Scale of Trust in Organizations

Oct 13, 2025 by magicalceylontours.com 5 views

Study of Effects of Employee Trust on Organizations on Organizational Commitments in PT. North Sumatra Bank

Introduction

In today's fast-paced and competitive business environment, organizations are constantly seeking ways to improve their performance and achieve success. One key factor that can contribute to an organization's success is employee trust. Employee trust refers to the confidence and faith that employees have in their organization, its leaders, and its policies. This trust is essential in building a strong organizational commitment, which is critical for an organization's success. In this study, we aim to investigate the effects of employee trust on organizational commitments in PT. North Sumatra Bank.

Background

PT. North Sumatra Bank is a leading financial institution in Indonesia, providing a wide range of banking services to its customers. The bank has a large workforce, with employees working in various departments, including customer service, marketing, and finance. In recent years, the bank has faced significant challenges, including increased competition, changing market conditions, and the need to adapt to new technologies. To overcome these challenges, the bank needs to build a strong and committed workforce.

The Importance of Employee Trust

Employee trust is a critical factor in building a strong organizational commitment. When employees trust their organization, they are more likely to be committed to its goals and values. This trust is built on several dimensions, including:

Competence: Employees trust their organization to have the necessary skills and expertise to achieve its goals.
Openness and Honesty: Employees trust their organization to be transparent and honest in its communication and decision-making processes.
Care for Employees: Employees trust their organization to care for their well-being and provide a supportive work environment.
Reliability: Employees trust their organization to be reliable and consistent in its actions and decisions.
Identification: Employees trust their organization to have a clear sense of purpose and identity.

Methodology

This study used a simple linear regression analysis method to test the hypothesis that employee trust has a significant influence on organizational commitment. The research sample consisted of 98 employees chosen by the Purposive Sampling method. The data collection was carried out through two scales:

Scale of Trust in Organizations: This scale measures the dimensions of competence, openness and honesty, care for employees, reliability, and identification.
Scale of Organizational Commitment: This scale measures three components: affective commitment, sustainable commitment, and Normative commitment.

Results

The results of this study showed a significant positive correlation between employee trust and the three components of organizational commitment. Employee trust has a significant influence on affective commitment (R = 0.766, p = 0.000), ongoing commitment (R = 0.693, p = 0,000), and normative commitment (R = 0.773, p = 0.000). The effective contribution of trust variables to affective commitment is 58.7%, sustainable commitment of 48%, and normative commitment of 59.7%.

Discussion

The findings of this study have important implications for PT. North Sumatra Bank and other organizations. Employee trust is a key factor in building a strong organizational commitment. High trust creates strong emotional ties between employees and organizations, encourages employees to survive in the company, and triggers them to follow the norms and values of the company.

Conclusion

In conclusion, this study has shown that employee trust has a significant influence on organizational commitment in PT. North Sumatra Bank. The results of this study have important implications for the company, especially in building and increasing employee confidence through various efforts, such as:

Increasing transparency and communication: Providing clear and open information to employees about company policies, performance, and future prospects.
Building fair and supportive relationships: Creating a fair work environment, respecting employee contributions, and providing adequate support.
Prioritizing employee development: Providing opportunities for employees to develop through training, career development, and learning programs.

By building employee trust, PT. North Sumatra Bank can increase organizational commitment and ultimately encourage improvement in company performance.

Recommendations

Based on the findings of this study, the following recommendations are made:

Develop a comprehensive employee trust-building program: The bank should develop a comprehensive program to build employee trust, including increasing transparency and communication, building fair and supportive relationships, and prioritizing employee development.
Monitor and evaluate employee trust: The bank should regularly monitor and evaluate employee trust to ensure that it is building a strong and committed workforce.
Provide opportunities for employee development: The bank should provide opportunities for employees to develop through training, career development, and learning programs.

By implementing these recommendations, PT. North Sumatra Bank can build a strong and committed workforce, ultimately leading to improved company performance.

