: - .---*V-qr.XX-No.jI NTEGRATTNG RAISE MODELAN D OIil I]CTT v E TIATRIX AS

PER FO R]!tANCE Tt EASTJ IT E1\T ENT APPR(,AC}IFOR II IGIIER Et}TJ(]AI'ION INSTITiII'I ()N

Dx' i .\tti i,sv ttnt, [, h. [)l:lu.t'cr A hi{iuu i, p h. D

nhmad Dahian Un iversity; Indonesia

Faith B. Basilioifugao Staie tjniversifl,, phi lippines

ABSTRACT

r!9 putpose of this paper is to estabtish an integnted modet ofR4lSE (Rotevance, Academic Atmosphere, tnteial Uarageieitand Organization, Efficiency and pniuctivity) and Objectiv; i"i;;implementod at HEts (Higier Education rn-stitutions) in rndonesia.The flexibilrty and easiness to maintain f:ie pertormance is iryimpodant for the top manager in rapid changing Ors,nel,senviro.nment. The peiormancb management based on studentlearning focus rs impoftant to satiify the higher educationstakehorders. The satisfied student and'sti*enolaer witt increasethe rcputation of HEls and indirectty witt ioitnoute to the increaseof the organizations revenue.

A rgvie.w of existing theories and practical experienc_e.r rsundertaken to buitd the core conceptuar ioau and a dashboardof indicators. The moder is then ipp,iea io investigaie ini-iryoerformance indicatars_of HEts Liirg tie Ousin-es" pro""""p1?d!gm deveroped by Directonte Geieo,r of Htgher e'oucaiiiof tndonesia (DGHE) ialted RAISE. Si;ii;g from a review of therecommendetions prcvided in literatitre dgarding pertormancitneasurcment in HEls, a iist of gened cnaicteris'iics of a,S*i"indicatcr is defined.

The.analysis presented. oy this paper srovys tnat the integnticnmdelof RAISE as Kpls ind the it1*tii" matnx have a frexibleand clear peilormanae score indicator to guide a, rovets oforganizations at ,f,e l1l.ls, EveU pefiorttence target can bennnitored aN @ntrctted rcing tn 'rij*ti" matnx. The integrutedfor piotmance measunernent in f,t,s researcn is a usefulguidance.espaatty for HEls to having integil aN compreh";;i;;view of their wdemic and busmesi p"ior*n *.

:

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INTITODTIC'I'I()N

Nttrr rttlit)'s ctrtnpatries trs rve ll as highcr cducatiotr irrstiltrtions ltlll:]rrre rcr*rir.cd ,n .nn.,p.i.:i,-, giot,af izea and ttrihrtrlcrlt markcts.' Irt ,rder to survlve

irr srrcrr rr rrYrrarnic.;r;i;;;*",rt trre;,neetj to he able to salisii'all thcir

>tlrkclttllt'lcrslttttlcrt:glirttltesanretitttcalortr:allpcrfbrrrtattccditrrettsitrns(Nec11 el ]1 . f00:)' 'q net""u'y condition io aohievc high perfornranoe

sta,darrl : i, bci,,g rrLrle to ef1'eciivell',lcas,rc atlcl nt.ttit.r i.stitutiotl's

perlbrnllrrrrc.lrrlact.rvhattheinstitutionnleasuresisu'iclell'rccognizedbothi*rorls ac'rrcrrrrcs ""J

p,:u.ii,roners (Kaplan and Norton, 1992)' ''lt"f:i:

perfbrmartcc mt:asurement systems are considered as a means to gatn

c()r)nctiti\ c a,lvarrtage's aua oui,tin,,ously rcacl and adapt t() extcfnal chartgcs

rtr hc rn inrer,arro.ai;;.;;;;t d in-stit'tiorr.Io he effective a perforntattcc

Ineasurenrent tytt"'i'^th;;ld bt d)'narnic and has 1o trc modified as

circttmstanceschangesothatperformanct''*"""ttretnaitlrelevant(L1'rrcltand Cross, I 991) for the HEI'

