American Journal of Economic and Management Business

p-ISSN: XXXX-XXXX

e-ISSN: 2835-5199

Vol. 3 No. 12 December 2024


 

Enhancing Employee Engagement: Developing Emotional Intelligence and Spiritual Intelligence

 

Irpan Hidayat Hasibuan1*, Berlianingsih Kusumawati2, Yatimin 3, Abdul Jamil4,

Nazifah Husainah5

1,2,3,4Universitas Muhammadiyah Jakarta, Indonesia

Emails: [email protected]*, [email protected],

[email protected], [email protected]

 

Abstract

This study aims to determine the effect of emotional intelligence and spiritual intelligence on employee engagement. The research adopts a quantitative approach, utilizing descriptive and explanatory methods. The sample size consists of 75 employees at PT Gapa Citramandiri, selected through random sampling. Data collection techniques include observation, interviews, and questionnaire distribution, while data analysis employs multiple regression analysis using Smart PLS software. The findings reveal that emotional intelligence and spiritual intelligence significantly influence employee engagement. Notably, spiritual intelligence emerges as the most dominant factor affecting employee engagement, highlighting its critical role in fostering a committed and motivated workforce. Enhancing spiritual intelligence among employees is thus a top priority to improve engagement levels. Policymakers and organizational leaders should prioritize the integration of programs that foster spiritual intelligence in the workplace. This can include initiatives such as mindfulness training, ethical leadership development, and fostering a supportive work environment that aligns with employees' values. These measures are essential not only for improving employee engagement but also for promoting organizational performance and societal well-being. The study underscores the importance of emotional and spiritual intelligence in shaping workplace dynamics. By prioritizing these aspects, organizations contribute to broader economic stability by enhancing productivity and reducing employee turnover. Furthermore, fostering spiritually intelligent practices can have positive social impacts, such as creating more empathetic and value-driven organizational cultures.

Keywords: Employee Engagement, Emotional Intelligence, Spiritual Intelligence.

 

INTRODUCTION

Companies and organizations consist of individuals with diverse emotions, beliefs, cultures, and needs (Ashkanasy & Dorris, 2017). Effectively addressing these differences and minimizing workplace conflicts requires both emotional and spiritual intelligence. In an ever-changing global environment, organizations face increasing challenges to adapt and remain competitive. A significant global trend highlights low employee engagement across industries, leading to reduced productivity and workplace satisfaction. Research from global surveys indicates that only about 20% of employees feel fully engaged at work, underscoring a critical issue that organizations must address to achieve a competitive advantage (Davis & Simpson, 2017).

Employee engagement, defined as the level of attachment and commitment employees have to their organization and its values, is crucial in this context (Nazir & Islam, 2017). Observations and interviews with employees at PT Gapa Citramandiri reveal a concerning phenomenon: some employees lack a sense of attachment to their work, resulting in tasks being performed without genuine effort or enthusiasm.

This situation emphasizes the need for targeted strategies to improve employee engagement at PT Gapa Citramandiri (Monica et al., 2023). Among the factors contributing to low engagement, the role of emotional and spiritual intelligence is particularly noteworthy. Emotional intelligence (EI) enables individuals to manage emotions effectively, fostering resilience and enhancing interpersonal relationships in the workplace. It plays a pivotal role in navigating challenges, whether related to the work environment or personal life, thereby directly influencing employee engagement (Serhan et al., 2024).

Theoretical frameworks support the link between EI, spiritual intelligence (SI), and employee engagement. Emotional intelligence, as articulated by Goleman et al. (2020), emphasizes the importance of managing one�s emotions and understanding the emotions of others, which positively impacts employee involvement. Moreover, Sidhu (2012) highlights that optimistic and insightful employees with high EI are more likely to exhibit advanced levels of engagement.

Spiritual intelligence, on the other hand, adds another dimension to understanding employee engagement. Researchers, such as Wingerden and Stoep (2019), suggest that finding meaning in work�a core component of spirituality�can significantly enhance engagement and performance. Spirituality, defined as an individual's relationship with a higher power that shapes meaning, purpose, and mission, has been shown to positively impact productivity and workplace dynamics. Further explains that spiritual intelligence provides intrinsic motivation, encouraging individuals to act with integrity and purpose.

Research specific to PT Gapa Citramandiri is essential to explore these variables in greater depth, especially within the context of Indonesian work culture. While previous studies, such as those, demonstrate a positive correlation between spirituality and employee engagement in other settings, there is a lack of research examining these relationships within PT Gapa Citramandiri's unique cultural and organizational framework. Additionally, the broader limitations of earlier studies�such as their focus on specific industries or demographics�leave significant gaps in understanding how cultural and organizational factors influence these dynamics (Kirton & Greene, 2015).

