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

Vol. 9, No. 11, November 2024

 

FACTOR ANALYSIS OF INNOVATIVE WORK BEHAVIOR IN IT EMPLOYEES WITH MILLENNIAL GENERATION CHARACTERISTICS

 

Dewi Ulfah Arini1, Hardani2, Rusmalia3

Universitas Semarang, Semarang, Indonesia1,2,3

Email: [email protected]1

                                                                                                                           

Abstract

This study aims to analyze the factors that influence innovative work behavior in IT employees with millennial generation characteristics. The millennial generation is known as a group that is adaptive to technology and has great potential to generate innovative ideas in the work environment. In the era of growing digitalization, the innovative ability of IT employees is crucial for companies to compete effectively. This research uses a quantitative approach with a survey method involving IT employees aged 23-38 years as respondents. The data collected was analyzed using factor analysis techniques to identify the main variables that contribute to innovative work behavior. The results showed that factors such as intrinsic motivation, supportive work environment, transformational leadership, and innovative organizational culture have a significant influence on the innovative work behavior of millennial generation IT employees. The findings are expected to contribute to companies in developing appropriate strategies to increase innovative work behavior among IT employees, especially the millennial generation, to support the sustainability of innovation in the organization.

Keywords: Innovative work behavior, IT employees, millennial generation, intrinsic motivation, organizational culture.

 

Introduction

This increasingly developing technological era challenges the millennial generation to make changes to new things. Based on the 2022 Global Innovative Index (GII) report released by the World Intellectual Property Organization (WIPO), Indonesia scored 27.90 and was ranked 75th out of 132 countries. According to GII data in 2023, Indonesia was ranked 61st out of 132 countries with a score of 30.3. This means that Indonesia is still far from being productive in producing innovation compared to ASEAN countries, especially Malaysia, which is already ranked 36th with an Index value of 40.9. The following is a comparison of Indonesia with other groups of countries for each of the seven areas of the Global Innovative Index (GII) graph in terms of position compared to other countries.

The millennial generation, which is identical and close to technology, makes them quite reliable today in various lines. The 2023 BPS Census stated that the increasing growth of the millennial population has caused changes in our current industrial sector. There is a significant shift towards the digital technology era due to the increasing number of productive population. The composition of the Indonesian population according to the BPS survey is as follows:

Figure 1. Population Composition by Generation (percent), 2023

 

Based on data from the Central Statistics Agency (BPS) which was released in 2020 on the link www.data.goodstats.id on age groups regarding the structure of Indonesia's future generations. In the released data, generation Z born between 1997 and 2012 dominates with a number of around 74.94 million people, or 27.94% of the population who are in their youth to adolescence. Then, the next generation is Millennials as a group born between 1981 and 1996 following with a number of 69.38 million people who are the second dominant population with a percentage of 25.87% and are classified as productive age. With this diverse population composition, the challenges and opportunities faced by Indonesia are increasingly complex, making it important to design policies that result in progress for a country. Especially with the number of productive generations which is classified as high.

The millennial generation is unique compared to other generations in terms of technological expertise, they are more interested in the digital or internet-based world so that jobs are directed towards that area. This statement is reinforced by Dicky Kartikoyono in Madiistriyatno and Hadiwijaya (2020) in the article "Millennial Generation in Industry 4.0: A Blessing for Indonesian HR or a Threat?" stating that in general employees do not experience difficult conditions, but employees are sensitive to technological changes compared to other generations starting from devices, changes in technological flows, information and the convenience of technology causing this generation not to think too long.

The attention of the millennial generation to technology has led to a broad ability to think of new things and come up with new, original ideas in solving problems in the work and social spheres. This condition is what causes the millennial generation to be at the most productive age because they have ambitious, creative, innovative and goal-oriented traits with high self-confidence and self-esteem and are responsive to technology so that they can be an advantage of the millennial generation to produce innovative ideas that have an impact on the progress of the company (Archianti, 2017; Shanker et al., 2017).

