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Volume 3, Number 1, July, 2021

p -ISSN 2777-0915 | e-ISSN 2797-6068

The Influence of Procurement and Development Strategy on

HR Productivity and Satisfaction

Harries Madiistriyatno

STIMA IMMI Jakarta

Email: harries.madi@gmail.com

Keywords

Procurement,

Development,

Satisfaction

Article Info

Accepted:

June, 21

2021

Revised:

July, 1

2021

Approved:

July, 9

2021

Abstract The purpose of this paper is to describe the

influence of the procurement and development function on

the productivity and satisfaction of HR, as one of the tasks

of the HR Management (Advanced) course. The purpose of

this paper is to determine and examine the effect of the

procurement function on HR productivity, HR satisfaction,

HR productivity, HR satisfaction and development on HR

productivity and satisfaction. This study uses a library

research method that refers to resources available both online

and offline such as: scientific journals, books and news

sourced from trusted sources. The result of this research is

that the Procurement Function affects the Productivity of

Human Resources. The Procurement Function has an effect

on Human Resource Satisfaction. The Development

Function affects the Productivity of Human Resources. The

Development Function has an effect on Human Resource

Satisfaction. The Procurement and Development Function

affects the Productivity and Satisfaction of Human

Resources.

Introduction

With the passing of the era of globalization, like it or not, like it or not, it has

demanded and forced almost all fields of activity, be it government, private,

social, educational and business organizations to adapt, adjust and follow the

flow and flow of developments and changes in the era.

One of the important elements and effective anticipation in order to survive,

especially to gain profit and survival from the changes that occur, is to create and

prepare competitive and quality Human Resources (HR) excellence (Muhyi,

Muttaqin, & Healthy Nirmalasari, 2016). In connection with this, careful and

sustainable methods and strategies must be considered, which include:

Formulation of functions in HR procurement such as HR Planning, Recruitment

Harries Madiistriyatno

The influence of procurement and development strategy on HR productivity

and satisfaction 10

Programs, Selection and placement, HR Development Functions such as Training

& Development, Career Development and so on (Adni, 2014).

According to Walker J.W in (Komaludin, 2020) said that to produce quality

(superior) human resources in an effort to achieve organizational excellence, all

functions in the organization must be supported, including HR.

HR planning here must have a relationship with the overall organizational

planning pattern, because according to (Schuler & Jackson, 1996) it is said that

the purpose of HR planning must place the right figure at the right time and in

the right place. Strategic planning is an organizational decision that contains

what will be achieved in accordance with the organization's mission and how it

is done to achieve the organization's mission.

Furthermore (Ivancevich, 2018) also states about examples of the functions and

roles of HR Management that can support the smoothness and success of an

organization's strategic planning, which includes the recruitment, selection, and

training/training processes with the aim of obtaining highly skilled/skilled

workers and have expertise in accordance with the needs of the organization,

determining the performance appraisal system and management regarding

compensation.

The development of the business world and other organizations in principle and

usually cannot be separated and cannot be separated from changes and

developments in the excellence and quality of Human Resources (Sinambela,

2021). Business organizations (companies) in particular that want to improve

their performance must understand and have consistency and commitment to

the development of excellence and quality of Human Resources (HR) (Maarif &

Kartika, 2021).

The above means that assets and investments for human resources through

training and development must receive top priority attention in business

organizations (business world) in the hope that knowledge, experience/skills and

human resources capabilities do not always fall behind (obsolete) (Riniwati,

2016).

On the other hand, with the rapid development of technology and information,

business people must be responsive and quick to think tactically and strategically

about HR development in their business/business organizations. Various

challenges that need and must be faced by an organization/company, where an

organization/company should carry out HR planning and development in an

effort to build and increase HR productivity and satisfaction.

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According to (Ulrich, 1998) currently organizations/companies are facing critical

business challenges and collectively these challenges require the

organization/company to build/increase new productivity. The human resource

management development process basically starts from planning and manpower

procurement, this strategy is directed at the workforce to a more specific

understanding in the future. The goal is to help and ensure that the organization

has the skilled, skilled and knowledgeable workforce needed to achieve its goals.

