LINE MANAGER’S ROLE ON EMPLOYEE

ENGAGEMENT AND PERFORMANCE

Theses Proposal.

A theses proposal by Muhammad Biyan Raka Gelung Sakti

B2041172011
Magister Program of Management
Faculty of Economics and Business
State University of Tanjungpura
Pontianak
2018
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Foreword

Assalamu’alaikum

God bless us all

This paper work is presented for my beloved family.

Puji syukur atas karunia Allah SWT. sehingga karya tulis ini dapat rampung sebagai
tugas akhir perkuliahan Magister Manajemen. Peneliti juga berterima kasih atas
dukungan seluruh dosen dan pengurus Program Magister Manajemen Fakultas
Ekonomi dan Bisnis Universitas Tanjungpura, tanpanya karya tulis ini tidak akan bisa
diterbitkan pada Jurnal Internasional: Human Resource Management Journal, Wiley.
Bantuan dan dukungan dari orang terdekat juga sangat membantu peneliti dalam
melewati masa-masa sulit selama penyusunan karya tulis ini.
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Table of Content

Cover ................................................................................................................... i
Foreword ............................................................................................................. ii
Table of Content .................................................................................................. iii
CHAPTER I Introduction ..................................................................................... 1
1.1. Research Background .............................................................................. x
1.2. Problem Identification ............................................................................... x
1.3. Research Purpose .................................................................................... x
1.4. Framework ................................................................................................ x

CHAPTER II Literature Review ........................................................................... x

2.1. Performance Management ....................................................................... x
2.2. HRM Practices and Organization’s Performance ..................................... x
2.3.

CHAPTER III Research Methodology .................................................................. x

3.1. General Research Method Overview ........................................................ x
3.2. Sampling ................................................................................................... x
3.3. Variables ................................................................................................... x
3.4. Research Instruments ............................................................................... x
3.5. Analysis Technique ................................................................................... x

CHAPTER IV Result and Discussion .................................................................. x

4.1. Analysis Result ......................................................................................... x
4.2. Discussion ................................................................................................ x

CHAPTER V Conclusion ..................................................................................... x

5.1. Research Conclusion ................................................................................ x
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5.2. Research Limitation and Further Research .............................................. x

CHAPTER VI References .................................................................................... x

6.1. International Articles ................................................................................. x
6.2. Popular Books .......................................................................................... x
6.3. National Articles ........................................................................................ x
6.4. Online Articles .......................................................................................... x
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SECTION I

Introduction

1.1. Research Background

HRM practices  Line Manager’s Role  Employee’s Engagement 
Performance and Innovative Employee

Management is known to be a way to organize resources and achieve

one’s objectives. The resources are including material, money, information,
technology, energy, and people. To achieve objectives effective and efficiently,
high performance management practice is used.
Many researchers had taken up high-performance management as
research’s topic, but not many discussing line manager’s role on implementing
this high-performance management (Alfes, Kerstin et al. 2013, Gilbert, C., De
Winne S., and Sels, L. 2015). Line manager is a manager who has a direct
interaction with staff. Field supervisor who manage palm fruit labor is an
example of line manager. Allan and Susan from Centre for Effective
Organization, University of South California said that performance management
is doing what line manager’s do daily (qtd. Radu D. Stanciu, 2015: ). Line
manager’s performance has been seen to present overall organization’s
performance.
In Indonesia, the important role of line manager can be seen on how the
organization’s budget is placed. The organization’s budget is always placed on
section level. This section level is a management level where a manager have
a direct interaction with staff, which also known as line managerial level. Since
organization’s performance is measured by budget realization, line manager’s
ability to manage projects and activities using given budget is critical.
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As important as how a line manager manage their budget to meet

performance standard, they also must build a good relationship to their staff. As
Purcell (2003) mention, the most employee’s desire to perform are their
relationship with line manager.
Sdasdasihd aiojs dais djaiosj daisjdaisjdaoisjdaoisjdaoisdjaoisjdaois
djaoids joaidjoyiasjdyioafjdsaiojsdio

