IJAR Indonesian Journal of Advanced Research 2986-0768 Formosa Publisher 10.55927/ijar.v4i6.14805 Moderating The Work System in the Transformation of Industrial Relations and Performance Management: A Study of Hospitality Tourism Human Resource Development Liana Tri Melda Mei Universitas HKBP Nommensen trimelda@uhn.ac.id Soekatendel Eddy Universitas HKBP Nommensen Dalimunthe Ritha F. Universitas HKBP Nommensen Lumbanraja Prihatin Universitas HKBP Nommensen 24 06 2025 07 05 2025 22 05 2025 24 06 2025 4 6 759 778

This study aims to understand the moderating role of the work system in the transformation of industrial relations and performance management in the context of human resource development (HRD) in hospitality tourism in North Sumatra. The research method used is a qualitative approach by extracting data from various sources, such as interviews, observations, and documentation studies. However, this research also shows that there are still challenges in the development of hospitality tourism human resources in North Sumatra. Some of the challenges identified include a lack of understanding of the importance of a good work system, lack of worker involvement in decision-making, and ineffective communication between management and workers. Therefore, sustained efforts are needed in improving good work systems, as well as worker empowerment in decision-making and effective communication in an effort to improve performance management in North Sumatra's hospitality tourism sector. The conclusion of this brief provides an overview of the complexity of interactions between the factors of performance management, industrial relations, work systems and human resource development in the context of the hospitality industry in North Sumatra. This can serve as a basis for stakeholders to improve performance management, work systems and human resource development in the hospitality tourism sector in the region.

 System Industrial Relations Transformational Performance Management HR Development Hospitality Tourism http://creativecommons.org/licenses/by/4.0/ This is an open-access article distributed under the terms of the Creative Commons Attribution 4.0 International License. INTRODUCTION

(Marizki et al., 2022) The tourism and hospitality industry is a sector that has an important role in the economic growth of a country, especially in Indonesia. North Sumatra is one of the provinces that has great potential in the tourism and hospitality industry, especially in cities such as Medan, Berastagi, Lake Toba, and its surroundings. (Ariani & Utomo, 2017) However, to develop this potential, qualified Human Resources (HR) are needed and are able to adapt to changes that occur in the tourism and hospitality industry. (Indonesia et al., 2014) Changes in the tourism and hospitality industry can have an impact on industrial relations and performance management in hospitality companies. Industrial relations transformation can occur due to changes in organizational structure, market demands, and technology. Meanwhile, performance management is concerned with how companies manage employee performance and ensure employee performance is in line with company goals. (Darma & Pujani, 2018) Hospitality tourism in North Sumatra is a sector that has great potential in improving the regional economy and contributing to the development of human resources (HR) in the tourism industry.

(Handana Sembiring, Nindya Azzahra, Siti Hamizah Harahap, 2022) However, to achieve optimal results in the management of hospitality tourism human resources, it is necessary to transform good industrial relations between management and employees. In addition, an effective work system is also a key factor in achieving optimal performance management. (Setiawan, 2016) Hospitality Tourism HR includes a variety of professions related to the tourism and hospitality industry, such as tour guides, hotel employees, chefs, restaurant waiters, and workers in other supporting sectors. (Kusworo & Damanik, 2002) The importance of qualified and skilled Hospitality Tourism Human Resources is needed to develop the tourism potential of North Sumatra, which is rich in natural beauty, cultural heritage, and ethnic and linguistic diversity. (Bahri & Abdilah, 2022) Competent Hospitality Tourism HR can provide a positive experience for tourists, improve the quality of hospitality services, and advance the tourism sector as a whole. Efforts to develop Hospitality Tourism HR in North Sumatra can involve education and training in various fields, such as tourism, hotel management, culinary expertise, foreign languages, and communication skills.

