The effect of strategic management and organizational commitment on employees’ work achievement

Abstract

This study examines the effect of strategic management on work performance through organizational commitment, and the influence of strategic management and organizational commitment on employee performance who worked at Muhammadiyah University of Indonesia. The sample used according to the calculation of cluster sampling probability proportionate to size model (PPS) with the formulation of Slovin which yielded 386 employees at 12 muhammadiyah universities in Indonesia. The developed instrument combines part of the existing questionnaire related to strategic management, organizational commitment, and work performance, using the Likert Method of Successive Interval (MSI) scale. The data were analyzed by regression equation using SPSS 21 software. The findings of this study concluded that strategic management and organizational commitment affect the performance of employees. Moreover, strategic management along with organizational commitment affect the performance of employees. Finally, the effect of strategic management factors under the title of understanding of planning, adequacy to company, and utilization along with organizational commitment is observed positive on the work achievements. For the better understanding, the effects of these factors should also be observed as presented through regression findings of the study. Based on such findings, it is suggested that management of the selected universities should consider the integration between strategic management, organizational commitment, and work achievements.