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The Indonesian Journal of Business Administration
Published by Institut Teknologi Bandung
ISSN : -     EISSN : -     DOI : -
Core Subject : Science,
Decision Sciences, Operations Research & Management
The Indonesia Journal of Business Administration(IJBA) is a business journal that bridges the gap between business research and practice, evaluating and reporting on new research to help readers identify and understand significant trends in their fields. The IJBA seeks to publish papers relating to business, broadly defined. It publishes articles that address both theoretical and practical issues in the broad areas of Business Strategy and Marketing, People and Knowledge Management, Entrepreneurship and Technology Management, Decision Making and Strategic Negotiation, Operation and Performance Management, and Business Risk and Finance.Contributing academicians and researchers are encouraged to address a variety of concerns relating to all areas of business. We also encourage students to use an interdisciplinary approach to analyzing a topic, which often yields interesting and novel papers. The published articles provide valuable insight into matters of broad intellectual and practical concern to academicians and business professionals. The Journalis published three times a year: in April, July and October. The journal is mainly an outlet of MBA ITB students to publish their final project works, although it also accepts articles written by students at masters level from other institutions. A published paper is an honor that will be unambiguously beneficial for professional and academic careers, especially for those who want to attend graduate/professional schools. This means that papers written in relations to Accounting, Economics, Finance, Marketing, Management, Operations Management, Information Systems, Business Law, Corporate Ethics, and Public Policy all qualify for submission. Information on the journal format can be found in the journal's website. The number of pages must be at 10 pages. After published, the journal article will be available electronically at the journal's website. Print ISSN: 2252-3464; Online ISSN: 2252-9284
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Articles 1,144 Documents
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Analysis of The Balanced Scorecard Implementation at Divisional Level in PT KPC to Rebuild Contextual Map for MOD Performance Management System Meiliza, .; Wibisono, Dermawan
The Indonesian Journal of Business Administration Vol 4, No 10 (2015)
Publisher : The Indonesian Journal of Business Administration

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Abstract

Abstract – The Balanced Scorecard is one of Performance Management System invented by Kaplan and Norton that is widely used in many companies in the world. KPC (PT. Kaltim Prima Coal) started the Balanced Scorecard implementation at the end of year 2013 in three divisions; one of them was Mining Operation Division (MOD). But, according to observation during one year of implementation at the end of year 2014, it seemed that MOD management never used the Balanced Scorecard for performance review. Thus, a study was conducted to seek and analyze the root causes of the problem. In this study, researcher used purposive sampling because those being interviewed were chosen based on their position in the company. Primary data was gathered by doing interviews and discussion. Meanwhile, the sources of secondary data were company’s historical documents regarding Balanced Scorecard implementation in KPC.During interviews and discussions, it was concluded that there were three main aspects which caused the balanced Scorecard implementation failure. Current Balanced Scorecard strategy map, software used for scorecard automation, and implementation process itself were three main aspects that were being analyzed. The analyses results showed that there were three root causes of the problem; those were incomplete strategy map structure, limited software capability, and premature implementation. To solve the problem researcher suggests MOD to rebuild its current MOD Balanced Scorecard strategy map and modify software setting to solve limited software capability. The researcher also suggests MOD to involve personnel from other divisions which activities are related to MOD activities.
Proposal for Supplier Relationship Management at PT XL Axiata Tbk Pratama, Aji Nugraha; Yudoko, Gatot
The Indonesian Journal of Business Administration Vol 2, No 17 (2013)
Publisher : The Indonesian Journal of Business Administration

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Abstract

The telecommunication industry in Indonesia is growing rapidly in the last fifteen years. The habit slowly changed from voice and short messaging service into data. Nowadays, the challenge for the telecommunication company is to provide good quality of network. To fulfill the challenge, XL has been developing a partnerships scheme with suppliers and has been creating a performance measurement to keep partnerships work in the right path. The last supplier performance measurement report shows that the result is not meet the target. The unsatisfying result show that something wrong in the partnership with supplier. To find the core problem, this paper uses a Current Reality Tree (CRT) method. Based on CRT analysis, the core problem that arises is poor coordination. To eliminate core problem, a strategy is created. Strategic Supply Management is used as a framework to create strategy in eliminating core problem. Four critical enablers in the strategic supply management are analyzed to find solution for the problem. Those four critical enablers are organizational design, supply measurements, information systems, and human resources. The suggested and recommended solution based on analysis are improvement in business process, developing responsibility assignment matrix (RAM), create web-based application, and developing skill and knowledge people in supply organization.Keywords: telecommunication industry, supplier relationships, current reality tree, supply management
The Development of Strategic Innovation in Mature Company Case Study: PT. Pryda Indonesia Hermawan, Christine; Hamsal, Mohammad
The Indonesian Journal of Business Administration Vol 1, No 8 (2012)
Publisher : The Indonesian Journal of Business Administration