Based on various opinions of experts, and the description in the background

above, one of the alternative solutions is the demand for

organizations/companies that must be carried out strategies/functions of

procurement and development in an effort to increase the ability/productivity

and satisfaction of its Human Resources (Anggono, 2013).

The purpose of this paper is to describe the influence of the procurement and

development function on the productivity and satisfaction of HR, as one of the

tasks of the HR Management (Advanced) course. The purpose of this paper is to

determine and examine the effect of the procurement function on HR

productivity, HR satisfaction, HR productivity, HR satisfaction and development

on HR productivity and satisfaction.

Research Method

This study uses a library research method that refers to resources available both

online and offline such as: scientific journals, books and news sourced from

trusted sources. These sources are collected based on the discussion and are

linked between one information and another. All activities in the context of data

collection and analysis are carried out online considering the limitations of open

movement in public spaces. This data was obtained through triangulation

technique with theory.

Result and Discussion

A. The Influence of the Procurement Function on HR Productivity

Flippo, E.B. (1984: 6) stated that: The first operational function of HR

Management, is procurement or procurement, which is related to the search for

several people who are appropriate and appropriate (adequate) with the

achievement of organizational/company goals. The first thing that must be done

before making a withdrawal (recruitment) of employees/employees is to first

understand the legal factors and applicable legislation.

Organizations/companies must be aware that the effects of the applicable laws

and regulations on protected groups/unions, for example in the United States

Harries Madiistriyatno

The influence of procurement and development strategy on HR productivity

and satisfaction 12

(USA), include minority groups, religious groups, nationalities, women workers,

people with disabilities, and other workers. aged workers.

To get the right/ideal person/prospective worker to occupy a particular job and

position, the organization/company must set personal standards that can be

compared with the applicant's application. This standard must be able to

describe the quality and ability/minimum productivity of individuals/individuals

that the organization/company can accept to occupy certain jobs and positions,

as well as to carry out the responsibilities given by the organization/company.

Based on the job analysis, the organization/company can learn which

person/person fits a job/job or position in the organization/company. After

knowing Human Resources about how the organization/company needs to

recruit, select, and finally induction, namely the introduction of new

employees/employees to the company/organization.

From the various opinions of the experts above, it can be concluded that in

general, the procurement process consists of HR planning, recruitment,

selection, and placement of a person/worker to occupy a certain position in the

organization/company. To get workers/employees who are suitable/ideal with

the available jobs/positions, the company makes a certain standard based on

the existing job analysis, which is then adjusted to the abilities of the applicants.

With the strict and quality recruitment and selection of new workers/employees

and by placing them in positions that match their abilities/productivity and

expertise, the new employees will be able to work optimally. so what they will

produce will be optimal. Therefore, the better the procurement process carried

out by an organization/company, then the selected Human Resources will be

better and more qualified, meaning that the ability/productivity of the

organization/company's Human Resources will also be higher.

Thus it can be concluded that the HR procurement function will affect the

ability/productivity of Human Resources itself. The second decision concerning

the needs of the organization/company for Human Resources (HR), is the

determination of the number for each type of personnel that must be provided.

HR planning begins by looking at the implications of the organization/company's

strategic plans that are general and comprehensive in terms of workforce needs.

According to R.L. Mathis and J.H. Jackson (2001: 82), states about "productivity

is a measure of the quantity and quality of work carried out by considering the

cost of the resources used to do the work".

As for the understanding of productivity as stated by Suwarto, FX. (1998: 25) is

“a measure of action including/including effectiveness and efficiency”.

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Effectiveness/effectiveness is the achievement of goals. And efficiency is the

achievement of achievement as measured by the ratio (comparison between

input and output). Global Competition and Productivity, that at the National

Level, productivity concerns attention for several reasons:

1. High productivity leads to a higher standard of living as indicated by the

greater ability of a country to pay what its citizens want.

2. Lower levels of productivity lead to higher labor costs and a less competitive

position for a country's products on the world market.