Innovative work behavior is considered key to success in today's fast-changing and competitive business, where organizations must continue to innovate to survive and thrive (Sueb et al., 2023). Innovative work behavior of employees is a primary and important source in the public sector to identify innovation opportunities that are able to develop and implement the innovation itself (Asmoro & Handoyo, 2021). Employees are the ones who develop, expand, maintain, respond and adapt to new ideas.

Innovative work behavior of IT employees can be manifested in various ways that broadly include technology integration. This is like developing new user-friendly features in applications, rearranging website pages in online media, different resolution strategies or approaches to customers by adopting new ways from competitors and innovations related to roles, relationships, goals and values and objectives. Ultimately, the innovation can be in the form of adding, strengthening, reducing, eliminating or replacing content, goals, activities and other instruments.

One of the factors that influence innovative work behavior according to Zheng et al. (2014) is Job crafting. According to Bavik et al. (2017) stated that job crafting is a change behavior initiated by employees themselves that involves the goal of aligning work with their own preferences, motives and desires. Slemp and Vella-Brodrick (2013) stated that job crafting is the way in which employees take an active role in initiating changes in the physical, cognitive, or social features of the work they do. The informal process used by employees to shape their work practices so that they are in line with their interests and values

Several studies have shown that innovative work behavior can be influenced by job crafting. This is supported by research from Triatmoko and Yuniawan (2023) which states that there is a positive influence both directly and indirectly on innovative work behavior. In addition, the role of job crafting will be needed more both as a mediator and directly on innovative work behavior (O'donovan & Mc Auliffe, 2020) With good service and being served, of course, employees will provide maximum work results so that they form job crafting which is related to innovative work behavior (Bavik, et al., 2017). The stronger employees do job crafting in every activity, not only when obstacles arise, the stronger employees are in coming up with ideas that are implemented and create innovative work behavior (Setyawan & Artati, 2023).

In addition to Job crafting, there are other factors that influence innovative work behavior, namely cognitive diversity or the perspective of each individual in it and the way each person processes information (Reynolds and Lewis, 2017). Cognitive diversity was first recognized by Van Knippenberg, et al. (2004) who stated that diversity does not only look at one side where diversity will have a positive impact, especially in elaboration and innovation. According to Noteboom et al. (2015) states that cognition and knowledge are manifested more broadly in the form of a series of mental activities including proprioception, perception, meaning making, categorization, inference, values and assessments and emotions. Strengthened by, Pandolfo (2017) explains that cognitive diversity is the difference in experience, knowledge, abilities, and skills that form the basis of their perspectives, beliefs, attitudes and cognitive styles. So, we can say that cognitive diversity is the difference in the process of accumulating knowledge that results in differences in desired behavior in an organization.

This study uses cognitive diversity in teams because the work area of IT workers is more in teams than individuals. Cognitive diversity reflects the extent to which team members differ in attitudes, values and norms (Cui et al., 2023). Cognitive diversity reflects the extent to which team members differ in attitudes, perspectives, ethics and communication styles, but also creates various perspectives for knowledge-based tasks (Martins et al., 2013). Therefore, the stronger the cognitive diversity carried out by individuals in the team, the more diverse the information and insights they will have which can help in solving problems because they see it from various dynamic perspectives.

Cognitive diversity is not only seen based on its abilities but also based on special skills and expertise or expertise diversity (Van der Vegt and Buderson in Ancok et al., 2010). Robbins and Judge (2022) stated that through a cognitively diverse team, it will have a positive impact by providing and producing creative ideas and ideas that are innovative and solution-oriented. In addition, diversity can bring a broader understanding of complex issues and diverse perspectives into the work team. In a study by Mansoor et al. (2013), it was stated that cognitive diversity has a strong and positive effect on innovative work behavior. However, cognitive diversity in a team does not always have a positive effect on increasing team innovation.

