Syntax Literate: Jurnal Ilmiah Indonesia p–ISSN: 2541-0849 e-ISSN: 2548-1398

Vol. 9, No. 3, Maret 2024

 

EMPLOYER BRANDING AND CAREER OPPORTUNITIES: DOES FIT REALLY INFLUENCE GEN Z’S INTENTION TO JOIN IN ARCHITECTURAL FIRMS IN INDONESIA?

 

Altheannisa Agatha Soraya

Universitas Indonesia, Depok, West Java, Indonesia

Email: [email protected]

 

Abstract

By the end of the Covid-19 pandemic, job demand has increased. Indonesian Architecture subsector is experiencing a shortage of architects given the lack of interest on architecture students to continue their careers in the same field and lack of career opportunities offered. Therefore, employers need to develop an employer branding strategy to match applicant’s expectations with values offered in order to attract labor market intention, especially alumnis from related majors, to join architectural company. As Person-Organisation Fit theory applied, by finding their fit toward potential employee, gen Z, can better examine their employer to consider joining the company. This study aims to examine how person-organisation fit mediates career growth opportunities and employer branding that fit individual’s expectations can influence their intention to join to the company. This quantitative research uses a cross-sectional approach by collecting data through structured questionnaire consisting of 41 items asked distributed online. The sample consisted of 308 employees working in architectural industry with minimum of one year experience. Covariance Based Structural Equation Modeling (CB-SEM) used as analysis method aimed to identify and analyze the relationship between variables that influence the gen Z’s intention to join Indonesian architecture firms. The eresults indicates that both Employer Branding and Career Growth Opportuniies hav positive and significant effect on Intention to Join, while Person-Organisation fit partially mediate Employer Branding’s effect. This study only conducted in Architectural Subsector in Indonesia. The results of this study could also have relevance for other Asian nations that exhibit comparable traits.

Keywords: Employer Branding, Career Growth Opportunities, Intention to Join, Person-Organisation Fit

 

Introduction

A new era in labor world is opening up as COVID-19 pandemic ends. Previously, the phenomenon of termination of employment and employee turnover by job providers was commonplace in Indonesia. With the simultaneous end of the COVID-19 pandemic, the need for a labor market to find jobs by companies providing vacancies has increased again. At this time, all companies are facing a war of talent where companies compete with each other to recruit and retain talented employees (Chambers, Foulon, Handfield-Jones, Hankin, & Michaels, 1998). Therefore, companies need to have competitive advantages in order to be prepared to face challenges to grow, sustain themselves, and compete in the labor market. Here employer branding has an important role to build and channel the credibility of the organization and position the company to give a good image to the public while promoting it as a good place to work (Silva & Dias, 2022).

Based on current trends in the labor market, employees in Indonesia and other ASEAN countries are actively looking for new jobs. The World Economic Forum (WEF) states that the prospects for future workforce will depend on generation Z. By 2025, it is estimated that 27% of the workforce will be Generation Z (McCrindle, 2023). Consists of individuals born between 1996 and 2011, gen Z grew up in a technology-compressed digital age and expects quick and instant responses (Lassleben & Hoffman, 2022). Gen Z is known as a digital generation that is sensitive to technology and have a high social awareness (Swaminathan, 2022). Gen Z also known as a generation that is eager to learn, has an interest in diverse careers, and seeks the value of financial stability in their work. They also tend to be independent and seek a deep understanding of the company before deciding their intention. Several studies reveal preferences and priorities by gen Z in determining which organizations they are interested in joining, including career opportunities, professional development, and training opportunities provided by the company (Rubanovich, 2021; Samoliuk, Bilan, Mishchuk & Mishchuk, 2022). By matching applicants' expectations with the benefits and values offered through Employer Branding, companies can attract gen Z in the labor market. Previous studies investigated this as gen Z’s intention to join but not capturing about their linearity to their graduational degree’s subjects.

Nowadays, gen Z had lacks on work experience due to company’s policy during pandemic. Many employers limit opportunities for students to gain work experience in their companies. This problem is felt by the majority of gen Z, specifically those who are architecture alumnis, especially as their graduating and joining their target company where they try to strategize to build a career and look for career opportunities to enrich their experience in working in the world of architecture. This lackness of experience have been creating severe judgement for them and somehow causing rejection from their first step. A survey by Harris Poll validated that majority of gen Z are interested in doing creative things in their daily lifes and stated that gen Z is a creative generation. This indicates potential suitability of gen Z for activities in the architecture subsector in Indonesia. Unfortunately, the COVID-19 pandemic has cut off the opportunity for gen Z to undergo internships or onboarding to create firsthand experience on how the world of work will be in organizing their future.

Architecture is one of the subsectors that contribute to creating jobs throughout Indonesia, which is under the supervision of the Creative Economy Agency (Bekraf) in Indonesian Ministry of Tourism and Creative Economy (Kemenparekraf). Even in the midst of the Covid pandemic, this subsector experienced an increase in their number of workers (KEMENPAREKRAF, 2021). Along with this, the Indonesian Architect Association (IAI) as the only architect professional organization recognized by the government houses professional architects in Indonesia. IAI attempted to collect data on the professional workforce membership of the architects it oversees and revealed a shortage of architects faced by Indonesian architecture subsector. Based on IAI data, the number of architects in Indonesia is still very small, which is only fifteen thousand of the total population in Indonesia reaches 250 million people (Dinas Komunikasi dan Informatika Provinsi Sumatera Barat, 2017). A survey conducted by Kumparan newsletter found that turns out there’s no more than 25 percent of graduates in architecture majors choose to become professional architects. Most of them decided to choose to work in other fields (Jogja, 2020). This in fact is deeply unfortunate considering potential development of local architects who can help Indonesia to improve Indonesia's image as a creative and innovative country in the eyes of the global world and improve the country's economy by maximizing local architect’s utilization compared to using foreign architect’s services.

