Gadjah Mada International Journal of Business
Gadjah Mada International Journal of Business (GamaIJB) is a peer-reviewed journal published three times a year (January-April, May-August, and September-December) by Master of Management Program, Faculty of Economics and Business, Universitas Gadjah Mada. GamaIJB is intended to be the journal for publishing articles reporting the results of research on business, especially in the context of emerging economies.
The GamaIJB invites manuscripts in the various topics include, but not limited to, functional areas of management, accounting, international business, entrepreneurship, business economics, risk management, knowledge management, information systems, ethics, and sustainability.
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Development and Validation of TQM Constructs: The Philippine Experience
Talavera, Ma. Gloria V
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This study was conducted to determine the critical components of a Total Quality Management program (referred to as TQM constructs) and the specific strategies, policies and programs that should comprise each TQM construct (referred to as TQM elements); and to validate these TQM constructs in selected companies in the Philippines. Development of the TQM constructs involved the theoretical derivation of the TQM constructs from literature. Validation of the TQM constructs involved a two-stage survey determining the critical components perceived important by managers and assessing the extent by which these critical TQM program components are adopted. Assessment of the instrumentâs reliability was done through the Internal Consistency Method with Cronbach coefficient alpha as the relevant coefficient while content and construct validity were done through panel review and Exploratory Factor Analyses, respectively.Results of the first survey indicate a slight deviation in what is perceived as critical components of a quality management system vis-a-vis the original 72 TQM elements. In general, the elements pertaining to a TQM construct as theoretically derived no longer formed part of such construct but merged with other elements in another TQM construct where it shared similarity in functions. This implies that under Philippine context, especially when using perception of importance as the basis for scale development, the integration of activities, strategies and functions associated with TQM program adoption is perceived by respondent managers as more critical. The study presented the multi-functional and multi-dimensional aspects of the TQM constructs. The resulting 35 critical TQM items were further validated in Survey 2. The TQM factors pertaining to the adoption of quantitative techniques in quality management as well as the incentive and reward system were rated lowest in terms of adoption.
The Preparedness of the Indonesian Garment Exporters in the Post-MFA Scenario: An Analysis from the Survey
Shihab, Muchsin;
K. Jain, Sudhir
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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The clothing or garments industry has developed rapidly during the past some decades and has contributed to the economic growth of many nations, both developed and developing countries. This industry has been very much regulated by many bilateral agreements such as Multi Fiber Arrangement (MFA), a quota arrangement made by the importing countries. As MFA (quota regime) comes to an end by 2005 and integrates into the WTO regime, it will bring opportunities to highly competitive and proactive garment exporting countries whereas the challenges will be faced more by the less competitive countries. Issues related to environment and social compliance, technology requirements etc. have been brought into surface by the importing countries, which may worsen the condition. Under the above scenario, it is imperative that certain proactive measures be taken. Thus, the broad objective of this study is to analyze the response of the garment exporters from Indonesia towards the emerging issues related to environmental and social compliance, technology requirements etc. The present study is a questionnaire-based study. The samples have been selected from the Directories of largest exporters in the country. With reminders and persuasion, the final number of useable responses has been 115 Indonesian garment exporters. Seven factors of the emerging issues were identified by using factor analysis. In addition, factors of competitiveness, and the strategies adopted by the exporters have also been analyzed. The findings show that the overall perceptions of the Indonesia garment exporters indicate that Indonesia is less competitive as compared to other competing countries.
Interest Rate Policy, Inflation and Economic Growth: A Policy Evaluation of Indonesia, 1969-1997
Permono, Iswardono Sardjono
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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According to Shaw (1973) and McKinnon (1973), the most important element of economic development is financial liberalization. This action will eliminate the distortion, as what the government of Indonesia did on June 1, 1983 through deregulation of banking. The government eliminated the ceiling of credit and gave a full authority to each bank to determine their interest rates. This study looks up to Fry (1995) model to test McKinnon-Shaw hypothesis. The models were regressed with dummy variable. This effort will give illustration or conclusion of the structural change, that happened specifically caused by environmental or policy changes.Generally, insignificant in the relationship between interest rates in national saving and investment in Indonesia could be caused by financial mechanisms those very long and complex channels. That is why real interest rates could not give effect to national saving directly. Export, especially from oil and gas and foreign debt were growth-stimulating factors. Meanwhile, money supply, which supported by tight money policy and balance budget policy caused Indonesian inflation along those periods. The periodically analysis shows that deregulation of June 1983(PAKJUN) were success to mobilize public fund, encourage investment on real sector, and increase the economic growth, but failed to control the inflation rate. The implementation of October 1988 deregulation (PAKTO) had flourished the establishment of new banks and created good competition among them. The competition had no longer on interest rate. Therefore, it can be said also the easy requirements of establishing banks become contra productive for PAKJUN policy, which had laid to the market mechanism.Basically, either PAKJUN or PAKTO was not policies in which urgently implemented in Indonesia. Those financial deregulations were not supported by the existence of deregulation on real sectors, so that the financial deregulations were not effective to achieve their goals.
