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The Indonesian Journal of Business Administration
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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
Scenario Planning Development for PT Krakatau Steel
The Indonesian Journal of Business Administration Vol 1, No 3 (2012)
Publisher : The Indonesian Journal of Business Administration

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Abstract

The current business environment showing trends of many factors that relating to steel industry has dynamic changes that cannot be predicted only with linear forecasting method. Some of these, especially in external factors like political, economical, social, environmental, and technological has its impact and their level of uncertainties. The study objective is to develop scenarios to give an overview of the future market situation in Indonesian steel industry and all driving forces that have an impact to this industrial sector then used it as a tool to make any strategic decision for PT Krakatau Steel. As a leader in domestic steel market, PT Krakatau Steel, a State Own Enterprise steel company, now began to expand their business by making several strategic projects which marked with their decision to be a public company in 2010. With their momentum to prepare the future business environment, a study was conducted in PT Krakatau Steel in 2012 to analyzed their business issues and seek the major driving forces that have the most impact with high level of uncertainty to the firm. Three critical driving forces has been found as the axes of the uncertainty matrix in scenario planning, which is global steel price, government support, and realization of national economic development plans. By having scenarios, the firm can see both implications and options in future situation and aligned it with corporate strategic road map with monitoring process to see the shift of each scenario in their early warning signs. Keywords: Scenario Planning, Strategic Decision Making, Steel Industry, PT Krakatau Steel.
Proposed Recording System of Materials Usage in Say Cheese Restaurant
The Indonesian Journal of Business Administration Vol 3, No 10 (2014)
Publisher : The Indonesian Journal of Business Administration

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Abstract - Say Cheese is a start up restaurant that struggling to survive in the very competitive restaurant business in Jatinangor. The problem facing the Say Cheese is the inaccuracy of recording the materials usage. Poor accuracy of materials usage record, requires more capital and make it difficult to conduct right pricing strategy. This study aims to find out what is causing inaccuracies in recording the materials usage on Say Cheese, and what the solution to resolve the recording inaccuracies. This study uses Inventory Record Accuracy (IRA) methods to measure the actual accuracy of materials usage records in Say Cheese. Then by ishikawa diagram, the root causes for these inaccuracies are defined. To resolve the the root causes, the solution are selected from solutions alternative using “Decision Matrix”. The results show the accuracy for recording the materials usage in Say Cheese is poor, mainly because the system for recording are still manual, relies heavily on the actions of people to do the recording. Making a computerized system, that can be automatically convert the sales data into materials usage data is the solution for the inaccuracy problem. The solution implemented into four phases. The phase are data and information gathering, material usage recording system making, standardization and regulation, and phase implementation dan evaluation phase. The implementation for the solution will be done in twelve weeks. Benefit that will be gain is the increase of recording accuracy. Keywords: culinary industry, inventory record accuracy, Ishikawa Diagram, Decission Matrix.
Financing Strategy Analysis to Maximize Company's Value Case Study: PT ABC
The Indonesian Journal of Business Administration Vol 2, No 6 (2013)
Publisher : The Indonesian Journal of Business Administration

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Abstract

As a newly born mining company, PT. ABC needs more funding to finance the capital expenditure. The capital expenditure is needed in order to ramp up the company production capacity. The current 0.5 Million Ton 2012 production cannot meet their target capacity which is 2.3 Million Ton. So, they need the additional funds to finance the capital expenditure immediately. The fund needed is approximately 5 Millions USD.There are two source of funding alternatives, which are internal and external sources. The internal source which is retained earnings is not possible due to the insufficient funds. The possible external sources are bank loan and advance from customer. So, there are three possible forms of financing alternatives for PT. ABC, which are bank loan, advance from customer and the combined of both bank loan and advance from customer. The concern for the company is they have a plan to become publicly traded company in near future, so this immediate financing need should be aligned with the company medium and long term plan. The parameter that needs to be analyzed from every alternative is the impact on company value. The company value of every alternative is analyzed using DCF (Discounted Cash Flow) method and Relative valuation method. Based on the analysis using DCF and Relative valuation method, the best possible alternative is the combined of both bank loan and advance payment. That alternative resulted in the highest equity value which ranged between Rp 2,421 Billions to Rp 3,556 Billions.Keywords: Funding Alternatives, Discounted Cash Flow Valuation, Relative Valuation
Feasibility Study for Gas Power Plant Project in Kabupaten Muara Enim
The Indonesian Journal of Business Administration Vol 2, No 10 (2013)
Publisher : The Indonesian Journal of Business Administration