Previous studies have stated that team cognitive diversity encourages innovative work behavior which is still inconsistent in both theoretical perspectives and empirical findings. The results of Ancok et al.'s (2010) study stated that diverse teams do not have a positive relationship with innovative work behavior. Likewise, in Cui et al.'s (2023) study, team cognitive diversity has no positive effect on innovative work behavior. In several studies, the role of knowledge sharing can be used as a mediator or moderator (Duong et al., 2023; Seo., 2023). In this study, knowledge sharing is used as a mediator variable in both variables between job crafting and team cognitive diversity.

The role of knowledge sharing as a mediator variable is based on several studies stating that the more active employees are in knowledge sharing, the more their knowledge will develop. Knowledge sharing is the process of sending concrete information from work experience, techniques and opinions of employees who have knowledge to others with the hope that people will practically apply the knowledge in the workplace (Yu et al., 2013). According to Nonaka (1994) knowledge sharing is divided into two types, namely explicit knowledge sharing which refers to formulas and processes and tacit knowledge sharing which comes from experience and knowledge together to help others achieve their goals in developing new ideas. According to Van Den Hoff and Ridder (2004) knowledge sharing consists of two types, namely collecting knowledge and contributing knowledge

In reality, knowledge sharing in the field of technology is an absolute necessity because of the high work challenges, especially the demands of dynamic customers (Soebardi, 2012). Alavi (2000) stated that knowledge sharing activities will be provided through various media such as files, documents, direct experiences or between organizational elements (Learning Management System). In line with research from Rahmi and Nurul (2019), the higher the diversity of cognition in a team (ideas, concepts and thoughts, insights) has a strong influence on knowledge sharing behavior which will give rise to innovative work behavior in employees.

Based on the background of the problems that have been explained above and the support of facts in the field that the dynamics of IT employees, especially the unique characteristics of the millennial generation, dependence and openness to technological developments and unusual customer needs, require many new and unique ideas in completing work demands. The phenomenon in the field with increasing innovative work behavior certainly requires job crafting and diversity of team thinking through knowledge sharing as a mediator.

 

Research Methods

This literature review is synthesized using a narrative method by grouping data on the results of factors that influence procrastination that are similar according to the results measured to answer the objectives of the research journal that are in accordance with the inclusion criteria, then collected and a journal summary is made including the name of the researcher, year of publication of the journal, country of research, research title, method and summary of results or findings. The summary of the research journal is entered in a table sorted alphabetically and the year of publication of the journal and in accordance with the format above. To further clarify the analysis, the abstract and full text of the journal are read and examined. The journal summary is then analyzed against the contents contained in the research objectives and research results or findings.

The analysis used 3 journal content analysis, then coding was carried out on the contents of the reviewed journal using psychospiritual categories. The data that had been collected was then searched for similarities and differences and then discussed to draw conclusions.

 

Results and Discussion

Table 1. Research results

No.

Researchers and year of research

Research Country

Research methods

Research result

1.

Etikariena, A. (2020).

Indonesia

Pearson correlation test

The findings show that leadership styles has a significant relationship with innovative work behavior.

2.

Putri, DA (2020)

Indonesia

Pearson correlation test

The findings show a relationship between proactive personality and innovative work behavior in the millennial generation.

3.

Thalia, HJ, & Harsanti, I. (2023)

Indonesia

Pearson correlation test

Findings revealed a very significant positive relationship between transformational leadership and innovative work behavior among millennial employees.

4.

Reni, A. (2023).

Indonesia

Quantitative

Based on the research results, it was found that Psychological Capital and Self Leadership partially have a positive and significant influence on the innovation of millennial employees in the private sector in the city of Bandar Lampung.

5.

Hamid, RA, & Ismail , IRB (2021).

Malaysia

Quantitative

The results show that there is a significant relationship between the use of social media and the innovative behavior of Millennial workers and Millennial work characteristics are part of the mediator of this relationship.

6.

Lailla et al., (2024 )

Indonesia

Quantitative

variables of Work Involvement and Proactive Personality influence Innovation work behavior by 16.6% .