The Relationships between Belief, Attitude, Subjective Norm, and Behavior Towards Infant Food Formula Selection: The Views of the Malaysian Mothers
Ramayah, T.;
Nasurdin, Aizzat Mohd.;
Noor, Mohd. Nasser;
Sin, Quah Boon
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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The purpose of the study is to determine the relationships between belief, attitude, subjective norm, intention, and behavior towards the choice of infant food based on the Theory of Reasoned Action (TRA). An analysis on a sample of 108 mothers indicates that the TRA could be used in predicting choice decision of infant food formulas by explaining 57 percent of the variance in the behavioral intention. The subjective norm component had a higher predictive power than the attitudinal component. Of this normative component, parents or relatives and doctors were found to be more influential. Intention to choose an infant formula was also influenced by family income. The belief outcomes in evaluating a premium infant formula and economic infant formula were found to be different. For premium infant formula, brand trusted, closest to breast milk and nutrients content were identified as the dominant attributes. In contrast, availability, affordable, and nutrients content were identified as the prime beliefs in evaluating economic infant formula. Implications of the findings are discussed.
INTRAGROUP COOPERATION VS. INTRAGROUP COMPETITION: A Meta-Analytical Study
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This study examines whether intragroup cooperation outperforms intragroup competition. Intragroup cooperation is a work setting when individuals in a group perceive that their goal attainments are positively related; while intragroup competition is a work setting when individuals in a group perceive that their goal attainments are negatively related. Performance is defined as group productivity level, speed of solving problems, and quality of the group outcomes.Meta-analytical method is used to test the hypothesis. The method combines and compares eight studies from various research disciplines i.e., education, psychology, organization, and business and accounting. The studies being analyzed also vary in terms of the research and experimental setting such as manufacturing operations and problem solving games.Meta-analytical study is relatively rare in Indonesia, so that this study is important to introduce and to show the importance and the benefit of the analysis for concluding a large number and different research in a similar domain of research question. In a simple term, a meta-analysis is a quantitative literature review. However, the analysis has a more powerful procedure (than the conventional literature review) to indicate more clearly, and in quantitative terms, the consistency, the differences and similarities of previous studies.The author found that intragroup cooperation outperforms intragroup competition is held across different experimental subject educational backgrounds such as education, psychology, and business and accounting. However, the extent of the difference in performance is higher in the subjects with psychology background than that of the subjects with business and accounting background. The reason is that business and accounting subjects are more exposed to competitive environments than those whose backgrounds are psychology and sociology.
Perception of Professional Engineers toward Quality of Worklife and Organizational Commitment: A Case Study
Zin, Razali Mat
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This empirical investigation was aimed to determine the pattern of the relationships between the perceived presence of quality of worklife (QWL) factors and organizational commitment using samples from professional engineers in Malaysia. Engineers in private sector were selected to participate in this study. A total of 250 sets of questionnaires were sent to the selected organizations, and 152 useable questionnaire representing a response rate of 60.8% were used for statistical analysis. A QWL measure consisting of seven factors: growth and development, participation, physical environment, supervision, pay and benefit, social relevance, and workplace integration was developed based on Waltonâs (1974) conception. The three-component model and measure of organizational commitment developed by Allen and Meyer (1990) was adopted in this study. Results of regression analysis indicated that only two QWL factors, growth and development and pay and benefit, were significant in explaining organizational commitment. Implication and suggestions for further research are also discussed.
THE EFFECT OF JOB EMBEDDEDNESS ON ORGANIZATIONAL CITIZENSHIP BEHAVIOR: The Mediating Role of Sense of Responsibility
Wijayanto, Bonifacius Riwi;
Kismono, Gugup
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master of Management, Faculty of Economics and Business, Universitas Gadjah Mada
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This study examines a new attachment concept called job embeddedness as antecedent of organizational citizenship behavior (OCB). Firstly, we tested hypothesis concerning positive relationship between job embeddedness and OCB as predicted by Mitchell et al. (2001). Secondly, we tested hypothesis concerning the mediation effect of sense of responsibility in the relationship between job embeddedness and OCB.Nurses (N = 170) and their immediate supervisors ( N = 41) from five privately owned hospital in Jogjakarta participated in this study. Of 340 questionnaires distributed to the respondents, 339 were returned yielding a response rate of 99 percent. Of those returned, 300 questionnaires were available for further analyses. Nurses were asked to respond to a questionnaire of 40 items concerning perception of embeddedness and 4 item concerning sense of responsibility to their employing organization. Nursesâ citizenship behavior were measured using 12 items as rated by their immediate supervisors. The results support the hypothesis that job embeddedness correlates positively with OCB. However, our result failed to support the prediction of the mediating effect of employeesâ sense of responsibility in causal relationship between job embeddedness and OCB. The implications of the findings for further research on relationship between job embeddedness and OCB research are discussed.
