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The Effect of Leadership, Motivation, and Work Discipline on the Employees’ Performance of Finance Section in the Regional Working Unit in Tulungagung Regency

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The Effect of Leadership, Motivation, and Work Discipline on the Employees’ Performance of Finance Section in the Regional Working Unit in Tulungagung Regency View metadata, citation and similar papers at core.ac.uk brought to you by CORE provided by Academic Journal @ Perbanas Business School Surabaya - Indonesia The Indonesian Accounting Review Vol. 4, No. 2, July 2014, pages 97 – 106 The effect of leadership, motivation, and work discipline on the employees’ performance of finance section in the regional working unit in Tulungagung regency Rista Eka Rachim Febiningtyas1, Diah Ekaningtias2 1, 2 STIE Perbanas Surabaya, Nginden Semolo Street 34-36, Surabaya, 60118, East Java, Indonesia ARTICLE INFO ABSTRACT Article history: The role of local government has been increasing significantly since the enactment of Received 20 February 2014 regional autonomy by the central government. In this case, the majority of central Revised 11 June 2014 government authorities are delegated to each local government. Consequently, the Accepted 1 July 2014 success of development and economy of the region depends largely on the local gov- ernment concerned. The performance of local governance will run well, if there is JEL Classification: adequate government apparatus that support the local government activities. The good M12 performance of the government apparatus will have an impact on the achievement of goals and responsibilities of the local government, the central government and the Key words: public. Therefore, the purpose of this study is to find out whether variables of leader- Leadership, ship, motivation and work discipline can affect the performance of employees of finance Motivation, section in the regional working units of Tulungagung Regency. The samples in this Work Discipline, study are the employees of finance section in the Regional Working Units of Tulun- Employee Performance. gagung Regency. Based on the multiple linear regression analysis test, it can be con- cluded that the variables of leadership and work discipline have significant effect on the DOI: performance of employees, while the variable of motivation does not have significant 10.14414/tiar.14.040201 effect on the performance of employees of finance section in the Regional Working Units of Tulungagung Regency. ABSTRAK Peran pemerintah daerah telah meningkat secara signifikan sejak diberlakukannya otonomi daerah oleh pemerintah pusat. Dalam hal ini, sebagian besar kewenangan pemerintah pusat didelegasikan kepada masing-masing pemerintah daerah. Akibatnya, keberhasilan pembangunan dan perekonomian daerah tergantung pada pemerintah daerah yang bersangkutan. Kinerja pemerintahan daerah akan berjalan dengan baik, jika ada aparat pemerintah yang memadai yang mendukung kegiatan pemerintah daerah. Kinerja yang baik dari aparat pemerintah akan berdampak pada pencapaian tujuan dan tanggung jawab pemerintah lokal, pemerintah pusat dan masyarakat. Oleh karena itu, tujuan dari penelitian ini adalah untuk mengetahui apakah variabel ke- pemimpinan, motivasi dan disiplin kerja dapat mempengaruhi kinerja karyawan bagian keuangan di SKPD Kabupaten Tulungagung. Sampel dalam penelitian ini adalah pegawai dari bagian keuangan di Satuan Kerja Perangkat Daerah Kabupaten Tulungagung. Berdasarkan uji analisis regresi linier berganda, dapat disimpulkan bahwa variabel kepemimpinan dan disiplin kerja memiliki pengaruh yang signifikan terhadap kinerja karyawan, sedangkan variabel motivasi tidak memiliki pengaruh yang signifikan terhadap kinerja karyawan bagian keuangan di Satuan Kerja Perang- kat Daerah Kabupaten Tulungagung. 1. INTRODUCTION ment, whose duties are based on legislations, to con- Government institutions or agencies are institutions duct activities to improve public services and stan- established by the government based on a require- dard of life, welfare, and happiness of the people * Corresponding author, email address: 2 [email protected] 97 Rista Eka Rachim Febiningtyas: The effect of leadership, … (Wursanto, 2003: 11). Since the enactment of Law that can affect the level of employee performance No. 22 of 1999 on Regional Autonomy, the role of will be discussed. This can be clearly illustrated local government has increased so fast as parts of the how these three factors: leadership, motivation and central government authority are delegated to the work discipline can affect employee performance. local government. The authorities possessed by the For these reasons, the title that can be put forward local government are very influential on the level of is "The Effect of Leadership, Motivation and Work development and economic success in the region. Discipline on the Performance of Employees of The successes of a region depend largely on the Finance section in Regional Working Units of Tu- situation and conditions of the regional government lungagung Regency". concerned. The local government will work well if the adequate government apparatus are available. 