7.

Gultom, L., Hatiningsi, KN, & Palindangan, LK (2022)

Indonesia

LISREL analysis

The findings show that proactive behavior and spirituality in the workplace have a significant influence on innovative work behavior mediated by psychological empowerment .

8.

Ali, H., Li, M., & Qiu, X. (2022).

China

Quantitative

Empirical findings indicate that employees with high levels of engagement tend to exhibit innovative work behaviors and maintain work-life balance. In addition, the relationship between employee engagement and innovative work behaviors is partially mediated by work-life balance. In addition, the interaction between employee engagement and psychological empowerment is shown to strengthen innovative work behaviors among employees.

9.

Behera, B., Panda, R. K., Tiwari, B., & Chaubey, A. (2024).

India

Literature review

To encourage innovative work behavior, organizations need to prioritize inclusive leadership, proactive personalities, and the ability to create knowledge, especially in challenging times.

10.

Dayanti, PR, & Yulianti , P. (2023).

Indonesia

Structural equation model

The results showed that servant leadership and knowledge sharing have a significant positive effect on innovative work behavior. Creative self-efficacy partially mediates the relationship between servant leadership and innovative work behavior. In addition, creative self-efficacy can also partially mediate the relationship between knowledge sharing and innovative work behavior.

 

Discussion                              

The millennial generation, as the dominant group in today's job market, faces major challenges related to technological change. Evolving technology forces companies to continue to innovate in order to remain competitive (Putri, 2020). Without innovation, a business will almost certainly fail (Etikariena, 2020). Therefore, innovation is a crucial step that organizations need to take in order to survive and compete in global competition. Innovation is seen as a determining factor in organizational competitiveness, which can be achieved through employee participation. Employee innovative behavior plays a major role in helping companies survive in a rapidly changing market, through the effectiveness resulting from innovative work behavior (Hadi et al., 2020).

When employees are able to innovate, the positive impact is not only felt by the organization, but also by the employees themselves. Janssen et al. (2004) in a study cited by Etikariena (2020) showed that innovative work behavior can give rise to constructive conflict, success in innovation, and a more positive work attitude. In addition, this innovative behavior can also improve performance, balance between work demands and abilities, job satisfaction, employee welfare, better interpersonal relationships, and personal growth. Therefore, examining innovative work behavior is very important for organizations, because this positive impact can strengthen the company's competitiveness and improve employee welfare in it.

In an era of increasingly advanced technology, employees in the IT sector tend to be part of the millennial generation, their role is very important in utilizing technical expertise and innovative skills. This generation is expected to be able to develop solutions that improve the efficiency and effectiveness of the organization, especially in facing the ever-changing challenges in the world of technology and business with their innovative work behavior. Innovative work behavior in the workplace does not emerge spontaneously, but is influenced by various factors. Some of them are leadership, proactive personality, and support from coworkers.

Previous research confirms that leadership style has a significant influence on innovative work behavior (Etikariena, 2020). One leadership style that is often associated with innovative behavior is transformational leadership. Transformational leaders tend to have a different vision of the future and are able to inspire employees to strive beyond expectations. Transformational leaders can encourage employees to innovate, as well as seeing new, greater opportunities in the future (Thalia & Harsanti, 2023).

According to Cho and Dansereau (2010) in Thalia and Harsanti (2023), transformational leaders can help team members find internal interests that encourage employees to reach a level of maturity in their work and ideal conditions for achieving organizational goals. This is in line with how innovative behavior develops, because transformational leaders help create an environment that supports creativity and the courage to try new things. Providing encouragement like this makes employees feel motivated to find more innovative ways of working.

Then, besides transformational leadership, another leadership style that has also been proven to support innovation is self-leadership. Reni (2023) showed that leadership based on self-leadership has a positive and significant influence on employee innovative behavior. According to Voo et al. (2019) strengthens this finding by stating that innovation requires self-leaders, namely individuals who have a strong belief that employee ideas and abilities can bring success in completing tasks. Self-leadership motivates employees to take the initiative and feel responsible for their own individual innovative actions, which contributes to organizational growth.