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Kabupaten Enim Muara is one of the districts producing oil and natural gas in Indonesia, but in recent years a decline in lifting in the area which resulted in reduced revenue sharing from oil and gas sector gained Enim Muara District. In the calculation of revenue sharing, there was a significant decline in 2010 that only about 50% from 2009, while the sharing of natural gas, District of Muara Enim get an increase, and dipresiksi will continue to increase. Because of this, Kabupaten  Enim Muara plans to increase revenue by utilizing the distribution of natural gas lifting results. One of the businesses that will be entered by the Kabupaten Muara Enim is the construction of gas power plants. Before running the gas power plant project, Kabupaten Enim Muara will conduct an analysis of the distribution of natural gas they will get, after which it will be converted into the amount of generating capacity that can be built. After that, it can be seen the amount of generating capacity that can be built, then the authors can calculate the amount of the costs incurred, and the price of electricity to be sold to PLN, because electricity prices are calculated based on the costs incurred by an electric generator. From the data that has been calculated, the authors could analyze the feasibility of a gas power plant for Development of these. From the feasibility study analysis conducted, it can be concluded that the construction of gas power plants is feasible to run, it can be seen from a positive NPV (USD 15,175,775), the IRR exceeds the cost of capital (13.12%), more than one PI (1.23), and also the project payback is relatively fast through 6.25 years.                               Keywords: lifing, profit sharing, gas power plants, feasibility studies, montecarlo.
Recommendation of Marketing Mix Model for Bandung-Soekarno Hatta Railway Route
The Indonesian Journal of Business Administration Vol 1, No 3 (2012)
Publisher : The Indonesian Journal of Business Administration

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Bandung is a city that appeals to new comers and tourists. Every week around 100.000 vehicles enter Bandung city. The tourism sector is one sector that potential to be developed in Bandung. Most of the international and domestic flights were serving by Soekarno Hatta airport in Jakarta. Therefore, the rate of transportation user- Soekarno-Hatta- Bandung increased every year. Opportunities were used by service provider such as public bus transport and travel providers. This article is trying to determine the possibility of Bandung- Soekarno Hatta’s airport railway route. The analysis conducted internal, external factors and SERVQUAL analysis in order to know PT.KAI’s performance as railway operator. The SERVQUAL analysis shows there was gap between the expectations of passenger with their expectations. The results of each attribute states that the passenger was not satisfied. This research would give a proposed solution related to the marketing mix strategy with proposed concept model line service; which includes organization, service program and maintenance. The concept model line service started with strong independent organization and follows with comprehensive service program and completed with maintenance system to achieve sustainable profitable service. Competition with other modes from ground and air make PT. KAI must improve their competence in the service of long-distance route. To be succeeding, the implementation of the model should improve on the railway service on applying on time principle, departure time corresponding with the flight schedule at Soekarno Hatta airport, communication and promotion of the channel was unknown to the public.Key Words: Rail transport, passenger, SERVQUAL, Bandung, Soekarno Hatta’s airport, Marketing Communication, Marketing Strategy.
Good Corporate Governance Implementation at PT. Chevron Pacific Indonesia (Bioremediation Corruption Case Study)
The Indonesian Journal of Business Administration Vol 3, No 6 (2014)
Publisher : The Indonesian Journal of Business Administration

