STRATEGIC DECISION ANALYSIS TO ENHANCE LABOR PRODUCTIVITY AFFECTED BY SICK LEAVE ABSENTEEISM IN THE MANUFACTURING INDUSTRY
In the manufacturing industry, the worker absenteeism index/rate has a significant impact on productivity in the work environment. The higher the worker absenteeism rate in the factory/manufacturing industry, the higher the company's burden for financing workers (overhead costs). Labor costs...
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| Format: | Theses |
| Language: | Indonesia |
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| Online Access: | https://digilib.itb.ac.id/gdl/view/81937 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | In the manufacturing industry, the worker absenteeism index/rate has a
significant impact on productivity in the work environment. The higher the
worker absenteeism rate in the factory/manufacturing industry, the higher the
company's burden for financing workers (overhead costs). Labor costs are very
sensitive for the manufacturing industry because they are directly related to the
ratio of production costs compared to the output produced.
Labor costs are classified as production costs (operational costs) along with
other costs such as machine maintenance costs, electricity/water costs, or other
costs whose amounts will influence the value of producing a product in the
manufacturing industry. Therefore, the Company considers it necessary to
monitor and control production costs to increase competitiveness with
competitors.
The research results show that a high absenteeism rate can be an indicator of
low motivation, employee well-being, or health problems. Therefore, strategies
that can be implemented to increase productivity through absenteeism
management include Health and Wellness Programs, Incentive and Recognition Systems, Commitment to Work-Life Balance, Proactive
Approaches to Mental Health, and Absence Monitoring and Analysis.
By using strategic decision-making methods to reduce absenteeism, companies
can increase worker productivity and increase competitiveness.
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