Locus of Control Analysis in Improving Satisfaction and Performance of Sharia Bank’s Employee

Authors

  • Astri Ayu Purwati Institut Bisnis dan Teknologi Pelita Indonesia, Pekanbaru, Indonesia
  • Silvia Sari Sitompul Institut Bisnis dan Teknologi Pelita Indonesia, Pekanbaru, Indonesia
  • Wella Sandria Universitas Muhammadiyah Jambi, Jambi, Indonesia
  • Tri Purnama Sari Universitas Hang Tuah Pekanbaru, Pekanbaru, Indonesia
  • Muhammad Luthfi Hamzah Universitas Islam Negeri Suska Riau, Pekanbaru, Indonesia

DOI:

https://doi.org/10.23887/ijssb.v7i3.50649

Keywords:

Internal Locus of Control, External Locus of Control, Employee Job Satisfaction, Employee Performance

Abstract

The issue of human resource performance in Islamic Banking is an important concern. Based on the KPI value of one of Islamic banking employees in Pekanbaru, there are several aspects of performance measurement that have not been met, especially from the work behavior assessment. This study aimed to determine the effect of locus of control on employee satisfaction and performance. This type of research is quantitative, where the sample in this study was 95 Islamic bank employees in Pekanbaru, which were taken using a total sampling technique. The data was collected through questionnaires and analyzed using the Structural Equation Modeling (SEM) with AMOS application. The results showed that Internal locus of control has a positive and significant effect on Job Satisfaction and employee performance. External locus of control does not affect Job Satisfaction or the performance of banking employees. Job Satisfaction has a positive and significant effect on Employee Performance, and also Job satisfaction in this study has found as a mediating variable between internal locus of control on employee performance, but not in the external locus of control. The implications of this research can be used by Islamic banking in Pekanbaru to develop more effective employee development strategies and programs, focusing on developing internal locus of control and increasing job satisfaction.

References

An, J., Liu, Y., Sun, Y., & Liu, C. (2020). Impact of Work–Family Conflict, Job Stress and Job Satisfaction on Seafarer Performance. International Journal of Environmental Research and Public Health, 17(7), 2191. https://doi.org/10.3390/ijerph17072191. DOI: https://doi.org/10.3390/ijerph17072191

Arkorful, H., & Hilton, S. K. (2022). Locus of control and entrepreneurial intention: a study in a developing economy. Journal of Economic and Administrative Sciences, 38(2), 333–344. https://doi.org/10.1108/JEAS-04-2020-0051. DOI: https://doi.org/10.1108/JEAS-04-2020-0051

Bakotić, D. (2016). Relationship between job satisfaction and organisational performance. Economic Research-Ekonomska Istraživanja, 29(1), 118–130. https://doi.org/10.1080/1331677X.2016.1163946. DOI: https://doi.org/10.1080/1331677X.2016.1163946

Belsito, C. A., & Reutzel, C. R. (2020). Employee Performance Appraisal Formalization and Change in SME Employee Intentions to Quit. Small Business Institute Journal, 16(1), 1–23. https://sbij.org/index.php/SBIJ/article/view/316.

Berger, E. M., & Haywood, L. (2016). Locus of control and mothers’ return to employment. Journal of Human Capital, 10(4), 442–481. https://doi.org/10.1086/689353. DOI: https://doi.org/10.1086/689353

Caliendo, M., Cobb-Clark, D. A., & Uhlendorff, A. (2015). Locus of Control and Job Search Strategies. Review of Economics and Statistics, 97(1), 88–103. https://doi.org/10.1162/REST_a_00459. DOI: https://doi.org/10.1162/REST_a_00459

Cobb-Clark, D. A., Kassenboehmer, S. C., & Schurer, S. (2014). Healthy habits: The connection between diet, exercise, and locus of control. Journal of Economic Behavior & Organization, 98, 1–28. https://doi.org/10.1016/j.jebo.2013.10.011. DOI: https://doi.org/10.1016/j.jebo.2013.10.011

Cullen, K. L., Edwards, B. D., Casper, W. C., & Gue, K. R. (2014). Employees’ adaptability and perceptions of change-related uncertainty: Implications for perceived organizational support, job satisfaction, and performance. Journal of Business and Psychology, 29, 269–280. https://doi.org/10.1007/s10869-013-9312-y. DOI: https://doi.org/10.1007/s10869-013-9312-y

Efendi, E., Harini, S., Simatupang, S., Silalahi, M., & Sudirman, A. (2021). Can Job Satisfaction Mediate the Relationship between Emotional Intelligence and Spiritual Intelligence on Teacher Performance? Journal of Education Research and Evaluation, 5(1), 136–147. https://doi.org/10.23887/jere.v5i1.31712. DOI: https://doi.org/10.23887/jere.v5i1.31712

