PROPOSED PERFORMANCE MANAGEMENT SYSTEM DESIGN USING BALANCED SCORECARD AT - PT ANUGRAH YADEN UTAMA

• Main Author: Rizal Akbar - 29116427, M.
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/29050
• Institution: Institut Teknologi Bandung

The increasing number of health-care facilities throughout Indonesia impacting the high demand <br /> <br /> for medical equipment to meet the needs of each health facility. PT Anugrah Yaden Utama a <br /> <br /> company specializing in medical equipment manufacturers have faced a significant lost <br /> <br /> opportunity because companies repeatedly refused orders, this causes lost not only an opportunity <br /> <br /> but also the potential loss of customers in the future. The government also issue Presidential <br /> <br /> Instruction no. 6 year 2016 to prioritize the National medical equipment industries to fulfill <br /> <br /> medical devices needs in Indonesia, this makes high competition in local medical equipment <br /> <br /> industries. To compete in the industry, PT Anugrah Yaden Utama should able to plan and execute <br /> <br /> their strategy well. One way to execute a strategy well is from implement a performance <br /> <br /> management system (PMS). PMS could translate company vision, mission, into strategy and <br /> <br /> action with an indicator as the measurement system. By implementing PMS, the company could <br /> <br /> identify the performance within a business process. <br /> <br /> Interview with the director and all the managers inside the company was held to understanding <br /> <br /> the current business situation. In current business process, the company does not have a clear <br /> <br /> performance indicator to measure performance. All this time, performance measurement in <br /> <br /> company evaluated once a year based on the revenue obtained by the company. From industry <br /> <br /> environment analysis, the threat potentially arises from the high bargaining power of customers <br /> <br /> and suppliers. Based on VRIN analysis, one resources could potentially become company <br /> <br /> competitive advantage that is the AGS brand. After understanding the company's situation, then <br /> <br /> PMS comparison study was conducted. From several available frameworks, balanced scorecard <br /> <br /> (BSC) is selected by the director. <br /> <br /> Balanced scorecard could translate vision, mission, and strategy into action. Strategy map was <br /> <br /> constructed to show the cause-effect relation between strategy. Each strategy objective had its <br /> <br /> measurement and target and equipped with strategic initiatives to realize the strategy. Key <br /> <br /> performance indicators (KPIs) was constructed based on the strategic objectives. All the four <br /> <br /> perspective and 28 KPIs which is proposed then weighted to determine which KPIs should be <br /> <br /> prioritized. The result of weighted obtained by using the analytical hierarchy process (AHP) <br /> <br /> which the perspectives and KPIs weighted based on the questionnaire distributed to the director <br /> <br /> and all managers in each division. The KPIs then cascaded to all division to be an appropriate <br /> <br /> measurement within their function.