The Effect of Work Culture, Personality, Leadership and Trust on

Employee Commitment at PT Astra Agro Lestari Tbk on Indonesia

Pandapotan Sitompul

, Suparno Eko Widodo

, R. Madhakomala

and Hamidah

Universitas Negeri Jakarta, Indonesia

Keywords: Employee Commitment, Work Culture, Personality, Leadership and Trust

Abstract: The objective of research is to study the effect of work culture, personality, leadership and trust on

employee commitment. The process of research carried out at the private company it has used case study

methode. The samples of research were 105 employee at the private company that were selected in a simple

random sampling. The results of finding are: (1) there is a positively direct effect of work culture on

employee commitment, (2) there is a positively direct effect of personality on employee commitment, (3)

there is a positively direct effect of leadership on employee commitment (4) there is a positively direct

effect of trust on employee commitment (5) there is a positively direct effect of work culture on trust, (6)

there is no a positively direct effect of personality on trust, (7) there is a positively direct effect of leadership

on trust. Referring to these findings, the researcher could conclude that employee commitment is positively

affected by work culture, personality, leadership and trust. Therefore, to maintain employee commitment,

the organization has to apply the work culture, personality, leadership and trust. Finally, it should be

concluded that work culture, personality, leadership and trust should be considered in generating the

employee commitment.

1 INTRODUCTION

Employee commitment is a measure of the

willingness of employees to stay together a company

in the future. There are three general behavioral

indicators of employee commitment, namely (1)

there is willingness to help colleagues complete

organizational tasks, (2) unite their activities and

priorities to achieve larger organizational goals, (3)

choose needs appropriate organizations rather than

following some professional interests.

According to Colquitt et al., employee

commitment is defined as desire of employees to

continue to be members of the organization.

Employee commitment affects whether employees

endure being members of organizations or going to

pursue other jobs. Employees who are not

committed to the organization have self-withdrawal

behavior, namely a set of actions that employees

show to avoid behavioral work situations that

usually trigger out of the organization (Colquitt et

al., 2009).

Inanlou & Ahn's research from Ewha Womans

University, South Korea with the title Impact of

Organizational Culture on Employee Commitments:

Role of Mediation in Human Resource Development

in Korean Companies: Commitment of workers is an

important to increase employees’ accomplishment.

The rationale is the following. When what the

employee feels part of the organization, such

identification immediately contributes to fostering

high degree commitment and innovation. Therefore,

we expect organizational culture will enhance

commitment of employees (Inanlou & Ahn's, 2017).

Based on the opinions above, worker

commitment is important to improve employee

performance. The rationale is as follows. When

employees feel that they are part of an organization,

such identification immediately contributes to

encouraging high-level commitment and innovation.

Therefore, it is expected that the organizational

culture will increase employee commitment.

Bartholomew et al. in his research entitled

Personality Characteristics and Employee Affective

Commitment: Nigeria Experience mengatakan, “It

was explained that there is a significant positive

898

Sitompul, P., Widodo, S., Madhakomala, R. and Hamidah, .

The Effect of Work Culture, Personality, Leadership and Trust on Employee Commitment at PT Astra Agro Lestar i Tbk on Indonesia.

DOI: 10.5220/0009510808980905

In Proceedings of the 1st Unimed International Conference on Economics Education and Social Science (UNICEES 2018), pages 898-905

ISBN: 978-989-758-432-9

relationship between the five personality

characteristics and affective commitment”

(Bartholomew et.al., 2016). Based on this

explanation opinion, it was revealed that there was a

positive and significant relationship between the five

aspects of personality traits with affective

commitment.

Porter stated: Organizational commitment has

evolved from the past until now as a multi-

dimensional construction to understand why

employees remain or leave the organization.

Transformational leadership has been studied in a

limited way as an antecedent to organizational

commitment, and the results of this study provide

consistent results (Porter, 2015).