(Darma & Pujani, 2018) In addition, the development of cooperation between the government, private sector, and educational institutions is also important to improve the competencies and qualifications of the workforce in the tourism and hospitality sector. (Parma, 2019; Rosmadi, 2019) By having qualified and competent Hospitality Tourism Human Resources, North Sumatra has the potential to increase its competitiveness as a leading tourism destination in Indonesia, increase tourist visits, and contribute to regional economic growth. ([BPS] Central Bureau of Statistics, 2021) Data on human resources (HR) in the tourism and hospitality sector in North Sumatra: Total Workforce: According to BPS (Central Bureau of Statistics) data in 2021, the number of workers in the accommodation and food and beverage provision sector in North Sumatra was 71,982 people. Education: There are several universities and vocational high

schools (SMK) that offer education programs in tourism and hospitality in North Sumatra, including Medan State University, University of North Sumatra, Medan State Polytechnic, Medan Tourism Polytechnic, and several tourism and hospitality SMKs in various cities in North Sumatra. Skills required to work in the tourism and hospitality sector include hotel management, restaurant management, guest services, cleaning and sanitation, catering, foreign language skills (such as English), and communication skills. Education and Qualification Levels: Based on BPS data, the majority of the workforce in the accommodation and food and beverage sector in North Sumatra had vocational (62.5%) and diploma (22.1%) education levels in 2021.

Skilled Workforce: Although many have an educational background in tourism and hospitality, efforts are still needed to improve the qualifications and skills of the workforce in this sector, especially in terms of management and high- quality guest services to face global competition. Training and Development: The government, universities, and the private sector in North Sumatra have also conducted various training and development programs to improve the qualifications and skills of human resources in the tourism and hospitality sector, including training in hotel management, hygiene and sanitation, and communication and guest service skills. Labor Market Potential: North Sumatra has great potential in the tourism and hospitality sector, with various tourist attractions such as Lake Toba, Mount Sibayak, and historical cities such as Medan and Samosir. Thus, the demand for skilled labor in this sector is still quite high, especially for managerial positions and quality guest services. Therefore, it is necessary to study the development of hospitality tourism human resources that can moderate the work system in the transformation of industrial relations and performance management in North Sumatra. Therefore, this study will explore more deeply the effect of industrial relations transformation and work systems on the development of hospitality tourism human resources in North Sumatra, by paying attention to the role of work system moderating variables in the relationship between industrial relations transformation and performance management. Hospitality Tourism Human Resources in North Sumatra is a term that refers to the workforce involved in the tourism and hospitality sector in the province of North Sumatra, Indonesia. The purpose of this research is to generate an in-depth understanding of the role of the work system in dealing with the transformational changes of industrial relations and performance management in the hospitality tourism industry in North Sumatra. This research also aims to identify critical factors in HR development that can improve the performance of the hospitality tourism industry in North Sumatra.

 THEORETICAL REVIEW Transformation of Industrial Relations

Industrial relations transformation is a change in the way of working and the relationship between employees and companies (H. Kim et al., 2021; W. G. Kim et al., 2020). This transformation affects the work culture, management style, and industrial relations in the company. (Gao et al., 2020) Some of the factors that influence industrial relations transformation include technological change,

globalization, and changes in people's lifestyles. (Azeem et al., 2021; Hidayat et al., 2020) industrial relations is a relationship between various interested parties to resolve a problem related to employment, where the relationship between the parties is intended to help develop human resources who work in the company. (Zhou et al., 2018) Industrial relations are based on the interests of each party, be it workers, companies and trade unions to improve progress for workers and develop all their competencies. (Saks, 2022) industrial relations are created or implemented to avoid disputes regarding employment that occur, so that industrial relations are intended so that disputes that occur regarding employment are reduced and can be resolved properly. (Decenzo et al., n.d.; S. Robbins, 2013) Industrial relations transformation is a change or shift in the dynamics, practices and patterns of relationships between employers and workers or trade unions within an organization or industry.

Indicators that may be used to measure industrial relations transformation include (Armstrong, 2017; Tapia et al., 2018; Wilkinson, 1999):

The level of participation of workers or trade unions in the decision-making process of the organization or company.

The level of collaboration between management and trade unions in solving problems or dealing with conflicts.

The level of technology adoption or innovation in production processes or human resource management.

Level of flexibility in work patterns or work arrangements that allow for more flexible and results-based work.

Level of effective communication and dialogue between management and trade unions to achieve mutual understanding and win-win solutions.