As prior study by Silva and Dias (2022) researching how Employer Branding’s influence on Intention to Join and Corporate Reputation’s role as mediator, this research found that the relationship between EB and Intention to Join are mediated by company’s corporate Reputation (Silva & Dias, 2022). Each EB dimensions are partially mediated by Corporate Reputation, except for Developmental Values dimension which found to be fully mediated by Corporate Reputation. Other study by Soeling, Arsanti, and Indriati (2022) counters Silva and Dias (2022)’s foundings. This study conveys that corporate reputation doesn’t mediate the relationship between EB and intention to join. Specifically, they explain that EB direct influence on intention to join are significant and positive, also that EB Interest Value dimension itself are significant enough to influence the relationship directly, without any mediating role of corporate reputation (Soeling, Arsanti, & Indriati, 2022). Thus, corporte reputation variable will be reducted from the model in this study.

Other reserarch by Samoliuk, Bilan, Mishchuck, and Mihchuck (2022) and findings by Rubanovich (2021) reveal various prioiritized factors from gen Z’s preference in deciding which employers they want to work with. Heresaid gen Z are more interested in searching potential employers that would provide career opportunities for them. Although the term ‘career opportunity’ itself could be very general, prior researchs exposs other supplementary factors that gen Z interested for that can actually give clues on how to understand this term specifically, Factors mentioned on these researchs are related to development, trainings, and career advancement opportunities which were closer to discuss about Career Growth Opportunities (CGO). Although as described by Arthur (1994) in ‘The Boundaryless Career: A new employment principle for a new organizational era’, CGO defined as the prospects and pathaways available to an individual that enable them to advance, acquire new skills, take on greater responsibilities, and achieve their career goals (Arthur, 1994).

In today’s architectural curriculum, individuals can claim their profession and validate their credibility as an architect with their possesion of STRA (DAI, 2021). To obtain STRA (Architect Registration Certificate), IAI has set two pathways on how architects can receive STRA. The first lane called RPL (recognition of past learning) which is a pathway provided for architect candidates who have had Architecture Practical Work experience for, at least, ten years. The second path is through professional education. This path allows prospective professional architects who have attended formal architecture education for four years to continue their studies by taking the Professional Education for Architects (PPAr) program for a year and then following an internship program for a minimum of two years. IAI preparing PPAr as further architectural education in postgraduate level as a professional study program for architecture student in form of extra one year education calculated after undergraduate graduations. PPAr (Architect Professional Program) established with the aim of equalizing Indonesian architect standards with internatuional standards of professional architect. In PPAr, students are required to take part in an internship program at architectural bureaus certified by IAI during second semester of their study. Both undergraduate and postgradute (PPAr) educational level provide architecture students with the opportunity to gain internship experience. This opportunity can help architecture students to dive in the world of work also give them the chance to deepen their knowledge, engage with architectural society, and get to know about their future workplace.

This study aimed to identified the role of perceived person organisation fit in the influence of employer branding and career opportunities towards intention to join. Aligned with previous research on this topic (Silva & Dias, 2022; Soeling, Arsanti, & Indriati, 2022; Santiago, 2019), this research is expected to answer the research gap concerning ‘other supporting factors’ mentioned in previous research and how these factors related to employer branding influence individual’s intention to join within specific generational context (Silva & Dias, 2022). By the end of this research, this study hopes to contribute in practical ways in architectural sectors given how employer can optimize their strategy on employer brand. As in theoretical contribution, this study expected to enrich academical knowledge about employer brand’s effects on intention to join by investigating supporting factors such as person fit theory. Thus, readers can understand and learn to manifest gathering their fits with potential employer’s offerings and start evaluating what values are they expecting from employers and understanding how they can contribute to their potential employer.

Hypothesis Development

Saini, Rai, and Chaudary (2014) state that organizations with a better image in the labor market have a higher degree of influencing the intention to apply for a job. This can also be explained by the analogy that 'customers' have certain beliefs about a product, and prospective employees have certain beliefs about the employer company that may be included in the organization that job seekers plan to join in the near future (Sharma & Parasad, 2018). Barber (1998) states that these beliefs become the basis for considering the final decision of prospective employees to accept, or on the contrary, reject a job offer (Sharma & Parasad, 2018). Research by Soeling, Arsanti, and Indriati (2022) successfully filled the research gap and found a direct relationship between EB and Intention to Join (ITJ). The study proves that EB has a positive effect on ITJ. The relationship between Employer Branding and Intention to Join can also be explained by the Theory of Reasoned Action (TRA) which shows that a person's behavior is determined by their intention to perform the behavior and the intention itself is a function of their attitude towards behavior and subjective norms (Fishbein & Ajzen, 1975). Current study argued that Employer Branding regarding to theory of planned behavior in fact have influence on Intention to Join as explained in prior researchs.