Based on the above opinion, organizational

commitment has progressed from the past until now

as multi-dimensional construction to understand the

reasons why employees survive in the organization

or leave the organization. Transformational

leadership has been studied in a limited way as an

antecedent for organizational commitment, and the

results generally provide consistent results.

Njoroge et al., stated: Management literature is

awash with evidence suggesting that organizational

commitment is associated with variables of great

importance for organizational efficiency and

success. Transformational leadership is an important

antecedent of organizational commitment (Njoroge

et.al., 2015).

Based on the statement above, there is a lot of

research in management that shows that

organizational commitment is associated with

variables that are very important for the purpose of

efficiency and success of the organization.

Transformational leadership is an important

antecedent of organizational commitment.

Rahmani & Heydari explained, “trust, in addition

to organizational commitment within the educational

organization could have a positive impact on

maintaining quality staff” (Rahmani & Heydari,

2017).

Based on the above opinion, trust in addition to

organizational commitment to educational

organizations can have a positive effect on

maintenance of quality staff / employees.

Based on research conducted by the five

researchers, it is known that organizational culture

has an impact on employees commitment,

personality influences employee commitment,

leadership impact on employee commitment and

trust affects employee commitment.

This research was conducted at PT Astra Agro

Lestari Tbk, one among the promment private

plantation companies in Indonesia. The real

conditions at the research location were employees

the private company, based on a preliminary survey

with 30 employees, it was seen that employee

commitment was still low.

Based on the background of the problem,

identification of the problem, limitation of the

problem, then formula problem of this study are as

follows: (1) Is there a direct influence of work

culture on employee commitment? (2) Is there a

direct influence of personality on employee

commitment? (3) Is there a direct influence of

leadership on employee commitment? (4) Is there a

direct influence of trust on employee commitment?

(5) Is there a direct influence from work culture on

trust? (6) Is there a direct influence of personality on

trust? (7) Is there a direct influence of leadership on

trust?

2 THEORICAL FRAMEWORK

2.1 Employee Commitment

According to Schermerhorn, organizational

commitment is employee loyalty to the organization

(Schermerhorn et al, 2010). Thus Schermerhorn

briefly defines organizational commitment as

individual loyal to the organization. That means that

the higher a person's organizational commitment, the

higher the level of pride of being part of the

organization, because the stronger he identifies

himself with his organization. organisasinya.

According to Robbins & Judge, organizational

commitment is as strong as what an employee

identifies with the organization where he works and

his goals and wants to always be a part of a

particular organization (Robbins & Judge, 2007).

With this understanding of organizational

commitment by Robbins and Judge as the level of

identification of a person in the existence and

purpose from the organization and its willingness to

survive to be part of the organization.

Colquitt et al., said that the notion of

organizational commitment is the desire of

employees to remain a part of the organization

(Colquitt et al., 2009). According to Colquitt, et al.,

understanding of organizational commitment desire

of members in order to remain part of the

organization. Thus their opinions are in line with

previous opinions that make the aspect of defense as

the main feature in one's commitment to the

organization.

Luthans said that organizational commitment is

(1) strong will to remain a part organization, (2)

willing with all the high-level efforts on behalf of

organizational, (3) certain beliefs and can accept the

values and objectives of the organization (Luthans,

2011). For Luthans, organizational commitment

The Effect of Work Culture, Personality, Leadership and Trust on Employee Commitment at PT Astra Agro Lestari Tbk on Indonesia

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contains a number of commitments, such as (1)

strong desire from members to survive in certain

organizations, (2) a strong willing to participate in

maintaining the organization's name, and (3) a

determination to wholeheartedly accept values and

the purpose of the organization.

Gibson said that commitment organization is a

sense of identification, loyalty, and involvement

expressed by an employee toward the organization

or unit of the organization (Gibson, 2012).