Strategic irr*"r1" -rriglrer

educatir:n w,ritten in H igher Education Long

'ferm strategy (Htlfjl S) "" ii* q"f ity achievement supported by four pillars'

n ame h' : ac countab i 1i;, ffi ffi il' ;;;i;;"' and accred it:i:::"@'o'' 2008)'

At the college l.'"l,i|;;'ouleni is horv to encourage universities to design

oerformance based "r*rI-Jr.,ivities. rhcn, the role of.university leader is to

:#;;; ;; ;";il ;; ;i*tiirti"n tc, ach i eve the or gan i zat ion v i si on refl ec'ted

into the policy on sigrrificant perfornlance improveirent' However' only few

r)rganizations have i'rystemaiic process.for assessing atrd maintaining their

pertbrmrnc. n.,"o.ul#;;,yr;;. On tl," contrary, rrlanv o*anizations as

rr cll as I lllls are lacing a challenge to update continuously their perfonttance

nra.BFlcrrrcn, .,y',ttn','"*f itt' n'"i to bL extrenrely flexible and reactive to

t"aclrii,g and leanling service changes'. , :.. - ,-r.-.,,,.r,rr-r. rSr.lmeoftheproblemsencoulrtercrlirrpcrforllllll)ccnrattagenrctltts

Irtrrv t. crrsur... tfr" pe1lmance which has been "itoblith"t1

by' tlrc organizntion

atthclople,"landtou"a.proy"aforperfornranceatalowerlevel,horvtodeterrrrinr: key performance'irrdicators supported by.oth.er indicators which

influence each other, anrJ how to measure key indicators that have been

deternrinecl. f f't 'Uifitf-oio'g'ni'ations to deternrine and to manage

perfonnance with ;;;;;i to ."rtli,, indicators will improve decision-making

proces s '.Iheobjectiveofthispaperisto.rJevelopanassessmenttoolthatHEls

carl use to evaluate ttt" "ii.tifi,eness

of their performarlce management system

(PMS) and tt'r ia.'ntiry Oi'":it:lt f-ol improvernent' The main assumption is that

to clevelop a good toir ro, HEIs, it i, ne"errury to start fro.rn a,detailed analvsis

of I tEIs business, "fi;;l;i;;"nsideration

its;haracteristics' In fact' in orderto

L,e releva.t tb' gEI; ;; *r"r.rr.r,t,"ol should be simple, comprehensit'e, not

too demanding in t*rr; ;i-;;;;;r and it must be able to guide management

towarcls action and implovement'

--=- -:=:===:=:-:122

0pland ! srm journal Vol. XX Nc 1

]ITETHODOLOCY

.\ r-ci'lc''r'of existing theories and practical er.periences were undertakcnro huild litc core ccnceDtuai rnodel and a dashboard ol'irrdicators.-l'lre rnodclis tirerr appiied to invr::;tiga'te the kev periirrmance indicators of lit-.is using thebiisittcss i)riicess paradigrn cieveiopcC by Directt'irate Gerieral ot' Highcriiciucaiion of Incionesia (DGHE; callcd RAisE (Reievancc, Acaden-iicA-tincspheie, Iiiternal management anc organization, susta!nability, anciEfficiency and ProeiLrctivit;,'). Starting froni a review of the recommeirdationsprovided in literature regarding performance measureinent in HEIs, a list ofgeneralcharacterisiics of a "good" indicator is defineci.

Using these indicators, the KPIs can be developed and used as thebasis cf'performance measuremeilt. The next section wi!l describe the flowof the procedure using thc objective malrix approach. The result of thepcrlirrnrance rneasurement is figured out bv this matrix lo be used bv thernanagentcrrt tirr better nranagement decision lirr thc FIEls.

PERFORMAN(]E MEASUREMENT APPROACH

-l hc' traditional planning in srrateqic management is driven by a

conception ol'a strategic balance betrveen existing internat resources andexlernal opportunities (Bordum.20l0). I'he basic elements of the planning areoutlincd bvthinkers likeAnsoff(196-5). Steiner(t969),Andrervs(1971).'l'heplanning iCeal is fundamentaland is interwoven with the essence of srrategicmarragement, keeoing a strategic balance, which is to get the most out of thecurrentiy controlleC resources (people. technolog-.r, organization, Ieadership,knowle<ige. human resources, scciai network, stakehoider relations, brand-value, etc.) reiative to the identified possibilities of engaging in rewardingactivities and profi table business.