H1: Employer Branding has significant effect on on Intention to Join

 

A successful employer brand can attract prospective employees who have characteristics that match the company's needs (Srivastava & Bhatnagar, 2010). Whether EB can influence directly (Soeling, Arsanti, & Indriati, 2022) or indirectly (Silva & Dias, 2022) produces a range of effects. This prompts the author to consider the possibility of other variables influencing this association. Tanwar and Kumar (2019) found that the perceived fit between a person and the business by the research subject can assist explain the association between EB and employer of choice (EOC) status. According to Cable and Turban (2003), EOC is envisioned as an organization that motivates potential employees to join and stay with a company (Tanwar & Kumar, 2019). Recent study by Tanwar and Kumar (2019) uses perceived person-organization fit (P-O fit) to mediate the relationship between the independent variable (EB) and the dependent variable (ITJ). Thus, a company achieves EOC status when potential employees want to work for it and give first preference to it over other companies (Tanwar & Kumar, 2019). Current study addresed hypotesis that Employer Branding might influence Person-Organization Fit according to Tanwar and Kumar in regards on how the company’s effort by communicating its EB to public and workforce may have an influence towards their judgements on the company and creating perceived Person-Organization Fit due to some specific value match between individual and related organization.

H2: Employer Branding has significant effect on Perceived Person-Organization fit

 

Person-organization fit (P-O fit) explains how humans will be attracted to something that they feel is a good fit. In support, Yizhong, et al. (2017) explain that TPB conceptualized as an overarching behavioral theory and has been applied as a solid model to examine job search (Chowdhury, Yun, & Kang, 2021). This theory highlights that planned behavior is based on the belief that intention to act acts as a precursor factor that directs planned behavior. These two theories can help the author to explain how a person's motivation will arise when he finds a match between the expected value and the benefits offered by an organization. With this theory, the author assumes that when a person feels the match, he will take further action which in this case is to find out and/or pursue a company that he feels as a suitable workplace for them.

H3: Perceived Person-Organization fit has significant effect on Intention to Join

 

Research by Samoliuk, Bilan, Mishchuk, and Mishchuk (2022) explore career growth opportunity as an employer branding attribute that appeals to the younger generation, but has not explicitly identified the role of career opportunity as a core variable in the research. As far as the researcher is concerned, no study has specifically linked and determined the specific role of career growth opportunity in the influence of employer branding on intention to join. However, a study by Kumari and Saini (2018) showed that career growth opportunities within the company have a significant influence on employer attractiveness and job pursuit intention compared to other factors. In the context of the psychological contract, the perception that the organization offers promising career growth to candidates can increase employee satisfaction with the psychological contract, which in turn can increase their intention to join the organization. Current study argued that given the career growth opportunities proposed by the company might help a person to evaluate that company in order to see and judge it as a career-oriented organization that suppports its worker on their career and gives some kind of interest that creates further intention to pursue, and at last, to join the company.

H4: Career Growth Opportunity has significant effect on Intention to Join

 

In accordance with research conducted by Tanwar and Kumar (2019) and Chowdury, Yun, and Kang (2021), Person-Organization fit successfully mediates the components of employer branding in influencing the degree of intensity of a person to join the company. In addition, the use of the intention to pursue dimension of EOC in Tanwar and Kumar (2019) validates the author's argument that the dependent variable addressed in this study is actually intention to join, which simultaneously validates the mediating role played by person-organization fit in the relationship between the influence of employer branding on intention to join. However, Tanwar and Kumar's (2019) research refer to individuals with the status of applicants and or job seekers which emphasizes that perceived person-organization fit by considering information related to employer branding obtained by the sample is used as a reference for the sample to provide an assessment in the study. Current study going to investigate on how person-organization fit gives a mediating effect on Employer Branding’s influence towards Intention to Join.

H5: Perceived Person-Organization fit mediate Employer Branding to influence Intention to Join.

 

Conceptual Framework

Figure 1. Conceptual Framework

 

Reviewing several studies that have been conducted previously, the authors try to draw a common thread in some of these studies.  Career Growth Opportunity (CGO) in Kumari and Saini's research (2018) as an attribute in employer branding is one of the consideration variables that is considered to have the most influence in employer attractiveness, which can then affect a person's intention to join a company. The model created by Samoliuk, Bilan, Mishchuck, and Mishchuck (2022) is fully applied by the author to see the significance of the influence of employer branding on the intention to join a company. The direct relationship between employer branding and intention to join has also been proven by many previous studies (Silva & Dias, 2022; Soeling, Arsanti, & Indriati, 2022; Santiago, 2019) and even the existence of person-organization fit theory can support the explanation of the causal relationship of employer branding to intention to join (Tanwar & Kumar, 2019; Chowdhury, Yun, & Kang, 2021).

As explained by Edwards (2010), "job seekers only see promises made in job offers that are communicated as part of the company's branding activities" so it is important to capture the perceptions of potential employees (Kaur & Shah, 2022). From this statement, the authors plan to bridge the independent variables to the dependent variable using the person-organization fit theory, as proven by Tanwar and Kumar (2019). In this model, the authors reduce the moderating variable 'use of social media'. Although this variable provides significance in Tanwar and Kumar's (2019) study, the authors find it difficult to use this variable when applied in this study. Social Media is a set of digital platforms that provide facilities in the form of information exchange from various sources around the world (Elefant, 2011). However, in investigating person-organization fit in this study, social media can actually jeopardize the research due to the possibility of cognitive dissonance in the research subjects. Cognitive Dissonance theoretically says that individuals tend to seek consistency between their thoughts, attitudes, and behaviors. If the use of social media results in a different perception of the organization compared to the reality when they join the organization, then individuals may experience cognitive dissonance that causes a mismatch between the expected P-O fit and the reality of the world of work.