By addressing these gaps and grounding research within the specific context of PT Gapa Citramandiri, future studies can contribute to a more nuanced understanding of the interplay between emotional and spiritual intelligence and employee engagement. Such insights could inform strategies to foster a more engaged and committed workforce, ultimately enhancing organizational performance (Okatta et al., 2024).

 

RESEARCH METHODS

The methodology employed in this study is a descriptive quantitative approach. The objective of this method is to systematically obtain accurate and reliable data from the research site. Data collection involved methods such as direct data entry and the use of pre-designed instruments to gather respondents' input effectively.

The focus of this research includes the variables Emotional Intelligence (X1), Spiritual Intelligence (X2), and Employee Engagement (Y). The study was conducted at PT Gapa Citramandiri South Jakarta. Given that the population size is relatively small, comprising 75 respondents, the researchers adopted the census technique. This approach was chosen because it allows for comprehensive data collection from the entire population without requiring a sample, ensuring that no potential insights are overlooked. The use of this technique is particularly advantageous for small populations, as it avoids sampling bias and provides a complete picture of the population�s characteristics.

A structured questionnaire was utilized as the primary instrument, aligning directly with the research objectives. Employees of PT Gapa Citramandiri were invited to participate, and their responses were collected under approved permissions. The questionnaire employed a Likert scale, where responses were rated from 5 (Strongly Agree) to 1 (Strongly Disagree) for positive statements, and the reverse for negative statements. The Likert scale ensured standardized and quantifiable data, facilitating statistical analysis.

To ensure the reliability and validity of the instrument, the author conducted rigorous validation steps. First, a validity test was performed to confirm that the questionnaire items effectively measured the intended constructs. The validity test included a Cronbach's Alpha reliability assessment, where a threshold of α ≥ 0.70 was considered acceptable for internal consistency. The results demonstrated that all variables met the required standards, confirming the reliability and appropriateness of the instrument for this study (Cheung et al., 2024). These steps ensured the data collected were both accurate and reflective of the study's objectives.

 

RESULT AND DISCUSSION

In this step, the SEM model will be able to make it easier to see how the causal relationships that will be tested by researchers. In this diagram, the relationship between constructs is shown through arrows. Straight arrows will show how the direct causal relationship between one construct and another, this can be seen in the figure below:

 

Figure 1. Causal Relationship Between Variables

 

Table 1. Outer Loadings

 

EMPLOYEE
ENGAGEMENT

INTELLIGENCE

EMOTIONAL

EXCELLENCE

SPIRITUAL

X1.1

 

0.829

 

X1.2

 

0.566

 

X1.3

 

0.744

 

X1.4

 

0.766

 

X1.5

 

0.709

 

X1.6

 

0.713

 

X2.1

 

 

0.668

X2.10

 

 

0.636

X2.2

 

 

0.728

X2.3

 

 

0.834

X2.4

 

 

0.595

X2.5

 

 

0.862

X2.6

 

 

0.726

X2.7

 

 

0.613

X2.8

 

 

0.861

X2.9

 

 

0.527

Y1

0.800

 

 

Y10

0.776

 

 

Y2

0.906

 

 

Y3

0.776

 

 

Y4

0.559

 

 

Y5

0.537

 

 

Y6

0.683

 

 

Y7

0.527

 

 

Y8

0.789

 

 

Y9

0.703

 

 

 

Outer Model Test

In this Outer model analysis will be carried out to ensure that themeasurement (measurement model) used will be feasible to be used as a measurement (valid and reliable) (Hair et al., 2020). In this outer model analysis, it can also find out how the relationship between latent variables and it will be said that this outer model defines how each analysis will relate to its latent variables. In this case, three measurement criteria will be used, namely convergent validity, reliability, and discriminant validity.

Convergent Validity Test

The convergent validity value shows how much the factor loading value is on the latent variable with its indicators. The corvergent validity value can be used to determine the validity of a contract.

Table. 2. Construct Reliability and Validity Test

 

Cronbach's Alpha

rho_A

Composite Reliability

Average Variance
Extracted (AVE)

EMPLOYEE ENGAGEMENT

0.890

0.911

0.911

0.513

KECERDASAN EMOSIONAL

0.819

0.842

0.868

0.526

KECERDASAN SPIRITUAL

0.890

0.911

0.910

0.510

 

In the results of uni construct reliability and validity, it can be seen that all variables can meet the minimum amount as a requirement for testing Cronbach's Alpaha, composite, reliability, and composite average vaiance extracted (EVA) with a minimum value of 0.5. So it is stated that all variables have met the requirements to proceed to Contruct reliability and validity testing (Rokim & Tentama, 2020).

 

 

 

 

R-square Test

The results of the R-square value output can be seen in the table below:

Table 3. Results of R-square Value

 

R Square

R Square Adjusted

EMPLOYEE ENGAGEMENT

0.766

0.741

Source: SmartPLS, 2023

Based on the table above, it shows that the R-square value of the employee performance variable is 0.766. Theadjusted R-square value is 0.741, meaning that the variability of the employee performance construct that can be explained by the construct variability is 74.10% while the remaining 25.90% is explained by other variables outside those studied.