I'he srrategic management modei assumcs that the changcs in tlieorganization can be captured by one or a few objectives. But what if thechange process involves multiple changes simultaneously? This question leadsthe discussion into a path discussing hierarchies of objectives or comple:;t1'.Therefore, it is often assumed that the strategic mafiagement effi,it solves asingle business problem or situational challenge- ln rirost modern theories ofmanaging change, the goal-setting and objectives have been substituted by thevision as a driver for planned change. The vision plays a central role in moriernchange management as an abstract organizing and driving ibrce creating

ing and motivation in the change proc€ss (Kotter. 1996; Beer et al., 1990:i,2005; Kaplan and Norton, l906).

Per formance rneasuremen t is the process of quautifying thc(Neely et ai., !995). n performanccbctiveness and efficiencv of action

123

llleasureisintbrmaticlrrcleliveredtotltelttanagementfunction,evalrratingtlreeft-rciencl' and the etl'ectiveness ol t proccss' resource or an outcolne'

Pcrformatrc",,,.ouu,.u.cor,l.ltleidentitledintodif.fererrtlevelsaccordingtotlretlecision-rnakingprocess.Itstneasurcslrestratcgic,tacticalanrloperational(Plpnkiriitkopottlo'' n' ond Prantatari' K" 2tll())' N'luirsurcltlents trased on a

sinclcirrdicl,t,''..,,',specia'llyiffinancial(tlrorrttaltdSrerls()l)'1988:Robert'1994)'lrirvcintjeetlqtrickly'1"'o"ntheirinadcqtracY'astiruntlbyK.tlcllrarski(200i):toon.litllvpcrt'orrnancemetrics'too{ocusetlon()ulcolllcs'tooirlliequent'toolilcrrsccl on cutting *rir, r".l too focuscc] rrn the past. Most importantly' the

ruse .t'l'i'a,ci*l irai.ulorr, ilprerlorrli.artl' is ill srritcd to t5e pectrliarities o1'

rcscarc' irrstitution such as university,activirics. 1'lrus' the need to cottsider

tlrc opcratio,rof u"ti'iii* an*J' accortlingly'' thc ncetl to have non-financial

measures tbr them arises (Loch and 'lapper' 2001)'

De Toni and Tonchia (2001) suggest"d that financial and non-financial

nreasures shoutcl b- ;;;;i;;;a. Viorr nf the studies itt the area arguc that a

perforrnanc.n,,u,,u*.-*"n.,y,."*shouIcl.cotttaittfinancialanclnon-financialmetrics (Kaplan ,^;^i;;";, 1gg5). tt is also irnportant that non-t-irtanr:ial

perforlnanc. nl"o'u*' -are'lnore

likcly to be part tlI tltc collaborative

pcrlonnance ttlanagenlent systetn. frt):" rcas()ns:

l. Financiat ;;;;;;..;e difficult to be agreed and designed because

theresourcesarecommonandthecost-centersaredifferentfcrrthe

z. lf,liffii?fJ",it*o*"r, want ro identifu the alignmenr between tlLe

jointlv "g;i;fitives of coI1aboration ""9'lt l^tt:]tt

achieved'

Nowadays, performance managenlent system .is not close to the

budgetary control'ulA atign"a wittr acfountitrg procedures' anymore' The

nanagement thiniing uip'ou11 bro.adened t.l" 'i:,:.^:[ pcrformance

nreasurenrent and ;i,ftJih. di..,,rrion regarding strategic alig,merrt of

nteasuring perrformance, improvernent throu[h measurcment' focus on the

qtrality,"t.,.S"'"tul""tf'"atf'"vebeettdevelopedtomeasure'intangibleasset'such as, market

"upitutirution approach. rlircct irrtcllectual capiul lnea^surerncnt

approach,scclrecardapproaclr,econtltnic-l,alucadcJcdapproach(Calisir,F.,

.,ir,r1.