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Growing opportunity in construction industry is no longer making PT. Pryda Indonesia experience growth. Revenue decline and the fading of company’s glory time put the company in mature stage that almost reach declining stage. The journal is made to find the root cause that make the revenue decline and recommend to arrange strategic innovation to solved PT. Pryda Indonesia’s problem. The framework to conduct strategic innovation is started with external analysis, internal analysis, and SWOT analysis to find the root cause of the problem. Unsuited STP become the root cause of the problem, because the company cannot compete with both lower price segments and high price segments and the company cannot also fulfill market needs and wants. Finaly, implementation plan is made to be started in January 2013. Keyword: Mature Company, PT. Pryda Indonesia, Strategic Innovation
Design and Implementation Plan of Process and Team Based Organization in Information Technology Division in Bank Central Asia Pramudita, Angga; Welly, John
The Indonesian Journal of Business Administration Vol 4, No 7 (2015)
Publisher : The Indonesian Journal of Business Administration

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Abstract – Bank Central Asia is one of the biggest private bank in Indonesia and is known for the its most innovative information technology service. Future banking competition will definitely require information technology as the main element. Branchless banking, digital channel, mobile banking are all IT related banking service which will be the next trend. In todays business, competitive advantage and technology are easily imitated by the competitors, and change happens very frequent and fast. Bank Central Asia should invest in its organization capabilities instead of gaining competitive advantage in its business model and strategies to adapt the very fast changing business environment. In the future, innovation in IT banking services will not dominantly be totally new products but in the form of process or service innovation. With the high demand of process based IT projects, more demand from business units to deliver variative, parallel, and complex IT related projects, GSIT as the IT division in Bank Central Asia has to adapt itself with the upcoming business needs and business environment. To grow and adapt itself with the process innovation environment, GSIT as an organization has to place itself in the business process level mindset, not the functional or products based organization structure. To absorb abundant IT projects with specific requirements and characteristics and to be self directed with minimal intervention from managements, GSIT needs to adopt team based organization concept with balanced and proper team and job design. The holistic framework of process and team based organization is hoped  to accommodate resources management in GSIT which is now growing into a massive IT organization. For the transformation to process and team based organization be successful and effective, strategic and sound implementation plan with short implementation duration and proper evaluation framework is designed along with skilled, competent, and experienced agent of changes such as senior IT managers, senior HCM managers, external OD consultants, business solution unit, and project management unit. The entire transformation process is covered by DICE framework and General Model Of Planned Change which are tools to guide and measure organization intervention process. Keywords: team based organization, process based organization, business process, project management, organization resources management, organization development, process innovation, process based IT projects
Human Resources Intervention Impact on Badan Pemeriksa Keuangan Auditors' Motivation Aryanto, Muhammad Reza; Welly, John
The Indonesian Journal of Business Administration Vol 2, No 14 (2013)
Publisher : The Indonesian Journal of Business Administration

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Bureaucracy reform that happens in BPK is intended to create high performing government. However, BPK still have issues on HR management system, especially on performance appraisal process or MAKIN. MAKIN in BPK hasn’t been a base for compensation for an employee and hasn’t adopted the best practice. Good organizational performance comes from the auditors’ positive behavior. The behavior can be built by improving motivation, enhancing ability, and conquer environmental obstacle. This research will focus on improving employee motivation and try to apply HR interventions as a solution. The research shows that performance appraisal, coaching and mentoring, management and leadership development, reward system, and career planning and development interventions which have 40.96%, 6.45%, 4.43%, 2.30%, and 1.84% effect on auditors’ motivation. Therefore the solutions’ implementation are policy formulation for performance appraisal process improvements, career development based on performance appraisal, compensation and promotion based on performance appraisal, and improvements for employee participatory in organizational goal setting; develop IT database system for MAKIN; create training for performance appraisal raters; career counseling program; and coaching and mentoring program. Keywords: organizational effectiveness, bureaucracy reform, performance appraisal, motivation
Growth Strategy for Kampung Sumber Alam Hot Spring Resort Pratama, Putra Samodra; Wibowo, Satya Aditya
The Indonesian Journal of Business Administration Vol 1, No 5 (2012)
Publisher : The Indonesian Journal of Business Administration

