SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 30 Okky Wahyudha Nur Susanto 1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES IN THE SOUTH SURABAYA REGION THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES IN THE SOUTH SURABAYA REGION Okky Wahyudha Nur Susanto1*), Slamet Riyadi2, Abdul Halik3 123*) University 17 Agustus 1945, Surabaya, Indonesia Email: 1*)1262100003@surel.untag-sby.ac.id, 2)slametriyadi10@untag-sby.ac.id, 3)halik@untag-sby.ac.id ABSTRACT Discipline and integrity possessed by employees is a reflection of the company's performance, both of which will be able to affect employee performance. Maintaining the discipline and integrity of employees is one of the important functions of operational human resource management because the better the level of discipline and integrity of employees, it will simultaneously affect the company's performance. This study aims to determine the impact of discipline and integrity on employee performance. Discipline is tested through example, waskat (attached supervision), firmness. Integrity is tested through honesty, consistency, commitment. Performance is tested through the quality of work, responsibility, cooperation. The research method is quantitative with a sample taken of 110 Telkom employees in the South Surabaya Region. The data analysis technique uses the Structural Equation Modeling (SEM) method using IBM SPSS Statistics and AMOS version 24 software. The results of this study indicate that discipline and integrity have a significant influence on the performance of Telkom employees in the South Surabaya Region Keywords: Discipline, Integrity, Performance I. INTRODUCTION Employees are the most important resource owned by a company, of course the performance of an employee is positive, the performance of the company will also be positive. Therefore, to maintain or even improve the performance of employees who are disciplined and with integrity are needed. Discipline and integrity possessed by employees is a reflection of the company's performance, both of which will be able to affect employee performance. Maintaining the discipline and integrity of employees is one of the important functions of operational human resource management because the better the level of discipline and integrity of employees, it will simultaneously affect the company's performance. Telkom is a state-owned information and communication company. Telkom itself has received Anti-Bribery Management System (SMAP) certification. This certification was obtained due to the commitment and implementation of Good Corporate Governance (GCG). With the implementation of SMAP, of course Telkom Regional employees are required to always be disciplined, have integrity and maximize their work. Therefore, employees who are disciplined and have integrity are needed. According to Tarigan & Priyanto (2021) work discipline is very important for agencies or companies to determine a company's ability to carry out its mission and achieve certain goals. Employee performance can be seen from the ability, skill, quality of work, quantity of work, time spent by employees to work, and work discipline. Work discipline determines the success of a company in achieving its goals. Therefore, every company has the hope that the company's employees can comply with the regulations that have been set so that they are able to have a competitive advantage in facing the era of globalization, the information age in entering the industrial revolution. According to Sujiyanto (2017) defines integrity as moral excellence and equates integrity as "identity". Integrity is also defined as acting consistently in accordance with the values and code of ethics, in other words integrity is defined as "only words with deeds. According to Becker et al in Rani SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 31 Okky Wahyudha Nur Susanto1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES et al. (2018) defines integrity as something related to a person's trust and honesty. Integrity is expected to create a common goal to achieve what is aspired to. According to Hasibuan (2010: 21) human resource management (Human Resources Management) is a series of activities in a company for the purpose of directing and developing the workforce so that they can work effectively and efficiently. Human resource management functions include planning, organizing, directing, controlling, procurement, development, compensation, integration, maintenance, discipline. Based on the background and empirical research above, it shows that discipline and integrity can have a significant influence on an employee's performance. Therefore this study aims to answer this statement empirically. In accordance with the background above, the title of this study is "The Impact of Discipline and Integrity on the Performance of Telkom Employees in the South Surabaya Region". Employee Discipline According to Siagian in Kumarawati et al. (2017) stated that discipline is a management action to encourage members of the