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stlccr'ss{ul ailaill!!),iili ('i^ fr'}11n3gcnleitt sirateQles i lJassalii. ( .. cl al. ial it:1.'['hcrl. ct ett It](,i'a .:lr.,.rprli iirC C.-rncept,:!'e reatilg .,aiue is _iie{cd. ip llial tirecritical roic tltat iitc cusioiner- ilr'j intei'nal prr:cesscs. Ihe ort:alriz.arionai icariringalld gro\\'ih assulttrt ir'i pursuirrg such creatioil appea!"-.r ei,i<Jent (l)earsiri: el ai..20(r0; Codener aitcl Sodei'quisl. 2a104). tsascd or: tiris conceirt. tlrcre are niarr'.c.-li-'ii';birt;orrs ihat sugge:;t hr:r.,,, a pcrfoi'mance rncasr.lrelleirt can be dcfinccj.

Ei'forts ic r,-ieasure the perforinance of'ti;e S),sien: have treen i.nacjr atthe tirric lhal is based on curiosity a-br-.ut piiblic \,ie.*,s on the per^l'crinance ofiile systenr. rvhat faciors affect s.ystenr performance, and hov,, the propet-lnetl.iod in deicrntirting thc performance cf th,e system speiis the siiccess ofthe svsieil in achieving its goals. Svstenr plcductivit_v.. is the ratio ['let...,,een

ouliltii. attd inpLit rriricir t.iteasrlrcs the abilitl, of the sl,stem to produce oritptiisri ith cenairr inputs.

\\rith tlie svstett) tncrdelas inpilt-output pr()cess. each irrprrr arl(l (ri.itpirlhas role irt slraping llrc produclivitl,of the sl,stenr (Artlcr. 100I ). j'r'iorc r-harr

.i ttst a productii'itr indcr. tlre herrchrnai'k is u,ha1 rrltintaicl.r sare binlr to rlrcconcept oie lllciencr l-,lllcie ncv is an attenrpl l() sec tlre conlrihulion 1r{ 11ipu1

1o otllput (\'crsulr. lti0 j ). ilrrt apparerttl-r, prodtrctit,ii-r arrcl cille rcrr.r arccconcepts llrat i'ernain lrrpics lbr I ltrng discussion heceuse ther re latirclr clr.no1 consider tlic lttrtnart aspcct. lv'lan is onlt'seerr irr concept cqrriralent ti,othei' prorluctitttt lhctors. l-hc enrergellce o1'tlre llou o{'huntan lclationslriprin niana2etnettt is 1n'inir to gro\\ the concept that surnmarizes rhc elll'ctivenessof icchnicai i'actors (cf'flcienc.,,arrd productivit;'). soe ial dctr:rininarls (hurnanLrehavior an,i environrlent) an,j the destinaiioir system. The concept ofeflectiveness cotiiinues to grow due to the fact that humans and tli$ environnientpiatr iniportant role,s in rhe operati;rg sr;stem. So. tire right mo,Jel 1o see theproductivitv and efiectr\'?ncss is a n-lode ! of nrulti-criteria sr sie:rr.

KEY I)F'RF-GRT,I,{TCE I\I)ICAI'(}RS FGR IIEIS

rl:ere are seYei'al nrocje is that can be used to riescribe ti:e process ol'lranagemenl in unir.;silirs. l;r ger:eral. the nrodel used is the svsternic approachtnodel input-Proce-ss-\-iutput-orricolnc, one model with a svstcrric approachthat is currenti;'used br rhe college iii lncionesia is a moderdcreroncd b1 rhcHigher f;ducatiorr in ilre raritrrrs conrpc'titions grairt schenrt' l'iris ntodel isklto*'n as RAIS[ (Reielaltce. Acaden'ric Atrnosphere Iniernal \liirralrer-rien1aild orcanization. F,i-tlcrcncr arrd Pr,-'drrctivit),). Figure I bcltrrr rcprcsenrs [r

conce ptuai lncide i as a p3llsnt irihrghrr cilucation niaitagei))cilt.ilr{,i its litrks toRAISE. trsing this ct-rn'eptual ::rode I. wc can develc;; aii appr(lpnalc lnixlei o1'perforrnance riteasrireilleni >\ stent llrr eacir p;icrit-r, goai.

