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All Journal Jurnal Siasat Bisnis Gadjah Mada International Journal of Business Journal of Indonesian Economy and Business Jurnal Manajemen Teori dan Terapan The Asian Journal of Technology Management (AJTM) Binus Business Review JURNAL MANAJEMEN DAN PELAYANAN FARMASI (Journal of Management and Pharmacy Practice) Majalah Farmaseutik Journal of Leadership in Organizations PREPOTIF : Jurnal Kesehatan Masyarakat Journal of Applied Engineering and Technological Science (JAETS) Jurnal Perkeretaapian Indonesia (Indonesian Railway Journal) The South East Asian Journal of Management Business and Entrepreneurial Review International Journal of Management, Entrepreneurship, Social Science and Humanities (IJMESH)
Wakhid Slamet Ciptono
Departemen Manajemen, Fakultas Ekonomika Dan Bisnis Universitas Gadjah Mada
Humanities Civil Engineering, Building, Construction & Architecture Computer Science & IT Control & Systems Engineering Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Education Electrical & Electronics Engineering Engineering Health Professions Industrial & Manufacturing Engineering Law, Crime, Criminology & Criminal Justice Mechanical Engineering Medicine & Pharmacology Public Health Social Sciences Transportation

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Hierarchical level oF managers’ abilities: A Moderator between Quality Management Practices and Company Financial Performance Ciptono, Wakhid Slamet
Gadjah Mada International Journal of Business Vol 9, No 3 (2007): September - December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This study investigates the moderating impacts of hierarchical level of managers’ abilities on the form and strength of all structural relationships between quality management practices and company financial performance. This study describes the structural relationships among the research constructs —six critical factors of quality management practices (quality improvement program, supervisory leadership, supplier involvement, management commitment, training to improve products/services, cross-functional relationships); the contextual factors of oil and gas companies—world-class performance in operations (world-class company practices, operational excellence practices, company non-financial performance); and company financial performance. It uses a sample of 1,332 managers in 140 strategic business units (SBUs) within 49 oil and gas companies operating in Indonesia. The empirical results indicate that the goodness-of-fit of the unconstrained model is much better than that of the constrained model, and this is an indicator that hierarchical level of managers’ abilities moderates all structural relationships among the research constructs. Hence, the hierarchical level of managers’ abilities acts as a moderating variable of the whole model (i.e., among critical factors of quality management practices, world-class company practices, operational excellence practices, company non-financial performance, and company financial performance). It means that the major contribution of the hierarchical level of managers’ abilities is how to make changes in the organizational system. Top level managers’ abilities are deemed the most capable of making significant changes because of their broad sources of power and influence. Conversely, lower level managers’ abilities find it more difficult making significant changes in the system because of bureaucratic control processes that limit their actions —powerlessness or a chronic lack of autonomy. Compared to the hierarchical level of managers’ abilities, the degree of autonomy may be a more comprehensive contribution in reference to managers’ abilities to influence an organizational system. Autonomy may not only act as a person enhancer to increase internal work motivation, but it may also serve to moderate the extent to which individuals are able to significantly influence a system. In addition, involvement and empowerment of all organizational members (including managers) in cooperative and collaborative (interactive) efforts to achieve quality improvements appear to be a key element to TQM. Results further reveal that world-class performance in operations (world-class company practices, operational excellence practices, and company non-financial performance) positively mediates the impact of critical factors of quality management practices on company financial performance. Results also point out that three out of six critical factors of quality management practices are positively associated with world-class company practices and operational excellence practices under the moderating of hierarchical level of managers’ abilities. World-class company practices and operational excellence practices have direct and significant effects on company non-financial performance. Furthermore, empirical results suggest that there is a positive and significant relationship between company non-financial performance and company financial performance.
Sustainability of TQM Implementation Model In The Indonesia’s Oil and Gas Industry: An Assessment of Structural Relations Model Fit Ciptono, Wakhid Slamet; Ibrahim, Abdul Razak; Sulaiman, Ainin; Syed A. Kadir, Sharifah Latifah
Gadjah Mada International Journal of Business Vol 13, No 1 (2011): January-April
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (238.818 KB)

