The 3rd PIABC (Parahyangan International Accounting and Business Conference
CREATIVE CITY: ANALYSIS OF BANDUNG CREATIVE CITY INDICATORS
United Nations Development Programme (UNDP) and the United Nations Conference on Trade and Development (UNCTAD) published the Creative Economy Report 2008. A wave of global research on the concept / term creative economy, creative industries, creative cities and creative culture since that time. The process of internationalization of the creative economy become popular when The Martin Prosperity Institute (MPI) an international think-tank organization released The Global Creativity Index (GCI) GCI in 2010. The document contains index measuring creativity and assess the ranking of creativity throughout the country. Referring to the GCI report in 2011, the index of creativity country Indonesia is ranked 81 of 82 countries with an index value of 0.037 creativity. The main challenge of creative economic development over the last 10 years is how to assess and measure the level of creativity in the State, provincial and districts or cities. Assessment and measurement of creativity depends on understanding of the indicators of creativity town for example. This study objective is creating the indicators of Bandung as a Creative City by combining the indicators used in other town in the world with creativity indicators Bandung that already exists. The purpose of doing this study is to formulate indicators concerning the establishment of Bandung as a Creative City that is supported by the performance of the creative industries in Bandung. The output of this study is the assessment of the performance of the achievements of each indicator in Bandung Creative City. The results of the study is Bandung as a creative city in design field. Keywords: Creative City, Creative Industries, Indicators
Copyright (c) 2017 The 3rd PIABC (Parahyangan International Accounting and Business Conference
SHARIA MARKETING ANALYSIS IN NOOR HOTEL BANDUNG
Currently sharia industry is showing growth fast enough due to Islam as guidelines of life has implemented on many sectors. This study aims to analyze the sharia marketing implementation of Noor Hotel. Noor Hotel was chosen because the hotel was the largest hotel with sharia concept in Bandung and obtained the positive responses from the guests. The research was using qualitative method and explorative research approach. The data gathered from the observation, in-depth Interviews to leadership, marketing manager, employee and Noor’s Hotel consumers, and marketing literature study. The result shows that Noor Hotel has executed the elements of sharia marketing mix. The entire elements was used as tools such as product, price, place, promotion, process, people, physical evidence, promise and patience, has done well to realize the value of Islamic values. The suggestion is that Noor Hotel can be more promotions in several medias and adds kind of services which develop the potential of sharia hotel in the future. It also holds the sharia principles, so that can be reach the wider markets. Keywords: Sharia Marketing, Sharia Hotel, Noor Hotel
AUDITOR SWITCHING’S FACTORS: THE ANALYSIS ON AUDIT DELAY, CLIENT SIZE, AND AUDIT COMMITTEE CHANGES
Auditor switching is an event of changing public accounting firm. The purpose of this research is to analyze the effect of independent variables which are audit delay, client size, and audit committee changes toward the dependent variable which is auditor switching in all companies listed on Indonesia Stock Exchange from year 2012-2015. This research uses logistic regression technique and using all companies listed on Indonesia Stock Exchange as the population. For the sample, it is chosen with using purposive sampling. The sample chosen is 156 companies listed on Indonesia Stock Exchange with 4 years of time period from 2012-2015 with total observation 624 data. The result from the hypothesis testing showed that all the independent variables are simultaneously give significant effect the dependent variable. It was also found that client size partially has negative significant effect toward auditor switching, meanwhile audit delay and audit committee changes partially has positive but not significant effect the auditor switching. Keywords: Audit Committee Changes, Audit Delay, Auditor Switching, Client Size
DO COMPANY’S ATTRIBUTES AND AUDIT RELATED FACTORS AFFECT TIMELINESS OF FINANCIAL REPORTING?
A useful financial information should have a relevance and faithful representation in order to help the users to achieve their objectives and timeliness is one of the qualitative characteristics to enhance this usefulness of financial information. In Indonesia all public companies are regulated by OJK to publish their audited financial statements regularly with their regulation number Kep-346/BL/2011. Hence, there are companies that are late in publishing their financial statement. Therefore, this research aims to examine the influence of Company’s Attributes and Audit Related Factors toward Timeliness of Financial Reporting. This research is done by examining financial statements of 80 companies listed in Indonesia Stock Exchange with 4 years of observation from 2012 – 2015 with total observation of 320 data. The research was done by using panel data with fixed effect model. The results from hypothesis testing found that all independent variables were simultaneously significant in influencing the dependent variable. Profitability, Audit Opinion and Audit Firm partially gave significant effect in influencing Timeliness of Financial Reporting. However, there was no empirical evidence regarding Size of Company in affecting Timeliness of Financial Reporting. Keywords: Timeliness of Financial Reporting, Size of Company, Profitability, Audit Opinion, Audit Firm.
