The Influence of Job Involvement and Locus of Control on Employee Performance with Self-Efficacy as a Mediation Variable

 

M. Yusuf

Universitas Muhammadiyah Jakarta, Indonesia

m.yusuf@umj.ac.id

 

KEYWORDS

ABSTRACT

Job Involvement, Locus of Control, Self Efficacy, Performance

This study investigates the relationship between job involvement and locus of control on employee performance, with self-efficacy as a mediating variable that links these two factors with employee performance. The method used in this study is quantitative research with associative methods, with 267 respondents and sampling techniques with random sampling samples. The results of this study are that Job Involvement has a positive and significant effect on Self Efficacy, Job Involvement has a positive and significant impact on Self Efficacy Job involvement has a positive and significant effect on Performance, Locus of Control has a positive and significant impact on Performance, Self Efficacy has a positive and significant effect on Performance, Self Efficacy mediates positively and significantly between Job Involvement on Performance, and Self Efficacy mediates positively and significantly between Locus of Control and Performance.

DOI: 10.58860/ijsh.v3i2.155

 

Corresponding Author: M. Yusuf

E-mail: m.yusuf@umj.ac.id

 

 

INTRODUCTION

In an increasingly dynamic and competitive business environment, employee performance is crucial to achieving organizational goals. Employee performance is also an indicator that can be used to measure the success of an organization or company. Good performance from each employee will impact the achievement of an organization's or company's goals (Vellya et al., 2020).

Every organization or company always hopes that its human resources can provide optimal performance so that the organization's goals can be achieved. However, if employee performance is low, it will undoubtedly make it difficult for the organization or company to achieve its goals. Performance can be interpreted as a work result that can be achieved by every employee in an organization or company, or it can also be construed as output produced by an employee. Performance also refers to employees' work results and contributions in the organizational context. Employee performance can be measured using various methods, such as productivity, work quality, innovation, etc. According to Robbins, quoted by (Lie, 2018), performance is a measurement tool for a work result to be achieved in the form of something optimal. Various factors that can influence employee performance have been identified, including job involvement, locus of control, and self-efficacy (Ardanti & Rahardja, 2017).

Job involvement refers to how employees feel emotionally and cognitively involved in tasks. Job involvement is the extent to which an individual or employee identifies with a particular organization and its goals and wishes to maintain himself in that organization (Robbins & Coulter, 2016). When employees feel a strong connection to their work, they tend to be more dedicated and enthusiastic and contribute more actively to organizational goals. So, job involvement can affect employee performance. The better the level of job involvement of an employee, the better their performance tends to be. Conversely, if the level of job involvement of an employee is low, then there is a tendency for their performance to be quiet.

Meanwhile, Locus of Control reflects an individual's belief in their level of control over the outcomes in their life. According to researchers, quoted by Ida and Dwinta (2010), locus of control is an individual's belief about the extent to which he has control over events that influence his life (Aryani & Khaddafi, 2021). He differentiates between internal and external locus of control. Individuals with an internal locus of control tend to believe that they have control over their actions and the results they achieve. Meanwhile, individuals with an external locus of control tend to think that factors outside their control, such as luck, fate, or other people's decisions, significantly impact their lives more than their efforts or actions. Individuals with an internal locus of control tend to feel more able to influence their work results and have control over achieving goals. They may be more motivated to improve their performance and take initiative. In contrast, individuals with an external locus of control may be more passive and less motivated in work beyond their control.

However, important aspects of this relationship about the role of self-efficacy in connecting job involvement and locus of control with employee performance still need to be studied further (Nykänen et al., 2019). Self-efficacy refers to an individual's belief in overcoming challenges and tasks. According to Luthan, quoted by (Hutasoit, 2018), Self-efficacy is an individual's level of belief about their ability to influence motivation and cognition as well as the actions needed to achieve results in carrying out their duties. Employees with high self-efficacy tend to have higher work motivation to face challenging tasks and feel capable of fulfilling their work goals (Ali & Wardoyo, 2021) . So, a high level of work efficacy can improve their performance. Conversely, if their level of work efficacy is low, there is a tendency for their performance also to be quiet.

Some evidence shows that self-efficacy can act as an important factor mediating the relationship between psychological factors such as job involvement and locus of control and employee performance (Priyantono, 2017). Understanding how job involvement and locus of control influence self-efficacy and how self-efficacy contributes to employee performance can provide valuable insight for human resource management in designing strategies to improve employee performance. However, the complex interaction between job involvement, locus of control, self-efficacy, and employee performance still needs to be fully understood. In this context, a deeper understanding of how these factors are interconnected and influence each other is required.