Abstract

This study purposively is to conduct an empirical analysis of the structural relations among  critical factors of quality management practices (QMPs), world-class company practice (WCC), operational excellence practice (OE), and company performance (company non-financial performance or CNFP and company financial performance or CFP) in the oil and gas companies operating in Indonesia. The current study additionally examines the relationships between QMPs and CFP through WCC, OE, and CNFP (as partial mediators) simultaneously. The study uses data from a survey of 140 strategic business units (SBUs) within 49 oil and gas contractor companies in Indonesia.  The findings suggest that all six QMPs have positive and significant indirect relationships on CFP through WCC and CNFP. Only four of six QMPs have positive and significant indirect relationships on CFP through OE and CNFP. Hence, WCC, OE, and CNFP play as partial mediators between  QMPs and CFP. CNFP has a significant influence on CFP. A major implication of this study is that oil and gas managers need to recognize the structural relations model fit by developing all of the research constructs simultaneously associated with a comprehensive TQM practice. Furthermore, the findings will assist oil and gas companies by improving CNFP, which is very critical to TQM, thereby contributing to a better achievement of CFP. The current study uses the Deming’s principles, Hayes and Wheelwright dimensions of world-class company practice, Chevron Texaco’s operational excellence practice, and the dimensions of company financial and non-financial performances.  The paper also provides an insight into the sustainability of TQM implementation model and their effect on company financial performance in oil and gas companies in Indonesia.       
An Alternative to Optimize the Indonesian’s Airport Network Design: An Application of Minimum Spanning Tree (MST) Technique Lusiantoro, Luluk; Ciptono, Wakhid Slamet
Gadjah Mada International Journal of Business Vol 14, No 3 (2012): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

Using minimum spanning tree technique (MST), this exploratory research was done to optimize the interrelation and hierarchical network design of Indonesian’s airports. This research also identifies the position of the Indonesian’s airports regionally based on the ASEAN Open Sky Policy 2015. The secondary data containing distance between airports (both in Indonesia and in ASEAN), flight frequency, and correlation of Gross Domestic Regional Product (GDRP) for each region in Indonesia are used as inputs to form MST networks. The result analysis is done by comparing the MST networks with the existing network in Indonesia. This research found that the existing airport network in Indonesia does not depict the optimal network connecting all airports with the shortest distance and maximizing the correlation of regional economic potential in the country. This research then suggests the optimal networks and identifies the airports and regions as hubs and spokes formed by the networks. Lastly, this research indicates that the Indonesian airports have no strategic position in the ASEAN Open Sky network, but they have an opportunity to get strategic positions if 33 airports in 33 regions in Indonesia are included in the network.     
A SEQUENTIAL MODEL OF INNOVATION STRATEGY—COMPANY NON-FINANCIAL PERFORMANCE LINKS Ciptono, Wakhid Slamet
Gadjah Mada International Journal of Business Vol 8, No 2 (2006): May - August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This study extends the prior research (Zahra and Das 1993) by examining the association between a company’s innovation strategy and its non-financial performance in the upstream and downstream strategic business units (SBUs) of oil and gas companies. The sequential model suggests a causal sequence among six dimensions of innovation strategy (leadership orientation, process innovation, product/service innovation, external innovation source, internal innovation source, and investment) that may lead to higher company non-financial performance (productivity and operational reliability). The study distributed a questionnaire (by mail, e-mailed web system, and focus group discussion) to three levels of managers (top, middle, and first-line) of 49 oil and gas companies with 140 SBUs in Indonesia. These qualified samples fell into 47 upstream (supply-chain) companies with 132 SBUs, and 2 downstream (demand-chain) companies with 8 SBUs. A total of 1,332 individual usable questionnaires were returned thus qualified for analysis, representing an effective response rate of 50.19 percent. The researcher conducts structural equation modeling (SEM) and hierarchical multiple regression analysis to assess the goodness-of-fit between the research models and the sample data and to test whether innovation strategy mediates the impact of leadership orientation on company non-financial performance. SEM reveals that the models have met goodness-of-fit criteria, thus the interpretation of the sequential models fits with the data. The results of SEM and hierarchical multiple regression: (1) support the importance of innovation strategy as a determinant of company non-financial performance, (2) suggest that the sequential model is appropriate for examining the relationships between six dimensions of innovation strategy and company non-financial performance, and (3) show that the sequential model provides additional insights into the indirect contribution of the individual dimensions of innovation strategy (partially mediators) to company non-financial performance —productivity or operational reliability. The findings provide empirical evidence extending the previous model of Zahra and Das. These findings also provide a basis for useful recommendations to upstream and downstream SBU managers attempting to implement a sequential model of innovation strategy —company non-financial performance links. This study shows that upstream SBUs rely on external innovation sources. They will acquire innovation policies through business partnership development (such as Joint Operation Body for Enhanced Oil Recovery or JOB-EOR, Joint Operation Body for Production Sharing Contract or JOB-PSC); licensing agreements (Technical Assistance Contract or TAC, Consortium Cooperation System); or acquisition with other firms (Joint Operating Contract or JOC). In contrast, downstream SBUs emphasize on generating internal innovation sources to develop their own in-house R&D efforts. The downstream SBUs should make extensive policies of internal innovation sources in their attempts to control the distribution of oil-based fuel and transmission of natural gas for domestic and international markets effectively. Both policies would enhance understanding and ultimately contribute to the improvement of company financial performance —sales, net profit margin, return on assets.
Exploring the Linkages Between Deming’s Principle, World-Class Company, Operational Excellence, and Company Performance in an Oil and Gas Industry Setting Ciptono, Wakhid Slamet
Gadjah Mada International Journal of Business Vol 7, No 2 (2005): May-August
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada

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Abstract

This study explores the linkages between Deming’s Principle, World-Class Company, Operational Excellence, and Company Performance in the Indonesia’s oil and gas industry. The aim of this study is to examine the causal relationships model between the Deming’s Principle (DP), World-Class Company (WCC), Operational Excellence (OE), and Company Performance (Monetary Gain Performance or MGP and Value Gain Performance or VGP). The author used 140 strategic business units (SBUs) in 49 oil and gas companies in Indonesia. The survey was administered to every level of management at each SBU (Top, Middle, and Low Level Management). A multiple informant sampling unit is used to ensure a balanced view of the relationships between the research constructs, and to collect data from the most informed respondents on different levels of management. A total of 1,332 individual usable questionnaires were returned thus qualified for analysis, representing an effective response rate of 50.19 percent. Path analysis and structural equation modeling (SEM) are used to analyze the effect of Deming’s principle on company performance and to investigate the interrelationships between Deming’s principle, world-class company, operational excellence, and company performance. The results show that Deming’s Principle has significant positive and indirect effect on company performance (monetary gain performance and value gain performance). Although the Deming’s Principle has no significant direct effects on company performance, the Deming’s Principle has significant positive effects on the intervening variables (world-class company and operational excellence). The result also shows that a complete model fit and the acceptable parameter level that indicate the overall parameter are good fit between the hypothesized model and the observed data. By concentrating on a single industry (oil and gas), SEM specification of the causal relationship model between five constructs can be more complete and specific because unique characteristics of the oil and gas industry can be included (upstream and downstream chain activities). Finally, the particular design of the research and the findings suggest that the structural model of the study has a great potential for replication to manufacturing as well as service operations.
A Causal Relationship between Quality Management Practices, Supply-Chain Practices, Demand-Chain Practices, and Company Performance: Evidence from the Indonesia’s Oil and Gas Industry Ciptono, Wakhid Slamet
Journal of Indonesian Economy and Business Vol 21, No 1 (2006): January
Publisher : Journal of Indonesian Economy and Business