EARNINGS BENCHMARKS AND TIMELINESS OF AUDIT REPORTS: CORPORATE GOVERNANCE MECHANISM AS MODERATING VARIABLE
This study examines the relationship the tendency of management to meet earnings targets (earnings benchmarks) and the timeliness of audit reports. The timeliness of audit reports is measured by the number of days from the date of fiscal year-end of the financial statements until the date of the audit report. While the tendency to meet the earnings target is measured using a tendency to report a slight of net income and little change in earnings compared with previous year. This study also examines the role of corporate governance mechanisms through the role of board of directors and audit committees in relation to earnings management’s tendency to meet earnings targets and the timeliness of audit reports. Using 419 firm-years observation of manufacturing companies listed in Indonesia Stock Exchange (IDX) during the period of 2009-2014, as well as using multiple regression, these studies did not find evidence that earnings management using a tendency to meet earnings targets affect the timeliness of audit report. However, by using 300 firm-years observation from manufacturing industry listed on IDX for the year 2010-2014, I found weak evidence that corporate governance mechanism through the role of board of commissioners and audit committee have a moderating role that weaken the positive relationship between the tendency to meet earnings targets with the timeliness of the audit report. Keywords: earnings benchmarks, audit report timeliness, corporate governance, board of commissioner, audit committee
THE IMPACT OF WORK-FAMILY CONFLICT TOWARD JOB PERFORMANCE – THE CASE OF EXTERNAL AUDITOR
The purpose of this study is to explain about how work-family conflict affects auditor which in this case is job performance. Further, this study also investigates the mediating relationship between job satisfaction and organizational commitment. The research is done using 30-items instrument that are given to public accounting firms that listed in IAI. Demographic profiles asked are gender, working experience, education, living with family, and public accounting firm. The analysis was performed on 82 responses using SEM analysis to find out the relationship between variables and how do they imply in auditors who live in JABODETABEK. While some of the previous research found that job satisfaction had insignificant relationship with job performance, analysis showed that work-family conflict had significant negative relationship with job satisfaction and organizational commitment. The next result suggested that job satisfaction and organizational commitment had significant positive relationship with job performance. Analysis also indicated that job satisfaction and organizational commitment mediates relationship between independent variable and dependent variable partially. Keywords: Work-Family Conflict, Job Satisfaction, Organizational Commitment, Job Performance, Auditor.
OIL PRICE AND BANKRUPTCY PROBABILITY OF OIL AND GAS COMPANIES (STUDIES IN 3 ASIA-PACIFIC COUNTRIES)
The decline in oil prices is not only happen to oil prices in Indonesia, but also world oil prices. The world oil prices downturn has an impact on the world's oil and gas companies financial health. This study aims to provide empirical evidence about the effect of oil prices on the probability of bankruptcy in Indonesia, Singapore, and Australia. The probability of bankruptcy in this study is measured by Altman Z-Score, developed by Edward Altman (1968). The price of oil in this study is measured by the price of Brent crude. The sample was 20 manufacturing firms listed at Indonesia Stock Exchange (IDX), Australian Securities Exchange (ASX) and Singapore Exchange (SGX) during the period 2013-2015 selected through purposive sampling The results of this study indicate that by using simple regression model, oil prices significantly influence the probability of oil and gas companies in Indonesia, Singapore, and Australia. Keywords: Oil Price, Probability of Bankruptcy, Altman Z-Score, Purposive Sampling, Simple Regresion Model
PREDICTING GREEN PURCHASE INTENTION OF GENERATION Y: AN EMPIRICAL STUDY IN INDONESIA
Environmental awareness is growing up as the environmental issues nowadays are significant to human lives. Some manufacturers started to entering green product market and targeting green consumers. Many studies have been conducted to examine the influence of several factors such as environmental knowledge, environmental concern, attitudes, and price on green purchase intention. However, just few studies stated that price also influenced the decision-making on buying green products specifically in the context of Indonesian. Whereas price become one of the most important factors considered by consumers. This study investigated the relationship of environmental knowledge, environmental concern, subjective norms, price fairness, attitudes, and green purchase intention. The research model was tested by using self-administrated questionnaires of 200 students in private university. Before the questionnaires were distributed, the pilot study was conducted to assess the reliability and validity of the instruments. The hypotheses were measured by Structural Equation Model (SEM). The result showed that there were three hypotheses which were supported and two unsupported hypotheses. This research gives recommendations for future research. Keywords: environmental knowledge, green products, environmental concern, subjective norms, price fairness, attitudes, green purchase intention
SOCIAL AND ENVIRONMENTAL ACCOUNTING AND RELEVANCE VALUE: AN ANALYSIS IN LATIN AMERICA