organization to meet the demands of various conditions that must be obeyed and standards that must be met. According to Hasibuan (2010: 194) indicators to measure employee discipline are as follows: 1. Exemplary 2. Supervision 3. Firmness Employee Integrity Integrity is the concept of consistency in actions, values, methods, steps, principles, expectations and results. In ethics, integrity is considered as honesty and truth or accuracy of one's actions Masram & Mu'ah (2017:41). According to Abdullah in Eprianti et al. (2020) indicators to measure employee integrity are as follows: 1. Honesty 2. Consistency 3. Commitment Employee performance Performance or performance according to Rivai in Tarigan & Priyanto (2021) is an illustration of the level of achievement of implementing a program of activities or policies in realizing the goals, objectives, vision and mission of the organization as outlined through the strategic planning of an organization. According to Mangkunegara in Tania (2017) indicators for measuring employee performance are as follows: 1. Quality 2. Responsibilities 3. Cooperation II. LITERATURE REVIEW The conceptual framework is a link between the theories or concepts that support the research used as a guide in compiling a systematic research. The conceptual framework will serve as a guideline for researchers to systematically explain the theory used in the research. This research has a conceptual framework that will be explained in the figure below and more details will be explained in the following discussion as follows: Figure 1. Conceptual Framework Information : 1 Variabel Independen : X1 Discipline X2 Integrity 2 Variabel Dependen : Y Performance III RESEARCH HYPOTHESIS Based on the conceptual framework that has been described, the following hypothesis is formulated: SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 32 Okky Wahyudha Nur Susanto 1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES IN THE SOUTH SURABAYA REGION Hypothesis 1 According to Siagian in Kumarawati et al. (2017) stated that discipline is a management action to encourage members of the organization to meet the demands of various conditions that must be obeyed and standards that must be met. Research conducted by E. M. Putri et al. (2019) with the research title "The Effect Of Work Environment On Employee Performance Through Work Discipline" proves that shows that work discipline is able to mediate the influence of the work environment on employee performance. H1: Discipline has a significant influence on the performance of Telkom employees in the South Surabaya Region. Hypothesis 2 According to Sujiyanto (2017) defines integrity as moral excellence and equates integrity as identity. Research conducted by Febrina & Syamsir (2020) in a study entitled "The Influence Of Integrity And Organizational Commitment On Employee Performance" proves that organizational integrity and commitment simultaneously have a positive and significant effect on the performance of ASN Office Secretariat City Sawahlunto, West Sumatra Province. H2: Integrity has a significant influence on the performance of Telkom employees in the South Surabaya Region. IV. RESEARCH METHODS Quantitative research model. This study departs from a theoretical framework, previous research and understanding of researchers based on field experience, then develops problems to be proposed in order to obtain justification for empirical data in accordance with conditions in the field. The data collection method was carried out by distributing questionnaires to employees who work in the Telkom environment in the South Surabaya region using the Google Form media. The questionnaire data is used to find out the empirical data of the Discipline, Integrity and Employee Performance variables. The analysis in this study was conducted to describe the answers from the respondents to the variables tested. Data analysis in this study used quantitative analysis using Structural Equation Modeling (SEM) analysis techniques using IBM SPSS Statistics and AMOS version 24 software. Measurement of the variables of Discipline (X1), Integrity (X2), Employee Performance (Y) uses a Likert scale which consists of five answer scales. Answers from respondents will be given a score as follows: 1 Strongly Agree : 5 2 Agree : 4 3 Neutral : 3 4 Disagree : 2 5 Strongly Disagree : 1 Population and Sample Population is a generalized area consisting of objects/subjects that have certain qualities and characteristics determined by researchers to be studied and then conclusions drawn in Sugiyono (2013). Due to the unknown population size, it was determined using the Hair et al. formula. (2017:100) are as follows: 𝑛 = (5 βˆ’ 20) π‘₯ π‘˜ π‘œπ‘Ÿ 10: 1 𝑛 = 10 π‘₯ 16 𝑛 = 160 n=(5-20) x k or you can use a 10:1 ratio n=10 x 16 n=160 Information 𝑛 : Total π‘˜ : Number of research variables (5 βˆ’ 20) : Number of observers according Hair et al. (2017:100) Based on the results of calculations using the formula Hair et al. (2017: 100) then determined the total population