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lntcrnSlMana{roment

I'-igure l. Conceptual t'Iodel of MLSE (stturce: DGHE' 2006)

with the corrceptual nroclel ol eristirts bttsincss processcs in higher

erlucation as rnentioned above, there arc llve nlailt areas of aclticvernent that

can be used tcr measure organizatic;nal pcrforrtlattce i.c. re levaltce, acadenlic

:rlurosplrere. internal ,.,.,,,,',ug",rr,,,.,t and organiz.ation, sltstaillahilitl'. alld efliciency

and prttductirity. l'hen, * "o,,

ideptily thc llerlirrntaltce ittclicatclrs lor cach

ilnporlant achiet,enrc'nt area. Tltere are scvcralcottditicttls to determirlc rvhether

selected indicators and key indicators lor sonle otlter sttllportirlg indir:atorfi are

irnporlant.Il.elevance describes orgauization's ability to cttstontizc tltt: services

lrrovide d for the neecls of'users (Harolcl. 1 999: Liithle ,2007 ) or a refloction of

rlrc insritrrti.,n's high sensitivity to the level of eclucatiou on the ettv'ironment

rvlrerc thu insritution is Iocated (DGtlE.2006). l'htrs. tlre relevance will ber

secn irr a r aricty,of activities that rcsponrl to an ettt irottttteltt tlrat is linrited by

[hc cap:rcit_v of the organization. Irtdicators oi'relcrance can be scclt on somc

rhrrrgs like rhe qrrality of gracluates (lligher Eclucatiort.2006; Nelson,2000;

/-,,r,llr. 2007), ancl the participation of gradtrates irt llte rvorld ol'u'ork (Higher

Erlrrcation. 2006;. Fry, et al,1999). Qualitl'of gradtrates can be see'rt fiom the

(lPl lNclson, 2000) which is a description of skills, krrou'ledge, altitudcs acquired

during tlrc le arning process (Metcalfe, 2006)'

Thc participation of graduates can be seen in $'aitirtg tinle ftrr g'aduates,

rlrr-, tlrst salarl'.. (DGt'lE, 2006): professiortalisrtr o1'gradtrales as tttcasured b1'

,,:-- .=

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126

'!I

Aphnd farm Journal I{soJ!lte amouni ol'absorption of'labc',r in one -\iear ishell- l0()2i. Wiiti thistrnderstandirtg, there is a need to icierrtifv frrrthcr i* hctircr Clrn i: a :.:r-,rrd exarn;rleirr describing the pLrrposc of learning. skiil. krrou ledgc. and anirLrdcs. Thcsequestions will be attsu'ercri bv sunporting in.l icators fbr the qiilliri olcgl!escgraduates, sttclt as partrterships u,itli c;ther crganizations, personal cievelopnre6t.post-graduaiion progiants. attil others. ilr tltis papc!". tlie detei-rninatioit ofindicators o1'sirpp..rri is nct discussed, becarise it rvil! var;,, wi<Jei;v amcilgorganizaiiorrs and cornparable le..,el witir othei- organizaticns rvili be low.

A conciucive academic atmosDhere is absoluie ly necessary for a heaithyinteraction between facLrity and students, among facriiry, and arno;rg feiloivstudents (DGHE, 2006}. Academic atrnosphere can be measiiieC from activitiesinvolving students and teachers in various teachins models (Fr1. et ai. i999). Theiearning plan is based on outccmes (D'Andrea. i99g), and assessment of system-oriented higher-level rhinking (wakeford, I999: Nc*,slead and lloskins, lggg).

