The Relationships between Digital Culture and Human Capital Readiness in Era 4.0 towards Employee Performance in PT Kereta Api Indonesia (Persero)

Abstract

Industry 4.0, as defined by the disruptive innovation phenomenon, focuses on digital economic patterns, artificial intelligence, big data, and robotics. The Indonesian Ministry of Industry pushed aggressively for the development of “Industry 4.0.” PT Kereta Api Indonesia (Persero) is a technologically literate company, which indicates that their workplace is shaped and influenced by digital tools and technologies. PT KAI has three big technology-based projects in the works. The 105MT Sumbagsel, LRT Jabodebek, and Kereta Cepat Jakarta-Bandung are the three strategic plans. Presidential Regulation (Perpres) No. 98 of 2015 on the Acceleration of Integrated Light Rail Transit in the Jakarta, Bogor, Depok, and Bekasi Areas, which controls the development of transportation services to assist national growth, sparked the LRT Jabodebek project. Under Presidential Decree 93 of 2021, the government designated PT Kereta Api Indonesia (Persero) as the leader of the SOEs consortium for the KCJB project. PT Kereta Api Indonesia (Persero) has established digital cultures and executed human capital digital readiness in their organizations to assist their employees in doing work, acquiring information, and communicating. While employees must perform effectively with all of these new technologies, the implementation of digital culture in PT KAI is generally excellent but not perfect. Some staff are still unfamiliar with digitization and are finding it tough to adapt. To address the challenges of the 4.0 Industry, the relationship between digital culture, human capital digital readiness and employee performance in PT KAI should be examined. It’s also because an ideal digital culture and human capital digital readiness can improve employee performance. This study employed quantitative methods and data processing by SPSS 27. According to the data, there is a favourable and statistically significant association between digital culture, human capital digital readiness, and employee performance.