of 160 employees. Sujarweni in Widodo et al. (2018) the sample is part of a number of characteristics possessed by the population used for research. According to Sugiyono stated that the sample is part of the number and characteristics SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 33 Okky Wahyudha Nur Susanto1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES possessed by the population Sugiyono (2013: 215). Based on the qualifications of the respondent profile data that had been determined in the questionnaire, 112 respondents received data feedback, but there were 2 respondents who did not meet the research requirements and criteria so they were not included in the study. This study used a saturated sampling technique, with a total sample of 110 respondents. V. RESULTS AND DISCUSSION Measurement Measurement Model Figure 2. Measurement Model 1 Figure 2 shows the results of factor loading calculations on the Discipline, Integrity and Performance variables. From the results of factor loading can be seen as follows: Table 1. Measurement Model of Fit 1 Measureme nt Model of Fit Cut Off Hasil Result s Chi-Square Expecte d small 722.35 2 Bad Probabilitas β‰₯ 0,05 0.000 Bad GFI β‰₯ 0,90 0.672 Bad AGFI β‰₯ 0,90 0.614 Bad CFI β‰₯ 0,95 0.793 Bad TLI β‰₯ 0,95 0.744 Bad RMSEA ≀ 0,08 0.107 Bad CMIN/DF ≀ 2.00 2.250 Bad Table 1 shows the results of the calculation of the factor loading showing that the Measurement Model is inappropriate or less than the expected value. Therefore, the model was modified according to the recommendations in the modification indices for Amos. The modified results of Amos' recommendations are as follows: Figure 3. Measurement Model 3 Figure 3 shows the results of factor loading on Discipline, Integrity and Performance formed by indicators that have been modified following the recommendations on modification indices on Amos. From the calculation of factor loading can be seen as follows: Table 2. Measurement Model of Fit 2 Measurement Model of Fit Cut Off Hasil Results Chi-Square Expected small 83.099 Fit Probabilitas β‰₯ 0,05 0.038 Fit GFI β‰₯ 0,90 0.896 Moderate AGFI β‰₯ 0,90 0.847 Moderate CFI β‰₯ 0,95 0.971 Fit TLI β‰₯ 0,95 0.963 Fit RMSEA ≀ 0,08 0.056 Fit CMIN/DF ≀ 2.00 1.340 Fit Table 2 shows the results of factor loading calculations showing the Measurement Model on the Discipline, Integrity and Employee Performance variables formed by the indicators in it are appropriate or the model can be said to be (fit) with the data. The results of calculating the factor loading on each indicator can be seen as follows: SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 34 Okky Wahyudha Nur Susanto 1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES IN THE SOUTH SURABAYA REGION Table 3. Factor Loading Value Variable Indic ator Loading Factor Results Discipline (X1) Z1.1 0.598 Fit Z1.5 0.672 Fit Z1.7 0.672 Fit Z1.8 0.849 Fit Integrity (X2) Z2.2 0.744 Fit Z2.3 0.770 Fit Z2.4 0.795 Fit Z2.5 0.656 Fit Performan ce (Y) Y2 0.813 Fit Y3 0.841 Fit Y4 0.921 Fit Y5 0.601 Fit Y7 0.616 Fit Table 3 shows that the indicators on the Discipline, Integrity and Employee Performance variables have a loading factor value greater than 0.50. So that these indicators can be declared valid in forming the variables of Transformational Leadership, Transactional Leadership, Discipline, Integrity and Employee Performance and can be used to build the next model. Validity test Validity test is a way to see the probability of each indicator. Validity test is useful to determine the validity of the indicator. An indicator can be said to be valid if the Probability (P) value is less than ≀ 0.05. The results of the validity test on each variable are as follows: Table 4. Validity Test Table Esti mat e S. E . C. R. P Re sul ts Z1. 5 ← Disci pline 1.000 Valid Z1 .7 ← Disci pline .961 .1 6 2 5. 95 1 * * * Val id Z1 .8 ← Disci pline 1.13 4 .1 6 7 6. 79 9 * * * Val id Esti mat e S. E . C. R. P Re sul ts Z1 .1 ← Disci pline 1.19 0 .2 2 6 5. 26 9 * * * Val id Z2 .3 ← Integ rity 1.00 0 Valid Z2 .4 ← Integ rity .903 .1 1 0 8. 20 4 * * * Val id Z2 .5 ← Integ rity .891 .1 3 5 6. 60 3 * * * Val id Z2 .2 ← Integ rity .949 .1 2 3 7. 69 9 * * * Val id Y3 ← Perfo rman ce 1.00 0 Valid Y4 ← Perfo rman ce 1.21 6 .0 9 9 12 .3 09 * * * Val id Y5 ← Perfo rman ce 1.08 8 .1 6 1 6. 75 2 * * * Val id Y2 ← Perfo rman ce 1.02 6 .1 0 0 10 .2 68 * * * Val id Y7 ← Perfo rman ce .858 .1 2 2 7. 00 2 * * * Val id Table 4 shows the value (P) of each variable that has a value smaller than ≀ 0.05 or close to 0 (zero). Thus it can be concluded that the indicator value is valid (legitimate) for further testing. Reliability Test The results of the reliability test are used to see whether each questionnaire tested has consistency and can be trusted or not. A questionnaire can be said to be reliable if the Cronbach Alpha value is > 0.60. The results of the reliability test can be seen as follows: SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 35 Okky Wahyudha Nur Susanto1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES Table 5. Reliability Test Variabel Item Cronbach Alpha Results Discipline (X1) 4 0.766 Reliable Integrity (X2) 4 0.826 Reliable Performance (Y) 5 0.854 Reliable Table 5 shows that the Discipline, Integrity and Performance variables have a Cronbach Alpha value of more than > 0.60. By having it can be concluded that the variable is Reliable. Normality test The results of the normality test are used to see the effect relationship on each research variable. The normality test results can be seen as follows: Table 6. Normality Test Vari able m in m ax sk ew c.r . kur tosi s c.r . Y7 3. 