This research investigates the relationship between job involvement and locus of control on employee performance, with self-efficacy as a mediating variable that connects these two factors with employee performance. Through a better understanding of the role of self-efficacy as a connecting mechanism, this research hopes to provide new insights into the factors that contribute to employee performance and provide a basis for developing more effective management strategies.

 

METHOD

The approach used in this research is a qualitative approach with an associative type of research. The data in this research was obtained mainly through questionnaires distributed to respondents using Google Forms. The sample in this study was the millennial generation who worked in the South Tangerang City area, which was determined using the Cochran formula. If the number of members of a population is not known with certainty, then the sample size is determined using the Cochran formula. Thus the sample size is 267. Meanwhile, the sampling technique uses random sampling. This research uses the SmartPLS analysis method to measure the test model.

 

 

RESULTS AND DISCUSSION

Outer Model

1.     Validity test

From the results of using the outer model, you will see the relationship between the latent variables and the indicators. The results of the external model test obtained the following evaluation results:

 

 

 

 

 

 

 

 

 

 

 

 

 


Figure 1 Outer Model

a.     Convergent Validity

The test results in Figure 2 above show that the indicators for each construct variable have an outer loading value of > 07, so it can be stated that all the indicators in this study are valid or have good convergent validity.

b.     Discriminant Validity

The AVE value indicates validity, which must be greater than 0.50. The test results obtained AVE values as follows:

Table 1 Average Variance Extracted

Variable

Average Variance Extracted (AVE)

Information

Job Involvement

0.598

Valid

 

Locus of Control

0.687

Valid

 

Self Efficacy

0.725

Valid

 

Performance

0.679

Valid

 

Table 1 above shows that all research variables have an AVE value above 0.5, so it can be stated that all variables in this study have good or valid discriminant validity.

2.     Reliability Test

a.     Composite Reliability

Composite reliability is used to test the reliability value of variable indicators. The combined reliability value of> 0.7 indicates satisfactory reliability consistency.

Table 2 Composite Reliability

Variable

Composite reliability

Information

Job Involvement

0.892

Reliable

Locus of Control

0.878

Reliable

Self Efficacy

0.943

Reliable

Performance

0.908

Reliable

Table two above shows that all composite reliability value variables are > 0.7, so it can be stated that all research variables are reliable or consistent.

b.     Cronbach's Alpha

Cronbach's Alpha was used to measure the reliability of the lower bound of the construct. If Cronbach's Alpha> 0.07, then the reliability consistency is satisfactory.

 

 

Table 3 Cronbach's Alpha

Variable

Cronbach's Alpha

Information

Job Involvement

0.843

Reliable

Locus of Control

0.856

Reliable

Self Efficacy

0.887

Reliable

Performance

0.867

Reliable

Table 3 above shows that Cronbach's Alpha value is > 0.7, so it can be stated that all variables in this study are reliable.

Inner Model

The structural model as an inner model for predicting causal relationships between latent variables consists of Determinance Coefficient Analysis (R2), Model Fit Test, and F-Square Value (F2). From the bootstrapping results, the results of the inner model analysis are:

 

 

 

 

 

 

 

 

 

 

 

 

 

 


Figure 2 Inner Model

 

Goodness if Fit

1.     Coefficient of determination (R2 )

The acceptance coefficient (R2) or R Square will measure how much the exogenous variable construct can explain the endogenous unstable construct. The value of R Square is between 0 and 1; if R Square is 0.75, it means a robust model, 0.50 is a moderate model, and 0.25 is a weak model. The coefficient value from the analysis results obtained the coefficient of determination as follows:

Table 4 Collinearity Statistics (VIP)

Variable

R Square

R Square Adjusted

Self Efficacy

Performance

0.527

0.682

0.501

0.659

 

From the analysis above, the R Square value of the Self Efficacy variable is 0.527 (52.7%), which means that the contribution of the Job Involvement and Locus of Control variables to Self Efficacy is 52.7%. In comparison, the remaining 47.3% is contributed by other variables not included in this study. Then, the R Square value of the Performance variable is 0.682 (68.2%), which means the contribution of the Job Involvement, Locus of Control, and Self-efficacy variables to performance is 68.2%. In comparison, the remaining 31.8% is contributed by other variables not included in this research.