A good academic atmospherc will provide satisfacti.n and enhancemotivation and creativitv anrong the academic communitv in oarryinq outacademic activities, ll.hich in turn will pr-ocluce quality acadenric product(DGHE, 2006). some ks' indicators can be used *.hen both the f-acult1, andstudents commun icate in lectttres, laboratory and other studies or publications.which include student teachers to produce a product that describes rhe abilit-vof allstudents (Pair. 1999). students participating in the services of experts,and student outcornes. (Santos. 2006). The indicators of joint research andpublication betq'een teachers and stucients are measured by the averagenurnber of students participating in the activities of each teacirer. Studentachievement is measured b.,", the ratio between rhe numbers of studentachievernent and the numbers oicompetition flcliowed, or it can be rneasuredby the ratic between the n'lmber of srudents !n.yolveC i- the comoetition aird anumirer of overal I students.

Internai Marragement & organization describes the commitment ofail institution members for improving HEIs that leads tc an eflective a:id efficientecucation prcgram implementation (DGF{E. 2006';.In the internaimanagemenr,governanc€ has a very importani role ior all parties in the organizaticn indecision-makins anci policy deveiopment (Aron and iv{c. Inr,v-re, 2005). oneform of efficient interna!management is a system of internal control in iire useof resources (Barr, Z}l2\.moiivation of staff r+.ho are kept awake b1,a varietyof existing mechanisms (Shell, 2002), systems and procedures tbr variousactivities in the process each organization's business transparenc.* andaccountab'ility of resource used. with the support of existing systems and

i policies, internai management will improve customer saiisfacior (students)$ and also at the same time nanaging the organization's staff (\'rrsuh, 2af[:).f Measurable parameters fbr interlallanage.ent anc crganization are neederl{ tc be a good indicator. Intemal contro!, beffer rescurce utilizaiion, uansparencyIl:i T

Ygl.Axl!p.,.-]. :=:.-======:-=:::===:=' .'-- - :'-t ::::'---'

arrd accountability wilI occur if the organlrrlliotl ltas stattdard systr':rns and

proct:durcs at a[l levels of business proccsscs. s() thL- c()nlparisttlt sy'stems and

;;;;;;,,t.t t. existing business processes catt be uscd as a key success

inclicator. 'f1ere

"r. *u',rf urp"cts ihat afl'est ctrstonrcr satisfaction [eve I troth

tangitrleanclintangible.BothareactuallyStlpportiveitrdicatorslbrstudentandstal'l .satisl lrct ion level'

Srrstainlbilityisaveryinrportarrtlreaittthetlrgariizationtnaltagentent..l'lre organization's exislencsdepencls on the existerlce of the organization's

ttrissir:n. When the mission changes, tlre organization does not exist or change,

Whrlc tlte organization maintalns the mission' the organization be'comes

srrstainable thr.ough the availabilitl'of resources to carrJ out the mission' These

resourccs can include tangible resources such as llnernce' ittfrastructttre' staff"

lus rr,ell as intangible rei-,urces such as krtorvledge, lnaltagement systems',

hranding and imlge, netrvork. For real sustainabilitl'' the ntost healthy indicators

trscrlispa(icularlyfirrancial.,l.hefinancialhealthindicatorscanbeusedasItctrrrtt On Capital E'rnployecl or ROCF' (Conraths and Trusso'20A7)'

Su:itailtatrlc tarrgible.",ou,".u catt hre Secll on thc ertcrnal aspects of public

trust and i.ternal aspects of how much good practicc used by thc organization

iv i.,rf "f.,rrst, 2007i. O. the external aspect, there are sorne indicators that

can [re used as the ratio of ncln tuition fee income to total income (Barr' 2002';

corrraths and,rrusso, iool> Sources of funding frorn the Revenue Generating

Activities, services und proir"ts of academic research, grants from commilnity

an<j governrn"n, oufpo.i are inclicators for this aspect (Shetl, 2007). These

il,fig sources *itt U* a picture of public trust to the higher education

instinrtions.ontheinternala'spect,sustainabilitycanbeseenatthelevelofenrployee perfbrmance that is influenced by miiny aspects such as welfare

and education l"u"i-1v*rsuh, 2003). wirh this a,alysis, there are f.wo key

indicators forthe sustinability i.e. RocE and thc percentage of non-student

reventle to total revonue'Efficiency can be defined as the level ofresource utilization' Efliciency

in higher education can be seen in the improvenrents made on existing business

processes (Conrattrs and'frusso, 2007;Fry'et al' 1999')' ProductivitS' is defined

as the abiliry to prr:duce output in accordance with the specified inputs and

processes. procluctivity in t igt., education is seen from the ratio ofeducated

graduates as an end prlAu"tfin, product research and expertise of inputs such

as funds, technolory, management systems' and others (Alon and Mc' lntyte'