2. THEORETICAL FRAMEWORK AND HYPO- The good performance of the government apparatus THESIS will then result in the achievement of goals and re- Definition of Leadership sponsibilities of the local government, the central In general, it is defined that leadership involves a government and the people. In this era of globaliza- process of social influence, which is intentionally tion, one of the major challenges faced by the gov- run by someone on others, to structure activities ernment, especially the local government, is how to and relationships within a group or organization display the professional apparatus, which have a (Yukl 1994). The role of leadership is considered high performance, competitive advantage, and abil- successful in an organization/agency when a ity, to uphold the ethics bureaucracy in carrying out leader is able to improve someone’s performance their duties and functions. and the performance of the organiza- The local government, in carrying out its du- tion/institution. The role of an effective leader, that ties and functions, is supported by the Regional makes employees comfortable, can arouse the mo- Working Units owned. In carrying out their duties tivation and spirit of the subordinates to work op- and functions, The Regional Working Units have timally because the subordinates know what the several supporting sections; one of them is finance goals of the organization/institution are. The re- section. The duties of finance section are managing search conducted by Dewi Wahyu (2008) shows finance and presenting financial statement. that leadership has a positive influence on em- Tulungagung Regency has 18 Regional Work- ployee performance. ing Units. Each Working Unit has a sub-section of finance, which has the function and responsibility Definition of Motivation in financial management and financial reporting. According to Hasibuan (2003: 95) motivation is The Regional Working Units of Tulungagung Re- derived from the Latin word "movere" which gency received unqualified opinion for three con- means "push" or “power driver. With the motiva- secutive years; 2010, 2011 and 2012. The basis of the tion, each individual of employee is expected to assessment is a fair presentation of financial state- work hard and enthusiastically to achieve high ments, which is the responsibility of the finance productivity. Motivation is granting the driving section in the Regional Working Unit. This shows force that creates work excitement on an individual, that the performance of the finance sections of all so that he is willing to work together effectively Regional Working Units of Tulungagung Regency and integrated with all its resources to achieve sat- is good. This situation prompted the researchers to isfaction. examine the factors that affect the performance of The motivation itself could arise from internal employees of the finance section. or external stimuli. Motivation from external stim- The factors that can improve employee per- uli can be done by the leader to his employees. One formance should, as early as possible, get the atten- thing that should be taken into consideration by a tion from the employers, particularly for the em- leader in giving motivation is that a person is will- ployees of finance section who are required to have ing to wok hard with the hope that he will be able maximum performance in order to create good to meet his needs and desires. It is also supported performance results. The good performance of Re- by the research conducted by Windy and Gunasti gional Working Unit will have an impact on the (2012) which showed a significant effect of motiva- performance of the local government, especially in tion on employee performance. the delivery of information about the financial management and reporting. Definition of Work Discipline Based on the above background, three factors Alex (1996: 25) defines that discipline is an attitude, 98 The Indonesian Accounting Review Vol. 4, No. 2, July 2014, pages 97 – 106 Figure 1 Research Framework Leadership X1 Employee Motivation Performance X2 Y Work Discipline X3 behavior, and act in accordance with the company Identification of Variables rules, either written or not. Discipline is also the Variables used in this research are dependent vari- awareness and willingness of a person to obey all able and independent variables. The dependent laws and social norms in force. Employee discipline variable is performance of employees (Y), and the can be seen from the responsibility, attitude, behav- independent variables are leadership (X1), motiva- ior and action of an employee in compliance with tion (X2), and work discipline (X3). all forms of regulation as long as they work at the agency. Good leadership
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