Limitations

This study has several limitations, including:

Small sample size: The sample size of this study was relatively small, which may limit the generalizability of the findings.
Cross-sectional design: This study used a cross-sectional design, which may not capture the dynamic nature of employee trust and organizational commitment.

Future Research Directions

Future research should aim to build on the findings of this study by:

Investigating the impact of employee trust on organizational performance: Future research should investigate the impact of employee trust on organizational performance, including financial performance, customer satisfaction, and employee retention.
Developing a comprehensive employee trust-building program: Future research should develop a comprehensive program to build employee trust, including increasing transparency and communication, building fair and supportive relationships, and prioritizing employee development.

By building on the findings of this study, future research can provide a more comprehensive understanding of the effects of employee trust on organizational commitments and ultimately contribute to the development of effective strategies for building a strong and committed workforce.
Frequently Asked Questions (FAQs) about Employee Trust and Organizational Commitment

Q: What is employee trust, and why is it important?

A: Employee trust refers to the confidence and faith that employees have in their organization, its leaders, and its policies. It is essential in building a strong organizational commitment, which is critical for an organization's success.

Q: What are the dimensions of employee trust?

A: The dimensions of employee trust include:

Competence: Employees trust their organization to have the necessary skills and expertise to achieve its goals.
Openness and Honesty: Employees trust their organization to be transparent and honest in its communication and decision-making processes.
Care for Employees: Employees trust their organization to care for their well-being and provide a supportive work environment.
Reliability: Employees trust their organization to be reliable and consistent in its actions and decisions.
Identification: Employees trust their organization to have a clear sense of purpose and identity.

Q: How can organizations build employee trust?

A: Organizations can build employee trust by:

Increasing transparency and communication: Providing clear and open information to employees about company policies, performance, and future prospects.
Building fair and supportive relationships: Creating a fair work environment, respecting employee contributions, and providing adequate support.
Prioritizing employee development: Providing opportunities for employees to develop through training, career development, and learning programs.

Q: What is organizational commitment, and why is it important?

A: Organizational commitment refers to the degree to which employees are committed to their organization and its goals. It is essential for an organization's success, as it leads to increased job satisfaction, reduced turnover, and improved performance.

Q: What are the components of organizational commitment?

A: The components of organizational commitment include:

Affective Commitment: Employees are emotionally attached to their organization and its goals.
Sustainable Commitment: Employees are committed to their organization's long-term goals and values.
Normative Commitment: Employees feel a sense of obligation to their organization and its goals.

Q: How can organizations measure employee trust and organizational commitment?

A: Organizations can measure employee trust and organizational commitment using various tools and methods, including:

Surveys: Conducting regular surveys to assess employee trust and commitment.
Focus Groups: Holding focus groups to gather feedback and insights from employees.
Performance Metrics: Tracking performance metrics, such as employee retention and job satisfaction.

Q: What are the benefits of building employee trust and organizational commitment?

A: The benefits of building employee trust and organizational commitment include:

Improved Job Satisfaction: Employees are more satisfied with their jobs and are more likely to stay with the organization.
Reduced Turnover: Employees are less likely to leave the organization, reducing turnover costs and improving retention.
Improved Performance: Employees are more committed to their organization's goals and are more likely to perform at a higher level.

Q: What are the challenges of building employee trust and organizational commitment?

A: The challenges of building employee trust and organizational commitment include:

Communication Breakdowns: Poor communication can lead to mistrust and decreased commitment.
Lack of Transparency: Lack of transparency can lead to mistrust and decreased commitment.
Unfair Treatment: Unfair treatment can lead to mistrust and decreased commitment.

Q: How can organizations overcome these challenges?

A: Organizations can overcome these challenges by:

Improving Communication: Providing regular and transparent communication to employees.
Fostering a Positive Work Environment: Creating a positive and supportive work environment.
Addressing Unfair Treatment: Addressing unfair treatment and providing fair and equitable treatment to all employees.