2.     Cross-Validated Redundancy (Q 2 ) / Q-Square

Goodness of Fit (GoF) is a measurement to validate overall model performance. This assessment looks at Q 2 predicted relevance by the model and parameter estimates. The model is said to have predictive relevance if the Q 2 value > 0, and if the Q 2 value is £0, then the model is considered to have less predictive relevance. Still, if Q2 is close to 1, it is considered to be getting better. The analysis results obtained by the Q 2 value are as follows:

 

Table 5 Q-Square Analysis

Variable

Model

Mark

Self Efficacy

Performance

Q 2 (=1-SSE/SSO)

Q 2 (=1-SSE/SSO)

0.297

0.378

From the analysis above, the Q2value of the Self Efficacy variable is 0.297 (Q 2 > 0). Then, the Q2value of the Performance variable is 0.378 (Q 2 > 0). So, the results of the model feasibility test (Goodness of Fit) in this study were declared good.

3.     F-Square Value (F 2 )

F-Square (F2) is a test to determine the predictive ability of how good the grades obtained are. If the F2 value is 0.02, it is small; if the F2 value is 0.15, it is medium; and if the F2 value is 0.35, it is large. The results of the F-Square analysis (F2) are as follows:

 

Table 6 F-Square Analysis (F2)

Variable

Self Efficacy

Performance

Job Involvement

0.189

0.069

Locus of Control

0.287

0.128

Self Efficacy

 

0.289

Performance

 

 

From the table above, it can be explained that the results of the F-Square (F2) analysis are as follows:

a.     The job Involvement variable on performance obtained an F2 value of 0.069, which means the F2 value is > 0.02, <0.15, <0.35, so the job involvement variable has a small proportion of performance.

b.     The job Involvement variable on Self-efficacy obtained an F2 value of 0.162, meaning the F2 value is > 0.02, > 0.15, < 0.35, so the job involvement variable has a moderate proportion of Self-efficacy.

c.     The Locus of Control variable for performance has an F2 value of 0.128, which means the F2 value is > 0.02, > 0.15, <0.35, so the Locus of Control variable has a large proportion of performance.

d.     The Locus of Control variable for Self-efficacy obtained an F2 value of 0.287, meaning the F2 value is > 0.02, > 0.15, < 0.35, so the Locus of Control variable has a large proportion of Self-efficacy.

e.     Self-efficacy variable regarding performance obtained an F 2 value of 0.289, which means the F 2 value > 0.02, > 0.15, < 0.35, so the Self-efficacy variable has a large proportion of performance.

Hypothesis test

1.     Direct Effects

Direct Effect is used to assess the significance level of the total Effect through the t-statistics table and p-value using bootstrapping. If the p-value is <0.05, it is stated that there is a direct influence, and if the p-value is >0.05, then it is indicated that there is no direct influence. Meanwhile, for t-statistics > 1.96, it is said that there is a significant influence. The analysis results table is as follows:

Table 7 Direct Effect

Variable

Original Sample (O)

Sample Mean (M)

Standard Deviation (STDEV)

T-Statistics (O/STDEV)

P-Value

Job Involvement àSelf Efficacy

0.352

0.365

0.126

2,768

0.008

Locus of Control àSelf-Efficacy

0.467

0.432

0.102

4,105

0,000

Job Involvementà Performance

0.287

0.228

0.112

2,021

0.025

Locus of Controlà Performance

0.279

0.255

0.107

2,671

0.012

Self Efficacy àPerformance

0.463

0.431

0.143

3,219

0.002

From the table above it can be classified as follows:

a.     The t-statistics value of the influence of Job Involvement on Self Efficacy is 2.768 > 1.96, and the p-value is 0.008 < 0.05, so Ha is accepted and H0 is rejected, which means that Job Involvement has a positive and significant effect on Self Efficacy.

b.     The t-statistics value of the influence of the Locus of Control on Self Efficacy is 4.105 > 1.96, and the p-value is 0.000 < 0.05, so Ha is accepted, and H0 is rejected, which means that the Locus of Control has a positive and significant effect on Self Efficacy.

c.     The t-statistics value influence of Job Involvement on Performance is 2.021 > 1.96, and the p-value is 0.025 < 0.05. Ha is accepted, and H0 is rejected, meaning that Job Involvement positively and significantly affects performance.

d.     The t-statistics value influencing the Locus of Control on Performance is 2.671 > 1.96, and the p-value is 0.012 < 0.05. Ha is accepted, and H0 is rejected, which means that the Locus of Control positively and significantly affects performance.

e.     The t-statistics value influence Self Efficacy on Performance is 3.219 > 1.96, and the p-value is 0.002 < 0.05. Ha is accepted, and H0 is rejected, which means that Self-efficacy has a positive and significant effect on performance.

