Total Quality Management (TQM) Influence against the Quality of

Work and Work Performance of Employees in the Modern Market in

Surabaya
Mahmudah Enny W
Management Programe, Bhayangkara University, Surabaya, Indonesia
*Corresponding author: Email: widiandra08@gmail.com

Abstract
This study aims to examine and analyze Influence Factors - Factors Quality Management (TQM) Quality Work
and Performance of Employees in Modern Market in Surabaya. Samples from this study totaled 180 respondents
consisting of SO1, division manager, department manager, team leader and staff Hypermart CITO Surabaya.
Sampling technique in the study done by the method of Proportional Stratified Random Sampling. Data were
obtained through questionnaires spread and gathering back. This research applies Structure Equation Modelling
(SEM) with a program Analysis of Moment Structure (AMOS). Relations among variables in this research
produce seven hypotheses with significant influences. Results of this study are expected to be able to give
contribution to Human Resources Management and to Practical Management. Results of studies testing the
relationship between variables with the variable compensation is the employee's performance has the greatest
level of significance, test the relationship between the variables of training and development with the variable
quality of the work is to have the smallest significance level variables and integrate leadership, compensation,
training and development, quality of work and employee performance in one unified model intact (Integrative
Model). This study is expected to be a reference for further studies or research primarily associated with variable
leadership, compensation, training and development, work quality and employee performance
KeywordsWork Quality and Employee Performance, Human Resource
Management.

Introduction
Human resources now still remains the center
of attention and key factor for an organization
or company to be able to survive in the era of
globalization is accompanied by increasing
competition level. Human resources has a
major role in any activities of the organization
or company. This suggests that human resource
management is the key principal that must be
considered with all their needs. According to
Werther [1] which states that "the key to
winning the global competition lies in the
performance of the employees including the
role of the private sector". Growth and
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Management, Compensation and reward

development of management concepts over

time, always seeks to maximize the output and
optimize the results. Even at this time the
development of increasingly sophisticated
management and fully automated and
completely computerized. To anticipate this,
human resources is a major concern that needs
serious management and supported by good
management systems.
The success of an organization in achieving its
intended purpose is largely determined by the
quality of the people who work in it, or what we
call
with
top
management,
middle
management, and line management and nonmanagerial part that we call the employee.
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Within an organization or company we often

hear the term leadership, compensation,
training and development where these three
factors is one of the causes or determinants of
good or poor quality of work and performance of
an employee.
In such a situation of sharp economic
competition like this, the company is expected
to use good management system management
system which can be used as a tool to improve
corporate performance through employee
performance. One of the tools commonly used
quality
management
is
Total
Quality
Management (TQM). TQM is a technique often
used by both organizations engaged in
manufacturing and services in order to help
improve customer satisfaction, employee
satisfaction, and productivity [2].
In order to achieve the organization's vision of
the future and how to incorporate proper TQM
program, designing a comprehensive change
process, the implementation of TQM and its
relation to the new system, and institutional
legality. Leadership is a key element of the
success of TQM implementation on a larger
scale: the leader shows the need and develop a
vision, defining the background, objectives, and
parameters of TQM.
Comprehensive Quality Management (TQM)
was first applied to the manufacturing industry
as - if only suitable for repetitive industry so
that quality improvement becomes easier while
the industry trade various projects that are
unique and repetitive. Truly Comprehensive
Quality Management (TQM) can be applied in
any company engaged in any field.
ISO stands for International Organization for
Standardization is currently headquartered in
Geneva, Switzerland. ISO is an organization of
the Council of International Standards.
Indonesian National Standards Council also
joined in the organization.
Industry in Indonesia is more directed at the
management system to obtain ISO 9000
certificate - Special 9004. for new trading
industry very few companies are trying to
achieve the ISO 9001 quality management
system ISO Directive 9001 is, is there
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something similar to the concept of