In addition, research by Dayanti and Yulianti (2023) highlighted servant leadership as a factor that also has a positive influence on innovative work behavior. Servant leaders focus on providing the support and resources needed for employee development. Based on these findings, organizations need to consider various leadership styles to encourage innovation in the workplace. Transformational leadership, self-leadership, and servant leadership all have important contributions to creating an environment that supports innovative behavior. Leaders can inspire, motivate, and provide support for employees, resulting in a more innovative workforce, which has a major impact on organizational competitiveness.

After discussing the role of leadership, another significant factor in encouraging innovative work behavior is individual factors such as proactive personality. The findings show a strong relationship between proactive personality and innovative work behavior, especially in the millennial generation (Putri, 2020). Proactive personality helps individuals to actively seek and create new opportunities in their work. This is in accordance with the research of Lailla et al. (2024), showing that employees with proactive personalities are more likely to engage in innovative work behavior because they are more courageous in taking the initiative and daring to face existing challenges.

Ali et al. (2022) found that employees with high levels of engagement tend to exhibit innovative work behavior. Employee engagement refers to how much employees feel emotionally connected to their work and how much energy and attention they put into the tasks at hand. Engaged employees tend to be more enthusiastic about finding new ways to improve the effectiveness and efficiency of their work, thus unconsciously giving rise to innovative work behavior.

In addition to proactive personality, research by Gultom et al. (2022) added another dimension, namely workplace spirituality. This study found that both proactive behavior and workplace spirituality have a significant effect on innovative work behavior, with psychological empowerment as a mediator. Workplace spirituality includes values such as meaning in work, awareness of the well-being of others, and deep relationships with coworkers. When workplace spirituality is combined with proactive personality, employees feel more psychologically empowered. Psychological empowerment is an important key in mediating this relationship, because when employees feel empowered and have control over their work, they tend to be more courageous to take initiatives and try new things. This process results in more consistent and sustainable innovative work behavior.

Furthermore, there are findings from Hamid dan Ismail (2021) highlighting the relationship between social media use and innovative work behavior among millennial workers in Malaysia. This study shows that social media has a significant role in encouraging innovative behavior in the workplace. The use of social media facilitates employees to access the latest information, share ideas, and collaborate with colleagues and external communities in an easier and faster way. This phenomenon is very relevant for the millennial generation who grew up with the development of digital technology and social media.

One of the reasons why social media plays a vital role in driving innovation is because the platform has direct access to a global information network. Employees can quickly learn the latest industry trends, identify problems, and find creative solutions that can be implemented in their work. In addition, social media can also be a tool for sharing best practices and expanding professional networks, thereby enriching employees' knowledge and insights about innovations that are very beneficial to the organization.

Innovative work behavior has a significant impact on various aspects of the employee's work environment, which contributes to increased productivity, product or service quality, job satisfaction, organizational commitment, and organizational learning. First, increased productivity can be achieved through innovation generated by employees. The more positive the innovation practices in the workplace, the better the employee performance. This is due to the ability of innovation to generate new ideas that increase efficiency and effectiveness in completing work tasks. According to Purwanto et al. (2020), innovation encourages employees to think creatively, create new solutions, and combine various ideas into new things that can be applied in the company. Hadi et al. (2020) also added that innovative employees not only create new ideas but also have the courage to develop them, which directly contributes to the company's productivity.

When employee performance improves, it automatically affects the improvement of product or service quality. Innovation can help organizations to continue to develop relevant and innovative products and services. Employees who are active in the innovation process are more likely to produce better products or services and are better able to meet customer needs by maintaining the company's competitiveness (Etikariena, 2019).

Then innovation also has an impact on employee job satisfaction. According to Nurcahyo (2024), employees who have the opportunity to innovate usually feel higher satisfaction with their work. This is due to the feeling that employee contributions are recognized and appreciated by the company, as a result contributing to increasing employee satisfaction and happiness in the workplace.