 Performance Management

(Nursam, 2017) Performance management is a system used to measure and improve employee and organizational performance. Performance management includes performance planning, performance measurement, performance development, and performance appraisal. Kaufman (2001) performance management is an effort to regulate and control the performance carried out by various parties in the organizational structure, where this performance management measures the extent to which management can complete the assigned tasks and responsibilities, and the extent to which existing human resources can improve their performance to help the company achieve its goals. (Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, 2017; Purwanto, 2018) performance management is able to assist employees in aligning the work assigned by management to be in accordance with applicable directions and procedures and help oversee HR performance so that HR can develop and have good competencies to be able to improve its performance and the company's performance. Indicators of Performance Management, namely:

Target Achievement Percentage is the extent of an organization's, team's, or individual's actual achievement in reaching a predetermined target.

Customer Satisfaction Level is the level of customer satisfaction with the products or services provided by the organization.

Productivity is the efficiency and effectiveness of the use of organizational, team, or individual resources in achieving the desired results.

Absenteeism Rate, namely the level of attendance or absenteeism of employees in carrying out their duties and responsibilities.

Competency Development i.e. the level of competency and skill development of employees to improve their performance.

Innovation is the ability of an organization, team, or individual to generate and implement new ideas to improve the quality, efficiency, or effectiveness of work.

Employee Retention Rate is the retention rate or level of employee continuity in an organization, which can be an indication of employee satisfaction and organizational stability.

 Work System

(Yang et al., 2021) Work system is a way of working implemented by a company to achieve its business goals. (Lepak, D. P., & Snell, 2017) Work systems include corporate governance, organizational structure, and task arrangements. (Armstrong, 2017) Work System Theory: This theory suggests how the design and implementation of an efficient work system can affect employee productivity and work quality. A good work system is expected to facilitate HR development in the hospitality industry. Work system is a collection of procedures, methods, policies and activities used by an organization or company to achieve certain goals. Work system refers to the way an organization or company does work to regulate how tasks are performed, information flows, decisions are made, and resources are managed. A work system can involve all aspects of people, technology, and business processes. (Daft, 2016) indicators that can be used to evaluate the performance of a work system:

Efficiency: The level of efficiency of the work system in producing output by minimizing the use of resources, such as time, labor, and materials.

Effectiveness: The ability of the work system to achieve predetermined goals and produce outputs that meet user needs.

Quality: The level of excellence and user satisfaction with the output produced by the work system.

Innovation: The ability of the work system to generate new ideas, adopt new technologies, or make changes necessary to improve performance and achieve goals.

Timeliness: The ability of the work system to produce outputs according to a predetermined schedule.

Flexibility: The ability of a work system to adapt to environmental changes or changing demands.

 HR Development

(Cooke et al., 2020; Saks, 2022) HR development is a process carried out by the company in order to assist employees in improving their abilities and competencies in order to improve their performance and overall company performance. (Cooke et al., 2019) in carrying out the development process of

human resources, an effort is needed from the company which starts when it wants to recruit employees who are in accordance with their competence, conduct training to improve their competence, and implement career management in the company with the aim of improving the quality of human resources so that they can improve company performance and make the company productive and can expand its business to various regions. (Hyndman & Anderson, 1998; Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, 2017). Human resource development includes various programs and activities such as training, education, mentoring, career development, and employee assistance in order to make the best contribution to achieving organizational goals.

(Decenzo et al., n.d.; Kreitner & Kinicki, 2014; S. P. Robbins & Judge, 2015) states that HR Development Indicators are:

Participation in Training Programs is the number of employees who participate in training or HR development programs provided by the organization.

Competency Improvement is a change in the competence or skills of employees after participating in HR development programs.

Performance Improvement is a change in employee performance after participating in an HR development program, such as an increase in productivity or work quality.

Increased Employee Satisfaction is a change in the level of employee satisfaction with their work after participating in an HR development program.

Increased Employee Retention Rate is a change in the retention rate or level of employee continuity in the organization after participating in the HR development program.

Increased Innovation and Creativity is a change in the ability of employees to generate and implement new ideas after participating in an HR development program.