implementation of the Comprehensive Quality
Management (TQM) in a company that can
provide some of the key benefits and improve
the quality of work was very influential in the
continuous trading company then a trading
company can compete competitively.
Total
Quality
Management
of
(TQM)
introduced the development of processes,
products and services an organization in a
systematic and sustainable. This approach
seeks to involve all stakeholders and ensure
that the experience and many ideas they have
contributed to the development of quality. With
the concept of TQM two ways to improve the
quality of service can be realized, because the
TQM approach has elements that can improve
the quality of labor resources, the cost of
equipment, supplies and materials. And can
improve the application of the method or
technology used [3].
According to Soewarso [4] says that "the
application of the Comprehensive Quality
Management (TQM) in the company must be
adjusted with corporate culture (corporate
culture) is". This means that the quality of
work life such as habits, participation,
communication, conflict, environment safe and
healthy workplace, job security of employees
who made major contributions in the
implementation of the Comprehensive Quality
Management (TQM) to improve efficiency and
productivity.
The total here has connotations throughout the
entire process system, all personnel, including
users and suppliers of products and services.
Quality means characteristics that meet the
needs of users, while Management means the
process
of
vertical
and
horizontal
communication, top-down and bottom-up, in
order to achieve quality and productivity.
Human resource management necessary to
have a precise pattern of leadership style that
can create synergies between superiors and
subordinates. Claims against the increasingly
high demand as a result of the global economic
crisis needs to live up to the burden of the
higher officials. Enterprises must be able to pay
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attention to the needs and desires of employees

and consider appropriate compensation levels
for employees so that the employees would
have a high loyalty to the company, while the
company should encourage employees to be
able to work immediately - preferably for
industrial purposes can be achieved according
to expectations.
Leadership style can be interpreted as the
implementing authority and decision-making.
While leadership by Manulang [5], as a process
of influencing others to do in order to build
purpose - the purpose of which was determined.
With wise leadership, fair, decisive and
responsible it will produce quality work and
performance according to the expectations of
the organization. But in a statement on modern
market leadership with subordinates to provide
the opportunity to develop their creative and
fantasies, about giving an opportunity to his
subordinates to take decisions. Until that
happens modern markets leadership cause
cannot achieve the target organization.
Compensation according to M.S.P. Hasibuan [6]
is all income in the form of money, goods
directly or indirectly received by the employee
in exchange for services rendered to the
company.
The
purpose
of
providing
compensation, among others, is a bond of
cooperation,
job
satisfaction,
effective
procurement, motivation, employee stability,
discipline, as well as the influence of trade
unions and the government. If the distribution
of compensation in accordance with the
organization of work, the employee may affect
these employees to strive to better the work
either directly or indirectly will improve the
quality of work and the employee's
performance. But in reality that is happening
in the modern market and the uneven
distribution of fair compensation, so that
organizational goals cannot be achieved.
The need for special attention to employees,
because employees are not the only people who
have a variety of different characteristics and
abilities such as intellect, personality and a
variety of other things that are not owned by
the other elements of the organization. But far
more important than all that is human has the
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dignity that must not only be recognized but

should be respected and even revered. Because
only then the human factor in the organization
becomes a factor that really - really able to play
a dominant role and even decisive in achieving
the goals of a business organization.
Training is one of the efforts in improving the
quality of human resources in the retail world.
Employees, whether new or already employed
need to attend training because of the demands
of the job that may change due to changes in
the work environment, strategies, and so forth.
Human resource development framework that
aims to produce a coherent and comprehensive
to develop an environment where employees
are encouraged to learn and grow [7]. If a
company often conduct continuous training and
development of the employees in the work will
always be prepared to deal with any problems
that occur as well as the quality of work and
performance of employees will increase as well.
But in reality in the modern market are less
given to the training of employees, resulting in
a lowering of quality of work and employee
performance.
Object of this research is a company engaged in
the field of services and goods, especially terms
of trade. The company I studied, PT
Hypermart. The company has branch offices in
50 cities throughout Indonesia one of its
branches in Surabaya. The company serves its
customers by providing a wide range of
products - quality products of good quality so
that our customers feel proud of the money
they have spent well.
Quality of work life is a level in which members
of an organization are able to satisfy important
personal needs through their experiences in
doing the work of the organization. Quality of
life is determined work of state employees'
perception, mental and physical on the job.
Improved quality of work life will bring a
positive influence on the organization. Direct
positive effect is obtained first, increase job
satisfaction
and
commitment
to
the
organization / company among employees.
Second, improve employee performance. Third,
with regard to the two previous gains, is to
increase the effectiveness of the organization.
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Design improvement of the quality of work life