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Abstract

The tourism industry is predicted to become one of the biggest industries in the world with estimation of total expenditure of USD 2.000 billion in 2020. As for Indonesia, the number of domestic tourist visits have reach 1,9 billion and 6,63 billion for international tourist visits. Garut as one of the Indonesia’s tourist attraction also experience this increasing number with Cipanas hot spring attraction as the significant contributor. Kampung Sumber Alam Hot Spring Resort (KSA) is a hot spring resort in Cipanas with 25 years of experience in the industry and has been the market leader since.The business performance of KSA has been good for the last many years in the term of market position and profit. But now with the growing condition of the industry will make the industry become more attractive and make the environment and industry will keep changing in the term of the markets, consumers, and especially the competitors. This condition makes KSA need to think about strategies for the future in order to maintain its market position while at the same time seizing the opportunities of the growth of the industry.The focus of this final project is to find strategies solutions that would able to help KSA to grow in the future so that it can deal with the changing environment and industry conditions while at the same time seizing the opportunities.To respond to these conditions some strategy recommendations are proposed. The generating process of the strategies is using literature study method. The strategies that generated are Corporate Strategy- Growth Strategy, SPACE Matrix, Innovation Strategy, Creative-based Tourism, Eco-tourism, Customer Service Strategy – Human Resource Strategy, and Pause/ Proceed with Caution Strategy. Keywords: tourism, hospitality industry, Cipanas, Garut, hot spring resort, growth strategy. 
Analysis of Human Resources Readiness through ADKAR, Management Commitment and Specific Competence Approach in Support Transformational Era PT KAI Febriwan, Muhamad; Bangun, Yuni Ros
The Indonesian Journal of Business Administration Vol 2, No 11 (2013)
Publisher : The Indonesian Journal of Business Administration

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PT Kereta Api Indonesia performs the transformation towards the service orientation in order to keep survive in its business environment. Human resources readiness of supporting the transformation is determinative without it, the company will fail in transformation and pursuing the business target. This applied ADKAR (awareness, desire, knowledge, ability and reinforcement), management commitment (organization support, reward, empowerment and training) and specific competencies (hospitality competencies based benchmarking results) and (5 based values as competencies). As an approach to analyze human resources readiness variables of behavior to change that consist of consists of the belief, attitude and motivation were tested and analyzed by applying path analysis model. Path analysis showed that the two factors had strong relations with behavior toward change, and that ADKAR and specific competencies (5 based values) were highly influential.  Descriptive analysis and path coefficient matrix led to discovery among the three factors should be considered by management of PT KAI to prevent failure in transformation. The indicators should be improved, developed and maintained to stimulate the person’s readiness of PT KAI.      Keywords: PT Kereta Api Indonesia, Human Resources Readiness, Behavior to Change, service orientation.
Managing Growth of Clinic Livia A Skin-Care Clinic Business Nugraha, Giovanni Sakti; Paramarta, Riawan B
The Indonesian Journal of Business Administration Vol 1, No 1 (2012)
Publisher : The Indonesian Journal of Business Administration

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In Indonesia, demand for skin-care clinic has rose substantially along with the climb of their economic condition and citizen welfare. This happens because economic growth has major effect in increasing numbers of middle-class citizen who plays an important role as the main target of skin-care clinic business. Middle class citizen in Indonesia has grown from just 37.7% of population to 56.5% in 2010.Clinic Livia, a skin-care clinic located in Jakarta has enjoyed substantial growth within the past 5 years. Their sales has reached 2,000 patients per month and with around 100 employees on their rank shows that this business has developed significantly since first established in 1996.However other than benefits, growth can also cause problems that company should anticipate and address properly. Unfortunately, Clinic Livia still have difficulty in managing problems that was caused by their growth. To address this situation, thorough analysis is necessary to find the root-cause and subsequently build the solution.The analysis process found that main problem of Clinic Livia was identified as lack of good strategic planning. Other than that, Clinic Livia also doesn't currently have marketing division who supposed to be responsible in predicting and preparing for growth. For that purpose this paper suggests a strategic plan for Clinic Livia as a strategic foundation and proposal to create a dedicated marketing division.Keywords: marketing, skin-care clinic, small-to-medium enterprise
Implementation of Stock Inventory Policy in Indonesia PSC Contract : A Critical Review to Minimize Surplus and Dead Stock Inventory in order to Optimize Government of Indonesia Revenue Yoewono, Erie; Nizar, Adirizal
The Indonesian Journal of Business Administration Vol 2, No 4 (2013)
Publisher : The Indonesian Journal of Business Administration