Institution Name Line Manager Staff

Sekretariat Daerah 22 110
Dinas Kesehatan 15 56
Dinas Pendidikan 15 58
Dinas Bina Marga dan Pengairan 7 22
Dinas Cipta Karya, Tata Ruang, dan Kebersihan 9 28
Dinas Pendapatan, Pengelolaan Keuangan, dan
13 40
Aset Daerah
Dinas Kependudukan dan Pencatatan Sipil 9 32
Dinas Sosial, Tenaga Kerja, dan Transmigrasi 12 41
Dinas Perhubungan 7 21
Dinas Informasi dan Informatika 10 33
Dinas Koperasi, Usaha Mikro, Kecil, dan
11 30
Menengah
Dinas Perindustrian dan Perdagangan 9 27
Dinas Pertanian dan Peternakan 15 45
Dinas Perkebunan, Kehutanan, dan Pertambangan 15 45
Dinas Perikanan dan Kelautan 15 51
Dinas Kebudayaan, Pariwisata, Pemuda, dan
9 28
Olahraga
Total 193 667
Sources: PERDA KKR 14/2009 and Regional Secretary Online Data (2016
employee’s data).

1.2. Problem Identification

1.3. Research Purpose

1.4. Framework
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SECTION II

Literature Review

2.1. Performance Management

World’s resources are limited. Every second there are about 2,000 tons
of earth minerals extracted from every mining site in this earth
(theworldcounts.com). And as the world resources decreasing every time,
human population keep increasing, consumer became more and more
demanding, and price of raw material for production is higher than last year, the
survivability of an organization will be depending on its employee’s
performance. As Staciu (2015:5) state that organization survival will be decided
by how it manage the resources, range from material, money, information,
technology, energy, and people. Good resource management rooted from good
work force management. Other resources will be managed by this work force.
An organization will be nonexistence if it hasn’t had this special resource:
human resource. Furthermore, firm performance depends on to what extend the
organization can maintain and enhance worker’s performance, especially
performance management.
Late performance management practice known as work assessment. It
is a mean to measure one’s task achievement. Today’s performance
management is more complex. Work assessment is now a part of performance
management. Another functions of performance management include but not
restricted to (Staciu, 2015:6):
o Define job and department roles;
o Manage performance indicators and standard;
o Socialize roles and indicators;
o Create a productive working environment to achieve organization goals.
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Staciu (2015:7) also state that the method to sets indicators and work
standard came from an idea that performance would be increased if managers
are focusing on:
- work settings,
- monitoring objectives achievement, and
- harmonizing individual development and rewards with the growth potential
and development of new skills.
There is even an assumption on performance management practice:
“increasing of individual performance will lead with the growth and new skills
development potential to the improvement of organization performance”,
although there is no clear link between them pinpointed so far.

2.2. HRM Practices and Organization Performance

Several growing researches start from 2003 to 2013 had been agree
upon causal existence between certain HRM practices and firm level outcomes,
such as financial performance and organizational effectiveness (Kerstin Alfes et
al., 2013:). As Kuvaas, Snape & Redman, and Sun (qtd. Kerstin Alfes et al.
2013:) state on their research, these growing evidences has led to a number of
studies that explore the mediating role played by either 1) employee attitude,
ex: job satisfaction and commitment; 2) behavior, ex: task performance and
organizational citizenship behavior (OCB); and 3) experienced organizational
practices, ex: perceived organizational support, organizational justice, and job
design.
Purcell, J., Kinnie, N., Swart, J., Rayton, B., & Hutchinson, S. (2008:4)
explain the link between people management and organization performance.
One off their research was discussing difference method and theory used on
HRM practices and organization performance. One of that method was
Gerhart’s research that come to a conclusion that one standard deviation
increase in HR system practice, designed to enhance workforce ability,
motivation, and opportunity to contribute was associated with roughly 20%
better firm financial performance.

2.3. Line Manager’s Role on HPWP

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2.4. Social Exchange Theory in HPWP

2.5.
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BAB III

Research Methodology

3.1. General Method Overview

This paper designed to explore a causal relationship between line
manager perceived behavior and individual performance. This is an attempt to
replicate Alfes (2013) research in England and adopt it in Indonesian
Government.
Self-reported questionnaire is going to be used to capture data of
perceived line manager behavior, perceived HRM practices, and its impact on
individual initiative and performance. Then the data captured will be analyzed
using structural equation modelling.