With the emergence of the Social and Environmental Accounting discipline you can perform analysis of the accounting information in the non-financial matters, providing with their tools the analysis of transparency and legitimacy to the decisions of the organizations regarding the social and environmental information. This research proposes to investigate the evolution that is observed in the disclosure of Social and Environmental Information (ISA) in the financial system, analysing the sustainability reports of the entities contributors in Argentina, Chile and Brazil, during the years 2005 to 2015. The search for the relationship between the disclosure of social and environmental information, and the relevance values of their actions, taking the Ohlson model, expressed the need to find the information through reports or sustainability reports submitted by them and the contributions of its shares in the stock market, as secondary sources of information accessible to the demands of this research. This work integrates the research project, and it is expected to find no evidence to establish the link between social and environmental information and the impact on the valuation of the entities contributors between the years 2005 and 2015, understanding that such voluntary reports positively affect the development of the organization. Keywords: disclosure of social and environmental information, sustainability report
THE READINESS OF INTEGRATED REPORTING (IR) IMPLEMENTATION ON COMPANIES PUBLISHING SUSTAINABILITY REPORT IN 2015
This study aimed to analyze the company's readiness to implement the Integrated Reporting (IR). The objective of the implementation is to enable companies to re-evaluate their business activities in order to create value in a sustainable manner so that the company can present high quality information to stakeholders. The population of this research are companies that had published Sustainability Report (SR) and listed on the Indonesian Stock Exchange (IDX) in 2015 which amounted to 39 companies. The data analyzed in this study are secondary data from the annual report (AR) and sustainability report (SR) of each company that was published in 2015. The analysis uses 61 indicators that reflect IR eight elements in the <IR> Framework. Research data analysis using descriptive statistical analysis in tabular form the company's readiness categorization. The result showed that: 31% companies categorized as well prepared to implement the Integrated Reporting. Furthermore 23% companies categorized as prepared to implement the Integrated Reporting, however 26% companies categorized as less prepared to implement the Integrated Reporting, whereas 21% companies categorized as unprepared to implement the Integrated Reporting. Keywords: Sustainability Reporting, Integrated Reporting
PUBLIC GOVERNANCE AND CORPORATE ETHICS: A CROSS NATIONAL ANALYSIS
This study aims to investigate the association of public governance and corporate ethics. Motive of the study was driven by numerous corporate scandals in various countries and practice of good governance both in private and public sector. The study was intended to reveal, whether the country that apply good practice of governance will also lead good practice of corporate ethics in that country. The study adopted exploratory research design which are public governance and corporate ethics proxied as two independent variables. Public governance was represented by attributes namely public accountability, control of corruption, effectiveness government, regulatory quality, rule of law, regulatory quality and political stability. World Governance Index (WGI) was adopted to measure Public Governance. Meanwhile, data from component measurement of Global Competitiveness Index (CGI) was adopted to measure Corporate Ethics. The study applied bivariate correlation analysis and involved 140 countries member of World Bank Organization. The results show that all public governance attributes are positively and significantly associated with corporate ethics. Pearson correlation coefficient indicates that all attributes of public governance have strong correlation (Pearson correlation (r) > 0.6), except for public accountability attribute. The result implies that the practice of good governance in governmental sector have potential impact on how private sector running their business organizations. Keywords: Public Governance; Corporate Ethics; Good Governance; Accountability; Bivariate Correlation
PREMIUM FRESH PRODUCE MARKETING SUCCESS FACTORS THROUGH PRODUCT QUALITY DIMENSIONS AS CUSTOMER DRIVING FORCES: A CASE STUDY OF FRUIT SPECIALTY STORE PRODUCT DISPLAY OPTIMIZATION IN BANDUNG
This study try to give a new insight of how fresh fruit specialty store utilize product quality as their business success strategy and drive the customer to give concern on premium product that offers at store. The study apply qualitative method with case study research design. Since the study propose to elaborate and determine the existing phenomena, the application of descriptive research design used to describe comprehensive insight of fresh fruit product quality dimensions provision in specialty store and its distribution mapping along with marketing product strategy of premium apple fruit. Data obtained through direct interview to key informants from specialty store managements who have role to the provision and marketing of premium fresh apple in the store with judgmental sampling technique along with observation that used as primary data of the study. The study found that product supply on premium fresh apple that imported from China to Indonesia and sold at fruit specialty store based on distribution and supply chain description can be seen as structured market format with horizontal supply chain type of short food supply chains (SFSCs). Keywords: premium fresh produce marketing, business success strategy, fruit specialty store product display optimization in Bandung
MARKETING STRATEGY ANALYSIS TO INCREASE THE GROWTH OF OLAMITA RESTO