for employees helpful by making a job into a
satisfying experience for employees, for
companies by reducing absenteeism and
employee turnover and for consumers through
improvements in yield products with good
service. Companies that do not pay attention to
the quality of life factors such as low labor
compensation, leadership style who do not
understand
their
employees,
employee
participation, working conditions and job
design can make employees less productive and
low commitment to the company.
Leadership and fair compensation to the
organization affect the employee to do better in
working either directly or indirectly will
improve the employee's performance. Given the
uneven distribution of compensation to the
employees of the organization will exert all
their ability to carry out all the tasks assigned
to them including obey all the rules. Every
employee is required to always produce the best
quality work for the organization. Performance
of employees in the organization reflects the
confidence of employees in the organization's
mission and goals.
One of the means used to compete Hypermart
is implementing Total Quality Management
(TQM) or Total Quality Management. TQM is
an approach that can be done to improve the
quality of the company products, increase
productivity and reduce production costs. Based
on research Nasution [8] TQM try to improve
the competitiveness of enterprises through
continuous improvement of the product, labor,
and environmental processes.
Performance measurement is the most
important activity for the management of the
company in managing the organization. In
general, performance is defined as the extent to
which an operation meets the performance
objectives, and major steps in order to meet
customer needs. The evidence suggests that
without
conducting
a
lawyer-size
on
performance, it is difficult to adjustment.
Therefore, improving the performance of
organizations require the identification of the
variables that influence it and measure it
accurately. Performance measurement is
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essential for an organization, in order to

achieve optimal business performance [9].
From initial observations and interviews
conducted by the PT Hypermart obtained
information that managers and employees in
implementing the Comprehensive Quality
Management (TQM) have less quality work in
the work. It is apparent from the data in the
achievement of the target employees affect
customers during the last three months.
Based on initial interviews with several
employees of companies such as PT Hypermart
is known that the average - the average
employee in attracting customers (customer)
only uses pattern means that after a customer
is willing to wait to be found, the employee is
less follow-up return the offer to the customer
(customer) willing to officially become loyal
customers. In addition, employees also rely on
the name of the company to attract customers,
the employees are less active in promoting its
products either directly or indirectly (through
various media), less satisfied customers
(customer) in the quality of work as the result
of less service, less quality leadership in a
comprehensive quality management (TQM) to
affect the quality of employment, employees are
less
satisfied
with
the
provision
of
compensation from the company, the lack of
provision of training and development to equip
employees in the face of problems. From the
description above, researchers suspect that the
average - average of the employees and the
leadership of the modern market lacks the
quality of work using a comprehensive quality
management (TQM) in attracting customers.
Based on the description above, in order to form
reach the optimal service for customers
(customer) to see the limitations that exist in
reviewing all the problems - the problems, the
study in this study only analyzed the problems
in the modern market in Surabaya in terms of
leadership,
compensation,
training
and
development of the quality of work and
employee performance.

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Literature Review
Organizational Behavior
Literature review used to support in this study
is organizational behavior in particular about
the ability, motivation, organizational culture,
organizational commitment, and employee
performance. Before discussing each of these
items, first described about organizational
behavior.
Some understanding of organizational behavior
(organizational behavior) is defined by some
experts to provide an overview of the role of the
organization. Gibson et al. [9] defines that
organizational behavior is a field of study that
covers the theory, methods, and principles of
various disciplines to study individual
perceptions, values, learning capacity of
individuals, and actions while working in
groups and within the organization as overall,
the analyzes due to the external environment of
the organization and resources, mission, goals
and strategies.
The scientific method became important in the
study of variables and linkages. Because of the
scientific method has been used to study
organizational behavior, a set of principles, and
guide
research
has
grown,
meaning,
explanation of organizational behavior at the
top is still common.
Suprihanto [10] explains that organizational
behavior is an applied behavioral science, so
much
supported
by
other
behavioral
disciplines. Some of the disciplines that support
them are psychology, sociology, social
psychology, anthropology, and political science.
Psychology contribute to the micro level of
analysis, namely at the level of individual
study and try to understand individual
behavior, while other disciplines contribute to
the macro level of analysis, namely at the level
of the group (the group) and the organization.
Studied organizational behavior is basically the
behavior and attitudes. There are three types of
behavior that have been shown to affect the
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performance of an employee. First, productivity