Author plans to test whether this theory remains consistent when applied to other industry contexts as well as differences in geographic context in mediating the relationship between employer branding and intention to join and whether career opportunities can also be mediated by the theory of person-organization fit when discussing the topic of the influence of employer branding of companies operating in the architecture subsector on Generation Z's desire to join the company. Figure 3.5 explains the interaction between employer branding variables affecting a person's intention to join a company mediated by career opportunities in the hope that this research will be able to examine the effectiveness of employer branding on a person's intention to join the architecture subsector, especially from Generation Z. In conclusion, direct flow of EB influence on ITJ adapted from the study by Samoliuk, Bilan, Mishchuk, and Mishchuk (2022), while the flow of direct influence from CGO to ITJ is obtained by Kumari and Saini (2018). The P-O fit mediation path in the influence of EB on ITJ is adapted from Tanwar and Kumar's research (2019). In this context, the research will place CGO as an independent variable using approaches from TPB theory and psychological contracts.

 

Research Methods

Prochedure and Sampling

This research is a quantitative study based on the problem framework and research hypotheses. Using a descriptive method with a single cross-sectional approach, this research conducted to test a series of hypotheses and conduct relational research. Survey technique applied for data collection is by distributing structured questionnaires to 300 samples through google forms. The measurement for the questionnaires uses interval scale applying 6 Likert Scale to minimize central tendency bias and take advantage of its advantage on having a normal data distribution (Leung, 2011).

Sample consists of Gen Z individuals who are active students majoring in architecture (at least in the seventh semester of an undergraduate degree or in the first semester of a PPAr) narrowed from ten campuses with the best architecture majors in Indonesia who have internship experience in Indonesian architecture firms. Population adressed in this study includes all students majoring in architecture in Indonesia. Respondent will be asked to evaluate and assess architecture firms they know, especially the one where they did the internship. Sampling will be obtained through non-probability sampling with purposive sampling method.

 

Measurement and Operationalization

Current study consists of four variables respectively ‘Employer Branding’ and ‘Career Growth Opportunities’ as the independent variables, ‘Intention to Join’ as dependent varibale, and ‘P-O fit’ as intervening (on EB’s influence toward ITJ). Employer Branding measured using Employer Attractiveness (EmpAt) Scale from Ambler dan Barrow (1996) and developed by Berthon, Ewing, and Hah (2005) modifed by Tanwar and Kumar (2019) afterwards, and left with eighteen items consisting of eighteen items distributed in four dimensions, Work Culture, Diversity, Ethics and CSR, also Salary and Incentives. Career Growth Opportunities uses eight question items by Weng, McElroy, Morrow, and Liu, (2010). Person-Organisation fit is measured using four items indicator used in Tanwar and Kumar's (2019) research. Intention to join will be measured using a questionnaire which in this study will use the same ten item indicators used in Kumari and Saini's (2018) research which were adapted from Highhouse, Lievens, and Sinar (2003).

 

 

Table 1. Variables Operationalization

Variable

Dimension

Code Item

Item

Source

Employer Branding

Work Culture

WC1

This organisation offers good internal training opportunities

Tanwar and Kumar's (2019)

WC2

There exists a friendly relationship among individual co-workers

WC3

This organisation provides opportunity to work from home

WC4

This organisation provides recognition/appreciation from management

WC5

This organisation offers job security

WC6

This organisation provides flexible working hours

Ethics and CSR

ECS1

This organisation has fair attitude towards employees

ECS2

Employees are expected to follow all rules and regulations

ECS3

This organisation is humanitarian gives back to the society

ECS4

This organisation gives adequate contribution towards charities

Diversity

DIV1

This organisation offers a good variety of work activities

DIV2

Employees from different cultures are welcomed in this organisation

DIV3

The organisation offers challenging tasks

DIV4

This organisation provides opportunities to choose from diversity of tasks

Salary and Incentives

SAI1

This organisation offers above average compensation and perks

SAI2

This organisation offers additional benefits offered to motivate employees

SAI3

This organisation offers an attractive overall compensation package

 

 

SAI4

This organisation provides good health benefits

 

Variable

Dimension

Code Item

Item

Source

Career Growth Opportunities

Career Goal Progress

CGP1

My present job moves me closer to my career goals

Weng, McElroy, Morrow, and Liu’s (2010)

CGP2

My present job is relevant to my career goals and vocational growth

CGP3

My present job sets the foundation for the realization of my career goals

CGP4

My present job provides me with good opportunities to realize my career goals

Professional Ability Development

PAD1

My present job encourages me to continuously gain new and job-related skills

 

PAD2

My present job encourages
me to continuously gain new job-related knowledge

 

PAD3

My present job encourages me to accumulate richer work experiences

 

PAD4

My present job enables me to continuously improve my professional capabilities

Person – Organisation Fit

 

POF1

My skills and abilities match the skills and abilities this organisation looks for in an employee

Tanwar and Kumar’s (2019)

 

POF2

I think I will find like-minded colleagues in this organisation

POF3

I feel that this organisation suits my style of working

POF4

My personality is well suited to the image of this organisation

Intention to Join

Organisational Attractiveness

OAT1

For me, this company would be a good place to work

Highhouse, Lievens, and Sinar’s (2003)