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Abstract

Studi ini mengembangkan suatu hubungan kausal antara lima konstruk penelitian QualityManagement Practices (QMP), Supply-Chain Practices (SCP), Demand-Chain Practices (DCP), CompanyPerformance (Value-Gain Performance atau VGP dan Monetary-Gain Performance atau MGP) denganmenggunakan Structural Equation Modeling (SEM)—studi kasus pada industri migas di Indonesia. Modelkonseptual penelitian ini merupakan kolaborasi dari berbagai penelitian sebelumnya yang terkait denganenam dimensi praktik manajemen kualitas berbasis Deming’s 14 points sebagai variabel independen,manajemen rantai pasokan yang terintegrasi (sektor hulu dan sektor hilir migas) sebagai variabel mediator,dan kinerja perusahaan (non keuangan dan keuangan) sebagai variabel dependen.Berdasarkan model struktural akhir menunjukkan paraktik manajemen kualitas (QMP) memilikipengaruh positif lebih besar ke praktik rantai pasokan (SCP) daripada ke praktik rantai permintaan (DCP).QMP berpengaruh langsung ke kinerja non keuangan perusahaan (VGP) dan tidak berpengaruh langsungke kinerja keuangan perusahaan (MGP). QMP juga berpengaruh tidak langsung ke MGP melalui SCP,DCP, dan VGP. DCP berpengaruh langsung lebih besar ke VGP daripada ke MGP, sedangkan SCP hanyaberpengaruh langsung ke VGP. Hasil hubungan kausal antar lima konstruk penelitian memberikangambaran bahwa perusahaan migas di Indonesia perlu mempertimbangkan kinerja non keuangan (VGP)untuk meningkatkan kinerja keuangan perusahaan (MGP). Sebagai contoh kaitannya dengan ketepatanwaktu pasokan dan dsitribusi merupakan faktor kunci untuk perbaikan secara sistemik.Hasil model struktural akhir didukung oleh nilai X2/df, GFI, AGFI, CFI, RMR, RMSEA, P, ECVIyang secara simultan menunjukkan the best fit to the data. Hasil ini memberikan kontribusi bahwa modelpenelitian ini sangat berpotensi untuk dilakukan studi replikasi baik untuk industri manufaktur maupunjasa. Penelitian berikutnya perlu membuktikan persamaan dan perbedaan antara industri manufaktur danjasa melalui model struktual dari industri migas di Indonesia. Bagi pihak manajemen perusahaan migas diIndonesia, hasil penelitian ini bisa digunakan untuk membuat skala prioritas perbaikan terpadu. Sebagaicontoh dengan penerapan UU Migas yang baru UU (Nomor 22/2001), bagaimana suatu perusahaan migasmampu mengoptimalkan perannya (sektor hulu atau sektor hilir atau kombinasi keduanya) denganmenyeimbangkan orientasi kebijakan peningkatan kinerja berbasis non keuangan (VGP) dan keuangan(MGP) secara simultan.Keywords: Quality Management Practices, Supply-Chain Practices, Demand-Chain Practices, Value Gain Performance, and Monetary Gain Performance
APPLICATION OF DELPHI METHOD IN PRIORITIZATION OF CRITICAL SUCCESS FACTORS OF TQM FOR THE INDONESIA’S OIL AND GAS INDUSTRY Ciptono, Wakhid Slamet
Journal of Indonesian Economy and Business Vol 20, No 3 (2005): July
Publisher : Journal of Indonesian Economy and Business