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Upstream oil and gas industry is vital to Indonesian economy, more than 30% of states revenues generated from the sale of crude oil and natural gas. Government of Indonesia (GOI) is the holder of mining rights and in practice can delegate the mining rights to both local and foreign contractors to be managed in the form of production sharing. This model known as Production Sharing Contract (PSC). One of the feature of PSC contract is the reimbursement on costs incurred by the contractors in their oil and gas operations. Since 2000, oil production continues to decline, while the number of cost recovery for producing oil and gas continue to climb. The higher the cost recovery, the lower GOI share will be. Therefore, controlling the number of cost recovery needs to be done comprehensively so that the savings can be distributed to the welfare of Indonesian people. So far, BPMIGAS has made many efforts, such as joint-rig procurement, reduction of the number of expatriates, reduction of employee benefits, and many others. But there is one function that often overlooked, which lies in logistics function. This study attempts to identify the causes of surplus and dead stock material arise from logistics function in contractors, and to find the most appropriate solutions to reduce excessive buildup of materials in the future. Studies conducted using surplus and dead stock balance as of December 2011 to describe the actual condition. The combination of primary data, (field observation and interviews to respondents from the contractor and BPMIGAS) and secondary data (journals, books, papers, annual reports, monthly report) was performed to obtain comprehensive analysis. Based on data collection, there are two main causes of surplus and dead stock which are PSC contracts provision that allow non-capital inventory to be charged at the time the materials arrive in Indonesia, the other main cause is the lack of integrated system in material management combined with no uniform material codification among the contractors, thereby reducing the effectiveness of material transfer as a mean of optimizing the movement of assets. Subsequently, several alternative solutions are examined to obtain the optimal solution for controlling the rate of surplus and dead stock in the future. These include: consignment/vendor managed inventory, parts pooling, application of bar code and Radio Frequency Identification (RFID), to outsourced the logistics function, implementation of OEM parts, etc. Of the many alternatives that were examined, change the PSC term at the contract-renewal proposal  by the contractor and, and develop an integrated material management application which include codification can be implemented as the most effective way to mitigate the build up of excess materials in the future. In the end, savings from cost recovery will be greater because procurement of new material can be reduced. Keywords: inventory management, cost recovery, the oil and gas industry
Risk Management-Based Internal Audit for Auditor to Improve The Performance of Internal Audit Unit of PT Timah (Persero) Tbk Bura, Esther; Wiryono, Sudarso Kaderi
The Indonesian Journal of Business Administration Vol 2, No 16 (2013)
Publisher : The Indonesian Journal of Business Administration

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PT. Timah (Persero) Tbk. is a holding company whose primary activity is related to tin mining operations and services marketing  products of their business group. During company's time course and development, PT.Timah (Persero) Tbk. Internal Audit Unit/SPI, as the internal audit executor, always face demands of dynamic personnel professionalism and working capacity in all conditions. Related to challenges in the process of task implementations and internal audit function, interrelation between risk management and internal audit was obtained. Therefore, it is unavoidable for internal audit activity to use risk management process. From a comparative study of  3 (three) domestic as well as foreign companies is PT Petrokimia Gresik, PT Sucofindo and Turk Tellekom (Turki), strong link was found between risk management and internal audit and their roles in improving internal audit of those companies.  Moreover, based on analysis results of PT.Timah (Persero) Tbk.'s role in carrying out its function and part, by using qualitatively-based research methodology, it was found that there were some weaknesses that could potentially reduce internal audit effectiveness and efficiency. Hence, a suitable approach of the application of risk management-based internal audit was proposed in form of a business solution for the internal audit unit of PT. Timah (Persero) Tbk. Benefits of the application was provided with reference to those 3 (three) domestic and foreign companies that have applied the approach. Keywords: Risk, Risk Management, Audit, Audit Internal

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