 

 

OAT2

I would not be interested in this company except as a last resort

 

 

OAT3

I am interested in this company not as a last resort

 

 

OAT4

This organisation is attractive to me as a place of employment

 

 

 

OAT5

I am interested in learning more about this company

 

 

 

OAT6

Playing a role in this organisation is very appealing to me

 

 

Intention to Pursue

ITP1

I would accept a job offer with this company

Intention to Pursue

 

 

ITP2

I would make this company one of my first choices as an employer

 

 

 

ITP3

If this company invited me for a job interview, I would go

 

 

 

ITP4

I would go an extra mile to be the part of this organisation

 

 

 

ITP5

I would recommend this organisation to a friend who is looking for a job

 

 

Statistycal Analyses

Hypotheses tested using Strustural Equation Moddeling (SEM) data analysis that allows to examine the relationship between latent variablles and observed variables during the study (by conducting an analysis on measurement models) and between latent variables with other latent variables. SEM is a multivariate analysis technique that can assist in estimating the strength of a postulated relationship between specified variables, either directly or indirectly through intermediates or mediation (Maruyama, 1997). Specifically, CB-SEM will be applied by utilizing Lisrel 8.80 as a tool to process SEM for this study.

 

Results and Discussion

Current study using the help of software tools to analyze the validity and reliability tests for this research. Tools applied in this study such as IBM SPSS 27 program, used to do the reliability and validity tests. In addition, Lisrel 8.80 was used in the fit measuring test for this study.

Demographic

The main test stage of this study, which was tailored to the SEM standards, included 308 respondents. This study divides respondents into categories depending on their gender, age, and educational backgrounds. The percentage split of those that responded is provided below.

 

Table 2. Demographic Descriptive Statistics

Item

Frequency

Percentage

Gender

 

 

Male

147

47,73%

Female

161

52,27%

Age

 

 

19-23

129

41,88%

24-28

179

58,12%

Educational backgrounds

 

 

Bachelor Degree

164

53,25%

Professional Program (PPAr)

68

22,08%

Master Degree

76

24,60%

 

Measurements

LISREL 8.80 was used to examine the data and the structural model using structural equation modeling (SEM). Table 3 shows the results of the measurement model's validity and reliability evaluations. Data validity or accuracy is a crucial stage in research. Validity can ensure the extent to which a measuring instrument is able to demonstrate its accuracy and suitability when used (Sekaran & Bougie, 2016). A measurement is considered valid if it is able to do its job correctly and measure exactly what it is supposed to measure. On the other hand, reliability according to Sekaran and Bougie (2016) shows how reliable an error-free (objective) measurement is and the extent to which the measuring instrument provides consistent results over time at different points. Reliability measurements show the stability and robustness of measuring instruments in measuring concepts and help assess measurement accuracy. Table 3 presents the results of validity and reliability checks conducted on the measurement model.

To assess the validity of the variables, this study employs Confirmatory Factor Analysis (CFA) within the framework of SEM. The Standard Loading Factor (SLF) output values for each indicator in the variables (EB, CGO, POF, and ITJ) are examined. Confirmatory Factor Analysis (CFA), an integral part of SEM, is a tool used to explore the latent structure of test instruments, such as questionnaires, to establish the relationship between observed measures or indicators and latent variables. CFA serves as a multidimensional test tool for theoretical constructs in research (Ghozali, 2017). For the reliability test, Composite Reliability (CR) and Average Variance Extracted (AVE) values for each construct are utilized. According to Doll, Xia, and Torkzadeh (1994) also Rigdon and Ferguson (1991), indicators are considered valid if the Standardized Loading Factor (SLF) is ≥ 0.5. Furthermore, if both CR. and AVE fall within an acceptable range, it can be concluded that the model is reliable.

 

Table 3. Validity and Reliability Test Result

Variable

Indicators

SLF

Error

CR

AVE

Interpretation

Employer Branding

 

 

 

0,877

0,716

Reliable

WC1

0,78

0,220

 

Valid

WC3

0,87

0,550

 

Valid

WC4

0,77

0,730

 

Valid

WC5

0,68

0,700

 

Valid

WC6

0,72

0,480

 

Valid

 

 

 

0,910

0,719

Reliable

ECS2

0,81

0,180

 

Valid

ECS3

0,87

0,060

 

Valid

ECS4

0,88

0,530

 

Valid

 

 

 

0,844

0,711

Reliable

DIV3

0,87

0,060

 

 

Valid

DIV4

0,88

0,070

 

 

Valid

 

 

 

0,911

0,734

Reliable

SAI1

0,75

0,430

 

 

Valid

SAI2

0,88

0,420

 

Valid

SAI3

0,88

0,410

 

Valid

SAI4

0,71

0,340

 

Valid

Career Growth Opportunities

 

 

 

0,929

0,745

Reliable

CGP1

0,81

0,340

Valid

 

CGP 2

0,85

0,270

Valid

CGP 3

0,92

0,160

 

 

Valid

CGP 4

0,92

0,160

 

 

Valid

 

 

 

 

0,921

0,745

Reliable

PAD 1

0,90

0,190

 

 

Valid

PAD2

0,91

0,180

 

 

Valid

PAD3

0,88

0,220

 

 

Valid

PAD4

0,75

0,430

 

 

Valid

Person-Organisation Fit

 

 

 

0,786

0,502

Reliable

POF 2

0,52

0,730

 

 

