two), states that there is a role for person-job fit in the relationship between e-HRM and employee performance.

 

3.  e-HRM, Green Employee Motivation, and Employee Performance

The practice of e-HRM regarding employee motivation is important, where a human resources information system (HRIS) supported by digital technology and implemented consistently will motivate employees to achieve employee performance (EP), (Irum & Yadav, 2019). (Selma, 2011) divides motivation into 2 (two) types, namely internal motivation and external motivation. Both internal motivation and external motivation play an important role in employees’ work. Work motivation will significantly affect employee job performance (Ouakouak, Zaitouni, & Arya, 2020). Employees who have high motivation will show innovative behavior at work (Kundu, Kumar, & Gahlawat, 2019), including behavior to achieve employee performance.

(Ahmed et al., 2021) stated that in e-HRM practice, there is the influence of green training and green environment performance which is strengthened by the mediating role of green employee motivation. This mediation analysis reveals that green motivation plays an important role in mediating the relationship between green HRM practices and employees' environmental performance. Previous research has shown that green employee motivation has an impact on increasing green employee behavior by encouraging employees to behave productively, efficiently, and environmentally friendly. Hypothesis 3 (three), states that there is a significant role of green employee motivation in the relationship between e-HRM and employee performance.

 

B.  Empirical Validation

Table 4. Literature Study

Hypothesis

Name

Empirical Validation

Supported Reference

e-HRM and

Green Employee Performance

(GEP).

BB, FR, RL

e-Training & Development: "Online system for SHE training & development accelerates employee self-development to achieve the best performance, adhere to standard operating procedures, and care about the impact of the green environment."

(Ariet et al., 2015), (Juni, P., 2016), (Otoo & Mishra, 2018), (Ouakouak et al, 2020), (Anwar et al., 2020), (Irum & Yadev, 2019), (Iqbal et al., 2019), (Adi et al, 2021), (Kundu et al., 2019), (Rajper et al., 2019), and (Johnson, et al., 2020).

MN, MA

e-Organizational Development: “Programs to increase the capacity of employees who care about the environment and the availability of online facilities for employees to implement environmental care behavior in their daily activities will be able to improve their green performance”

MA, WB, HGA

e-Career Development: “Career development, SHE leadership development, and online monitoring can encourage employees to achieve high performance and green environment friendly”

e-HRM, Person-Job Fit (P-JFit),

and

Green Employee Performance

(GEP).

 

FR, RL, FK,

SHE Awareness: “SHE Awareness is an employee's understanding of the demands of safety at work. Employees must be equipped with adequate access to SHE socialization to complete their knowledge of SHE Culture”.

(Venkatesh et al., 2017), (Rajper et al., 2019), (Iqbal et al., 2019), (Campbell & Wiernik., 2019), (Basnyat et al., 2019) and (Taghzadeh et al., 2020).

FR, MZA, RL, MA, WB

Competency: “Competency development can be done through in-house training or online public training. Quick access to training by the needs of each function will encourage employees to be moved to make improvements (critical thinking)”.

MA, FH, WB, MN

Demand Ability: “Digital literacy skills which include planning & evaluation functions, executive functions, production equipment support functions, and SHE equipment support will facilitate employee competence in fulfilling job requirements. The Person-Job Fit indicator is seen from the condition of employees who work according to individual needs and work experience.

e-HRM, Green Employee Motivation

(GEM),

and  

Green Employee Performance

(GEP).

 

MN, FY, FR, MA

Intrinsic Motivation: "Employees have intrinsic motivation when they feel they belong to the company and feel a comfortable work environment".

 

(Pradhan & Jena., 2017), (Iqbal et al., 2019), (Basnyat et al., 2019), (Kareem & Hussein., 2019), (Bien’nkowska & Tworek., 2020),  (Taghizadeh et al.,  2020), (Kim et al., 2019), and (Na-nan et al., 2019).

Extrinsic Motivation: "The physical condition of the work environment that is comfortable and supports the entire work process, will make employees feel at home working in their workplace (engagement)."

Sources: Work Author

 

From the empirical validation, it was found that employee performance is directly related to the level of green employee motivation and person-job fit. Employee performance is also directly or indirectly related to the level of e-HRM implementation. Interviews with 10 managers and a study of 30 selected articles resulted in the concept of human resource development to improve employee performance. The practice of e-HRM does not only focus on providing jobs and facilities with better salaries, but also on the motivation and suitability of employees with the demands of green employee behavior at work.

 

CONCLUSION

The literature study in previous studies resulted in an employee performance based on e-HRM model. This study also reveals the views of employees at the managerial level about the role of e-HRM practices in influencing employee performance, therefore the HRD department must play a bigger and more proactive role in e-HRM practices that are oriented towards green employee behavior. This is by HRD practices in the coal mining company, where employees are required to work to provide the best mining services, which are productive, efficient, safe, and care about the work environment.

Research also shows that, although e-HRM practices affect employee performance, it is necessary to find the right way to treat employees and understand employee needs in implementing organizational policies related to product performance and commitment to safety, health & environment (SHE). The results of this study indicate that e-HRM holds a strong position in influencing employee capabilities which leads to employee performance, but it is necessary to strengthen the supporting factors of person-job fit and employee motivation. The author uses the instrument of counterproductive work behavior as a dimension of the dependent variable of employee performance.

 

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Priyo Hadi Susananto, Muhtosim Arief, Bahtiar Usman, Tiarapuspa (2022)

 

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