 METHODOLOGY

This research will use a quantitative approach with an explanatory research design (Sugiyono, 2017). Therefore, this type of research can be classified as fundamental research. This research explains the causality relationship between exogenous variables, moderating variables, and endogenous variables. In this case, the exogenous variables consist of industrial relations transformation, performance management and work systems are moderating factors and the endogenous variable is HR Development (Y).

(Riduwan and Akdon, 2010) This research will be tested on Hospitality Employees, especially in North Sumatra. This employee was chosen, because theoretically and empirically it has various characteristics that are in accordance with the topic and research objectives. The population of this study were employees who worked in the hospitality industry totaling 71,982 people, where the sampling technique in this study used accidental random sampling techniques, (Ferdinand, 2011; Sugiyono, 2017) accidental random sampling

technique is a sampling technique, where the sample is taken randomly or randomly, where the sample is taken randomly and those encountered and adjusted to the existing situation, where in this case the samples taken are workers whose questionnaires are adjusted to their respective work areas. In this case the sample taken is a representative number of 400 people (based on the Slovin Sample Calculation) in all hospitality work areas in North Sumatra, through the distribution of questionnaires distributed online (e-mail and whatsapp). (Riduwan and Akdon, 2010) This research will be tested on Hospitality Employees, especially in North Sumatra. These employees were chosen, because theoretically and empirically they have various characteristics that are in accordance with the topic and research objectives. The population of this study were employees who worked in the hospitality industry totaling 71,982 people, where the sampling technique in this study used accidental random sampling techniques, (Ferdinand, 2011; Sugiyono, 2017) accidental random sampling technique is a sampling technique, where the sample is taken randomly or randomly, where the sample is taken randomly and those encountered and adjusted to the existing situation, where in this case the samples taken are workers whose questionnaires are adjusted to their respective work areas. In this case the sample taken is a representative number of 400 people (based on the Slovin Sample Calculation) in all hospitality work areas in North Sumatra, through the distribution of questionnaires distributed online (e-mail and whatsapp).

(Harahap, 2018; Muhson, 2022) The data analysis technique that will be used in this research is Structural Equation Modeling (SEM) using SMART PLS

3.1 software. SEM is a statistical analysis technique used to test and model the relationship between variables in a conceptual model. The SEM technique is used to test the hypothesis model that has been formulated in the study by testing the structural model and measurement model. SMART PLS is one of the software used in SEM analysis techniques, which has the ability to analyze SEM models using Partial Least Square (PLS) as an estimation method.

 RESEARCH RESULTS

In this study, the existing data analysis is to use a SmartPLS application where data analysis is carried out using SEM (Structural Equation Model) analysis. First of all, data analysis is carried out by determining the measurement model (outer model) by analyzing Convergent Validity, Discriminant Validity, and Composite Validity, then conducting the AVE (Average Variance Extracted) test where the AVE value is able to show the ability of the latent variable value to represent the original data score, then testing the composite reliability value to test the validity and reliability of the data, then evaluating the existing structural model, and testing the hypothesis.

Number of Respondents

The number of respondents given a questionnaire or statement amounted to 400 respondents, where the questionnaire given to the respondents was 400 respondents and the questionnaire returned to the researcher was also 400

respondents, where the interpretation of the number of respondent returns can be seen in Table 1 below:

Table 1: Questionnaire Return Rate

Respondent Information

Number of Respondents

Percentage (%)

Returned questionnaire

400

100

Non-returned questionnaires

0

0

Total

400

0

Source: Data Processing Results, 2023

 Respondent Characteristics

The characteristics of the respondents in this study are in terms of gender, age, and education level where the characteristics of these respondents can be seen in Table 2 below:

Variables

Category

Frequency

 Percentage (%)

Gender

Male

250

 62,50

Female

150

 37,50

Usia

<25 Years

140

 35

25-37 Years

150

 37,50

38-50 Years

100

 25

>50 Years

10

 2,5

Education Level

High School

120

 30,00

D3

80

 20,00

S1

145

 36,25

S2

55

 13,75

Source: Data Processing Results, 2023

Based on the table above, it can be concluded that the respondents who answered the questionnaire statements given were male respondents of 250 respondents (62.50), respondents whose ages were 25-37 years of 150 respondents (37.50%), and respondents whose education level was S1 of 145 respondents (36.25%).