Valid

POF3

0,93

0,140

 

 

Valid

POF4

0,84

0,290

 

 

Valid

Intention to Join

 

 

 

0,911

0,727

Reliable

OAT1

0,81

0,470

 

 

Valid

OAT3

0,79

0,490

 

 

Valid

OAT4

0,84

0,370

 

 

Valid

OAT5

0,88

0,270

 

 

Valid

 

 

 

0,873

0,932

Reliable

ITP1

0,89

0,280

 

 

Valid

ITP2

0,89

0,280

 

 

Valid

ITP3

0,88

0,290

 

 

Valid

ITP4

0,89

0,310

 

 

Valid

ITP5

0,81

0,480

 

 

Valid

 

According to the results above, there are several indicators in several constructs that must be dropped. Seven indicators that were dropped respectfully WC2, ECS1, DIV1, DIV2, POF1, OAT2 and OAT6. Author decides to delete these seven items for having low loading factors, which were under 0.5. After all the remaining indicators are valid and reliable indicators, the testing continues with the structural model test.

 

Measurement Model

A method for evaluating hypotheses, the structural model fit test examines the causal relationship among variables. The adequacy of this structural model can be gauged using the Goodness of Fit (GOF) value, also referred to as the degree of fit model. Assessing the gathered data against the research model enables the determination of the model's appropriateness. As stated by Hair, Black, Babin, and Anderson (2019), a model's quality can be determined by meeting a minimum of four standard values for Goodness of Fit Index (GOFI), assessing the accuracy of the assumed model based on data observations. Hooper, Coughlan, and Mullen (2008) mentioned that not all GOF values must align perfectly. The commonly cited GOF criteria include CFI, GFI, NFI, and NNFI (Hair, Black, Babin, & Anderson, 2010). This investigation surpasses the basic four-fit criteria, extending to assess the absolute GOF value. Consequently, the model employed in this study progresses to the subsequent phase of hypothesis testing. Presented below are the outcomes of the GOF analysis.

 

Table 4. Measurement Model Fit Test Results

Goodness Of Fit Measurements

Good Fit Parameters

Measurements’ Result

Absolut Fit Indices

Cmin/df value

<2,00

1,799

Good Fit

Root Mean Square Error of Approximation (RMSEA)

< 0,08

0,052

Good Fit

Standardized Root mean square residual (SRMR)

<0,05

0,027

Good Fit

Goodness of Fit Index (GFI)

>0,9

0,880

Marginal Fit

Incremental Fit Indices

Relative Fit Index (RFI)

>0,9

0,990

 Good Fit

Incremental Fit Index (IFI)

>0,10

0,990

 Good Fit

Normal Fit Index (NFI)

>0,11

0,990

 Good Fit

Comparative Fit Index (CFI)

>0,12

0,990

 Good Fit

 

Structural Model

Current study's hypothesis tested using LISREL 8.80 software through structural equation modeling (SEM). This method generates a path diagram depicting the relationships among variables in the research model and emphasizes the importance of confirmatory factor analysis, standard factor loading, and t-value to validate previously proposed hypotheses. The t-value, representing the difference in standard error or the relative difference in sample data variation, is crucial in this context. In this study, a t-value is considered significant if it equals or exceeds 1.645 at a 5% significance level (Hair, Black, Babin, & Anderson, 2019). By comparing the t-value with the critical value from the t-table (1.645), insights can be gained into the acceptance or rejection of hypotheses. Following the SEM analysis, the ensuing results were obtained below. Structural model testing starts from testing the direct influence of exogenous variables on endogenous (direct effect), testing indirect influence (indirect effect), forming structural equations and calculating the coefficient of determination. The following are the results of the SEM model estimation which will then be used as a reference for hypothesis testing:

 

Figure 2. Structural Model Estimated Result

 

SEM analysis testing the direct influence of exogenous variables on endogenous ones is determined from the calculated t value of the path coefficient that connects the two variables. If the calculated t value is > 1.645 then the influence of the exogenous variable on the endogenous is declared significant, whereas if the calculated t value is <1.96 then it can be concluded that the exogenous variable has no significant effect on the endogenous. The direction of exogenous influence is determined according to the sign accompanying the path coefficient. If the sign accompanying the path coefficient is positive then the direction of exogenous influence on endogenous is in the same direction, whereas if the sign accompanying the path coefficient is negative then it is concluded that the direction of exogenous influence on endogenous is in the opposite direction.

Table 5. Direct Effect

Path

Path Coefficient

t stat

Conclusion

EB POF

0,70**

8,50 > 1,645

Positive; significant

POF ITJ

0,37**

4,02 > 1,645

Positive; significant

EB ITJ

0,28**

2,62 > 1,645

Positive; significant

CGO ITJ

0,31**

3,56 > 1,645

Positive; significant

EB = Employer Branding; POF = Person Organization Fit; CGO = Career Growth Opportunities; ITJ = Intention to Joint

 

Based on the results of the analysis in the table above, the following results were obtained: (1) Employer branding has a positive and significant effect on person organizational fit as indicated by a calculated t value of 8.50 > 1.645 and a positive path coefficient of 0.70. This means that the better the employer branding, the higher the person's organizational fit, and vice versa, the worse the employer branding, the lower the person's organizational fit; (2) Person organization fit has a positive and significant effect on intention to join, as indicated by the calculated t value of 4.02 > 1.645 and a positive path coefficient of 0.37. This means that the better the person's organizational fit, the higher the intention to join, and vice versa, the worse the person's organizational fit, the lower the intention to join; (3) Employer branding has a positive and significant effect on intention to join as indicated by the calculated t value of 2.62 > 1.645 and a positive path coefficient of 0.28. This means that the better the employer branding, the higher the intention to join, and vice versa, the worse the person's organizational fit, the lower the intention to join and (4) Career growth opportunities have a positive and significant effect on intention to join as indicated by the calculated t value of 3.56 > 1.645 and a positive path coefficient of 0.31. This means that the better the career growth opportunities, the higher the intention to join. In other words, the worse the career growth opportunities, the lower the intention to join.

