The Effect of Information Technology Utilization and HR Competence on Employee Work Productivity in Sharia Microfinance Institutions
DOI:
https://doi.org/10.1229/tecempresarialjournal.v19i2.490Abstract
This research examines the influence of information technology and human resource (HR) competency on employee productivity in Sharia microfinance institutions in West Java Province. Information technology is pivotal in enhancing operational efficiency and improving service quality, which are essential for the effective functioning of these institutions. On the other hand, HR competency, encompassing knowledge, skills, and attitudes, plays a crucial role in achieving organizational goals. By leveraging advanced information technology and cultivating a competent workforce, Sharia microfinance institutions can significantly boost their productivity and service delivery. Utilizing a quantitative approach, this research employs survey techniques and multiple regression analysis to explore the relationship between these variables. The findings reveal that both the use of information technology and HR competency have a positive and significant impact on employee productivity. Specifically, the coefficient of determination, at 41.2%, indicates that these two factors together contribute substantially to productivity improvements. This significant contribution underscores the importance of investing in technology and human resources to drive the performance and success of Sharia microfinance institutions in West Java Province.
References
Agustianti, R., Nussifera, L., Angelianawati, L., Meliana, I., Sidik, E. A., Nurlaila, Q., ... & Hardika, I. R. (2022). Metode Penelitian Kuantitatif Dan Kualitatif. Tohar Media.
Ali, M., Malik, M., Yaqub, M. Z., Jabbour, C. J. C., de Sousa Jabbour, A. B. L., & Latan, H. (2023). Green means long life-green competencies for corporate sustainability performance: A moderated mediation model of green organizational culture and top management support. Journal of Cleaner Production, 427, 139174.
Ali, M., Puah, C. H., Ali, A., Raza, S. A., & Ayob, N. (2022). Green intellectual capital, green HRM and green social identity toward sustainable environment: a new integrated framework for Islamic banks. International Journal of Manpower, 43(3), 614-638.
Alnsour, I. (2023). The effect of financial technology on Islamic banks performance in Jordan: Panel data analysis. International Journal of Data and Network Science, 7(4), 1515-1524.
Altındağ, E., & Bilaloğlu Aktürk, H. (2020). The impact of new generation management approaches on the firm performance: The Moderating Role of Strategic Human Resource Management Applications. Sage Open, 10(3), 2158244020948845.
Aman, A. (2020). Islamic marketing ethics for Islamic financial institutions. International Journal of Ethics and Systems, 36(1), 1-11.
Asmara, T. T. P., Murwadji, T., Kartikasari, & Afriana, A. (2023). Corporate social responsibility and cooperatives business sustainability in Indonesia: Legal perspective. Sustainability, 15(7), 5957.
Awan, U., Shamim, S., Khan, Z., Zia, N. U., Shariq, S. M., & Khan, M. N. (2021). Big data analytics capability and decision-making: The role of data-driven insight on circular economy performance. Technological Forecasting and Social Change, 168, 120766.
Berdik, D., Otoum, S., Schmidt, N., Porter, D., & Jararweh, Y. (2021). A survey on blockchain for information systems management and security. Information Processing & Management, 58(1), 102397.
Bin Idrees, S., Alhabshi, S. M., Sharofiddin, A., & Othman, A. H. A. (2024). Framing external environmental dimensions as institutional constraints on adopting Islamic financial transactions: empirical evidence from: Libyan commercial banks. International Journal of Ethics and Systems.
Damioli, G., Van Roy, V., & Vertesy, D. (2021). The impact of artificial intelligence on labor productivity. Eurasian Business Review, 11, 1-25.
Duman, M. C., & Akdemir, B. (2021). A study to determine the effects of industry 4.0 technology components on organizational performance. Technological forecasting and social change, 167, 120615.
Fernández-Portillo, A., Almodóvar-González, M., & Hernández-Mogollón, R. (2020). Impact of ICT development on economic growth. A study of OECD European union countries. Technology in Society, 63, 101420.
Heldeweg, M. A., & Saintier, S. (2020). Renewable energy communities as ‘socio-legal institutions’: A normative frame for energy decentralization?. Renewable and Sustainable Energy Reviews, 119, 109518.
Hernita, H., Surya, B., Perwira, I., Abubakar, H., & Idris, M. (2021). Economic business sustainability and strengthening human resource capacity based on increasing the productivity of small and medium enterprises (SMES) in Makassar city, Indonesia. Sustainability, 13(6), 3177.
Jamaluddin, F., Saleh, N. M., Abdullah, A., Hassan, M. S., Hamzah, N., Jaffar, R., ... & Embong, Z. (2023). Cooperative governance and cooperative performance: A systematic literature review. SAGE Open, 13(3), 21582440231192944.
