Factors Affecting Employee Readiness to Change in Construction State-Owned Enterprises

Abstract

In recent years, there have been companies that were initially successful, then lost in competition and even disappeared from the business scene, even though the company was once known to be innovative in new products. The company's defeat was not due to simply failing to compete with competitors from similar industries but by new companies that created new businesses and markets. Organizational change is a continuous and dynamic process. Change cannot be stopped once a change initiative has been implemented. Change always occurs because the environment changes. The biggest actors in organizational transformation are people because an organization's most affected members are employees. Construction company management believes change must be planned, controlled, and directed as part of organizational life. One form of change is now experienced in implementing digital technology, which can be combined with other technologies. This research is used to examine construction companies in Indonesia, with limitations on facilitative leadership and job security towards readiness to change, psychological capital mediators and organizational support moderators. The design is cross-sectional, with primary data collection on construction companies, and the research methodology is a Structural Equation Model (SEM) from Lisrel. Findings based on five indicators, i.e. facilitative leadership, job security, psychology capital, readiness change, organizational support, GFI = 0.85 < 0.90 (marginal), CFI =0.98 > 0.90 (fit), NFI = 0.97 > 0.90 (fit), NNFI = 0.98 > 0.90 (fit) and RMSEA = 0.096 < 0.08 (marginal). This capability enables construction companies to do business in the digital modular field and simplify the construction process. By mastering various technologies, construction companies can work with many parties in project work and investment offers.