where a manager always pay attention to the
quantity and quality of the output (output)
produced by an employee. Second, namely the
absence of workplace absenteeism. High
absenteeism can complicate the operation of an
organization to seamlessly and cause no
intended purpose of the organization. Work
flow is interrupted and often important
decisions have to be postponed. Third, turnover
is a permanent resignation either voluntarily or
forced out of the organization. High turnover
rate in an organization will result in increasing
the costs to be incurred.
Luthans [11] describes the behavior of the
organization that is closely related to other
disciplines, such as organization theory,
organizational development, and Human
Resource
Management.
Different
organizational behavior wherein: a) at the
individual level, each person has a certain
personality that influence the behavior, b) at
the group level, even if the group is made up of
a collection of individuals, events that occur in
a group is not just the sum of the behaviors of
individuals. The group develops its own norms
of behavior that can be accepted by its
members. Group members' behavior is
influenced by group dynamics, group rules and
values shared by the group, c) at the level of
the organization is more than just the sum of
individuals and groups. The events that
occurred in the context of the organizational
structure in which the structure and position of
a person in the organization had an impact on
every
social
interaction
within
the
organization. In the organizational structure,
reporting relationships are hierarchical give
power and authority to influence other
individuals
within
the
organization.
Organizational
structure
affects
how
information is communicated and decisions are
made.
For
example,
decentralized
organizational structure, it allows lower-level
managers participate in the decision-making
process. This increases the diversity of the
status and duties.
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Total Quality Management (TQM)

TQM can be understood as a management
system that makes planning and decisionmaking,
organizing,
leading,
directing,
processing, utilizing the entire capital
equipment
and
materials,
technology,
information systems, energy and human
resources to create products or services that
meet the needs and satisfaction continuous
service users for the survival of the company in
an efficient, effective and responsible with the
participation of all human resources [2].
According to Bill Creech [12], said that the
TQM program must have four criteria if you
want to succeed, namely: (1) the program must
be based on awareness of quality and quality
oriented in all its activities throughout the
program, including in every process and
products. (2) The program must have a strong
humanitarian nature to bring the quality of the
employees are treated, participate, and be
inspired. (3) The program must be based on a
decentralized approach that gives authority at
all levels, especially at the front line, so
enthusiastic involvement and common goals
become a reality, not just an empty slogan. (4)
TQM must be applied thoroughly so that all the
principles, policies and organizational gap.
TQM is a total of Philosophy, a total paradigm
of continuous improvement in four dimensions,
namely:
a) Personal and professional development
b) Inter - personal
c) managerial effectiveness
d) productivity organization
Total Philosophy above is that the quality is
not a program but is rooted in the principles principles such as faith, hope, humility, hard
work, consistent in purpose, improvement,
progress, values - moral values and truths that
must be cultural life of the organization /
company [2].
TQM is the structural work on the entire
enterprise operations and plant agreed,
documented in the procedure - technical and
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managerial procedures are integrated and

effective for guiding action - action that is
conditioned
on
labor
and
information
companies and factories through the best and
most practical way to ensure satisfaction
customers will be the quality and economical
cost of quality [13].
According to Soewarso [4], argue that TQM is
the application of methods of application of
quantitative methods and knowledge of
humanity for:

Fixing materials and services that feed

into the organization

Fixing all the important processes in the

organization

Improve efforts to meet the needs of the

users of products and services on the
present and the future.

Another definition states that the Management

Comprehensive
Quality
(TQM)
is
a
management system that elevates the quality
as a business strategy and oriented on
customer satisfaction by involving all members
of the company.
The support elements of TQM as contemplated
by Feigenbaum [13] are as follows:
a.

Leadership

Senior managers should direct efforts to

achieve the goal by providing, using
communicative tools and materials, using the
data and dig anyone who successfully apply the
concept of total quality management. When
deciding to use TQM as the key management
process, the role of senior managers as
counselors, teachers, and leaders cannot be
underestimated.
b.

Training and Development

Quality is based on the skills of each employee

understanding of what is needed by customers
include educate and train all employees,
providing the information they need to ensure
quality improvement and problem solving. This
core training ensures that a language and a
common set of tools that will be corrected in the
entire company. Additional training on bench
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marking, statistics, and other techniques are

also used in order to achieve customer
satisfaction.
c.