According to Gibson, understanding of

organizational commitment the identification,

loyalty, and various kinds of expressions a person

has towards his organization. Gibson also mentions

3 scope in organizational commitment, namely (1)

sense of identification with the organization's goals,

(2) a feeling of involvement in organizational duties,

(3) a feeling of loyalty for the organization (Gibson,

2012). This means, there are 3 scopes in

organizational commitment, namely (1) a sense of

identification with organizational goals, (2) feelings

of involvement in organizational tasks and (3)

feelings of loyal to the organization. Based on the

statement above, organizational commitment and

employee loyalty are how strong employees want to

stay in the organization and want to continue to

actively participate.

Based on the explanation of the concept above, it

can be synthesized that employee commitment is a

desire and loyal attitude (identification, involvement

/ attachment) that is shown by someone to the

organization by being willing and fully involved in

carrying out tasks / work in achieving organizational

goals and desires and remain as members .

The indicators are (1) emotionally bound with

organization; (2) self-identification of the

organization; (3) rational attachment to the

organization; (4) attachment due to the need for the

organization; (5) moral attachment to the

organization; and (6) loyalty to stay in the

organization.

2.2 Work Culture

In simple terms, work culture look as the

implementation of cultural concepts in work or in a

group. As stated by Schein the following: The

culture of groups are now interpreted as patterns of

shared basic assumptions that groups learn when

they solve problems of adjustment with external

parties and their internal integration, that was works

well so it is considered valid because it must thaught

for new members as the right way to understand,

thing and feel in connection with the problem that

exists (Schein, 2004).

Based on the above opinion, the culture that

develops in a group or organization is basic pattern

of assumptions agreed upon, has been studied by

group members in solving problems related to

adjustments externally and internally integration.

Culture develops because it has worked well so that

it is which means valid therefore culture can taught

for new members of the organization as right way to

realize, think and feel relationships in dealing with

group problems.

According to Nawawi, understanding of work

culture is a habit that is carried out repeatedly by

employees in an organization, violations of this

practice are not strictly sanctioned, but morally

organizational behavior has agreed that these habits

are habits that must be adhered to in order to carry

out work to achieve aim (Nawawi, 2003).

Whereas according to Prasetya, the notion of

work culture is a philosophy based on the view of

life as a value that becomes traits, habits, and the

power that drives, rooted in life a community group

or organization reflected in attitudes to behavior,

ideals, beliefs, actions and opinions incarnate as

work or work (Prasetya, 2001).

So work culture is an attitude and belief and trust

from all members of organization in action that is

real or working, because it contains values that form

habits, and also is a strong encouragement.

In organizations, functions or goals of work

culture are as social glue in uniting members in

achieving organizational goals in the form of

provisions or values that must be said and done by

its members. In addition, work culture also functions

as a control over behavior of members of the

organization.

Tylor (in Ndraha), stated “Culture or civilization

from a broad ethnographic is a very complex whole

that covers beliefs, knowledge, morals, arts,

customs, laws and abilities and other habits acquired

by individuals as members society”. It cannot be

denied the opinion of Tylor. Because work culture

always involves many things, knowledge, beliefs,

art, morality, law, customs and capabilities and other

habits. All of them have their respective roles as part

of the community in an organization (Ndraha, 1997).

According to Ndraha, understanding of work culture

is a group of basic thoughts or mental programs that

can be used for improve work efficiency and human

cooperation owned by a group of people.

Based on the explanation of the concept above, it

can be synthesized that what is meant by

understanding work culture is a system of values,

perceptions, behaviors and beliefs held by each

individual employee about the meaning of work and

reflection in activities to achieve organizational

goals. The indicators are 1) Hard work, 2)

Discipline, 3) Productive, 4) Responsibility, 5)

Creative, 6) Dynamic, and 7) Mandiri.

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2.3 Personality

Personality is a characteristic of identifying their

tendency to behave in a certain way. This is

supported by the opinion of Schermerhorm, who

expressed the notion of personality: Personality is an

overall combination of characteristics that capture

the unique nature of individuals that is important for

understanding and helping someone as a person who

reacts and interacts with others (Schermerhorn et al.,

2010).