3.2. Sampling
The ideal population in this paper are supposedly all line manager in
Indonesia. After considering researcher’s time and money availability, the
sample on this research are chosen from Districts Government of Kubu Raya in
Kalimantan Barat. Sampling technique used is survey, when all the sample to
meet requirement are asked to fill the questionnaire.

3.3. Variables
There are five variables involve in this research model: Perceived HRM
Practices, Perceived Line Manager behavior, Employee Engagement,
Individual Task Performance, and Innovative Work Behavior. Perceived HRM
practices and line manager behavior working as independent variable, mediated
by employee engagement, these variables are predicted to have a causal
relationship to individual task performance and innovative work behavior, the
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dependent variables. The interaction of these variables is shown on Figure 1

below.

Figure 1. Model linking perceived line manager behavior and HRM practices
to individual performance.

3.4. Research Instruments

Perceived HRM practices were measured based upon and Gould-
Williams and Davies’s (2005) and Alfes’s (2013) HRM practices scale. Five item
scales from Cook and Wall (1980), Unden (1996), and Alfes (2013) was used
to assess perceived line manager behavior. Employee engagement was
measured using scaled developed by Soane et al. (2012) and Alfes (2013).
Instrument from Janssen and Van Yperen (2004) and Alfes (2013) was used to
measure individual task performance and innovative work behavior.

3.5. Analysis Techniques

To acquire a causal relationship data between five variables in this paper,
structural equation modelling (SEM) was used. To define research model and
calculate goodness of fit this paper used path analysis as a part of SEM.
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CHAPTER IV

Result and Discussion

4.1. Analysis Result

4.2. Discussion

CHAPTER V

Conclusion

5.1. Research Conclusion

5.2. Research Limitation and Further Research
Purcell, J., Kinnie, N., Swart, J., Rayton, B., & Hutchinson, S. (2008:4)
explain that a cross-sectional study can only reveal association, not causality.
But technically using statistic methods, it can. It is also suggested that three
criteria need to be used to establish cause. cause. First, cause requires that the
effect be present when the cause is present and be absent when the cause is
absent. Second, the proposed cause must exist in time prior to the proposed
outcome and, third, all other variables that might cause the outcome are
controlled for.
To fundamentally study causal relationship, further research going to
have to use longitudinal method. Using current model on one population from
time to time. By using this method, it is more likely to get a clear view on how
the HRM practices and line manager behavior effecting firm performance. For
another further research, the researchers can try to use experimental design to
explore causal relationship at fundamental basic. The experimental research is
used to systematically control many extraneous variables, so that the
designated variables can be measured extraneous-free.
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CHAPTER VI

References

6.1. International Articles

Alfes, Kerstin et al. (2013). The Relationship between Line Manager Behavior,
Percieved HRM Practices, and Individual Performance: Examining The
Mediating Role of Engagement. Human Resource Management, 52(6),
839-859 (Wiley Periodicals, Inc.).
Amin, Ismail, dan Selemani. (2013). The Impact of Human Resource
Management Practice on Performance: Evidence from a Public
University. The TQM Journal, 26(2), 125-142 (Emerald Group Publishing
Limited).
Gilbert, C., De Winne S., and Sels, L. (2015). Strong HRM processes and line
managers’ effective HRM implementation: a balanced view. Human
Resource Management Journal 25(4), 600–616 (John & Wiley Ltd.).
Stanciu, Radu D. (2015). Performance Management: A Strategic Tool. FAIMA
Business & Management Journal, 3(2), 5-12.
6.2. Popular Book
Purcell, J., Kinnie, N., Swart, J., Rayton, B., & Hutchinson, S. (2008). People
management and performance. Routledge.
6.3. National Articles
Peraturan Daerah Kabupaten Kubu Raya (PERDA KKR) No. 14/2009 about “
6.4. Online Articles
Russell, Tony, et al. "MLA Formatting and Style Guide." The Purdue OWL, 2
Aug. 2016, owl.english.purdue.edu/owl/resource/747/01/.
The World Counts. Resources extracted from earth.
http://www.theworldcounts.com/counters/shocking_environmental_facts
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_and_statistics/resources_extracted_from_earth. Accessed November

30th 2018 at 10 am GMT+7.
6.5.