Supporting Structure

Senior managers may need support to make

the changes necessary to implement strategies
for achieving quality. Such support may be
obtained from outside through a consultant.
However, it is better if it is obtained from
within the organization itself. A small support
staff can assist the senior management team to
define the concept of quality, helped by
"network" with quality managers in other parts
of the organization, and helping as a resource
on topics related to the quality of the team of
senior managers.
d.

Communication

Communication in a quality environment may

be implemented with different ways in order to
communicate
to all employees on a
commitment that really - really to make a
difference in improving the quality. Ideally,
managers should meet privately with the
employee to convey information, provide
guidance, and answer questions from each
employee.
e.

Reward and punishment

The team of individuals who successfully

implement
quality
processes
must
be
recognized and may be rewarded so that other
employees as members of the organization will
know what to expect. Failed to recognize a
person achieve success by using an integrated
quality management process will give the
impression that this is not the direction
towards a successful job and would allow the
successful promotion or individual as a whole.
So, basically employees who reached a certain
quality must be recognized and rewarded in
order to become a role model / example for
other employees.
f.

Measurement

The use of measurement data becomes very

important
in
determining
the
quality
management process. Explanations, opinions
should be replaced with the data and each
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person should be told that it's not the thought,

but he knew based on the data. In determining
the use of the data, the external customer
satisfaction should be measured to determine
how far the knowledge of customers that their
needs completely filled.

Research Methodology
This study was designed as an explanatory
research, and are used to assess the influence
of leadership, compensation, training and
development of the quality of work and
employee performance. Chungthai [7] describes
a systematic study shown in the provision of
information, to solve problems.
This study is a research study causal /
explanatory, where the study was conducted to
identify the relationships of cause and effect
between the variables in the research problem,
research has identified the problem clearly.
This means that the relationship between these
variables will be used as a solution to solve the
existing problems. The technique of taking
sample of this research is proportional
stratified random sampling by using a
predetermined percentage by each object based
strata.
To achieve the research objectives and
hypothesis testing, the data obtained will be
processed in accordance with the needs
analysis. In this research using the research
instrument by applying Structural Equation
Modeling (SEM) using the program Analysis of
Moment Structure (AMOS). With statistical
tests finally obtained results of hypothesis
testing which is the core of the concept of this
dissertation.
The result of this hypothesis when equipped
with a solid discussion and analysis of targeted
using proper research methods have a
background in it, the formulation of the
problem, hypothesis, previous research, a
framework of thinking processes, conceptual
framework, so as to support / reject the theory
of development and find the theory. After
compiling and explaining the framework of the
process of thinking above, can eventually
drafted a conceptual framework which can be
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obtained relationship between exogenous

variables, namely leadership, compensation,
training and development of the endogenous
variables, namely the quality of work and
performance of employees, which can be seen in
Figure 1, the conceptual framework. The
variable in this study was determined by the
value measured variables or indicators. In
accordance
with
the
background
and
hypothesis, in this study there are five
variables,
namely:
Leadership
(X1),
Compensation (X2), Training and Development
(X3) Quality of Work (Y1) Employee
Performance (Y2).
These five variables in this study were
classified into three kinds of variables, namely:
1. Exogenous variables is a variable that will
affect the variation in value or not depends on
other variables and also will never be
influenced by other variables. In this study are
included in the exogenous variables are:
Leadership (X1), Compensation (X2), Training
and Development (X3).
2. endogenous dependent variable is a variable
whose value depends on, or influenced by
variations in other variables. Endogenous
variables in this study are: Employee
Performance (Y2).
3. endogenous intervening variables are
variables that affect the relationship between
the exogenous variables and the endogenous
variables into an indirect relationship.
Intervening variable is a variable that is
located between the variables exogenous to
endogenous variables, so that the exogenous
variables do not directly explain or affect the
endogenous variables. Intervening variables in
this study are: Quality of Work (Y1).
There is influence between variables as follows:
leadership said to be effective if the affected
person carrying out voluntarily and can receive
the influence happy, full of confidence, rather
than forced, and feel that what is done is
considered in accordance with expectations and