Elsayed, W. A., Abdel-ghani, A. M., & Ibrahim, A. A. M. (2020). The Role of Work Locus of Control and Inclusive Leadership on Nurses’ innovative Work Behavior. Assiut Scientific Nursing Journal, 8(20.0), 124–133. https://doi.org/10.21608/asnj.2021.61096.1120. DOI: https://doi.org/10.21608/asnj.2021.61096.1120

Galvin, B. M., Randel, A. E., Collins, B. J., & Johnson, R. E. (2018). Changing the focus of locus (of control): A targeted review of the locus of control literature and agenda for future research. Journal of Organizational Behavior, 39(7), 820–833. https://doi.org/10.1002/job.2275. DOI: https://doi.org/10.1002/job.2275

Giao, H. N. K., Vuong, B. N., & Tushar, H. (2020). The impact of social support on job-related behaviors through the mediating role of job stress and the moderating role of locus of control: Empirical evidence from the Vietnamese banking industry. Cogent Business & Management, 7(1). https://doi.org/10.1080/23311975.2020.1841359. DOI: https://doi.org/10.1080/23311975.2020.1841359

Heywood, J. S., Jirjahn, U., & Struewing, C. (2017). Locus of control and performance appraisal. Journal of Economic Behavior & Organization, 142, 205–225. https://doi.org/10.1016/j.jebo.2017.06.011. DOI: https://doi.org/10.1016/j.jebo.2017.06.011

Hsia, J. W., Chang, C. C., & Tseng, A. H. (2014). Effects of individuals’ locus of control and computer self-efficacy on their e-learning acceptance in high-tech companies. Behaviour & Information Technology, 33(1), 51–64. https://doi.org/10.1080/0144929X.2012.702284. DOI: https://doi.org/10.1080/0144929X.2012.702284

Iqbal, N., Khan, M. M., Mohmand, Y. T., & Mujtaba, B. G. (2020). The impact of in-service training and motivation on job performance of technical & vocational education teachers: Role of person-job fit. Public Organization Review, 20, 529–548. https://doi.org/10.1007/s11115-019-00455-3. DOI: https://doi.org/10.1007/s11115-019-00455-3

Johnson, R. E., Rosen, C. C., Chang, C. H. D., & Lin, S. H. J. (2015). Getting to the core of locus of control: Is it an evaluation of the self or the environment? Journal of Applied Psychology, 100(5), 1568. https://doi.org/10.1037/apl0000011. DOI: https://doi.org/10.1037/apl0000011

Joo, Y. J., Lim, K. Y., & Kim, J. (2013). Locus of control, self-efficacy, and task value as predictors of learning outcome in an online university context. Computers & Education, 62, 149–158. https://doi.org/10.1016/j.compedu.2012.10.027. DOI: https://doi.org/10.1016/j.compedu.2012.10.027

Lisnawati, L., Samsudin, A., & Jhoansyah, D. (2019). Peran Locus of Control dan Stres Kerja terhadap Kepuasan Kerja karyawan. Journal of Management and Bussines (JOMB), 1(2), 394–403. https://doi.org/10.31539/jomb.v1i2.740. DOI: https://doi.org/10.31539/jomb.v1i2.740

Malik, M. A. R., Butt, A. N., & Choi, J. N. (2015). Rewards and employee creative performance: Moderating effects of creative self-efficacy, reward importance, and locus of control. Journal of Organizational Behavior, 36(1), 59–74. https://doi.org/10.1002/job.1943. DOI: https://doi.org/10.1002/job.1943

Mapuranga, M., Maziriri, E. T., Rukuni, T. F., & Lose, T. (2021). Employee Organisational Commitment and the Mediating Role of Work Locus of Control and Employee Job Satisfaction: The Perspective of SME Workers. Journal of Risk and Financial Management, 14(7), 306. https://doi.org/10.3390/jrfm14070306. DOI: https://doi.org/10.3390/jrfm14070306

Mulki, J., & Lassk, F. G. (2019). Joint impact of ethical climate and external work locus of control on job meaningfulness. Journal of Business Research, 99, 46–56. https://doi.org/10.1016/j.jbusres.2019.02.007. DOI: https://doi.org/10.1016/j.jbusres.2019.02.007

Pawirosumarto, S., Sarjana, P. K., & Muchtar, M. (2017). Factors affecting employee performance of PT.Kiyokuni Indonesia. International Journal of Law and Management, 59(4), 602–614. https://doi.org/10.1108/IJLMA-03-2016-0031. DOI: https://doi.org/10.1108/IJLMA-03-2016-0031

Prameswari, I. A. N., & Sari, D. M. M. Y. (2023). The Influence Of Internal Locus Of Control On Ethical Behavior With Work-Life Balance As Moderating Variable. Jurnal Muara Ilmu Ekonomi Dan Bisnis, 7(1), 57–67. https://doi.org/10.24912/jmieb.v7i1.21043. DOI: https://doi.org/10.24912/jmieb.v7i1.21043

Qurrahtulain, K., Bashir, T., Hussain, I., Ahmed, S., & Nisar, A. (2022). Impact of inclusive leadership on adaptive performance with the mediation of vigor at work and moderation of internal locus of control. Journal of Public Affairs, 22(1). https://doi.org/10.1002/pa.2380. DOI: https://doi.org/10.1002/pa.2380

Robusto, E., Maeran, R., Colledani, D., Anselmi, P., & Scioni, M. (2019). Development of two scales for measuring academic psychological capital and locus of control in fresh graduates. Statistica Applicata-Italian Journal of Applied Statistics, 1, 13–28. https://doi.org/10.26398/IJAS.0031-002.