00 0 5. 00 0 - .44 1 - 1.8 87 - .66 3 - 1.4 19 Y2 3. 00 0 5. 00 0 - .24 3 - 1.0 42 - .99 2 - 2.1 23 Y5 2. 00 0 5. 00 0 - .30 5 - 1.3 06 - .55 5 - 1.1 88 Y4 3. 00 0 5. 00 0 - .29 0 - 1.2 40 - .76 2 - 1.6 31 Y3 3. 00 0 5. 00 0 - .05 2 - .22 4 - 1.5 29 - 3.2 72 Z2.2 2. 00 0 5. 00 0 - .58 5 - 2.5 06 .55 8 1.1 94 Z2.5 2. 00 0 5. 00 0 - .55 0 - 2.3 57 .12 6 .27 0 Z2.4 3. 00 5. 00 - .38 - 1.6 - .93 - 2.0 Vari able m in m ax sk ew c.r . kur tosi s c.r . 0 0 1 30 5 03 Z2.3 2. 00 0 5. 00 0 - .92 8 - 3.9 74 1.7 52 3.7 52 Z1.1 1. 00 0 5. 00 0 - 1.2 45 - 5.3 29 2.0 36 4.3 58 Z1.8 3. 00 0 5. 00 0 - .58 0 - 2.4 82 - .91 5 - 1.9 60 Z1.7 3. 00 0 5. 00 0 - 1.2 46 - 5.3 36 .56 0 1.1 99 Z1.5 2. 00 0 5. 00 0 - 1.5 78 - 6.7 55 3.2 10 6.8 72 Multi variat e 75. 957 20. 17 0 Table 6 shows that the c.r value is 20,170, which means that the research data is not normally distributed. Then the SEM estimation can use the Boostrapping approach. Structural Model Analysis Structural model analysis is used to ensure that the model is (fit) with the data and to test the hypothesis of the influence of the variables studied. The estimate used in the structural model analysis is the Maximum Likelihood Estimation (MLE). The results of the structural model analysis with Amos can be seen in Figure 5.2 as follows: Figure 3. Structural Research Model SINERGI : Jur n al Il miah Il mu Man ajemen , VOLUME 13 NUMBER 1 M A R C H 2023 36 Okky Wahyudha Nur Susanto 1*), Slamet Riyadi2, Abdul Halik3 THE IMPACT OF DISCIPLINE AND INTEGRITY ON THE PERFORMANCE OF TELKOM EMPLOYEES IN THE SOUTH SURABAYA REGION The results of the model suitability test ensure that the model is fit with the data, so that the model can be used to test hypotheses. Following are the results of the Measurement Model of Fit test resulting from the structural model as follows: Table 7. Measurement Model of Fit Measureme nt Model of Fit Cut Off Hasil Results Chi-Square Expecte d small 127.30 6 Fit Probabilitas β‰₯ 0,05 0.000 Moderat e GFI β‰₯ 0,90 0.868 Moderat e AGFI β‰₯ 0,90 0.810 Moderat e CFI β‰₯ 0,95 0.906 Fit TLI β‰₯ 0,95 0.884 Fit RMSEA ≀ 0,08 0.097 Fit CMIN/DF ≀ 2.00 2.021 Moderat e Table 7 shows that the test results show the suitability of the model. From the table above after testing the Probability value, CFI, TLI, RMSEA and CMIN/DF show good results or the index can be said (Fit). But in testing the value of GFI, AGFI shows results that are critical but still acceptable. Therefore it can be concluded that the structural model is feasible for further testing. Hypothesis Testing Hypothesis testing is used to determine the causality relationship in each research variable. The results of hypothesis testing can be seen as follows: Table 8. Hypothesis Test Results Relationship between variables Esti mat e S. E C. R P Resu lts H 1 Disci pline (X1) β†’ Perfor mance (Y) 0.55 0 0. 09 5 5. 76 6 * * * Signi ficant H 2 Integ rity β†’ Perfor mance 0.35 8 0. 07 5. 25 * * Signi ficant Relationship between variables Esti mat e S. E C. R P Resu lts (X2) (Y) 4 8 * Hypothesis Test Results 1 The test results on H1 show the relationship between the discipline variable and the performance variable. The H1 test shows that the value of c.r = 5,766 meets the requirements > 1.96 and the value of p = *** meets the requirements < 0.05. It can be concluded that H1 is accepted because discipline has a significant influence on the performance of Telkom employees in the South Surabaya Region. Hypothesis Test Results 2 The test results on H2 show the relationship between integrity variables and performance variables. The H2 test shows that the value of c.r = 5,258 meets the requirements > 1.96 and the value of p = *** meets the requirements < 0.05. It can be concluded that H2 is accepted because discipline has a significant influence on the performance of Telkom employees in the South Surabaya Region. V. CONCLUSIONS AND LIMITATIONS Based on the presentation of research data that has been carried out under the title Impact of Discipline and Integrity on the Performance of Telkom Employees in the South Surabaya Region, the authors can draw conclusions and suggestions related to the research that the authors conducted. The conclusions and suggestions that the authors found are as follows: 1. Simultaneous Discipline and Integrity have a significant influence on the performance of Telkom employees in the South Surabaya Region. 2. 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