Employee Engagement Model: A Study Among Millennials

Abstract

Employee Engagement is about uniting every resource (physical and psychological) of employee with the vision and mission of their organization. Study about employee engagement has become a very popular and important concept in organization and business studies. However, the employee engagement among millennial employee is lower than the previous generation. Using Structural Equation Modeling (SEM) as a tool to analyze the data, this research aims to confirm a model of factors than influencing employee engagement, that is the work itself, working environment, leadership, opportunity for personal growth, and opportunity to contribute. This research collecting data by using survey to 400 employees, across 15 Cities in Indonesia. The result of PLS SEM shows that work environment as the strongest driver factor of employee engagement. In second position is work itself which influence employee engagement. However, leadership has indirect influence to employee engagement through working environment, opportunity to contribute and opportunity to growth. This study combines determinants of employee engagement in framework that can be used by companies to identify factors that can engage and retain employees for organizational purpose. Model of employee engagement in this research is well suited for use in formal private sector in Indonesia. Further empirical study on multi generations and multi companies should be undertaken to ascertain the suitable model.