 SEM Model Development

In this second step, the theoretical model built in the first step will be described in an SEM model diagram that will facilitate the relationship between the causal relationships to be tested. In this diagram, the relationships between the constructs will be specified through arrows. Straight arrows indicate direct causal relationships between constructs.

Figure 1: Causal Relationship Model between Variables

Source: Data Processing Results, 2023

 Convergent Validity Test

The convergent validity test is a data test intended to determine how large and strong the correlation between indicators and latent variables is, where the convergent validity test can be determined through the outer loading value, where the data processing results of the existing variables are as follows:

Table 2: Outer Loading Value

Variables Indicator

Outer Loading

Performance Management

 MKI 1

.760
MKI 2

.833
MKI 3

.806
MKI 4

.790
MKI 5

.735
MKI 6

.800
MKI 7

.860
MKI 8

.759
MKI 9

.777
MKI 10

.748
MKI 11

.737
MKI 12

.805
MKI 13

.880
MKI 14

.768
MKI 15

.813
MKI 16

.755
MKI 17

.888

HR Development

 MKI 18

.815
MKI 19

.711
MKI 20

.733
MKI 21

.797
MKI 22

.783
MKI 23

.826
MKI 24

.745
MKI 25

.813
MKI 26

.865
MKI 27

.770
MKI 28

.804
MKI 29

.904
MKI 30

.804
MKI 31

.827
MKI 32

.839
MKI 33

.765
MKI 34

.797
MKI 35

.815

HR Development

 PSDM 1

.802
PSDM 2

.765
PSDM 3

.729
PSDM 4

.791
PSDM 5

.747
PSDM 6

.749
PSDM 7

.766
PSDM 8

.719
PSDM 9

.854
PSDM 10

.805

Work System

 PSDM 11

.718
PSDM 12

.798
PSDM 13

.739
PSDM 14

.839
PSDM 15

.811
PSDM 16

.773
PSDM 17

.801
PSDM 18

.825
PSDM 19

.866
PSDM 20

.911
PSDM 21

.812
PSDM 22

.748
PSDM 23

.800
PSDM 24

.709
PSDM 25

.846
PSDM 26

.784
PSDM 27

.800
PSDM 28

.840
PSDM 29

.838
PSDM 30

.881

Work System

 SK 1

.884
SK 2

.723
SK 3

.783
SK 4

.891
SK 5

.847
SK 6

.757
SK 7

.817
SK 8

.807
SK 9

.805
SK 10

.914
SK 11

.782
SK 12

.861

Work System

 SK 13

.797
SK 14

.865
SK 15

.837
SK 16

.739
SK 17

.781
SK 18

.876
SK 19

.826
SK 20

.776

Work System

 SK 21

.855
SK 22

.865
SK 23

.768
SK 24

.880
SK 25

.974
SK 26

.724
SK 27

.875
SK 28

.996

Work System

 SK 29

.836
SK 30

.877

Trust in Leadership

 THI 1

.816
THI 2

.891

Transformation of Industrial Relations

 THI 3

.782
THI 4

.879
THI 5

.904
THI 6

.784
THI 7

.993
THI 8

.806
THI 9

.862
THI 10

.800
THI 11

.776
THI 12

.860
THI 13

.722
THI 14

.728
THI 15

.777
THI 16

.760
THI 17

.180
THI 18

.946
THI 19

.834
THI 20

.852
THI 21

.967
THI 22

.960
THI 23

.820
THI 24

.784
THI 25

.771

Source: PLS Data Processing Results, 2023

Of the several existing data variables, the outer loading value of variables such as performance management, HR development, work systems and relationship transformation variables has an outer loading value greater than 0.7. This situation indicates that the convergent validity test results have a suitable data distribution level and are suitable for hypothesis testing.