THE EFFECT OF JOB EMBEDDEDNESS ON ORGANIZATIONAL CITIZENSHIP BEHAVIOR: The Mediating Role of Sense of Responsibility
Bonifacius Riwi Wijayanto;
Gugup Kismono
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada
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DOI: 10.22146/gamaijb.5554
This study examines a new attachment concept called job embeddedness as antecedent of organizational citizenship behavior (OCB). Firstly, we tested hypothesis concerning positive relationship between job embeddedness and OCB as predicted by Mitchell et al. (2001). Secondly, we tested hypothesis concerning the mediation effect of sense of responsibility in the relationship between job embeddedness and OCB.Nurses (N = 170) and their immediate supervisors ( N = 41) from five privately owned hospital in Jogjakarta participated in this study. Of 340 questionnaires distributed to the respondents, 339 were returned yielding a response rate of 99 percent. Of those returned, 300 questionnaires were available for further analyses. Nurses were asked to respond to a questionnaire of 40 items concerning perception of embeddedness and 4 item concerning sense of responsibility to their employing organization. Nurses’ citizenship behavior were measured using 12 items as rated by their immediate supervisors. The results support the hypothesis that job embeddedness correlates positively with OCB. However, our result failed to support the prediction of the mediating effect of employees’ sense of responsibility in causal relationship between job embeddedness and OCB. The implications of the findings for further research on relationship between job embeddedness and OCB research are discussed.
Development and Validation of TQM Constructs: The Philippine Experience
Ma. Gloria V Talavera
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada
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DOI: 10.22146/gamaijb.5550
This study was conducted to determine the critical components of a Total Quality Management program (referred to as TQM constructs) and the specific strategies, policies and programs that should comprise each TQM construct (referred to as TQM elements); and to validate these TQM constructs in selected companies in the Philippines. Development of the TQM constructs involved the theoretical derivation of the TQM constructs from literature. Validation of the TQM constructs involved a two-stage survey determining the critical components perceived important by managers and assessing the extent by which these critical TQM program components are adopted. Assessment of the instrument’s reliability was done through the Internal Consistency Method with Cronbach coefficient alpha as the relevant coefficient while content and construct validity were done through panel review and Exploratory Factor Analyses, respectively.Results of the first survey indicate a slight deviation in what is perceived as critical components of a quality management system vis-a-vis the original 72 TQM elements. In general, the elements pertaining to a TQM construct as theoretically derived no longer formed part of such construct but merged with other elements in another TQM construct where it shared similarity in functions. This implies that under Philippine context, especially when using perception of importance as the basis for scale development, the integration of activities, strategies and functions associated with TQM program adoption is perceived by respondent managers as more critical. The study presented the multi-functional and multi-dimensional aspects of the TQM constructs. The resulting 35 critical TQM items were further validated in Survey 2. The TQM factors pertaining to the adoption of quantitative techniques in quality management as well as the incentive and reward system were rated lowest in terms of adoption.
The Preparedness of the Indonesian Garment Exporters in the Post-MFA Scenario: An Analysis from the Survey
Muchsin Shihab;
Sudhir K. Jain
Gadjah Mada International Journal of Business Vol 6, No 3 (2004): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada
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DOI: 10.22146/gamaijb.5555
The clothing or garments industry has developed rapidly during the past some decades and has contributed to the economic growth of many nations, both developed and developing countries. This industry has been very much regulated by many bilateral agreements such as Multi Fiber Arrangement (MFA), a quota arrangement made by the importing countries. As MFA (quota regime) comes to an end by 2005 and integrates into the WTO regime, it will bring opportunities to highly competitive and proactive garment exporting countries whereas the challenges will be faced more by the less competitive countries. Issues related to environment and social compliance, technology requirements etc. have been brought into surface by the importing countries, which may worsen the condition. Under the above scenario, it is imperative that certain proactive measures be taken. Thus, the broad objective of this study is to analyze the response of the garment exporters from Indonesia towards the emerging issues related to environmental and social compliance, technology requirements etc. The present study is a questionnaire-based study. The samples have been selected from the Directories of largest exporters in the country. With reminders and persuasion, the final number of useable responses has been 115 Indonesian garment exporters. Seven factors of the emerging issues were identified by using factor analysis. In addition, factors of competitiveness, and the strategies adopted by the exporters have also been analyzed. The findings show that the overall perceptions of the Indonesia garment exporters indicate that Indonesia is less competitive as compared to other competing countries.