Shabahang & Amani stated: Personality traits or

attributes can influence the decisions and

organizational behaviors of employees. Personality

is generally known to affect the way individuals

decide and behave, many studies have examined the

relationship between personality and employee

commitment (Shabahang & Amani, 2016).

Based on the explanation above, personality

traits or attributes can influence employee decisions

and behavior. When personality variables found in

general affect in what way individuals decide and

behave, various many studies have examined the

relationship between personality factors and

employee organizational commitment.

According to Colquitt et al., the notion of

personality is:Personality refers to the structures and

propensities inside people that explain their

characteristic patterns of though, emotion and

behavior personality creaters people’s social

reputations the way they are perceived by friend,

family, coworkers and supervisors (Colquitt et al.,

2009).

Furthermore Larsen & Buss stated personality as

follows: Personality is the set of psychological traits

and mechanisms within the individual that are

organized and relatively enduring and that influence

his or her interactions with, and adaptations to, the

intrapsyhic, physical and social environments

(Larsen & Buss, 2010).

Personality is the whole way in which an

individual reacts and interact with each other

individuals, and adjusts to the environment.

Adjustment is as "a process of individual response

both behavioral and mental in an effort to overcome

the needs of self, emotional tension, frustration and

conflict, and so that there is a balance between

meeting those needs with the demands (norms) of

the environment. These characteristics are unique.

This is supported by Griffin's opinion, which says

that: “Personality is the relatively stables set of

psychological atributes that distinguish one person

from another” (Griffin & Moorhead, 2007).

Personality is defined as a combination of stable

physical and mental characteristics that give

individuals their identity.

Based on the description of the concept above, it

can be synthesized that personality is a pattern of

behavior and a unique way of thinking that

determines one's adjustment to the environment,

with the following indicators: conscientiousness,

extraversion, agreeableness, emotion stability,

openness to experience.

2.4 Leadership

Colquitt et al. define leadership or leadership is the

use of strength and influence in directing followers'

activities to achieve goals (Colquitt et al., 2015). For

them leadership is about a person's ability to use

strength and influence on his followers to want to

carry out their activities to achieve desired goals.

Stoner and Freeman say that leadership or

leadership is art in coordination and motivating

individuals and group to achieve the desired end

(Stoner & Freeman, 1995). For them leadership is

art in coordination and encouraging individuals or

groups in achieving the expected goals. So,

leadership means the process of how leaders are

imaginatively governing, directing, guiding or

influencing others in choosing and achieving certain

goals.

Dlamini, said “transformational leadership

occurs when the leader motivates, inspires and

intellectually encourage subordinates with

charismatic behavior and employees follow the steps

in achieving organizational goals” (Dlamini, 2017).

This means transformational leadership occurs when

leaders motivate, inspire and intellectually stimulate

subordinates to behave in charismatic ways and

employees follow rules in achieving organizational

goals.

By exposing the concept above, it can be

synthesized that what is meant by leadership is a

person's actions in influencing and directing a person

or group of people by recognizing, supporting,

training or developing, motivating or inspiring,

fostering good relations, protecting and giving

feedback to subordinates to be willing to work

together in achieving goals set by the organization.

The indicators of leadership are (1) leadership

actions in influencing and directing; (2) leadership

clarity in delegating tasks; (3) ways to guide and

establish and reinforce organizational policies; (4)

how to guide its members in carrying out the

organization's vision and mission; (5) how to

provide input or advice in implementing policies; (6)

activities in working both personally and in groups.

2.5 Trust

Trust is important in the organization, because

without trust there may not be a harmonious

relationship between leaders and subordinates.

Experts try to define trust based on their conditions

and points of view.

