International Business Management

Year: 2016
Volume: 10
Issue: 3
Page No. 255 - 261

Improvement of Employee Banking Performance Based on Competency Improvement and Placement Working Through Career Development (Case Study in Indonesia)

Authors : Elisabeth Siahaan, Parapat Gultom and Prihatin Lumbanraja

Abstract: Nowadays, the number of banks in Indonesia reaches 120 banks with a very tight competitive conditions in particular compete with foreign banks that have assets and capital are very strong. Winning the competition in the banking sector can be achieved by creating a human resource management system so that qualified employees are able to produce optimal performance. The purpose of this study was to find human resource management policies that can improve performance by improving the competence of banking employees and placement of employees in the right place as well as through the career development of employees as an intervening variable. Research was done at the Bank Rakyat Indonesia (BRI) Branch Putri Hijau with a total population of 180 permanent employees and a sample of 65 employees of the BRI. This study used primary and secondary data. Method of data analysis used path analysis. Based on respondents’ answers through questioner, it is known that employees have adequate competency. Employees are placed in accordance with the knowledge, skills and talents. Employees’ career development has been well characterized by the presence of career planning and career management provided by the company for the benefit of employees and the company. The majority of employees have demonstrated optimal performance. The study concluded that the employee’s performance can be improved significantly if the company is able to find employees who have sufficient competence and strive always to improve the competence of the employees and the employees put in the right place and pay attention and provide career development opportunities employees. Placement of the right employees is a dominant factor in improving employee performance. Career development as an intervening variable has a weak influence than the direct effect in improving employee performance.

How to cite this article:

Elisabeth Siahaan, Parapat Gultom and Prihatin Lumbanraja, 2016. Improvement of Employee Banking Performance Based on Competency Improvement and Placement Working Through Career Development (Case Study in Indonesia). International Business Management, 10: 255-261.

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