Table 6. Indirect Effect

Indirect Path

ta

tb

p value

Conclusion

EB --> POF --> INT

8,50

4,02

0,002

Partial Mediation

 

In essence, the Soble test suggests that the presence of Person Organization Fit serves as an intermediary mechanism through which the impact of employer branding on the intention to join is channeled. Specifically, as employer branding strengthens, there is a corresponding increase in Person Organization Fit. This heightened alignment between individual and organizational values, goals, or culture, in turn, contributes to an elevation in the intention to join. Therefore, the results suggest a positive correlation: higher levels of employer branding are associated with increased Person Organization Fit, subsequently leading to a heightened intention to join the organization.

Table 7. Hypothesis Testing Result

Hypothesis

Hypothesis Path

t value

Standardized Coefficient

Conclusion

H1

EB ITJ

2,62

0,28

Accepted

H2

EB POF

8,50

0,70

Accepted

H3

POF ITJ

4,02

0,37

Accepted

H4

CGO ITJ

3,56

0,31

Accepted

H5

EB POF ITJ

P value from Sobel Test = 0,002

Accepted

 

   Findings for current study show that EB has a positive and significant impact on ITJ. The results proving H1 is accepted. These results are consistent with findings in Samoliuk, Bilan, Mishchuk, and Mishchuk (2022), which also found a positive and significant effect between EB and ITJ. In addition, results of this study also found that CGO has a positive and significant impact on ITJ as stated by Kumari and Saini (2018) in their research. Here, Kumari and Saini (2018) found ITJ is an example of candidate’s intention to join the firm associated with CGO, thus makes H4 also accepted. Another finding is that H2 was accepted because EB positively and significantly impacts POF. These results are consistent with Tanwar and Kumar (2019), who found that there was an influence from EB as an antecedent of POF. In addition, the results are also in line with Tanwar and Kumar (2019), where it was found that POF has a positive and significant impact on ITJ. This proves that candidates are more likely to join the firm when they found it is suitable with their expectation, and these results make H3 acceptable. The results of the last SEM analysis tested POF, which mediates the relationship between EB with ITJ. The results show that POF can mediate both relationships. This means that H5 also accepted.

 

Discussion

Hypothesis 1 in this study states that employer branding has a positive effect on intention to join. The results of the analysis in this study show a t value of 2.62 and a positive path coefficient of 0.28, because the t value is greater than 1.645 and the path coefficient is positive, hypothesis 1 is accepted and it is concluded that employer branding has a positive effect on intention to join. This means that the higher the employer branding, the higher individual’s intention to join, and vice versa, the lower the employer branding, the lower the intention to join. In line with the statement put forward by Saini, Rai, and Chaudary (2014) that organizations with a better image in the labor market have a higher level of influence on the intention to apply for a job. This can also be explained by analogy that 'customers' have their own beliefs about a product, as well as prospective employees have certain beliefs about the employer or company that may be included in the organization that the job seeker plans to join in the near future (Sharma & Prasad, 2018). Barber (1998) states that this belief is the basis for considering a prospective employee's final decision to accept, or on the contrary, reject a job offer (Sharma & Prasad, 2018). Research by Soeling, Arsanti, and Indriati (2022) succeeded in filling the research gap and found a direct relationship between Employer Branding (EB) and Intention to Join (ITJ). This research proves that EB has a positive effect on ITJ. The relationship between Employer Branding and Intention to Join can also be explained by the Theory of Reasoned Action (TRA), in accordance with the explanation of Fishbein and Ajzen (1975) which shows that a person's behavior is determined by their intention to carry out the behavior and their intention itself is a function of their attitude. on behavior and subjective norms. The results of this study are in line with research results (Chiu et al., 2020; Jain, 2020; Park & ​​Kim, 2015).

Hypothesis 2 in this research states that employer branding has a positive effect on person organization fit. The results of the analysis in this study show a t value of 8.50 and a positive path coefficient of 0.70, because the t value is >1.96 and the path coefficient is positive, hypothesis 2 is accepted and it is concluded that employer branding has a positive effect on person organization fit. This means that the higher the employer branding, the higher the person organization fit. On the other side the lower the employer branding, the lower the person organization fit. Srivastava and Bhatnagar (2010) argue that a successful employer brand is able to attract prospective employees who have the attributes that best suit the company. There are diverse results regarding whether EB can influence directly, just as Soeling, Arshanti, and Indriati (2022), or indirectly as stated by Silva and Dias (2022). This sparked the author's thinking about the existence of other variables that could contribute to this relationship. Based on research by Tanwar and Kumar (2019), the match between a person and the organization felt by research subjects can help explain the relationship between EB and employer of choice (EOC) status. Cable and Turban (2003) argue that EOC is visualized as an organization that inspires potential employees to join and also stay in a company (Tanwar & Kumar, 2019). Current research uses perceived person-organization fit (p-o fit) to mediate the relationship between the independent variable (EB) and the dependent variable (ITJ). Thus, a company achieves EOC status when prospective employees want to work for it and give first preference to that company over other companies (Tanwar & Kumar, 2019). The results of this research are in line with research results (Chiu et al., 2020; Jain, 2020; Ozdemir & Sahin, 2020; Park & ​​Kim, 2015; Yoon et al., 2011) showing that there is a significant relationship between EB and person organizational fit.