The Effect of Work Culture, Personality, Leadership and Trust on Employee Commitment at PT Astra Agro Lestari Tbk on Indonesia

901

McShane and & Glinow said that trust refers to

positive expectations one person has toward another

person in situations involving risk (McShanes &

Von Glinow, 2008). For McShane & Von Glinow,

trust refers to a person's positive expectations of

others in which there is certainly a risk. Trust means

betting on trust in a person or group of people. It is

also a reciprocal activity. That is, to get the trust of

others, someone must also do it to others.

Employees will take sides and be responsible for

working with institutions / companies, if the

employees put trust in their leaders.

Sureyya said “organizational trust is considered

as the most important element for the organizational

productivity and commitment” (Sureyya, 2017).

This means that organizational trust likened to the

most important element for productivity and

organizational commitment.

Luthans expressed a different opinion, “Trust is

relationships make companies farmore reliant on

each other” (Luthans, 2011) or trust is a relationship

that depends on each other. Can be interpreted that

trust is built by the existence of mutually bound

relationships between one person and another.

Based on the explanation of the concept above, it

can be synthesized that trust is a willingness and

positive expectation given to a person or group of

authorities on the basis of mutual respect and respect

based on interpersonal relationships in the hope of

obtaining positive results also from those who are

authorized.

The indicators of trust are (1) assignment of

tasks, (2) completion of tasks, (3) team

cohesiveness, (4) effective communication, (5) idea

development, (6) justice, (7) responsibility , (8)

support, (9) consistency, and (10) mutual respect.

In summary the above theoretical framework can

be described in the following scheme:

Figure 1 Theoretical Framework Between Research

Variables

Research Hypothesis

Based on the formulation of problem and the

theoretical framework, the research hypothesis can

be formulated as follows:

1. There is direct effect of work culture on

employee commitment

2. There is direct effect of personality on employee

commitment

3. There is a direct effect of leadership on employee

commitment

4. There is a direct effect of trust on employee

commitment

5. There is a direct effect of work culture on trust

6. There is a direct effect of personality on trust

7. There is a direct effect of leadership on trust.

3 RESEARCH METHODOLOGY

This research was carried out for 1.5 years, starting

in December 2016 until May 2018. In accordance

with the problems and research objectives to be

achieved, this research method uses a survey with a

path analysis approach. The target unit in this study

is the middle managerial level employee of the

private company. The sample characteristics are (1)

managerial employees at the middle manager level;

(2) middle level manager employees who have

worked in a plantation for a minimum of 5 years of

work; (3) middle level manager employees with

positions as head of department.

The total population of employees and at the

same time as an affordable population are 143

people. To determine sample size, researchers used

Slovin's formula technique. The level of precision is

set at 0.05 or 5% of the total population of 143

middle level employees, a sample of 105 people is

obtained.

4 RESULT AND DISCUSSION

4.1 Descriptive Statistic

The data of this research were obtained from

respondents of the Head of Education (middle

manager) as many as 105 (one hundred and five)

people who filled in the statement items in

accordance with the instrument consisting of 5 (five)

variables, including: 3 (three) independent variables:

Work Culture (X1), Personality (X2), Leadership

(X3), 1 (one) intervening variable: Trust (X4), and 1

(one) dependent variable: Employee Commitment

(X5).

A summary of the results of basic statistical

calculations of all variables can be seen in the table

below:

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902

Table 1: Statistic Description

4.2 Basic Assumption Test

Normality test

Table 2: Normality Test

From the above output we see in the

Kolmogorov-Smirnov column and it can be seen that

the significance value for Work Culture (X

Personality (X

), Leadership (X

), Trust (X

Employee Commitment (X

) is 0.200. Because the

significance for all variables is greater than 0.05, it

can be concluded that data population is Work

Culture (X

), Personality (X

), Leadership (X

Trust (X

), Employee Commitment (X

) with normal

distribution.

Linearity Test

Table 3: Linearity Test X

-X

From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value of Linierity is 0,000. Because

the significance is less than 0.05, the variable

between employee commitment and work culture

has a linear relationship.