2005). t)sing "

.y.ioni. aip.ou"h, increased productivitycan be reach,ed by

in,rproving the interaction litt e input and the process or the process and the

"-ip*. Tie prfo.rnance indicator of interaction between the inputs and prccesses

can bc seen at t1re rever of potentiar compctition entry (Fry et al, t 999; versuh,

2003). wrile the interaction between process and output can be seen in thc

irrdices of achievemen! school dropout and subject repetition rates (Fry et al'

#128

AJa*ld {e:g-l"y:ne/ Vol X-X tio 1

1999:' \t'rsuh- :001). \\'itrr the discrssion of the key acrrievenrents of each fie rd.KPls rrr,ile I crn ix devcloped as shown in table l.

Iablc l. K[rl lr.,r each KI)As

Rc lr'\'alt c( Acaderl ic

r\- [ili osr-rit crcInternal

Maitageinent

& oi-ganization

Sustairrabiliri -Efl-rcC*.,

and FrodLicriviiy

Cn& indicator Code Indicatci Code indicatcx Cb&. ItrdiarL

Rl C\rnulatire Ai

GC

R! \\hitingorrr

fcr I o

|i*'r

PJ Sde\ (tr

l'-i.t,

R,l Aru:+r.

nrnlrcr

otob

m0qnsX

Ava4eof

sh.rdent-

lecture.joini

activity

Student

adrbmxrrt

raio

A3 Snrdent B

mrnpaition

qrollmtril

rdio

ii Availabllity

ofBusines

Fcr€ss

$a*d

StLdent

sen'ice

satisfuction

level

Saffsalis-

&di.cnler,el

Si Pffiq{ryoffirdraisirrg

P Liquidirl,

E Sudsnt

I errlllme,I

mmDeti-

ti,'eflcSS

E Dopcl..{

2tfu

S R(}:E S*fun*diirgrdio

Atr4ecfG{ per

sgrreffi'

E

3

E

4

OBJECTIVE MATRTX }TODEL FOR IIEIS

The objective matrix (GMAX) is a multi-criteria perfcrmancemeasurement method. Ideally, measurement systems must be uirt. ,o o,*_"*.physical acrivit'and activities that use skiils. output fiom the first activity canbe easily mea-sured because of the physical. The iecond activity is diflicult tomeasure because the activity impacts of ouput Iike wisdom, d".igrr, or anarysiswill be felt only in the future. But- boti activities equair,rr'contribute toorgar izationa I prerform an ce.

The objeetive performance measurement matrix moder shows theperformancc as a function of severar criteria. The enc resurt ofthis perfbrmarrcemeasuremenr rs a singre varue for a sirrgre working goup.A rd; orga.rizaticnmay require s.me performance factors cvel a sma, organ iition. By usingobjective marrx. the managem""r h;;;";ibiriry to deteriline tt " "riteria

to rr"---::

-t29

vp!' II l!g,-1. -.:::j=:-:=:j ,=--:::-- --"-:.- ' - -: a ' Qtllarycl-Iorg/p-q!!El

usetl as a llcrlilmtat)ce rneasure, such as tltc licqucllc] o1'brcaks' number of

prorlrrct deili.'r:ts;, the frequency of negligettcc of lvorkcrs attt! others' From the