Olamita resto is a unique restaurant that offers Gorontalo food to their customer. Olamita was founded by Mr. Ihsan Averoes Wumu, a young entrepreneur that was born in Gorontalo. Mr. Ihsan start his dream by opening Olamita resto in May 2015. Olamita resto is located at Jl. KH. Abdullah Syafi'ie No.51, Bukit Duri, Tebet, Central Jakarta. Author start this research to analyse the growth of Olamita resto and give possible solution to the owner. The research method that is used by author is using both qualitative and quantitative method to get the best possible solution for Olamita resto. For the quantitative method, author go to the Olamita resto and analysing the current condition and interviewing the owner. For the qualitative method, author spread some questionnaire to Olamita resto customer in order to get their perspective. This research have its conceptual framework to analyse Olamita resto from both internal and external aspects. Author use PEST analysis, Porter’s 5 forces analysis, and competitor analysis to analyse the external factor. While for the internal factor, author use Marketing mix analysis, VRIO analysis, and Business model canvas. The research result study of Olamita resto will be proposed to their owner as the strategy to increase the growth of Olamita resto. Keywords: Marketing, Strategy, SWOT, Restaurant, Marketing Mix
INDUCTIVE REASONING IN MARKETING RESEARCH TO RESPOND THE FUTURE MARKET CHALLENGES
This paper aims to provide the definition of inductive reasoning and explain its importance in the field of business and management research to respond to the future market challenges. On this paper, we will first describe the basic understandings of two types of scientific reasoning concepts which are deductive and inductive, including the idea of positivism and interpretivism, as well as its relevance to natural and social sciences studies. Then, we will continue to explain that inductive reasoning, however, is rarely used in business and management research particularly in some of Indonesia’s top higher education institutions. Furthermore, in order to show the importance of inductive reasoning, a case study of Starbucks and 7-Eleven in Indonesia will be presented with reflection to argument by Handy (1993). This paper will finally conclude by emphasizing the importance of inductive reasoning in business and management research and suggest future recommendations towards business and management research in Indonesia particularly on the higher education institutions. Keywords: inductive reasoning, future market challenges
COMPETITIVE ANALYSIS MODEL IN GARMENTS INDUSTRY: CASE STUDY OF PT. PAN BROTHERS, TBK
The purpose of this paper is to discuss the competitive analysis model in the garment industry in Indonesia through case study of PT Pan Brothers, Tbk. The paper provides results of analyzing forces in the company is knows as a producer of Line of Products produced by the company are “Woven Garments” such as Padded and Light Weight Jackets, Pants, Shorts, Casual Pants and Dress Shirt, etc. The research use case study method that aims to present information in structured, factual, and accurate information on the object studied. Case study method is used to examine the forces that pushed industry to evolve; and to identify other strategic strengths faced by the company. The findings of this study show that five forces in the industry that pushed the garment industry are evolving. This paper also shows the results of the analysis of the competitive environment consisting of bargaining power of suppliers, bargaining power of buyers, potential new entrants, substitute products and rivalry amongst existing firms in the industry. Additionally, this study resulted in the identification of a number of strengths and weaknesses of the company based on the areas of finance, marketing, human resource management and operations of the company. The study also analyzed the value chain of the company to examine the linkage found amongst activities. This study provides managerial impact to the company studied, namely: (1) the financial ratio analysis shows the company's financial performance is considered good and increased net income / net sales increased by 23.65% per year from 338.5 million USD in 2014 to 418 million USD in 2015; (2) marketing performance analysis shows the company's website has not empowered to maximum as e-commerce sales system is weak; (3) the production performance shows the procurement of raw materials are still imported from China and Guang Zhu; (4) human resources assessment and performance monitoring system still used a manual system. This paper discusses a case study of the forces of the industry faced by PT Pan Brothers, Tbk. and displays the results of the analysis of the strengths and weaknesses of the company's financial functions, marketing, human resource management and operations of the company; as well as a number of opportunities that need to be captured companies and a number of threats that need to be avoided. Keyword: Competitive Analysis, SWOT Analysis, and Garment Industry
MEANING OF SENTIMENT ANALYSIS FOR COMPANIES
People often ask others for product advice. Once, word-of-mouth (WOM) was, due to practical limitations, shared locally. Nowadays, WOM is shared online (eWOM), which has a much larger reach. As eWOM is publicly accessible (unlike WOM), it can be used as information on brand attitude. eWOM can be aggregated and assessed using sentiment analysis (identifying positive/negative messages). The assumption is that sentiment analysis illustrates people's brand perception. We investigate the relationship between sentiment analysis and brand perception. We collected tweets with sentiment information of eight brands in Indonesia using Twitter's built-in sentiment analysis over a week. Using these tweets, aggregated sentiment scores were computed. The scores were correlated with brand perception collected using questionnaires. 206 participants attributed scores to seven properties: Complaint handling, Design, Friendliness, Information, Marketing, Service, and Overall score. Either insignificant or correlations close to zero were found, so online sentiment does not correspond to offline brand perception. Keywords: word-of-mouth, artificial intelligence in business, sentiment analysis
ANALYZE TO THE ROLE EXTENSIBLE BUSINESS REPORTING LANGUAGE (XBRL) TO IMPROVE THE ACCURACY OF TAX REPORT