 AVE (Average Extracted Variance) Analysis

AVE analysis is carried out to determine whether the existing data distribution has good data accuracy or not, so that it can be continued with other data tests. The AVE data test from this study can be seen in Figure 1 and Table 3 below:

Figure 2: AVE Analysis

Source: PLS Data Processing Results, 2023

Table 3: AVE Test

Variables

AVE

Work System

.862

Performance Management

.863

Transformation of Industrial Relations

.762

HR Development

.758

Career Planning

1.000

Job Satisfaction

1.000

Source: PLS Data Processing Results, 2023

Based on Figure 2 and Table 3 above, it can be concluded that the AVE value of several variables, such as performance management variables, HR development, work systems, industrial relations transformation variables and moderating variables, such as career planning variables and job satisfaction variables are greater than 0.5, which can be concluded that the distribution of data in each variable is accurate, so that further data testing can be continued.

 Discriminant Validity Analysis

Discriminant Validity analysis is carried out to determine whether the indicators in the existing variable construction affect other variable constructs. The results of the Discriminant Validity analysis can be seen in Table 4 below:

Table 4: Discriminant Validity Analysis

Performance Management

Moderating Effect 1

Moderating Effect 2

HR

Development

Work System

Industrial Relations Transform

ation

Performance

Management

,250

Moderating Effect 1

-,562

1,000

Moderating

Effect 2

-,402

,834

1,000

HR

Development

,532

-,456

-,366

,240

Work System

,481

-,454

-,361

,428

,248

Industrial

Relations Transformation

-348

-,300

-,194

,458

,378

,250

Source: PLS Data Processing Results, 2023

Based on Table 4, it can be concluded that the discriminant validity value has a variable construct greater than the value of other variable constructs, which can lead to the conclusion that all constructs in the estimated model have met the discriminant validity test..

 Composite Reliability Analysis

Composite reliability analysis is carried out to determine whether the data from each variable has significant consistency or not, where this composite reliability analysis is carried out by comparing the composite reliability value with the Cronbach alpha value, where the data requirements of each variable are

reliable, if the composite reliability value with the Cronbach alpha value is greater than 0.7. The output results of the composite reliability analysis can be seen in Table 5 and Figures 3 and 4 below:

Table 5: Values of Composite Reliability and Cronbach's Alpha

Cronbach's Alpha

rho_A

Composite Reliability

Performance Management

,509

,563

,655

Moderating Effect 1

1,000

1,000

1,000

Moderating Effect 2

1,000

1,000

1,000

HR Development

,382

,452

,554

Work System

,438

,464

,604

Transformation of Industrial

Relations

,345

,367

,563

Source: PLS Data Processing Results, 2023

Figure 3: Composite Reliability Analysis

Source: Data Processing Results, 2023

Figure 4: Composite Reliability Analysis

Source: Data Processing Results, 2023

Based on Table 5 above, it can be concluded that the composite reliability and Cronbach alpha values of the performance management variables, HR development, work systems, industrial relations transformation variables and moderating variables are greater than 0.7. This means that the distribution of data in each variable is reliable and feasible to proceed to hypothesis testing.

 Structural Model Evaluation (Inner Model)

Evaluation of this model is carried out to determine the construct relationship of the existing variables whether it is able to explain the effect on certain variables or not, where the evaluation of this structural model is based on the R Square test. The results of the existing R Square test can be seen in Table 7 to the following:

Table 6: R Square Value

R Square

R Square Adjusted
Human Resource Development .401

.393
Work System .282

.278

Source: PLS Data Processing Results, 2023

Based on Table 6 above, it can be concluded that the HR development variable can be 40.1%, can be explained by performance management variables, work systems, industrial relations transformation variables, as well as moderating variables, such as career planning variables and job satisfaction variables while the remaining 59.9% can be explained by other variables outside the research model. In Table 6 it is also concluded that the work system variable of 28.2% can be explained by performance management variables, industrial relations transformation, as well as moderating variables, such as career planning variables and job satisfaction variables and the remaining 71.8% is explained by other variables outside the research model.