,urt,lt ,'cor,: ol-the criteria, rnanagenlel)l call lirrally llnd ottl the perfonttance of

rt'spottsitrlc organ ization.-l'hc performance indicatclrs used irr tlris rcsc'urclt arc basctl tln tlte tnodel

clc'clirllecl pic,.viously as mentioned on tat,lc I l)c-tcrrrtirrittitrtt trl'bascline for

caclr Iicnclurtark is based on long-term prtrjcutiorls tlrttrt lttttl pflst datlt u'ith the

contpan), if there is a linear regression up trend ol'an average il'the data tend tg

risc: and tall. I'he improving target is done through {bcus group discussions (FGD)

u ith ilrtt:rcsted parties for each KPI.'fhe FC[) carr involve the relevant Inanagers

(Dcan and Head of L)epirrtment) as experts for eaclt indicator, and then the

aYcra!,,e scorc is used as thr: result. If there is a striking diff'erenoe between the

,r,o,rrg"r, it is necessary to consolidate the value first. The restrlt is called the

wc,igh'ied targeted impinvements. I)etermination of long-term target is to add

the irrge t of'increasing the baseline. In OIr4AX, long-term goal is given a score

ol' l0 irs the best perfonnance as mentiorred irt equation l'

scorc I0 = haseline'f intprovenrcnt lurgel x buscline (l)

While a score of -1 is given forthe sanrc pcrfonnattcc w'ith the baselirrr:. Score

of 0 is given to the lowest performance on time series data' Score fronr 4 to 9

nrr, ,."nJy to perfornr interpolatir:n score of 3 and 10. So the increment for scores

of 3 to I 0 is shorvn by equation 2.

incrernent o h 3 ss!e!-LFe!!f (.) )

'The sarne interpolation technique is used to deterntine score I and 2 by using

score 0 and 3 as shown by equation 3.

increment on3: (3)

The next is to determine weight ratio. Weight ratio is determincd by the

leadership of higher education or by people in college who understand '.he businexis

p.o".rr"n within the organization. In addition, the weighting can be used as a

determination of priorities of all RAISE criteria. The current KPIs will be the

focus of organizationa.l tlevelopment. Management has the responsibility to

determine the level of importance of each perfonnance indicator. weiglrting

clescribes the influence of individual performance towards company objectives

based on the views of rnanagement. Weighting is used by using a scale fiom l0

to 20. Fqr each inclicator, the managernent should decide the weight. This decision

slrows rhe inrportant leriel of indicator to support the organization policies'

130

{lp!a4d farm journal. yslJ l{o 1

Aclual score is tlre valuc.!'each rat.ro u'hich is achicved in aachicved in a singleprrlo:-tttant:e lilcasure t.ue!tt pericril I his value will be the basis ibr detcrrnilingtllc'titiai peribrn;ance h_\'conlpstrrrg tlrr'values i1 cach target betwr-err. Tleprodtrctivit-r' is the raluc oi r.he aclual sc,.'rc ll is rlultiplied by the w,eight qleachrlr-i-lonnar!oc inciicator rn Kl)1. lhc'n. tirc llnal rnatrix is shown ilr Table II.

Table ii. Objectin'e ir4e(rix [4ocei for KFis of HEIs

KI] R.eierrance

RI R2 R] R4

Aoemic

Atnoq*Hc

A] NN

Intffital

N.4gt&09

Ii 2B

Su-(ai-

nability

SI SS

Efficio-q'& Sulrc

Productiw"v

EI N BBA-,;tiajlbite

Atud$reHbSr

Prodrsyit),

COIiCLUSIONS

There are sorne conclusions that can be drarvn in connecticn wiih theuse oi Key Perlbrmance Indicatc;s at the llEI using the objectivc matrix. Theob-iective matrix can bc used as a multi-er itena performairce measurement modeifor highei education institutions in which the key performance area includesRAISE (Relevance, Academic Atmosphere, lnternal Ivfanagement andOrgar, ization, Efficiency and Produciiviry). weights c.an be use<i on each indicatorto give some flexibiiitl,for managemenr to make the decision which activity orarea as the main improved achievoments or has been given high priority scaleas a major influence on e'rverall perlormance.

%t3t

IU

9

8

1

6

5

,1

J

2

I

0

VqlrILNg,.-1=i:--:-:==::::#=: --':'-:'-:-- '\!])t9!lv "!-'\':-!':'t''--v':-:::::

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