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can affect the activity of a person or group

people to achieve goals in a given situation in
order to obtain the quality of work life better.
This is consistent with research Didiek Ari P
[14] which resulted in the conclusion that there
is a significant relationship between leadership
and quality of work.
Compensation can be used as a tool to
encourage the performance of employees by
creating policies and compensation system and
give awards to employees who provide the best
quality work. Based on research Nurul
Chairany [15], the compensation obtained
significant effect on the quality of work.
training and development activities aimed at
helping employees to be able to handle the
answer in the future, with due regard to the
duties and obligations facing now and affect the
quality of work life.
Leadership plays a very important role in the
success of the organization in carrying out
various activities, especially visible in the
performance of its employees. This is consistent
with the results of research Frana Agus [16],
stated that there is a significant relationship
between leadership on employee performance.
According Djatmiko Noviantoro [17], states
that compensation is a fringe benefits provided
by the company to its employees for the
performance that made employees. Training
and development has influence to achieve high
performance is largely determined by the
ability and the skills and knowledge of
employees is also high on the training results.
Researchers
found
that
training
and
development as well as compensation for a
positive impact on employee performance.
Based on research Ari Husnawati [18], states
that the existence of the quality of work life
also fosters the desire of employees to remain
in the organization to improve performance.
The results showed that the quality of work
have a significant effect on performance.

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Fig. 1. Conceptual Framework

The research sample should represent the state of
the population, which means that the data obtained
is sample data. The sample is a fraction of the
number and characteristics of the population. What
is learned from the sample, the conclusion will be
applied to the population. For the sample size
imposed must truly representative (representative).
The use of sample that must be considered is the
sample size and techniques of uptake. Ghozali [19]
suggests that the sample is required if the research
does not intend to examine the existing population,
because it is impossible to directly examine the
entire study population, whereas the purpose of
research is to determine the generalization that
applies in general. The sample used was a census,
in which the entire population census technical
target of employees consisting of SO1, division
manager, department manager, team leader and
staff in each section in Hypermart Cito Surabaya.
The model used in this study were tested with the
instrument by applying Structural Equation
Modeling (SEM). The use of this method has the
ability to see the effect, directly or indirectly, an
influence of the independent variable on the
dependent variable. The size of the effects that
occur in a particular pathway will be apparent from
the results of the calculation method of path
analysis.

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Result
The following summary can be presented some of
the results that have been achieved in this research.
Direct influence between variables Research
Direct relationship occurs between exogenous
variables (leadership, compensation, training and
development) with the endogenous variable (quality
of work) as an intervening variable and endogenous
variables (employee performance). This relationship
through a study, to see whether there is a direct
relationship between these variables. The result of a
direct link (direct) is a direct relationship that
occurs
between
variables
exogenous
and
endogenous. In detail or detail through studies in
this research, the direct relationship (direct), it has
been described in Table 1 below:
Table 1. Direct involvement variable
Endogen Variable
Work
Quality

Work
performanc
e

Leadership

0,237

0,288

Compensation

0,276

0,235

Training and
development

0,366

0,256

Work quality

0,000

0,456

Direct involvement

Eksogen
Variable

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From Table 1 above, can be explained substantial

direct effect (direct effects) of exogenous variables on
endogenous variables. Training and Development
provides the largest direct effect on the quality of
work. Furthermore Quality work provides the
largest direct effect on employee performance.

Indirect influence
Research

between

variables

Indirect relationship occurs between exogenous

variables (leadership, compensation, training and
development) with the endogenous variable (quality
of work) as an intervening variable and endogenous
variables (employee performance). This is indirectly
there is a relationship between these variables.
The results of indirect relationships (indirect) is
an indirect relationship that occurs between
exogenous variables and endogenous. In detail by
means of study in this research, there is no direct
relationship (indirect) between these variables and
described in Table 2 below:
Table 2. Indirect involvement variable
Endogen Variable
Indirect involement

Eksogen
Variable

Organizationa
l Commitment

Work
Performance

Leadership

0,000

0,108

Compensation

0,000

0,126

Training and
development

0,000

0,167

Work quality

0,000

0,000

Based on Table 2 above can explain the magnitude

of the indirect effect (indirect effects) exogenous
variables on endogenous variables. Training and
Development greatest indirect effect on the quality
of further work to employee performance variables
and variables in the second sequence is
compensated.

