Relationship Between Internal Market Orientation and Organizational Effectiveness : A Case Study of Mandir and Danamon Banks in Gorontalo Indonesia

This research is attempts to develop a deeper understanding of Internal Market Orientation (IMO) in general and the dimension of IMO that could influence the Organizational Effectiveness (OE) of Mandiri and Danamon banks in Gorontalo. Presently, banks become the trusted major organization of the peoples who will invest their money, and for making financial transactions. The role service becomes the important factor in banks operational. Based on the objective of this study, the concepts of IMO are adopted for this study. The IMO are useful to improve human resources capabilities in organization by understanding the need and wants of employees and provides appropriate information through employees in order to perform their task in organization. This study provides several hypotheses to investigate the dimensions of IMO that affects the organizational effectiveness. Based on the finding, two hypotheses were accepted, where else two was rejected. The result showed that Information dissemination was the most influential variable that affects organizational effectiveness of Mandiri and Danamon banks in Gorontalo, and Informal information dissemination was the second influential variables that affect organizational effectiveness of Mandiri and Danamon banks in Gorontalo. The Formal information generation and Responsiveness have a negative influence toward organizational effectiveness. The implications of findings are explored further.