Organization and productivity, where productivity at the organizational level,

ultimately affects profitability and competitiveness for a for-profit organization

and the total cost for a non-profit organization. Decisions made about the value

of an organization are often based on the productivity that the

organization/company is capable of producing”.

Individual Productivity, How a person performs depends on 3 (three) factors:

the ability to do his job, the level of effort, and the support given to the person.

For more details, can be seen in Figure 1, the illustration of the three factors

above

Figure 1.

Components of Individual Productivity

Source: R.L. Mathis & John. H. Jackson (2001: 84).

The relationship between the above factors, widely recognized in the

Management literature, is: Performance (P). is the result of Ability (A) multiplied

by Effort (E), multiplied by Support (S).

So: P = A x E x S

Harries Madiistriyatno

The influence of procurement and development strategy on HR productivity

and satisfaction 14

Increase Productivity: United States companies have long sought improvements

to increase the productivity of the organization/company. Much of the

productivity improvement effort is focused on the workforce. Initial stages

include down-sitting, job re-engineering, increased use of computers, and a

harder working workforce. These approaches have done a lot of good for several

companies.

B. The Influence of the Procurement Function on HR Satisfaction

Shaun Tyson & Tony Jackson (2000: 29), stated that for many years the

relationship between job satisfaction and performance is an enigma. The actual

question where we should start is whether the problems are due to job

dissatisfaction. In the next context, if it is seen that job satisfaction can reduce

worker turnover or increase productivity, it is clear that job satisfaction will be an

important thing for the organization/company.

By reducing employee turnover as mentioned above, it cannot be separated from

the role of implementing functions in the procurement (procurement) of HR

planning and the selection system used. Job satisfaction is associated with work

behavior in the following ways:

- quality and quantity of output

- same as cooperation ko

- directly related to business and goals

Job satisfaction, on the one hand, can equally be associated with liking or vice

versa, for work, the signs can be in the form of work accidents, excitement,

tardiness, absenteeism, turnover, and so on. Recruitment, selection, and

placement which are stages in the procurement function and strategy are closely

related to job satisfaction factors because they involve the problem of the work

itself. The purpose of HR procurement is to obtain manpower/employees who

have the required capabilities and productivity. With employees who have that

level of productivity. then the right placement is carried out, following the right

position/job according to their talents and productivity capabilities, namely the

existing human resources become productive.

Under what was conveyed by Robbins, Stephen P. (1996:170), job satisfaction

refers to the general attitude of an individual (HR) towards his work. A person

with a high level of job satisfaction shows a positive attitude towards the work in

question. A person who is dissatisfied with his job shows a negative attitude

towards the job.

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The implementation of HR procurement, namely recruitment, selection, and

proper placement will be created, when the work productivity of workers is

following the standards required to carry out the work entrusted to them so that

HR can be utilized optimally. Procurement of human resources, particularly

regarding the proper placement of workers/employees, must start with proper

search and withdrawal based on job/position requirements, to fulfill the interests

of workers and the interests of the organization/company.

Placement according to skills and interests will be important, meaning for

people/workers who will carry out work to meet their needs which in turn will

determine job satisfaction.

C. The Influence of the Development Function on HR Productivity

Flippo, E.B. (1984: 215), states that after the worker/employee is recruited

(withdrawn), selected, and inducted/introduced, then he/she must be

developed, to be more in line with the work of the organization/company. The

planned development function programs will provide benefits to the organization

in the form of increased productivity, increasing morale, reducing costs, and

increasing organizational stability and flexibility to adapt to changing external

requirements.

This is in line with the notion of organizational development put forward by

Gibson, Ivancevich in (Ambarsari & Juhana, 2012) which states that

organizational development is a planned, managed (managed), and systematic

process to change organizational culture, systems, and behavior, to increase

organizational effectiveness. in solving problems and achieving goals. Milkovich

and Boudreau suggest that Human Resource Development is an activity designed

to increase the value of employees after they enter an organization/institution

(Jehanzeb, Rasheed, & Rasheed, 2012). This includes internal staffing, which

among other activities is the transfer between job titles within the organization,

as well as training and orientation for employees, including, among other things,

providing employees with experiences designed to assist the learning process.