2.     Indirect Effects

Indirect Effect helps analyze indirect effects so that the relationship between the mediator variable and other variables is known. If the p-value is <0.05, it is declared significant; if the p-value is >0.05, it is advised not substantial. The analysis results table is as follows:

 

Table 8 Indirect Effect

Variable

Original Sample (O)

Sample Mean (M)

Standard Deviation (STDEV)

T-Statistics (O/STDEV)

P-Value

Job Involvement àSelf Efficacy àPerformance

0.167

0.175

0.082

2,095

0.032

Locus of Control, àSelf-Efficacyà Performance

0.201

0.183

0.079

2,621

0.015

From the table above it can be explained as follows:

a.     The t-statistics value of the influence of Job Involvement on Performance through self-efficacy is 2.095 > 1.96, and the p-value is 0.032 < 0.05. Ha is accepted, and H0 is rejected, which means that Self-efficacy mediates positively and significantly between Job Involvement and Performance.

b.     The t-statistics value of the influence of Locus of Control on Performance through Self Efficacy is 2.621 > 1.96, and the p-value is 0.015 < 0.05. Ha is accepted, and H0 is rejected, meaning Self-efficacy mediates positively and significantly between Locus of Control. Control over Performance.

Discussion

1.     The Influence of Job Involvement on Self-Efficacy

The results of the analysis above show that Job Involvement has a positive and significant effect on Self-efficacy. This is proven by the t-statistics value of the influence of Job Involvement on Self-efficacy of 2.768 > 1.96 and the p-value of 0.008 < 0.05. This is because when someone feels involved in their work and has a vital role in the organization, this can increase their self-efficacy. Involvement in work can increase individuals' self-confidence because they feel that their work has a positive impact and they can overcome existing challenges. Conversely, a high level of self-efficacy can increase work engagement. Individuals who believe in their ability to perform tasks well tend to be more engaged. They may be more motivated to seek out challenging tasks and feel they have control over the outcome of their work. Thus, individuals who feel emotionally and cognitively engaged in their work may be more likely to develop self-confidence in completing work tasks successfully.

2.     The Influence of Locus of Control on Self-Efficacy

The results of the analysis above show that Locus of Control has a positive and significant effect on Self-efficacy. This is proven by the t-statistics value of the influence of Locus of Control on Self Efficacy of 4.105 > 1.96 and the p-value of 0.000 < 0.05. This is because individuals with an internal locus of control tend to have a higher level of self-efficacy. They feel that they have control over the outcomes of their lives, so they are more likely to have self-confidence in their ability to achieve goals and overcome obstacles. Then, individuals with an external locus of control can have lower self-efficacy in some situations. They may feel that they do not have complete control over the outcome, so their confidence in their abilities may be affected. This aligns with research by Mukti and Waskito (2023), who found that locus of control positively and significantly affects self-efficacy.

3.     The Effect of Job Involvement on Performance

The analysis above shows that job involvement positively and significantly affects performance. This is proven by the t-statistics value of the influence of Job Involvement on Performance equal to 2.021 > 1.96 and p-value 0.025 < 0.05. This is because employees with high job involvement tend to be more motivated to do their jobs well. They feel connected to their work and have a strong sense of responsibility for its results, and employees who are engaged in their work are more likely to be actively involved in their tasks. They tend to be more focused and committed to achieving the desired results. This aligns with previous research, which states that job involvement positively and significantly affects employee performance (Azzahra & Maryati, 2016). Then further research says that there is a positive influence between work engagement and employee performance (Fahrizal et al., 2020), and also research (Hasan et al., 2023) that job involvement has a positive and significant effect on employee performance.