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Abstract— PT Chevron Pacific Indonesia (CPI) was conducting bioremediation or land recovery process in several areas which are in Sumatera Light North (SLN) and Sumatra Light South (SLS) to recover the land/soil condition which detected being contaminated by waste from oil production operation. The project related with bioremediation implementation was handled by two contractors which were PT Green Planet Indonesia and PT Sumigita Jaya that was chosen through tender mechanism. During the bioremediation implementation, Public Prosecutor accused that the project was not implemented according to the agreement, therefore, incurring allegation of corruption practice. CPI as the owner of the project allegedly has caused state to loss ± IDR 210 billion by proposing cost recovery expenses. This research tried to elaborate the potential issues which became the root cause problem of the weaknesses on CPI corporate governance practice in order to propose recommendation for improvement or addition in CPI internal system. Furthermore, this research will try to identify the weakness points in CPI internal system in the context of precaution and also bioremediation case management. After the root causes and miss-implementation of CPI internal corporate governance weaknesses are identified, therefore a new modification of corporate governance can be implemented in the system. Data collected in this research comes from primary and secondary data. The primary data collected from direct interaction with the source and observation. The secondary data collected from official court documents, CPI internal documents which being accessed for research purpose and literature studies related to the research. The analysis in this research was done using descriptive method by comparing data’s which were related with bioremediation case and the real facts. Keywords: Good Corporate Governance, Bioremediation, System, Precaution, Root Cause.
Increasing Salespersons Performance through Performance Evaluation Management in A Book Direct Selling Business Unit
The Indonesian Journal of Business Administration Vol 2, No 3 (2013)
Publisher : The Indonesian Journal of Business Administration

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Performance evaluation is probably the most important phase in the salespersons performance management system. Not only the results can be useful for other phases of the system, performance evaluation is the only phase where the salespersons formally can give feedbacks and suggestions to the company and therefore increase their job’s motivation and satisfaction. Increasing the quality of the evaluation process would also increase the performance management, thus increasing the salesperson’s performance. Sygma Daya Insani (SDI) is a book direct selling business unit that was established in 2005, in Bandung. As a direct selling company, the most critical element of SDI business model is its salespersons performance. Final data in 2010 and 2011 show that in average, only 10% of the salespersons made transactions each month. Furthermore, only 1-3% salespersons from all total productive salespersons made transactions every month (12 months) throughout the year for the last two years. All of these describe the low quality of the salespersons’ performance. Therefore, in order to improve its performance, SDI should improve its salespersons performance. The methodology to solve the problem is that the first step is to analyze the SDI corporate performance management. The second step is doing a literature review on salespersons performance evaluation management system. The third step is to formulate a new salespersons performance evaluation management system. This step is divided into 4 phases, a) company’s objectives identification, b) salespersons’ behavior identification, c) formulating a new system, and d) the new system assessment. The final step is formulating the final recommendation of the new salespersons performance evaluation system and its implementation phases. From the problem findings and the result of the questionnaire involving both management and the salespersons, it is concluded that the current salespersons performance evaluation system has the following conditions; a) except for the sales unit, there are no direct relationship between performance and rewards, b) absence of formal discussion of performance objectives and goals between salespersons and their supervisors, c) absence of formal discussion of performance evaluation session, d) performance standards and methods of evaluation were not very well defined, e) no standard criteria to be promoted as a sales supervisor, f) no scheduled time of the evaluation session, and g) no records of the performance evaluation that had been conducted. The proposed method is a combination between Management by Objectives (MBO) and Quantitative and Qualitative Measures. The process is that the organizational purposes are diagnosed and met by joining the sales supervisor and the salesperson in the pursuit of mutually agreed upon goals and objectives and joined to an action plan and then the progress and goal attainment are measured and monitored in appraisal sessions. The concept is expected to be a systematic, relevant, reliable and comprehensive system considering all of the elements and phases of performance evaluation management system in order to facilitate the continuous improvement process of the salesperson. Keywords: performance management, performance evaluation system, direct selling, management by objectives
Implementing Customer Relationship Management on Bisiness Startup Tanjung Florist To Increase Value, and Company's Revenue
The Indonesian Journal of Business Administration Vol 4, No 11 (2015)
Publisher : The Indonesian Journal of Business Administration