Saputra, K. A. K. (2014). Pengaruh Locus of Control terhadap Kinerja dan Kepuasan Kerja Internal Auditor dengan Kultur Lokal Tri Hita Karana sebagai Variabel Moderasi. Jurnal Akuntansi Multiparadigma, 3(1), 86–100. https://doi.org/10.18202/jamal.2012.04.7146. DOI: https://doi.org/10.18202/jamal.2012.04.7146

Sarrasin, O., Mayor, E., & Faniko, K. (2014). Gender traits and cognitive appraisal in young adults: The mediating role of locus of control. Sex Roles, 70, 122–133. https://doi.org/10.1007/s11199-013-0336-6. DOI: https://doi.org/10.1007/s11199-013-0336-6

Škudienė, V., Augutytė-Kvedaravičienė, I., Demeško, N., & Suchockis, A. (2018). Exploring the Relationship Between Innovative Work Behavior and Leadership: Moderating Effect of Locus of Control. Organizations and Markets in Emerging Economies, 9, 21–40. https://doi.org/10.15388/omee.2018.10.00002. DOI: https://doi.org/10.15388/omee.2018.10.00002

Soleh, A., Noviantoro, R., & Putrafinaldo, D. (2020). The Effect of Locus of Control and Communication Toward Employee Performance. Management and Sustainable Development Journal, 2(2), 40–52. https://doi.org/10.46229/msdj.v2i2.184. DOI: https://doi.org/10.46229/msdj.v2i2.184

Tistianingtyas, D. (2021). Effect of Locus of Control and Job Satisfaction on Employee Performance through Organizational Citizenship Behavior (OCB) on Accounting Department Personnel of Naval Base V Surabaya. European Journal of Business and Management Research, 6(2), 12–17. https://doi.org/10.24018/ejbmr.2021.6.2.752. DOI: https://doi.org/10.24018/ejbmr.2021.6.2.752

Tyler, N., Heffernan, R., & Fortune, C. A. (2020). Reorienting locus of control in individuals who have offended through strengths-based interventions: Personal agency and the good lives model. Frontiers in Psychology, 11. https://doi.org/10.3389/fpsyg.2020.553240. DOI: https://doi.org/10.3389/fpsyg.2020.553240

Wang, D., Li, X., Zhou, M., Maguire, P., Zong, Z., & Hu, Y. (2019). Effects of abusive supervision on employees’ innovative behavior: The role of job insecurity and locus of control. Scandinavian Journal of Psychology, 60(2), 152–159. https://doi.org/10.1111/sjop.12510. DOI: https://doi.org/10.1111/sjop.12510

Wei, F., & Si, S. (2013). Tit for tat? Abusive supervision and counterproductive work behaviors: The moderating effects of locus of control and perceived mobility. Asia Pacific Journal of Management, 30(1), 281–296. https://doi.org/10.1007/s10490-011-9251-y. DOI: https://doi.org/10.1007/s10490-011-9251-y

Xu, L., Du, J., Lei, X., & Hipel, K. W. (2020). Effect of locus of control on innovative behavior among new generation employees: A moderated mediation model. Social Behavior and Personality: An International Journal, 48(10), 1–12. https://doi.org/10.2224/sbp.9379. DOI: https://doi.org/10.2224/sbp.9379

Yang, J. C., Lin, Y. L., & Liu, Y. C. (2017). Effects of locus of control on behavioral intention and learning performance of energy knowledge in game-based learning. Environmental Education Research, 23(6), 886–899. https://doi.org/10.1080/13504622.2016.1214865. DOI: https://doi.org/10.1080/13504622.2016.1214865

Yoon, H. J., Sung, S. Y., & Choi, J. N. (2015). Mechanisms Underlying Creative Performance: Employee Perceptions of Intrinsic and Extrinsic Rewards for Creativity. Social Behavior and Personality: An International Journal, 43(7), 1161–1179. https://doi.org/10.2224/sbp.2015.43.7.1161. DOI: https://doi.org/10.2224/sbp.2015.43.7.1161

Downloads

Published

2023-10-31

How to Cite

Purwati, A. A., Sitompul, S. S., Sandria, W., Sari, T. P. ., & Hamzah, M. L. (2023). Locus of Control Analysis in Improving Satisfaction and Performance of Sharia Bank’s Employee. International Journal of Social Science and Business, 7(3), 560–569. https://doi.org/10.23887/ijssb.v7i3.50649

Issue

Section

Articles