Table 4 Linearity Test X

-X

From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value of Linierity is 0,000. Because

the significance is less than 0.05, there is a linear

relationship between employee commitment and

personality variables.

Table 5: Linearity Test X

-X

From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value of Linierity is 0,000. Because

the significance is less than 0.05, between employee

and leadership commitment variables there is a

linear relationship.

Table 6: Linearity Test X

-X

From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value of Linierity is 0,000. Because

the significance is less than 0.05, between the

variables of employee commitment and trust there is

a linear relationship.

Table 7: Linearity Test X

-X

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From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value of Linierity is 0,000. Because

the significance is less than 0.05, there is a linear

relationship between the variables of trust and work

culture.

Table 8: Linearity Test X

-X

From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value at Linierity is 0.041. Because

the significance is less than 0.05, there is a linear

relationship between the variables of trust and

personality.

Table 9: Linearity Test X

-X

From the output above, the linearity test results

can be seen in ANOVA Table output. It can be seen

the significance value in linearity is 0.001. Because

the significance is less than 0.05, between the

variables of trust and leadership there is a linear

relationship.

4.3 Multiple Regression Analysis

Multiple regression analysis to determine the effect

of Work Culture (X

), Personality (X

), Leadership

), Trust (X

) on Employee Commitment (X

)

using the SPSS 22 Program obtained the following

output:

Table 10: Multiple Regression Structure 1

From the table above, it can be seen: (1) Work

Culture (X

) influences Employee Commitment

), where sig = 0.001> 0.05, (2) Personality (X

)

influences Employee Commitment (X

), where sig

value = 0.002> 0.05 (3) Leadership (X

) influences

Employee Commitment (X

), where the sig value =

0.016> 0.05 (4) Trust (X

) influences Employee

Commitment (X

), where the sig value = 0.001>

0.05.

Multiple regression analysis to determine the

effect of Work Culture (X

), Personality (X

Leadership (X

) on Trust (X

) using the SPSS 22

Program obtained the following output:

Table 11: Multiple Regression Structure 2

From the table above, it can be seen: (1) Work

Culture (X

) influences Trust (X

), where sig =

0.001> 0.05, (2) Personality (X

) does not affect

Trust (X

), where value sig = 0.403> 0.05 (3)

Leadership (X

) influences Trust (X

), where the sig

value = 0.031> 0.05.

The results of this research, in line with the opinion

of Schein (2004) who said that work culture

influences employee commitment, Shabahang &

Amani (2016) study which said there was a

personality influence on employee commitment,

Dlamini (2017) research said that there was an

influence of leadership on employee commitment

and the opinion of Sureyya (2017) who said there

was an influence of trust in employee commitment.

5 CONCLUSION

Based on the analysis, the findings in this study are

as follows: (1) there is a positive direct effect of

work culture on employee commitment, meaning

that if the work culture increases, it is predicted that

employee commitment will increase, (2) there is a

positive direct effect personality towards employee

commitment, meaning that if the personality

increases, it is predicted that employee commitment

will also increase, (3) there is a positive direct effect

of leadership on employee commitment, meaning

that if leadership increases then employee

commitment is predicted to increase, (4) there is a

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positive direct effect of trust on employee

commitment, meaning that if trust increases, it is

predicted that employee commitment will also

increase. (5) there is a positive direct effect of work

culture on trust, meaning that if the work culture

increases, it is predicted that trust will also increase.

(6) there is no direct effect of personality towards

trust, (7) there is a positive direct effect of leadership

on trust, meaning that if leadership increases, it is

predicted that trust will also increase.

ACKNOWLEDGEMENT

The researcher would like to thank the leaders and

staff of the PT. Astra Agro Lestari Tbk. who had

helped in the completion of this research..

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The Effect of Work Culture, Personality, Leadership and Trust on Employee Commitment at PT Astra Agro Lestari Tbk on Indonesia

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