Finally, innovation drives continuous organizational learning, because considering that innovation creates a culture of continuous learning in the organization. The development of continuous innovation encourages companies to continue to update their knowledge and skills, which contributes to organizational development (Nanda et al., 2023). Therefore, employee innovative work behavior is key to organizational success, especially in the ever-growing technology industry. To support and optimize this innovative work behavior, an important role from both superiors and coworkers is needed.

The role of superiors in supporting innovative work behavior is very significant because leadership plays a role in building organizational culture and providing direction for the development of innovation. According to Trioctavia et al. (2016), effective leaders can create a work atmosphere that is conducive to innovation through motivation, communication, and good relationships with employees. Leaders not only provide strategic decisions but also become role models in encouraging a culture of innovation. Superiors who succeed in creating a culture of innovation will build a safe environment for employees to experiment and not be afraid to make mistakes. The creation of a work environment that supports innovation makes employees feel free to be creative and contribute new ideas that are sometimes risky but have great potential for the company.

In addition, superiors need to provide adequate emotional support and guidance. Because by providing the necessary resources and continuous support, leaders can help employees to continue to develop their innovative ideas. In addition, recognition and appropriate rewards for employee contributions can be an important alternative in encouraging innovation. Employees who feel appreciated for innovation will be more motivated to continue to contribute. Finally, superiors also need to be role models or role models in innovative behavior, showing employees that innovation is a core value in the organization and is expected of all individuals in the company.

Meanwhile, the role of coworkers is also no less important in supporting innovative behavior in the workplace. Collaboration between coworkers can enrich innovative ideas, because the diverse perspectives and experiences of each employee can complement each other. Employees supported by a collaborative team will be more effective in sharing ideas, receiving constructive feedback, and developing innovative solutions together (Nurcahyo, 2024). A collaborative work atmosphere can create a culture where new ideas are seen as opportunities for mutual growth, not as threats to organizational stability.

In addition, sharing knowledge among coworkers is essential to accelerate the innovation process. Sharing experiences and skills can help other employees in developing input ideas and dealing with challenges that may arise. Constructive feedback from coworkers can play a vital role in improving the quality of innovative ideas. Moral support from coworkers for new ideas proposed also provides encouragement to individuals to be more confident in proposing creative and innovative solutions.

So based on the findings of the study, it can be said that the innovative work behavior of millennial generation employees, especially in the information technology (IT) sector, is a very valuable asset for the organization. To encourage this innovative behavior, organizations need to create systematic and integrated efforts from various parties. Support from superiors, collaboration with colleagues, and a work environment that supports innovation will maximize the potential for creativity and innovation of millennial generation employees, with the hope of providing sustainable competitive advantages for the organization amidst increasingly tight industrial competition.

 

Conclusion

Based on the literature findings and analysis conducted, it can be concluded that innovative work behavior in the workplace is not spontaneous, but is influenced by various interrelated factors. Effective leadership, especially in the form of transformational leadership style, self-leadership, and servant leadership, has a significant influence on the development of innovative behavior. In addition, individual factors such as proactive personality and spirituality also play an important role in encouraging innovation in the workplace. Other studies have shown that the use of social media can increase innovative work behavior, especially among the millennial generation, which is increasingly dominating the current workforce. Innovative work behavior not only increases productivity, but also the quality of products or services, job satisfaction, organizational commitment, and organizational learning. Therefore, the role of leaders and support from colleagues is very important in creating an environment that supports innovation. Recommendations to encourage innovative work behavior require strategies that involve the development of adaptive leadership and an understanding of individual factors and collaboration among employees. This will ensure that innovation becomes an integral part of the work culture, thus providing a broad impact on improving organizational performance involving innovation from its employees.

 

 

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Dewi Ulfah Arini, Hardani, Rusmalia (2024)

 

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Syntax Literate: Jurnal Ilmiah Indonesia

 

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