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Abstract. Tanjung Florist is a startup business which started as a hobby and will be developed like a professional startup business. The business runs from the year of 2013 and has run for almost a year. The current concern is that the sales of Tanjung Florist has come to a stagnant position. Before taking the decision of solving the problem, the writer is analyzing the issue by analyzing the company internally using Segmentation, Targeting and Positioning (STP) and Marketing Mix, and analyzing the tangible and intangible resouces of the company. Then continued by analyzing the external environment of Tanjung Florist by using Porter’s Five Forces and PEST.Internal environment analysis is developed using Strengths and Weaknesses of Tanjung Florist, while the external environment analysis is developed using Opportunities and Threats Analysis and resulted in SWOT Analysis of Tanjung Florist. The next method is to solve the root problem that is faced by Tanjung Florist by using the Matrix TOWS method which has 4 basic strategies, they are maxi-maxi, maxi-mini, mini-maxi, dan mini-mini strategy. The most efficient strategy is by implementing mini-maxi strategy, giving a mini treatment with a maxi result, that is by putting CRM for startup business into practice. Implemented CRM is CRM adjusted to the condition of Tanjung Florist business by making use of facilities that can be acquired easy and less cost.Implementing CRM is to integrate database and make operational of the company more efficient in order to increase the service quality of the company to the customers and to cut the operational cost. Customer satisfaction becomes the main goal by implementing CRM expecting customer loyalty and lifetime value customer can be formed towards the company and in the end, implicate towards the increase of the company’s profits. On this research, the focus is to build facilities to implement CRM such as Cloud to integrate data, social media as a communication media to the customers and chat media platform to cut operational cost and increase work efficiency.The benefit resulting from implementing CRM can be seen in a long term run simultaneously with the increase of the company’s value by giving excellent service to the customers. The benefit which is aimed in implementing CRM is work efficiency and integration to get customer loyalty with the final goal is to increase the company’s profits from the customer’s repeat orders and decreasing operational cost. Keyword : Customer Relationship Management, Startup , Florist 
Performance Analysis and Portfolio Optimization Method on Stock Market INvestment: A Study of PT Telekomunikasi Indonesia Pension Fund Year 2006-2011
The Indonesian Journal of Business Administration Vol 2, No 7 (2013)
Publisher : The Indonesian Journal of Business Administration

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PT Telekomunikasi Indonesia Tbk., Pension Fund (DAPENTEL) during year 2006 to 2011 was cannot meet the targets of Return on Investment (ROI) which was set in each early year by its management. This is because most of its funds invested on the stock market investment where the target of investment return is not achieved. The DAPENTEL method of stock investing by external investment manager will give additional investment cost and were not give optimal investment return for the company since most of the year 2006 -2011 resulting in negative value of ROI. Motivated by these problems I show that stock investment performance analysis by using valuation of the Holding Period Return (HPR), stock risk analysis, and risk premium analysis and selected stocks which are have higher performance than the market as a next year stock investment portfolio. Last, considering their performance value and their risk value as a weighting method will give a better investment result for DAPENTEL Return on Investment (ROI). Keywords: pensions fund, investments, stocks, ROI, HPR, Risk, Risk Premium, and Stock weighting
Proposed Strategy Marketing For Kids Footwear Product ( Case Study: The Little Harper)
The Indonesian Journal of Business Administration Vol 3, No 3 (2014)
Publisher : The Indonesian Journal of Business Administration

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Abstract. Nowadays many mothers dress up their kids, then get picture of them through their handphone or tablet, and then they upload that photo to social media like Facebook, Twitter, or Instagram. The Little Harper attempted to capture that phenomena for their business. That is why they are selling their product online through social media. It is not easy to do online business, especially new online shop. The Little Harper had to face problem, such as lack of brand awareness, lack of trust from their customers, and compete with other online shop. A survey have been conducted to mothers who had child between 0-5 years. Purpose of this survey to know opinion and habit of them when buying their child shoes. A statistical analysis is used to help finding best solution for solving The Little Harper’s problem. First, cluster analysis is used to classify 102 individuals into 3 clusters based on 29 variables. Second, cross tabulation analysis is used to know which cluster has most respondent according to age, level of education, occupation, and monthly expenditure. According to cross tabulation analysis result, cluster 1 is selected clusters among 3 clusters. The last step, discriminant analysis is used to choose variables that have influence in intensity purchases of The Little Harper’s customers. Result from discriminant analysis will be target of The Little Harper to attract their target market. Besides that, customer profiles of target market also be required by The Little Harper. This customer profiles is just from cluster 1 as selected cluster. After that, positioning formula must be created to makes The Little Harper’s brand look different with others and has certain image in their customer’s mind. For increasing trust from customers, The Little Harper will make return facility and payment method through transfer between bank account. For increasing brand awareness, The Little Harper will use celebrity endorsement, do sales promotion, and put advertisement in print media. Key Words: marketing strategy, cluster analysis, discriminant analysis, kids footwear, kids shoes

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