Conclusion
Based on observations and interviews conducted,
the results of the study can be summarized as
follows:
Leadership variables in this study have six (6)
indicators
are:
encouragement,
confidence,
understanding, maturity, desire and integrity.
Found that the leadership variable perceived
Mahmudah Enny W | Nov.-Dec. 2014 | Vol.3 | Issue 6|88-99

positively by respondents. Indicator variable with

the largest value of leadership is confident. This is
reflected in the behavior of employees in providing
services to consumers when shopping. If employees
have confidence that good and pleasant behavior,
then the employees will gain the confidence to
provide good customer service, so that it would
boost the morale of employees in helping consumers
in their shopping process.
Variable Compensation in this study has five (5)
indicators, namely: salary or wages, bonuses,
incentives, benefits, and facilities. Overall the
employees agreed to a five (5) indicators measuring
the variable compensation. Therefore, to measure
the appropriate and fair compensation, Modern
Market Hypermart CITO Surabaya should pay
attention to five (5) indicators of variable
compensation that is used in this study. In the
description of the variable compensation has a
tendency influenced by bonuses. The employees
need to improve morale bonus in each serving
consumer activities. Provision for this bonus will be
an important motivator for employees to be able to
work more optimally.
Training and Development variable in this study
has three (3) indicators, namely: analyzing needs,
setting goals and preparing educational, implement
and supervise the educational process. In the
description of the variables of training and
development have tended to be influenced by
implementing and overseeing the education
process. Implement and supervise the educational
process is one important factor for employees to
provide optimum service to the consumer. If the
employee can carry out education will get
employees who have a good quality, so that
employees in providing optimum service to
consumers. This of course affects the quality and
performance of the employees in the work.
Variable Quality of Work in this study have six (6)
indicators are: fair treatment, the opportunity to
use the ability, open communication, have the
opportunity to make decisions, fair compensation
and safe working environment. In the description of
the variable quality of work have a tendency to be
influenced by a safe working environment. A safe
working environment is one of the facilities of the
company to employees. Safe working environment
means that the employees feel safe, comfortable
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and enjoys working environment in which he

worked, the employee will feel at home at work,
doing activities that work time is used effectively.
Productivity will be high and the automatic
employee work performance is also high.

7. Chungthai,

Employee Performance variables in this study has

five (5) indicators, namely: quantity of work, quality
of work, job knowledge, cooperative, and personal
quality. In the description of the variable
performance of the employees have a tendency to be
influenced by personal qualities. Personal qualities
is the one that determines the performance of the
employees in providing services and handling
problem experienced by consumers. If the employee
has a good personal qualities, the performance was
good. Personal qualities are personality, leadership,
hospitality, and personal integrity of employees.

8. Nasution, 2005, Total Quality Manajemen (TQM),

Acknowledgment

11. Luthans F, 2006, Perilaku Organisasi, Edisi 10,

This study is the result of research funded by the

Directorate General of Higher Education (Higher
Education), through the Competitive Research
Grants scheme.

On

In-Role

2008,
Job

Impact

Of

Job

Performence

and

Organisational Cuizenship Behavior. Jurnal Institute

Of Beharvioreal and Applied Management.

Yogyakarta : Pustaka Pelajar.

9. Gibson, James L, James, Donnelly H, and Ivancebich,
John M, 1996, Organisasi (Perilaku, Struktur,
Proses), Jilid I, Edisi Kedelapan, Jakarta : Binarupa
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2003,

Perilaku

organisasional,

Yogyakarta: STIE YKPN.

Yogyakarta:

Andi.Mangkunegara,

Anwar

Prabu,

2002, Manajemen Sumber daya manusia Perusahaan

PT. Remaja Rosdakarya, Bandung

Jakarta : PT. Gelora aksara Pratama.

1. Werther, William B, and Keith Davis, 2003. Human

Resources and Personnel Management, Fifth Edition,
USA : McGraw-Hill.

Alphabeta, Bandung

2002,

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daya

manusia, cetakan pertama, PT. Remaja Indahkarya,

14. Ari P, Didiek, 2008, Manajemen Mutu Menyeluruh

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