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Abstract

The study describes the use of the policy Delphi method in building consensus for theprioritization of critical success factors of TQM (CSFs of TQM). The use of multi attributedecision analysis for supporting the qualitative data analysis (multifactor evaluationprocess, analytic hierarchy process, and NVivo) has been considered the foremosttechnique for examining the manages needs and the weightings of preferences from thepanel of managers for each CSFs of TQM in the most objective way available. Two roundof Delphi surveys were conducted. A significant consensus on the weighted evaluation ofthe six CSFs of TQM and the consistency ratio were obtained from twenty managers. Theresults vividly reveal that the Delphi method is a powerful and appropriate technique forderiving objective opinions in a rather subjective area such as the multi-attribute model for the prioritization of the CSFs of TQM.The results of qualitative data analysis (using MFEP) indicate that training to improveproducts/services provides the first priority (the weighted evaluation 0.184; 0.224; and0.169 for top level managers, middle kevel managers, and low level managers); followed by Quality Improvement, Top Management Commitment, Supplier Involvement, Cross-Functional Relationships among SBUs, and Supervisory Leadership.In addition, the qualitative data analysis (using AHP) also provides a set of sufficientlyconsistent CSFs of TQM was obtain after the second round of Delphi questionnaire. Theresult of consistency ratio (CR) shows that the managers had highly satisfactory inassessing the prioritization of CSFs of TQM (CR = 0.0456). Therefore, these CSFs of TQMwere supported the results from the quantitative data analysis.Oil and gas managers in Indonesia can use these qualitative data results in concertwith other critical quality management practices to help them in there word-class company initiatives. The researcher recommended the use of Delphi method as an objective and rigorous determining consensus. Researchers can also use this method to combine qualitative and quantitative research approaches into mixed methodology or triangulation.Keywords: Delphi Method, Qualitative Data Analysis, Critical Success Factors of TQM,Multifactor Evaluation Process, Analytic Hierarchy Process, and NVivo.
Levels of Management Commitment: A Moderator the Structural Relationships among Critical Success Factors of TQM, World-Class Performance in Operations, and Company Financial Performance Slamet Ciptono, Wakhid
The Asian Journal of Technology Management (AJTM) Vol 1, No 2 (2008)
Publisher : School of Business and Management Institut Teknologi Bandung

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Abstract

This study investigates the moderating impacts of the three levels of management commitment (top, middle, and low levels) on the structural relationships among the constructs— six critical success factors of TQM (quality improvement program, supervisory leadership, supplier involvement, management commitment, training to improve products/services, cross-functional relationships); world-class performance in operations (world-class company practices, operational excellence practices, company non-financial performance); and company financial performance. It uses a sample of 1,332 managers in 140 strategic business units (SBUs) within 49 oil and gas companies in Indonesia. The empirical results indicate that the goodness-of-fit of the unconstrained model is much better than that of the constrained model, and this is an indicative that the three level of management moderates the structural relationships among the constructs. Those are, three levels of management act as a moderator variable between critical success factors of TQM, world-class company practices, operational excellence practices, company non-financial performance, and company financial performance. Results further reveal that world-class performances in operations (world-class company practices, operational excellence practices, and company non-financial performance) were positively mediated the impact of critical success factors of TQM on company financial performance. Results also point out that five of six critical success factors of TQM positively associated with world-class company practices and operational excellence practices under the three levels of management (top, middle, low). World-class company practices and operational excellence practices have direct and significant effects on company non-financial performance (productivity, operational reliability). Furthermore, empirical results suggest that there is a positive and significant relationship between company non-financial performance and company financial performance. Implications, limitation and lines of future research are discussed.Keywords: Company financial performance, critical success factors of TQM, world-class company practices
Ketahanan Bisnis Perkeretaapian di Masa Pandemi COVID - 19 Kurniawan, Dwi Ardianta
Jurnal Perkeretaapian Indonesia (Indonesian Railway Journal) Vol 5 No 2 (2021): Jurnal Perkeretaapian Indonesia Volume 5 Nomor 2 Tahun 2021
Publisher : Politeknik Perkeretaapian Indonesia Madiun