These two activities must be carried out in tandem because both must take place

together if employees are to be prepared as well as possible.

Maundy, Noe, and Peremanx in (Darodjat & Astillero, 2020) define Human

Resource Development as: "Management efforts are planned and carried out on

an ongoing basis to improve employee competence and perform organizational

work through training, education and development programs". Furthermore,

training is defined as activities that function to improve one's work performance

in the work being undertaken or related to the job.

While education (education) includes activities organized to improve one's

overall competence (overall competence) in a certain direction and are outside

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The influence of procurement and development strategy on HR productivity

and satisfaction 16

the scope of the work they carry out. Then development includes providing

learning opportunities that aim to develop individuals but are not limited to

certain jobs at this time or in the future.

Based on the opinions of the experts above, the authors define: “Human

Resource Development (HR), is an employee/employee value activity, to achieve

productivity improvements at all levels of the organization, prevent obsolescence

and prepare employees/workers at a higher level. high. These efforts are carried

out through training, education, career development, and organizational

development activities.

The main objective of HR development is to increase the work productivity of

workers/employees at all levels of the organization/company. This is proven by

the existence of training activities that can improve skills and motivation and in

the next stage will refer to higher productivity and in the end, can increase the

profitability of a business organization/company.

Then another goal of HR Development is to prevent skills obsolescence at all

levels of the organization/company. Every organization/company must help its

workers to improve skills based on the interests and talents of workers in addition

to meeting the needs of the organization/company.

In addition, HR development is aimed at preparing workers to carry out tasks/jobs

at a higher level. Thus, the costs incurred for HR development should be viewed

as an investment in the HR sector. To accurately determine the need for human

resource development, three types of analysis are needed, namely:

1. Organizational analysis/company question, which part of the

organization needs a development program.

2. Task analysis, answering what participants/workers must learn to carry

out their work effectively.

3. Person/Individual Analysis, answering who needs to be trained or

educated and trained, and what education needs to be given to them.

According to Bernardine and Russell in (Tobing, 2009) it is stated that the parts in

the training are needs assessment, development and evaluation are important

parts. As for the Training System proposed by Milkovich and Boudreau (1991:

299) schematically, it can be seen in Figure 2.

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Figure 2. A System Model of Training

Source: Milkovich and Bounreau (1991)

D. The Influence of the Development Function on HR Satisfaction

Departing from the theory of motivation, especially from the theory of two-

factor motivation (Two-Two Theory of Motivation), it is explained that the ideal

motivation that can stimulate business is the opportunity to carry out tasks that

require more expertise and opportunities to develop abilities. Herzberg based on

research which states that there are 3 (three) important things that must be

considered in motivating subordinates, including:

1. Things that encourage employees are “challenging work that includes

feelings for achievement, responsibility, progress and enjoyment of the

work itself and the recognition of all of them”.

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The influence of procurement and development strategy on HR productivity

and satisfaction 18

2. Things that disappoint employees/workers are mainly factors that are

complementary to work, work regulations, information, rest, a position,

rights, salary, benefits and others.

3. Employees / workers are disappointed, if the opportunities for

achievement are limited, they will become sensitive to their environment,

and start looking for faults.

E. Job Satisfaction Measurement

Job satisfaction as a general attitude of an individual towards his job. A person's

job is more than just an obvious activity like waiting for a customer or driving a

car. Work according to interactions with co-workers and superiors, following

organizational/company rules and policies, meeting work standards, living in

work conditions that are often less than ideal and similar. This means that an

employee's assessment of how satisfied or dissatisfied with his job is is a complex

summation of a number of job elements. According to Luthans, explained that

there are 4 (four) ways that can be used to measure job satisfaction, namely:

• Rating scale: is an important approach used to measure job satisfaction

by using a rating scale. The forms of the job satisfaction rating scale using

this rating scale include:

• Critical Incidents

This method was developed by Herzberg, Frederick, who used this

technique in his research on the two-factor theory of motivation.