XBRL (eXtensible the Business Reporting Language) is an XML-based open standard that supports the modeling of information and expression of semantic meaning which is usually required by business reporting. XBRL uses XML syntax and XML-based technologies to explain the semantics. XBRL in the world of taxation will be implemented at the beginning or end of the year 2017. This XBRL would be equal with XBRL system by the Indonesia Stock Exchange. XBRL taxation will also be implemented on the use of online SPT, which is where this online SPT been carried out first. Expected tax authorities may socialize XBRL to the Indonesian company. From the study it can be concluded that, XBRL will facilitate the taxation of tax authorities to track companies that missed or delayed pay taxes to the State. Keywords: eXtensible the Business Reporting Language
THE ROLE OF XBRL USE TO THE QUALITY OF ELECTRONIC FINANCIAL STATEMENTS AND COMPANIES RISK
XBRL is now widely known by entities that are in Indonesia in particular that have been incorporated by the Indonesia Stock Exchange. The emergence of XBRL itself is based on the need for a language that can synergy financial statements that have been made by the company into a format that can be processed easily and can be understood by all aspects at the same time. Financial reporting becomes very important here because in the era of interconnecting these state borders in the economic barrier less visible, and this may be an opportunity for a country to attract foreign investors with financial reporting both reflecting the economic value of a company. It is expected also of good reporting and XBRL format companies in all area ready to respond to risks that may threat the company in achieving its goals. Keywords: eXtensible Business Reporting Language (XBRL), Financial Statements, Risk
THE ROLES OF GOOGLE GIFT CARD AND GOOGLE WALLET IN ACCOUNTING AND BUSINESS
The main purposes of this paper are to explain the business process that occurs in Google Gift Card and Google Wallet; the accounting treatment for the type of transactions, the issues that are related to the transaction in Google Play Store, in-app purchase and the use of Google Gift Card, and the effects of Google Gift Card and Google Wallet in business process. We do the library research in order to achieve the objective of this study. Google Gift Card is a Business-to-Consumer e-Commerce model based on online transaction process system. The balance of Google Gift Card itself is integrated with Google Wallet. Accounting treatment for Google’s revenue from Google Gift Card refers to IFRS 15 according to Ernst & Young’s and Deloitte guidelines; PSAK 23 according to Indonesia’s statement of financial accounting standards. The issues that occur related the use of Google Gift Card are overbilling, age restriction, overpricing, tax, and accounting issues for seller. Besides of those issues, Google Gift Card is one of the new methods that provides convenience in making payment. Keywords : Google Gift Card, Google Wallet, issues, accounting, IFRS, PSAK.
SIMAKU®-SEKOLAH: THE IMPLEMENTATION OF MANAGEMENT INFORMATION SYSTEMS AND ACCOUNTING FOR SCHOOL SOFTWARE USING WEB-BASED APPLICATIONS TO ACHIEVE GOOD SCHOOL GOVERNANCE
To realized Indonesia as a leading country, the quality of human resources is the one of the key aspects. School becomes a vehicle to build and improve the quality of human resources. School is a forms of organization that can not be separated from the management aspect, a good school should be supported by good management including financial management. Good management should be guided by good governance. Without good governance, the management mechanism does not have a foothold in making decisions on it. To make good decisions in school financial affairs, management information and accounting system are needed to create the effectiveness and efficiency of the strategic and tactical decisions. For this reason, the application SIMAKU for school was built and applied. SIMAKU for school is a web-based application to support financial management and accounting aspects of the school that begins from planning and budgeting, financial administration and financial reporting in accordance with accounting standards in Indonesia, namely PSAK 45. Keywords: human resource, financial management, good governance, information system, SIMAKU for school, PSAK 45
THE INFLUENCE OF LEADERSHIP STYLE AND ORGANIZATIONAL CULTURE IN THE IMPLEMENTATION OF RISK MANAGEMENT
The impact of the global financial crisis has highlighted the importance of risk management. The role of risk management was also associated with changes in the business environment. The strategy process is divided into two steps, namely the formulation and implementation. Risk management carried out in the strategy formulation process as a project to identify opportunities and risks in accordance with the company's strategy. Implementation of Enterprise Risk Management (ERM), which can effectively help the organization achieve its goals, and lead to the creation of value for the organization. Risk management is an activity which integrates recognition of risk, risk assessment, developing strategies to manage and mitigate risk using managerial resources. From previous research, organizational culture is identified as an important key in contextual factors for the success of the company's risk management. Identifying the individual leader's style is central to evaluating the quality of leadership and effectiveness, especially for organizational goals and manage the risk in the company. The purpose of this study is to propose a conceptual framework of leadership styles, organizational culture and risk management. This study will be discussed at one of the state-owned insurance company with quantitative methods conducted through a survey of middle management and employees. The results of this study will contribute to the company to determine the influence of leadership style and organizational culture adopted by the company for the implementation of risk management. Keywords: leadership style, organizational culture, risk management.