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.37367/jpi.v5i2.156

Abstract

The COVID-19 pandemic has resulted in decreasing on volume and revenue railway passenger in Indonesia by around 53%, while freight transport has decreased by about 5% compared to 2019. Policies that can be implemented to overcome the impact of a pandemic include Operational Optimization based on operating efficiency, and Pandemic Adaptation based on minimizing 3C conditions. (Closed Space, Crowded Place, Closed Contact Setting). The impact of implementing the policy needs to be simulated its effect on operating costs (BO) and operating income (PO). The results of the comparison of PO and BO values, hereinafter referred to as POBO, are an indicator of how strong the railway business is able to survive during a pandemic. A POBO value above 1.0 indicates that the business is still able to reach the Break Event Point (BEP), which means that the operator is able to achieve revenue equivalent to costs (fixed and variable). The critical point of railway operation occurs at the shutdown point, which indicates that revenue cannot cover fixed costs. At the shutdown point, it is feared that the railway business will stop. The calculation results show that the POBO values of the two policies are 1.08 (optimization policy) and 1.09 (pandemic adaptation policy). This profile shows the resilience of the railroad business at the threshold value of the Break Event Point (BEP), far below the POBO value in previous years. This shows that the impact of the pandemic is very significant on the company's cash flow. The critical point for the shutdown point occurred in the volume of goods and passengers by up to 40% compared to the volume in 2019. This volume was lower than the basic calculation, namely passenger volume of 50.5% - 55.5%; and the volume of goods by 81.5% compared to the volume in 2019. This figure shows that the railroad business still has resilience before experiencing a critical shutdown point.
Sustainability of TQM Implementation Model In The Indonesia’s Oil and Gas Industry: An Assessment of Structural Relations Model Fit Wakhid Slamet Ciptono; Abdul Razak Ibrahim; Ainin Sulaiman; Sharifah Latifah Syed A. Kadir
Gadjah Mada International Journal of Business Vol 13, No 1 (2011): January-April
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (238.818 KB) | DOI: 10.22146/gamaijb.5491

Abstract

This study purposively is to conduct an empirical analysis of the structural relations among  critical factors of quality management practices (QMPs), world-class company practice (WCC), operational excellence practice (OE), and company performance (company non-financial performance or CNFP and company financial performance or CFP) in the oil and gas companies operating in Indonesia. The current study additionally examines the relationships between QMPs and CFP through WCC, OE, and CNFP (as partial mediators) simultaneously. The study uses data from a survey of 140 strategic business units (SBUs) within 49 oil and gas contractor companies in Indonesia.  The findings suggest that all six QMPs have positive and significant indirect relationships on CFP through WCC and CNFP. Only four of six QMPs have positive and significant indirect relationships on CFP through OE and CNFP. Hence, WCC, OE, and CNFP play as partial mediators between  QMPs and CFP. CNFP has a significant influence on CFP. A major implication of this study is that oil and gas managers need to recognize the structural relations model fit by developing all of the research constructs simultaneously associated with a comprehensive TQM practice. Furthermore, the findings will assist oil and gas companies by improving CNFP, which is very critical to TQM, thereby contributing to a better achievement of CFP. The current study uses the Deming’s principles, Hayes and Wheelwright dimensions of world-class company practice, Chevron Texaco’s operational excellence practice, and the dimensions of company financial and non-financial performances.  The paper also provides an insight into the sustainability of TQM implementation model and their effect on company financial performance in oil and gas companies in Indonesia.       
Co-Authors Abdul Razak Ibrahim Abdul Razak Ibrahim Ainin Sulaiman Ainin Sulaiman Anny Kartika Sari Azizah, Novianti Fatli Bambang Setiawan Budi Wiryawan Budi Wiryawan Cindhany Darmaria Faridhah Utami Mala Diah Retno Wulandaru Firdaus, Wangi Hardi, Amirullah Setya Heru Kurnianto Tjahjono Ibnu Gholib Gandjar Ibnu Gholib Gandjar Ihwan Addin Mufaqih Jatmiko Jatmiko Kressy Arba Yuniar Lukman Hakim Lukman Hakim Luluk Lusiantoro Luluk Lusiantoro Mala, Cindhany Darmaria Faridhah Utami Michelle Ferdinand Mulia Apriani Im Novianti Fatli Azizah Nurul Indarti Rofi'atun Suryani Satibi Satibi Satibi Satibi Satibi Satibi Sharifah Latifah Syed A. Kadir Sharifah Latifah Syed A. Kadir Suryani, Rofi'atun SUSANTO, ELY Tahir, Hadijah Tria Putri Noviasari Wresni Anggraini Yeremias, Torontuan Keban Yuniar, Kressy Arba