THE ROLE OF INCLUSIVE STRATEGIC APPROACHES IN HUMAN RESOURCE MANAGEMENT ON EMPLOYEE SATISFACTION AND PERFORMANCE: EVIDENCE FROM PT SUCOFINDO, A STATE-OWNED TESTING, INSPECTION, AND CERTIFICATION COMPANY
Published:
2026-08-23Downloads
Abstract
The consolidation of Indonesia's state-owned survey and assurance enterprises under a single holding structure has created an urgent human capital challenge: integrating workforces with different organizational histories, career expectations, and professional identities. This study examines the role of inclusive strategic human resource management (ISHRM) in shaping employee satisfaction and employee performance at PT SUCOFINDO, Indonesia's oldest testing, inspection, and certification (TIC) company, and tests employee satisfaction as a mediating mechanism. Grounded in social exchange theory and the Ability–Motivation–Opportunity framework, the study adopts an explanatory quantitative design. Data were collected from permanent employees through questionnaires using proportionate stratified random sampling and analyzed with partial least squares structural equation modeling (PLS-SEM), with ISHRM modeled as a reflective-reflective higher-order construct consisting of six dimensions. Results indicate that ISHRM significantly influences both employee satisfaction and employee performance, that satisfaction significantly influences performance, and that satisfaction complementarily partially mediates the ISHRM–performance relationship. Among the six dimensions, fairness of compensation and career progression together with participation in decision-making emerge as the weakest-scoring yet most influential, suggesting that inclusion in state-owned professional service firms is constrained less by formal policy than by the seniority logic embedded in career governance. The study extends inclusion-based HRM research into the state-owned assurance services context and offers prioritized guidance for human capital divisions operating under post-consolidation integration.
Keywords:
inclusive human resource management strategic HRM employee satisfaction employee performance state-owned enterprisesReferences
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