Hypothesis 3 in this study states that person organization fit has a positive effect on intention to join. The results of the analysis in this study show a t value of 4.02 and a positive path coefficient of 0.37, because the t value is >1.96 and the path coefficient is positive, hypothesis 2 is accepted and it is concluded that person organization fit has a positive effect on intention to join. This implies that a stronger alignment between the individual and the organization corresponds to a greater inclination to join, while conversely, a weaker alignment results in a diminished intention to join. Person-Organization fit explains how humans will be attracted to something that they feel is suitable for them. As support, the Theory of Planned Behavior (TPB) is conceptualized as a comprehensive behavioral theory and has been applied as a solid model to examine job search intentions (Chowdhury, Yun, & Kang, 2021). This theory highlights that planned behavior is based on the belief that the intention to act acts as an antecedent factor that directs planned behavior. These two theories can assist the author in elucidating how an individual's motivation arises when they discover a congruence between anticipated values and the advantages provided by an organization. Findings for current study is align with the outcomes of prior research (Gonzalez, 2016; Harris & Pattie, 2020; Rasool et al., 2013; Vigoda-Gadot & Ben-Zion, 2004) indicating a notable correlation between person-organization fit and the intention to join.

Hypothesis 4 posited in this study asserts that career growth opportunities exert a positive impact on the intention to join. The analysis results reveal a t-value of 3.56 and a positive path coefficient of 0.31. Since the t-value exceeds 1.96, and the path coefficient is positive, therefore Hypothesis 4 is accepted. It is thereby concluded that career growth opportunities positively affect the intention to join. In essence, higher career growth opportunities correlate with a greater intention to join, while lower opportunities correspond to a diminished intention to join. Samoliuk, Bilan, Mishchuk, and Mishchuk (2022) explored career opportunities as an attractive attribute in employer branding for the younger generation. However, their research falls short of designating the role of career opportunity as a core variable. To the best of the author's knowledge, no existing research endeavors to establish the specific role of career opportunities in shaping the impact of employer branding on one's intention to join. Contrastingly, Kumari and Saini (2018) conducted a study comparing the influence of three factors, namely Career Growth Opportunities, CSR Reputation, and Work-Life Balance, on employer attractiveness and intention to join. Their findings indicate that career growth opportunities (CGO) within a company wield the greatest influence on employer attractiveness and job pursuit intention when compared to other factors.

Finally, Hypothesis 5 posited in this study asserts that person-organization fit mediates the impact of employer branding on the intention to join, supported by a p-value test result of 0.002, which is less than 0.05. Consistent with the findings of Tanwar and Kumar (2019) and Chowdury, Yun, and Kang (2021), person-organization fit effectively serves as a mediator in the influence of employer branding components on an individual's inclination to join a company. Notably, Tanwar and Kumar (2019) employed the intention to pursue dimension of the employer of choice (EOC) to corroborate that the dependent variable in this study indeed pertains to the intention to join. This further validates the mediating role of person-organization fit in the connection between the impact of employer branding and the intention to join. However, it is important to note that Tanwar and Kumar's (2019) study focused on individuals in the capacity of applicants or job seekers. This emphasis underscores that the perceived person-organization fit, derived from information related to employer branding, serves as a crucial reference for the sample to assess in the study. Additionally, the study clarifies that there is a decline in the direct relationship, highlighting the mediating function of person-organization fit in facilitating the relationship between the dimensions of employer branding and the employer of choice (EOC).

 

 

Conclusion

The study's findings yield several key conclusions. Firstly, there is a positive and statistically significant relationship between employer branding and the intention to join. Essentially, a superior employer branding is associated with an elevated intention to join, while a poorer person-organization fit corresponds to a reduced inclination to join. Secondly, employer branding exerts a positive and significant impact on person-organization fit. A more favorable employer branding is linked to a heightened person-organization fit, whereas a less favorable employer branding is associated with a diminished person-organization fit. Thirdly, person-organization fit has a positive and significant influence on the intention to join. A stronger person-organization fit correlates with a higher intention to join, whereas a weaker person-organization fit results in a lower intention to join. Additionally, career growth opportunities demonstrate a positive and significant effect on the intention to join. Enhanced career growth opportunities are linked to a greater intention to join, while diminished career growth opportunities correspond to a reduced intention to join. Lastly, the study establishes that person-organization fit serves as a mediating factor in the relationship between employer branding and the intention to join. As employer branding improves, so does person-organization fit, subsequently amplifying the intention to join. This implies that the higher the employer branding, the greater the alignment in person-organization fit, leading to an augmented intention to join. IAI and all Indonesian architecture firms may need to focus on developing matching value with potential candidate especially those graduates from linear majors in college. Therefore, it could lead to greater employer branding impact on potential talent’s intention on joining the company.

 

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Copyright holder:

Altheannisa Agatha Soraya (2024)

 

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Syntax Literate: Jurnal Ilmiah Indonesia

 

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