Change of adaptability to increase employee performance in state-owned enterprises in agriculture

Abstract

Purpose. The main purpose of this research is to summarise the descriptive analysis of change impact and evaluate the impact of change adaptability on employee performance in state-owned enterprises (SOE) in Indonesian agriculture. Methodology / approach. This study integrates theoretical perspectives on change management, adaptability, organisational learning, and employee performance. The model was tested at Indonesian agricultural state-owned enterprise which consists of 14 companies around Indonesia. The sample comprised 373 employees in middle management. Descriptive analysis and probability sampling were used with a disproportionate stratified random sampling technique, Likert questionnaire scale, and indexing with three box methods and Structural Equation Model in Analysis of the Moment Structure program used for the research model. Results. The findings suggest that learning from past change has a positive and significant effect on employee performance, but the adaptability of change and memories of change have a non-significant effect on employee performance. The models fit the Goodness of Fit Criteria (GFI = 0.934; AGFI = 0.911; CMIN/DF = 1.918; RMSEA = 0.050; TLI = 0.982; CFI = 0.985; NFI = 0.969; p-Bollen-Stine Bootstrap = 0.058); and also based on the descriptive analysis, changes in technology is the most significant changes that affect on company. Originality / scientific novelty. Several studies in the literature include the relationship between change readiness, and adaptability on employee performance, nevertheless, this study further builds and examines the construct of adaptability of change, memories of change, learning from the last change, identifying employee performance scales that should be paid more attention to and the significance among them. Practical value / implications. Based on the study’s findings, the role of learning from past changes in affecting employee performance in Indonesian agricultural state-owned enterprise provides a new and significant insight into the research literature on change adaptability and the challenges facing these companies. It has practical implications for managers and leaders confronting organisational change management in Indonesia, enhancing employee performance, and realising sustainable agriculture.