4.     The Effect of Locus of Control on Performance

The results of the analysis above show that Locus of Control has a positive and significant effect on performance. This is proven by the t-statistics value of the influence of Locus of Control on Performance, amounting to 2.671 > 1.96 and a p-value of 0.012 < 0.05. This is because individuals with an internal locus of control tend to have a greater sense of responsibility for their work. They are more likely to take initiative, commit to achieving goals, and overcome obstacles more effectively. Employees with an internal locus of control also tend to be more motivated to improve their performance because they believe their efforts will impact positive results (Septiadi et al., 2017). This is in line with other research that has asked that locus of control has a positive and significant effect on employee performance (Mukti & Waskito, 2023), then research (Ary & Sriathi, 2019) that locus of control has a positive and significant effect on employee performance, but other research states that locus of control has no significant impact on employee performance (Andrawina, 2022).

5.     The Influence of Self-Efficacy on Performance

The results of the analysis above show that self-efficacy has a positive and significant effect on performance. This is proven by the t-statistics value of the influence of Self-efficacy on Performance, amounting to 3.219 > 1.96 and a p-value of 0.002 < 0.05. This is because individuals with high self-efficacy tend to feel more motivated to overcome challenges and achieve their goals. They believe they have the abilities necessary to succeed, so they tend to work harder and more diligently. Individuals with high self-efficacy tend to seek creative and innovative solutions to solve tasks or problems. They feel confident that they can achieve the desired results in various ways. This is in line with other research which states that self-efficacy has a positive and significant effect on employee performance (Mukti & Waskito, 2023), then research (Ary & Sriathi, 2019) that self-efficacy has a positive and significant impact on employee performance, as well as further research state that self-efficacy has a positive and significant effect on employee performance (Hasan et al., 2023), as well as other research states that self-efficacy shows a positive and significant influence on employee performance (Pratomo, 2022).

6.     The Effect of Job Involvement on Performance through Self-Efficacy as a Mediating Variable

The results of the analysis above show that Self-efficacy mediates positively and significantly between Job Involvement and Performance. This is proven by the t-statistics value of the influence of Locus of Control on Performance through Self Efficacy of 2.2,095 > 1.96 and the p-value of 0.032 < 0.05. This is because Self Efficacy acts as a mediating variable. This means that Self-efficacy mediates the relationship between Job Involvement and Performance. When someone feels involved in their work (high Job Involvement), this can increase their Self Efficacy. Then, this higher Self-efficacy can lead to improved performance because individuals who feel confident tend to work better.

7.     The Influence of Locus of Control on Performance through Self-Efficacy as a Mediating Variable

The analysis above shows that Self-efficacy mediates positively and significantly between the Locus of Control and Performance. This is proven by the t-statistics value of the influence of Locus of Control on Performance through Self Efficacy of 2.621 > 1.96 and the p-value of 0.015 < 0.05. This is because Self-efficacy acts as a mediating variable that connects Locus of Control with Performance. Locus of Control (internal or external) influences a person's Self Efficacy. Individuals with an internal locus of control tend to have higher Self-efficacy, which can improve their performance. On the other hand, individuals with an external locus of control may have lower Self-efficacy, which may affect their performance negatively. This aligns with further research, which states that self-efficacy has a positive and significant effect in mediating between locus of control and employee performance (Mukti & Waskito, 2023).

The research results confirm that the variables Job Involvement, Locus of Control, and Self Efficacy have adequate validity and reliability in the context of measurement and analysis. The structural model shows that Job Involvement and Locus of Control have a significant positive influence on Self Efficacy, which in turn increases employee performance. Apart from that, Self Efficacy has also been proven to have a significant direct influence on performance. Mediation analysis shows that Self Efficacy acts as an important mediator between Job Involvement and performance, as well as between Locus of Control and performance. These findings provide important contributions to our understanding of the psychological factors that influence employee performance, as well as managerial implications in improving organizational effectiveness.

 

CONCLUSION

After carrying out the analysis and discussion above, researchers can conclude that Job Involvement and Locus of Control positively and significantly influence employee Self-efficacy. Engagement in work and a sense of control over life influence employees' self-confidence in overcoming challenges and achieving goals. Apart from that, Job Involvement and Locus of Control also positively and significantly affect employee performance. High levels of involvement and internal control encourage employees to be more responsible and motivated so that performance increases. Furthermore, Self-efficacy also positively and significantly influences employee performance because high self-confidence encourages employees to overcome obstacles and achieve goals. In addition, Self-efficacy mediates positively and significantly between Job Involvement, Locus of Control, and employee performance. Involvement in work and internal control can increase Self-efficacy, improving employee performance.

 

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