Kaur, S., & Kaur, G. (2021). Understanding the impact of human resource practices on employee competencies: evidence from Indian food processing industry. Employee Relations: The International Journal, 43(5), 957-978.
Khan, F., & Haneef, M. A. (2022). Religious responses to sustainable development goals: An islamic perspective. Journal of Islamic Monetary Economics and Finance, 8(2), 161-180.
Kuchciak, I., & Warwas, I. (2021). Designing a roadmap for human resource management in the banking 4.0. Journal of Risk and Financial Management, 14(12), 615.
Li, T. M. (2021). Commons, co-ops, and corporations: assembling Indonesia’s twenty-first century land reform. The Journal of Peasant Studies, 48(3), 613-639.
Liu, J. M., Borazon, E. Q., & Santamaria, J. G. O. (2021). Antecedents of quality performance in the Philippine micro, small, and medium hospitality sector. Asia Pacific Business Review, 27(4), 559-582.
Lu, Y., Xu, X., & Wang, L. (2020). Smart manufacturing process and system automation–a critical review of the standards and envisioned scenarios. Journal of Manufacturing Systems, 56, 312-325.
Menant, L., Gilibert, D., & Sauvezon, C. (2021). The application of acceptance models to human resource information systems: a literature review. Frontiers in Psychology, 12, 659421.
Moussa, N. B., & El Arbi, R. (2020). The impact of Human Resources Information Systems on individual innovation capability in Tunisian companies: The moderating role of affective commitment. European Research on Management and Business Economics, 26(1), 18-25.
Mutamimah, M., Zaenudin, Z., & Bin Mislan Cokrohadisumarto, W. (2022). Risk management practices of Islamic microfinance institutions to improve their financial performance and sustainability: a study on Baitut Tamwil Muhammadiyah, Indonesia. Qualitative Research in Financial Markets, 14(5), 679-696.
Muzam, J. (2023). The challenges of modern economy on the competencies of knowledge workers. Journal of the Knowledge Economy, 14(2), 1635-1671.
Olan, F., Arakpogun, E. O., Suklan, J., Nakpodia, F., Damij, N., & Jayawickrama, U. (2022). Artificial intelligence and knowledge sharing: Contributing factors to organizational performance. Journal of Business Research, 145, 605-615.
Otoo, F. N. K. (2020). Measuring the impact of human resource management (HRM) practices on pharmaceutical industry's effectiveness: the mediating role of employee competencies. Employee Relations: The International Journal, 42(6), 1353-1380.
Piwowar-Sulej, K. (2021). Human resources development as an element of sustainable HRM–with the focus on production engineers. Journal of cleaner production, 278, 124008.
Pomeroy, R., Arango, C., Lomboy, C. G., & Box, S. (2020). Financial inclusion to build economic resilience in small-scale fisheries. Marine policy, 118, 103982.
Renaldo, N. (2022). Benefits and Challenges of Technology and Information Systems on Performance. Journal of Applied Business and Technology, 3(3), 302-305.
Sacchetti, S., & Tortia, E. C. (2021). Governing cooperatives in the context of individual motives. International Journal of Social Economics, 48(2), 181-203.
Shaikh, S. A. (2021). Using Fintech in scaling up Islamic microfinance. Journal of Islamic Accounting and Business Research, 12(2), 186-203.
Shinkafi, A. A., Yahaya, S., & Sani, T. A. (2020). Realising financial inclusion in Islamic finance. Journal of Islamic Marketing, 11(1), 143-160.
Singh, R. K., & Gurtu, A. (2022). Embracing advanced manufacturing technologies for performance improvement: an empirical study. Benchmarking: An International Journal, 29(6), 1979-1998.
Sofyani, H., Riyadh, H. A., & Fahlevi, H. (2020). Improving service quality, accountability and transparency of local government: The intervening role of information technology governance. Cogent Business & Management, 7(1), 1735690.
Son, J., Park, O., Bae, J., & Ok, C. (2020). Double-edged effect of talent management on organizational performance: the moderating role of HRM investments. The international journal of human resource management, 31(17), 2188-2216.
Sutil-Martín, D. L., & Otamendi, F. J. (2021). Soft skills training program based on serious games. Sustainability, 13(15), 8582.
Thalib, P., Hajati, S., Kurniawan, F., & Aldiansyah, K. (2021). The urgence regulation of business activities on Islamic microfinance institution according law no. 1 year 2013 of microfinance institutions. Arena Hukum, 14(2), 207-221.
Valls Martínez, M. D. C., Martín-Cervantes, P. A., & Pena Rodriguez, S. (2021). Ethical banking and poverty alleviation banking: The two sides of the same solidary coin. Sustainability, 13(21), 11977.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Tec Empresarial
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.