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Interactive Use of Performance Measurement Systems and its Impact to Firm Performance: Evidence from West Java Province Local-Owned Enterprise, Indonesia

Journal: The Journal of Social Sciences Research (Vol.4, No. 2)

Publication Date:

Authors : ;

Page : 148-152

Keywords : Interactive use of performence measurement systems; Effectiveness innovation type; Organizational com mitment; Local - owned enterprise; Firm performance.;

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Abstract

We analysed the influence of the interactice use of performance measurement systems/(IPMS), organizational commitment/(OC), and effectiveness innovation type/(EIT) on the firm performance. Then, the extent to which that who have organizational commitment and effectveness innovation type as an intervening variables. We study the West Java Local-Owned Enterprise, Indonesian. From 146 distributed questionnaires, we obtain 69 usable data points which we analyse using Path-Analysis. We indicated that IPMS, organizational commitment, effectveness innovation type have positive and significantly effect on firm performance. Other word, we suggested that organizational commitment and effectveness innovation type as an inetrvening variable in the relationsip between IPMS and firm performance. This result implies that managers can open communication linness to subordinate to increase IPMS that lead to the improvement of OC and EIT in order to generate operational effectveness and performance. This research confirms that IPMS and OC should be increase implementation of EIT to encourage the employee's motivation to creation by day to day in gaining firm strategic competitiveness. This research have confirmatory the importance employed of IPMS, OC, and EIT at middile to lower level employees in the Goverment Local-Owned Enterprise. I thing that less seriously in the decade were field of management accounting/performance measurement systems.

Last modified: 2019-02-01 22:38:08