MOTIVES FOR ENGAGING CORPORATE SOCIAL RESPONSIBILITY PROGRAM
This study aims to determine the motive of company’s Corporate Social Responsibility (CSR) activities in relation to the company's financial performance in the future. Motives for conducting and reporting their CSR activities is whether just for charity, investment, or a signaling about the company's financial performance in the future. This research uses quantitative approach in solving the research problem. This study took sample data from companies listed in the Indonesia Stock Exchange during 2012-2014, that were published a stand-alone CSR report or known as Sustainability Report. CSR variable is measured by indexing the Sustainability Report based on the CSR reporting standards issued by the Global Reporting Index (GRI) G4 for environmental and social categories. Firm’s future financial performance is measured by changes of the Return on Asset (ROA) in year t + 1 and t, changes of Cash Flow from Operations (CFO) in year t + 1 and t, and the Average Stock Return (ASR) in year t + 1. The samples used in the study are 75 companies. The study’s finding that there was no significant relationship between the indexes of CSR with the company's future financial performance. However, this study found that the motive of Indonesia’s companies in conducting and reporting CSR activities is only for charitable purposes and the companies do not expect any reward. This is showed by most companies reported social criteria in their sustainability reports more than any other criteria. CSR activities are generally because of the good condition of the previous year company's financial performance. In addition, most companies in Indonesia still perform and report its CSR activities only as compliance with the applicable regulations. Keywords: CSR, Company's financial performance, and Sustainability Report
BUSINESS PERFORMANCE ANALYSIS OF PT MAS MURNI INDONESIA, TBK: CASE STUDY USING FUNCTIONAL BUSINESS ANALYSIS
The purpose of this paper is to present the results analyzing the business performance of PT MAS MURNI INDONESIA, tbk (MAMI) which engage in Property Company that focuses on the construction of shopping centers, apartments and hotels in Surabaya City. Mami is known as a company that introduces unique theater which combine cinemas, shopping centers and apartments in Surabaya. The paper provides the results of business performance analysis of the company by investigating the strategic strengths and weaknesses of the company in term of its practices in marketing, finance, human resources management and operation. The research used case study method which aimed to present information in structured, factual, and accurate information on the object studied. Case study method was used to examine the performance of the company’s business based on the strengths and the weaknesses of the company; and to identify the opportunities and the threats that would be likely faced by the company. The findings of this study was to show the company's business performance based on financial ratios and other business performance in the sector of marketing, human resource management and operations of the company. This paper also showed the analysis result of the strengths and the weaknesses of companies based on business functions and displayed the results in table ifas, sfas efas and as a basis for designing programs run by the company. This study provided managerial impact to the company studied, namely: (1) the financial ratio analysis showed the drop in financial ratios over the previous year. The company is not optimal in the sale and in the use of funding. (2) Marketing performance showed the focus on building customer loyalty; (3) the performance of the company's human resources showed the company is recruiting and developing human resources. (4) Operation management performance showed that the company produces attractive products which are offered in the market. This paper presented a case study of PT MAS MURNI INDONESIA, Tbk, which contained the analysis results of the companies’ business performance based on financial ratios, value chain analysis and analysis of business functions. Keyword: business performance, swot analysis, and functional business analysis.
