DESIGN OF PERFORMANCE MANAGEMENT SYSTEM FOR PRODUCTION BUSINESS PROCESS IN KALTIM 5 PLANT OF PT PUPUK KALIMANTAN TIMUR USING INTEGRATED PERFORMANCE MANAGEMENT SYSTEM APPROACH

• Main Author: Fahmi, Muhammad
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/59578
• Institution: Institut Teknologi Bandung

Plant 5 Operation Department or well known as Kaltim 5 Plant is the newest and biggest Ammonia & Urea production facility owned by PT. Pupuk Kalimantan Timur and Indonesia. As the biggest production facilities, Kaltim 5 should perform as well both financial and nonfinancial perspective. Current performance measurement is majority focused on profit-oriented measurement and poor capture for non-financial aspect. Those non-financial performance as explained in business issue above regarding with stakeholder satisfaction. Additional measures suggested are stakeholder satisfaction and quality of enterprise transformation. A problem has been identified is there is no holistic performance measurement in Plant 5 Operation Department, which is continuously captured & evaluated in a holistically form of production business process. This problem is solved by using Integrated Performance Management System (IPMS) approach. IPMS or well known as Knowledge-Based Performance Management System (KBPMS). It is holistic PMS model which is success to improve earlier model with the implementation of Knowledge Based expert methodology system and have been implemented in a lot of Indonesia’s enterprise. The primary data in designing this IPMS is extracted by interviewing and discussing with Plant 5’s parties related significant performance variables of production business process in three perspectives: business output, internal process and resource capability perspective. The research finds that there are several important performances variables regarding with these three perspectives which influence production business process. External stakeholder relation and COGM performance are significant performance variables of business output perspectives. Objective and Key Results (OKR) system and Predictive and Preventive Maintenance (PPM) implementation are significant performance variables of internal process perspectives. In the end, employee qualification fulfillment and work culture and system implementation are significant performance variables of resource capability perspectives. The implementation plan is conducted through four steps: current measurements, evaluation, diagnosis and follow up. These four steps accommodate implementation activities: current PMS, reporting socialization, cost-benefit analysis, training requirement, resource allocation and display. The challenging limitation in implementing this PMS are leadership, commitment to change and work culture implementation.