Employees were asked what factors made them satisfied and what factors

made them dissatisfied.

• Interviews

Another method used to measure job satisfaction is to use individual

interviews with employees. With this method, it can be known in depth

about how employees' attitudes towards various aspects of work

• Action Tendencies

What is meant is a person's tendency to do or not do something. Job

satisfaction can also be seen based on action tendencies.

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F. The Influence of the Procurement and Development Function on HR

Productivity and Satisfaction

To achieve the common goal of developing the organization/company,

workers/employees should make a significant contribution to business

productivity, so that the welfare of all components of Human Resources will be

achieved, both as skills and as workers.

The organization/company will contribute to meeting the needs of employees, if

the employee has the skills and knowledge that can support the productivity of

the organization/company, in this regard, the benchmark for employee welfare

is also influenced by the level of his ability. Conditions such as the above, require

organizations/companies to standardize the capabilities/productivity of workers

through training and development programs. The need for training basically

arises as a result of the gap in the qualifications of Human Resources. The general

objective of the training is aimed at increasing the effectiveness and efficiency of

the organization/company.

Training and development programs will be successful only if the process fills the

right training needs. Basically, the need is a lack of knowledge, skills or attitudes,

each of which can be of varying degrees. These training needs can basically be

classified into:

1. To meet the demands of the current position

2. To fulfill the demands of other positions

3. To meet the demands of change

Furthermore, Schuler and Jackson (1997: 208) state that employee specifications

refer to the abilities, productivity, skills, knowledge and other characteristics (eg

personality) that are needed by a person to do a job effectively. This is a

requirement for a position/job with qualifications possessed by the

workforce/employees, so with such conditions it will not be able to achieve the

expected performance of the organization/company, as a result, training needs

will arise.

In order to increase employee productivity, so that it is also expected to increase

company productivity, it is necessary to support the right human resources. One

of the efforts to obtain Human Data Sources that are able to provide a

sustainable competitive advantage, is through the implementation of

Harries Madiistriyatno

The influence of procurement and development strategy on HR productivity

and satisfaction 20

appropriate employee/employee placement policies, including efforts to

reconcile the qualifications of employees with job specifications/requirements

or positions within the organization/company.

According to (Simamora, 2001) job/position specification is a profile of human

characteristics required by the job/position. The purpose of the job/job

specification is to determine the personnel characteristics (such as educational

background, experience or vocational training/specifications) that are valid for

elimination, selection and placement.

This is in line with the term or proverb in Management, namely: “The right man

on the right place”, which means the quality of the right officer/worker in the

right place/position. The importance of the post-training function for an

organization/company is that it is difficult to place someone in the right position

at the time of initial placement, even though a selection has been made

previously.

Besides that, there are also employees who are actually in the right position, but

because this task is carried out for too long, boredom may arise. Then the

enthusiasm and passion for work will tend to decrease. Therefore, every

organization/company must always supervise the work of its employees, so that

the policies that must be taken will be known. Based on the overall description

above, it can be stated that the strategic influence of the implementation of the

procurement and development function on the productivity and satisfaction of

human resources, namely with the right procurement function, the self-

development of workers/employees in an effort to improve the productivity

qualifications of employees/workers is appropriate. requirements of the

job/position, determined by the organization/company will be realized.

Thus, optimal performance will be obtained, which then with optimal

performance will be able to increase job/employee satisfaction which in the next

stage will increase the productivity of the organization/company. Meanwhile,

productive work requires other prerequisites as supporting factors, namely high

willingness and motivation to work.

Conclusion

Based on the description contained in the results of the discussion, several

conclusions can be obtained, namely: The Procurement Function affects the

Volume 3 Number 1 July, 2021

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Productivity of Human Resources. The Procurement Function has an effect on

Human Resource Satisfaction. The Development Function affects the

Productivity of Human Resources. The Development Function has an effect on

Human Resource Satisfaction. The Procurement and Development Function

affects the Productivity and Satisfaction of Human Resources.

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