The Impacts of Organizational Changes on Negative Emotion Resulting on Employee Trust in the Insurance Office of PT. Asuransi Sinar Mas Indonesia

Abstract

Recently, the insurance industry has been dealing with industrial revolution 4.0, which is a major change in the technology sector that causes many changes in other sectors. The industrial revolution 4.0 begins with the utilization of moveable and controllable machines in the production process. It starts from using simple robots to sophisticated computers. The potential impact of Industry 4.0 is the emergence of employee resistance to change in the organization. This research aims to reveal, analyze, and discuss the role of organizational changes in predicting negative emotions and impacts on trust in organization. The sample used in this research was 207 participants, who were employees at the insurance office of PT Asuransi Sinar Mas Indonesia. Then, the sampling technique used saturated sampling and a questionnaire as a data collection tool. Structural Equation Modeling (SEM) analysis was used as a data analysis technique using the SMART PLS 3 application. The results of this research indicate that organizational change caused significant negative emotions among employees. Eventually, employees became antitrust in organization. The limitation of this research was that it only involved employees of the PT Asuransi Sinar Mas insurance office in all regions of Indonesia, so the generalization of the results of the research could not be conducted.