YOGYA Department Store as a company in retail business lndustry is operating in a very high competition business. With that kind of competition level the company was enforced to maximized its competitive advantage. Human Resource Management in today economic condition has avery strategic function within a company as one of a scarce competitive advantage that not easy to be copied by the competitor (Pfeffer, 1998).
Human resource as a core of the competitive advantage, should have a related job competencies and also commitments that will guarantee the performance outputs. Meyer & Herscovitch, 2001, describes that commitment to the workplace can take various forms, and, arguably have the potential to influence organizational effectiveness and also employee well-being.
Pfeffer 81 Veiga, 1999, describes 7 (seven) Human Resource Management Practices that always became focus of management attention and as characters of the organization that place its human resource as its competitive advantage. McElroy, 2001, explained the relationship between the 7 (seven) Human Resources Management Practices and the employee commitment.
The objective of this research is to explore the impact of one of the seven Human Resource Management Practices, that is self-managed team decentralization or empowered team, on employee commitment. The object of the research are sales teams at YOGYA Kepatihan Department Store.
Kirkman & Rosen, 1999, explained that the empowered team will be more productive and more proactive comparing to the traditional team that less empowered. The empowered team also has higher level of customer service, job satisfaction, and commitments to the team and the organization.
Marks, Mathieu 81 Zacoaro, 2001, explained that team processes are the means by which members work interdependently to utilize various resources, such as expertise, equipment, and money, to field meaningful outcomes (e.g., product development, rate of work, team commitment, employee satisfaction).
Mathieu, Gilson, and Ruddy, 2006, through their research proved that team processes as the variables that fully mediated the influence of empowerment on outcomes, which one of the outcomes is employee commitment to the organization.
Using 162 sales force as sales team at YOGYA Kepatihan Department Store, the authors tested the model that proposed by Mathieu, Gllson and Ruddy. The result was that some of the dimensions of team empowerment has impact on some of the dimensions of team processes which than has impact on some of the dimensions of the employee commitment.