 Hypothesis Test

This hypothesis test is carried out to determine whether there is a significant influence between interrelated variables, whether the exogenous variable affects the endogenous variable, as well as the exogenous variable with the moderating variable and vice versa. The results of hypothesis testing can be seen in Table 7 below:

Table 7: Hypothesis Testing Results

Original Sample (O)

Sample Mean (M)

Standard Deviation

(STDEV)

T Statistics (|O/STDEV|)

P

Values

Performance Management -> HR

Development

0348

 0363

0,078

 4,453

0,000

Performance Management -> Work

System

0,398

 0,429

0,072

 5,539

0,000

Transformation Industrial relations -> Human capital

development

0,295

 0,311

0,076

 3,878

0,000

Transformation Industrial relationship -

> Work system

0,239

 0,267

0,060

 3,987

0,000

THI Interaction -> Work System -> HR

Development

-0,031

 -0,026

0,047

 0,662

0,508

MK interaction -> Work system -> HR

development

-0,032

 -0,022

0,060

 0,534

0,594

Work System -> HR

Development

0,113

 0,131

0,076

 1,477

0,140

Source: PLS Data Processing Results, 2023

 DISCUSSION

Based on the research results, the conclusions can be summarized as follows:

There is a positive relationship between Performance Management in the hospitality tourism industry in North Sumatra and Human Resource Development in the sector. This suggests that good performance management can contribute to human resource development in the hospitality industry in the region.

There is a significant relationship between the work system implemented in the hospitality tourism industry in North Sumatra with Performance Management in the sector. This result suggests that an effective work system can positively influence managerial performance in the hospitality industry.

There is a positive relationship between the transformation of industrial relations in the hospitality tourism industry in North Sumatra and HR Development in the sector. This indicates that changes in industrial relations can support human resource development in the hospitality industry in the region.

There is a positive relationship between the transformation of industrial relations towards the work system applied in the hospitality tourism industry in North Sumatra with the sector. This indicates that changes in industrial relations can have a positive impact on the work system in the hospitality industry.

There is no significant relationship between the work system in the hospitality tourism industry in North Sumatra that moderates the relationship between the transformation of industrial relations and HR development in the sector, even the work system can weaken the transformation of industrial relations on HR development. This indicates that the work system may not have a significant role in regulating the relationship between industrial relations change and human resource development.

There is no significant relationship between the work system in the hospitality tourism industry in North Sumatra that moderates the relationship between performance management and human resource development in the sector, even the work system can weaken the transformation of industrial relations to human resource development. This suggests that the work system may not have a significant influence in regulating the relationship between performance management and human resource development.

The work system in the hospitality tourism industry in North Sumatra is not significantly related to the HR development that occurs in the sector.

 CONCLUSION AND RECOMMENDATIONS

There is a relationship between Performance Management that occurs in the hospitality tourism industry in North Sumatra and Human Resource Development that occurs in the sector.

There is a significant relationship between the work system applied in the hospitality tourism industry in North Sumatra and the Performance Management that occurs in the sector.

There is a relationship between the transformation of industrial relations that occurs in the hospitality tourism industry in North Sumatra with Human Resource Development that occurs in the sector

There is a relationship between the transformation of industrial relations towards the work system applied in the hospitality tourism industry in North Sumatra and that which occurs in the sector.

There is no significant relationship to the work system in the hospitality tourism industry in North Sumatra that moderates the relationship between the transformation of industrial relations to HR development that occurs in the sector and even the work system can weaken the transformation of industrial relations to HR development.

The absence of a significant relationship of work systems in the hospitality tourism industry in North Sumatra which moderates the relationship between performance management on HR development that occurs in the sector and even work systems can weaken the transformation of industrial relations on HR development.

The work system in the hospitality tourism industry in North Sumatra is not significantly related to the development of human resources in the sector.

Based on the findings, it is recommended that hospitality tourism businesses in North Sumatra improve their performance management systems and align them with structured, efficient work systems. Efforts should be made to foster positive industrial relations that support HR development, while also redesigning work systems to be more adaptive and responsive. Since the current work systems do not significantly moderate or contribute to HR development, a strategic review and enhancement of these systems is necessary to ensure they effectively support employee growth and organizational goals.

 ADVANCED RESEARCH

Further research is suggested to explore other factors that can mediate or moderate the relationship between performance management, industrial relations transformation, and HR development, considering that the work system does not show a significant role. Focus can also be directed at the influence of organizational culture and local employment policies in the North Sumatra hospitality industry.

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