THE MODERATING EFFECT OF ECONOMIC GROWTH ABILITY OF FINANCIAL FACTORS ON THE IMPLEMENTATION OF E-GOVERNMENT
This study seeks to obtain the evidence about the ability of economic growth in moderating the influence of financial factors in Indonesian local government e-government implementation level. Using the dependent variable of Indonesia e-government ranking (PeGI) issued by the Ministry of Communication. The independent variable used in this study is Degree of Decentralization ratio (RDD), Local Government Financial Dependency Ratio (RKKD), Ratio of Locally-generated Revenue Effectiveness (PAD), and Economic Growth (GRDP) as a moderating variable. Purposive sampling method are used in this study. This study uses sampling criteria of the PeGI. Those criteria are divided into five dimensions (policy, institutional, infrastructure, applications, and planning). A sample of 220 cities/ municipalities meets with those criteria. The data used in this research are taken from the Realization of the Regional Budget Reports (APBD) and the Central Statistics Agency (BPS) in 2012-2015. Descriptive statistics, classical assumption, and Moderated Regression Analysis (MRA) are used in this research. The results showed that the Degree of Decentralization Ratio (RDD) and Locally-generated Revenue Effectiveness (PAD) were affecting the e-government implementation. On the other hand, Local Government Financial Dependency Ratio (RKKD) doesn’t have an effect on e-government implementation. Economic growth does not affecting the implementation of e-government but moderating influence the degree of Decentralization Ratio (RDD) Locally-generated Revenue Effectiveness (PAD) on the implementation of e-government. Keywords: e-government, Degree of Decentralization Ratio, Locally-generated Revenue Effectiveness, Local Government Financial Dependency Ratio, Economic Growth
INVESTIGATING COMPETITIVE ADVANTAGE OF PT SIANTAR TOP, TBK: CASE STUDY USING FUNCTIONAL BUSINESS ANALYSIS
The purpose of this paper is to discuss the results of using functional business analysis to investigate the competitive advantage of PT Siantar Top, Tbk is a company engaged in the processed food industry. The company manufactures various kinds of snack foods such as crackers (crackers), noodles (noodle), sweets (candy) and developing new products such as biscuits and wafer products. The paper provides the results of the strengths, weaknesses, opportunities and threats of the company through its practices in marketing, finance, human resources management and operation. The research use case study method that aims to present information in structured, factual, and accurate information on the object studied. Case study method is used to examine the competitive advantages of the company by investigating several business functions performed by the company. Based on the analysis regarding the competitive advantages of PT Siantar Top, Tbk, firstly, competitive advantages originate from the superiority PT Siantar Top, Tbk in performing the finance, marketing, human resources and operation. Secondly, competitive advantages of PT Siantar Top, Tbk create added value for a company so that the company has excellent position in the market. From the analysis of the external environment, the company has several strategic opportunities including the implementation of the Asean Economic Community (AEC) can make PT Siantar Top, tbk have an opportunity to get foreign workers who have the competence and expertise better and competition in product innovation increasingly tight can spur PT Siantar Top, tbk to continue to develop their products in order to survive in the industry. This study provides managerial impact to the company studied, where the company’s pricing strategy is one of the most powerful strategies used by the company. Secondly, product innovation is the company’s sources to sustain in the market. The company face several weaknesses such as lack of promotion through print media, electronic media, and social media. This paper is a case study of PT Siantar Top that displays the results of the analysis of competitive advantage \ companies using business functions performed by the company. Keyword: Competitive Advantage and Functional Business Analysis.
THE IMPACT OF STRATEGIC PLANNING IMPLEMENTATION ON NON-PROFIT ORGANIZATION’S PERFORMANCE EFFECTIVENESS
Strategic planning is important for non-profit organization to make sure they have been achieved their missions and take necessary actions to achieve it. And they could achieve greater benefits if they applying strategic planning which outweigh the cost involved in the implementation process. But the relationship between strategic planning and organizational performance has been rarely examined in the public and non-profit sectors, especially in Indonesia. This study empirically examines the effect of strategic planning on one of Indonesian non-profit organization’s performance effectiveness. The performance effectiveness assess by using the multiple perspective of Balanced Scorecard (BSC). Niven (2008) developed the BSC for non-profit organization which has added the fifth perspective, volunteers’ development. We argue that the strategic planning can help to guide the implementation process to achieve organization’s performance effectiveness. A purposive sample of 30 managers and project leaders was selected for participated in this study to measure the impact of strategic planning on this organization’s performance effectiveness. All data will be analyzed through quantitative method. We believe that the result of this study will contribute to strategic management area of research and practices on how to measure the strategic planning implementation on the organization’s performance effectiveness by using balanced scorecard, especially in non-profit sector in Indonesia. Keywords: strategic planning, mission achievement, performance effectiveness, non-profit organizations, the balanced scorecard (BSC)
THE INFLUENCES OF ENTREPRENEURIAL ORIENTATION AND ALLIANCE LEARNING PROCESS ON STRATEGIC ALLIANCE PERFORMANCE OF INDONESIA CONSTRUCTION COMPANIES
The aim of this study is to investigate the influences of learning process and entrepreneurial orientation of Indonesian construction companies that implement strategic alliances in their businesses. The results of this study are expected to be used to provide insights concerning the important role of learning process in strategic alliance, which is implemented in four processes, namely knowledge articulation, codification, sharing and internalization. This is to ensure that the purpose of alliance establishment can be achieved so that it will have an impact on the success rate of the alliances and gain a competitive advantage that is reflected on the company's performance. In addition, this study will also provide an overview of entrepreneurial orientation that is expected to change operation habits or routines that are so ingrained within the company as well as rigid structure, which can overcome the problem of inertia with building initiative, higher risk-taking and more proactive in entering the new market. Keywords: Strategic alliance, alliance learning process, entrepreneurial orientation, alliance performance.