Hypothesis Testing

In this hypothesis testing stage, it will be analyzed whether there is a significant influence between the independent variable and the dependent variable. Testing the proposed hypothesis is done by looking at the path coefficients which show the parameter coefficient and the significance value of the t statistic (Henseler, 2017). The significance of the estimated parameters can provide information about the relationship between the research variables. The limit for rejecting and accepting the proposed hypothesis is using a probability <0.05. The table below presents the estimation output for structural model testing.

 

Table 4. Hypothesis Test based on Path Coefficient

Original
Sample (O)

Sample
Mean (M)

Standard
Deviation (STDEV)

T Statistics
(|O/STDEV|)

P Values

KECERDASAN EMOSIONAL ->
EMPLOYEE ENGAGEMENT

0.350

0.361

0.126

2.784

0.006

KECERDASAN SPIRITUAL ->
EMPLOYEE ENGAGEMENT

0.638

0.647

0.129

4.953

0.000

 

 

1.   The effect of Emotional Intelligence (X1) on Employee Engagement (Y), the Emotional Intelligence variable has a P-value of 0.350 greater than 0.05 (0.009 <0.05), this states that emotional intelligence has a significant effect on employee engagement so that the hypothesis is accepted. The coefficient value contained in the original sample column is 0.350, so it can be interpreted that if Emotional Intelligence rises by zero units at PT. Gapa Citramandiri, Employee Engagement will increase by 0.350 units...

2.   The effect of Spiritual Intelligence (X2) on Employee Engagement (Y). The Spiritual Intelligence variable has a P-value of 0.000 less than 0.05 (0.000 <0.05), this states that Spiritual Intelligence has a significant effect on Employee Engagement so that the hypothesis is accepted. The coefficient value contained in the original sample column is 0.638, so it can be interpreted that if Spiritual Intelligence at PT. Gapa Citramandiri increases by a unit, Employee Engagement will increase by 0.638 units.

3.   Simultaneous influence of Emotional Intelligence (X1) and Spiritual Intelligence (X2) on Engagement (Y) at PT. Gapa Citramandiri has a very high influence on the company, namely 0.741, which means that the construct variable Employee Engagement can be explained by the construct variable (Emotional Intelligence and Spiritul) can simultaneously affect employee engagement by 74.10%, the remaining 25.90% is influenced by other variables not examined in this study.

 

CONCLUSION

Emotional Intelligence significantly affects Employee Engagement. This is evident from the challenges faced by employees, such as difficulty in controlling emotions when others ignore or patronize them, and struggles with forgiving mistakes made by colleagues. These situations lead to feelings of discomfort and pressure in the workplace, which can hinder productivity and collaboration. Negative emotions, such as the inability to manage anger when facing perceived harm from others, further exacerbate this issue. To address these challenges, strategic programs focused on enhancing Emotional Intelligence through interpersonal skills training are essential. These programs can foster a harmonious relationship among employees, reduce workplace tensions, and promote mutual understanding. By improving Emotional Intelligence, employees are more likely to feel engaged and committed to their work.

Similarly, Spiritual Intelligence has a significant impact on Employee Engagement. Employees with a strong sense of faith and spirituality tend to feel the presence of a higher power in their lives, as demonstrated by their habits of praying regularly and striving to do good for the organization. This spiritual connection motivates them to dedicate their energy, thoughts, and time toward achieving organizational goals. It fosters a sense of pride and loyalty toward the company, encouraging employees to make meaningful contributions and excel in their roles. The study's use of census techniques limits its generalizability to larger populations, as the findings may be specific to the sample studied. Future research could employ more diverse sampling methods to enhance the broader applicability of the results.

 

BIBLIOGRAPHY

Ashkanasy, N. M., & Dorris, A. D. (2017). Emotions in the workplace. Annual Review of Organizational Psychology and Organizational Behavior, 4(1), 67�90.

Cheung, G. W., Cooper-Thomas, H. D., Lau, R. S., & Wang, L. C. (2024). Reporting reliability, convergent and discriminant validity with structural equation modeling: A review and best-practice recommendations. Asia Pacific Journal of Management, 41(2), 745�783.

Davis, P. J., & Simpson, E. (2017). Resource-based theory, competition and staff differentiation in Africa: Leveraging employees as a source of sustained competitive advantage. American Journal of Management, 17(1), 19�33.

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Copyright holders:

Irpan Hidayat Hasibuan, Berlianingsih Kusumawati, Yatimin, Abdul Jamil, Nazifah Husainah (2024)

First publication right:

AJEMB � American Journal of Economic and Management Business