THE EFFECT OF INNOVATION TO ORGANIZATION PERFORMANCE AT CULINARY INDUSTRY ON BRAGA DISTRICT
Culinary industry contributed around 25% to gross regional product domestic (GDP) in 2013. This condition proved that culinary having been become an identity and brand of the city, that we should keep preserve and evolve to improve Indonesia tourism. Braga is one of the heritage street in Bandung city, built with colonial architecture design. Braga has become a special place in people’s own, to be a place for hanging out, the place for taking the picture, enjoying the old-building, and most of all culinary experience. This research conduct to 34 culinary along Braga street. Data show that 58% of the culinary industry in Braga district shows the percentage increase in profit year on year by more than 2.5%. That fact shows the good organizational performance of the culinary industry in Braga district. To achieve a good performance in the culinary industry, innovation playing important roles. This research analyzes the effect of innovation on organization performance. By using WarpPLS 3.0 with Structural Equation Model-Partial Least Square (SEM-PLS) method, we found that innovation simultaneously has an impact to organization performance in Braga district. But as partially innovation variables have not significantly effect to organization performance. Keywords: culinary, innovation, performance organization.
STRATEGIC ADVANTAGES OF PT WILLMAR CAHAYA INDONESIA, TBK: CASE STUDY USING SWOT ANALYSIS
The purpose of this paper is to discuss the strategic advantages of the company, which specialized in the industry of vegetable oils. The paper provides the analysis result of strategic advantages of PT Willmar Cahaya Indonesia, Tbk that is primarily engaged in manufacturing oils for food confectionery industries. The products of this company are made of palm oil, palm kernel oil and illipe nuts. The produced oil includes of cocoa butter equivalent(CBE), cocoa butter replacer(CBR) and cocoa butter substitute(CBS). The research uses a case study method with SWOT Analysis based on the analysis of functional business. The aim of this research is to present information in structured, factual, and accurate way in the object studied. The method used is through SWOT Analysis to examine the strategic advantages of the company. The findings of this study is to present the strategic advantages of the company based on the financial and non-financial performance, such as performance in the area of marketing, human resource management and operations of the company. The paper also produces the summary of the strategic factors consisting of the internal and external factors, which are summarized in the table IFAS, EFAS and SFAS as a basis for designing programs that can be done by the company. This study provides the managerial impact to the company studied, namely the establishment of the appropriate corporate strategic decision by the strategic advantages of the company based on the financial and non-financial aspects. For example, based on the companies analyzed: the overall financial performance shows the good performance despite the increasing liabilities. Furthermore, the performance of marketing requires a decision of more aggressive marketing strategy to market their products to the foreign market. This paper discusses the strategic advantages of PT Wilmar Cahaya Indonesia, Tbk based on the excellence of the functions of finance, marketing, human resource management and operations of the company. Keywords: Strategic Advantage and Vegetable Oils Industry.
IMPROVEMENT ON DELIVERY SERVICE IN DROPSHIPPER COMPANY: CASE OF AQUARIST FARM
Despite the rapid increase of E-commerce users, there are some issues available, such as customer’s behaviour, payment infrastructure, logistic infrastructure, legal and regulation infrastructure. However, in this journal, only logistic infrastructure is discussed. Currently, Aquarist Farm, a drop shipper company based on livestock, also has problems on logistic which lead to poor delivery service. To find the root causes, conceptual framework is developed based on the 5 delivery service qualities (tangibility, empathy, reliability, responsiveness, assurance). After being surveyed, the customer concerns are on the Empathy and Tangibility of the delivery service. There are 6 root causes to be discussed in this research: document error, Aquarist Farm policy, few numbers of suppliers, supplier’s attitude, lack of response of Aquarist Farm, lack of website information. After calculating the result from criteria and impact, The best solution for each root causes is giving compensation to the customer for document error, consolidating number of routes for Aquarist Farm policy, making own farm for few number of suppliers, changing supplier for supplier’s attitude, setting a reminder to reply for lacking of response to customer, adding more website for lacking of website information.. Keywords: Drop shipper, E-commerce, service quality, delivery service