book of abstract icbmr 2017 28.10.2017 · book of abstract – icbmr 2017 table of contents welcome...

1 Book of Abstract – ICBMR 2017

TableofContents

WELCOMEMESSAGE2

ABOUTICBMR3

COMMITTEEMEMBERS4

ABSTRACTKEYNOTESPEAKERS5

KEYNOTESPEAKERSBIODATA7

PROGRAMSCHEDULE9

PARALLELSESSIONSSCHEDULE13

ABSTRACT19

PARALLELSESSION1(ACCT)19

PARALLELSESSION1(FIN)25

PARALLELSESSION1(GSM)31

PARALLELSESSION1(ECO,GSM,OPR)37

PARALLELSESSION1(MKT)43

PARALLELSESSION2(FIN,IFIN)49



PARALLELSESSION2(HRM)67





PARALLELSESSION3(IFIN)97

PARALLELSESSION3(MKT,MIS)103

PARALLELSESSION4(ACCT)109


PARALLELSESSION4(HRM,GSM)121

PARALLELSESSION5(ACCT,FIN)127



AUTHOR’SINDEX148


WELCOME MESSAGE Dear Honorable Scholars, I am pleased to welcome all of you to Padang, West Sumatra province for The International Conference on Business and Management Research or ICBMR. This year would be the 11th year that the Management Research Centre, Department of Management, Faculty of Economics and Business, Universitas Indonesia, conducting this conference. This event is organized with a motivation to provide an international platform for the academicians, researchers and budding students to share their research findings and to find international linkage for future collaborations. The theme of the 2017 conference is “Deglobalization: Challenges for Emerging Countries”, to capture significant changes in the political world that may impact emerging countries. We receive papers from different management and business field of finance and Islamic finance, marketing, human resources management, general, strategic, and operations management, and accounting. All presented papers will be published in the conference proceedings or in our supporting journals. This large gathering of academicians would not be possible without the supports from KPPRI UI and sponsoring organizations, PT. Pertamina, PT. Telkom, PT. Bank Central Asia and supporting journals/publisher: Asian Journal of Business and Accountancy, Pertanika Journal of Social Science and Humanities, ASEAN Marketing Journal, Indonesian Capital Market Review, The Southeast Asian Management Journal, and Atlantis Press. I would also like to express my gratitude to the leaders of Universitas Indonesia and Faculty of Economics and Business for their tremendous supports. Last but not least, thank you from the bottom of my heart to all contributors: presenters, track chairs, reviewers, keynote speakers, and members of the organizing and scientific committees. Without your supports and hardworking this conference would never be happened. May you have a wonderful experience in sharing your knowledge. Enjoy the conference. Ratih Dyah Kusumastuti, PhD Chair of Organizing Committee


ABOUT ICBMR

ICBMR 2017 theme is “Deglobalization: Challenges for Emerging Countries”. This theme was chosen since currently there are significant changes in the political world, such as Brexit and political changes in the US that leads to deglobalization. This early process of deglobalization is bringing impact to emerging countries. These changes create a challenge for emerging countries to remain its competitiveness in the world market. To that end, the Faculty of Economics and Business, Universitas Indonesia, in particular the Department of Management through its research institutes, namely Management Research Centre is determined to contribute positively to allow Indonesia to take advantage of the challenges posed into various business opportunities. Through ICBMR prestigious event this year, we expect to obtain various inputs and studies that can provide insights for policy makers, businesses and the scientific developments in the country. Conference Theme 1st ICBMR, Bali, 2006 Facing 21st Century Challenges 2nd ICBMR, Jakarta, 2007 Business Landscape Shifting in Asia

Pacific Regions 3rd ICBMR, Bali, 2008 Managing Global Business

Competition 4th ICBMR, Bali, 2009 The New World Order After the Crisis 5th ICBMR, Depok, 2010 How to Enhance Globability in The

New World 6th ICBMR, Manila, 2011 Business and Management

Challenges toward ASEAN Economic Community 2015

7th ICBMR, Ho Chin Minh, 2012 Transforming Local and Regional Networks into Sustainable Growth

8th ICBMR, Seoul, 2013 Trade, Business and Investment in the Global Economic Recovery

9th ICBMR, Kyoto, 2014 International Market Integration 10th ICBMR, Lombok, 2016 Enhancing Business Stability Through

Collaboration 11th ICBMR, Padang, 2017 Deglobalization: Challenges for

Emerging Countries


COMMITTEE MEMBERS

STEERINGCOMMITTEE

1. Prof. Ari Kuncoro, Ph.D 2. Dony Abdul Chalid, Ph.D

SCIENTIFICCOMMITTEE

1. Professor Dr. Agus W. Soehadi – Prasetiya Mulya Business School 2. Professor Dr. Balakrishnan Parasuraman – Universiti Malaya Kelantan 3. Professor Dr. Felix Mavondo – Monash University 4. Professor Dr. Firmanzah – Universitas Indonesia 5. Professor Dr. Iftekhar Hasan – Fordham University 6. Professor Dr. Irwan Adi Ekaputra – Universitas Indonesia 7. Professor Dr. Mohamed Ariff – Sunway University 8. Professor Dr. Togar Simatupang – Institut Teknologi Bandung 9. Dr. Ahmad Daryanto – Lancester University 10. Dr. Aryana Satria - Universitas Indonesia 11. Dr. Dony Abdul Cholid - Universitas Indonesia 12. Dr. Hanny Nasution - Monash University 13. Dr. Irwan Trinugroho – Universitas Sebelas Maret 14. Dr. John Walsh – Shinawatra University 15. Dr. Lukas Setiatmaja – Prasetiya Mulya Business School 16. Dr. Ratih Dyah Kusumastuti – Universitas Indonesia 17. Dr. Sari Wahyuni – Universitas Indonesia 18. Dr. Sri Rahayu Hijrah Hati – Universitas Indonesia 19. Dr. Sylvia Veronica – Universitas Indonesia 20. Dr. Tengku Ezni Balqiah – Universitas Indonesia 21. Dr. Vera Pujani – Universitas Andalas 22. Dr. Viverita - Universitas Indonesia 23. Dr. Wahyoe Sudharmono – Sampoerna University 24. Dr. Zaafri A. Husodo – Universitas Indonesia

ORGANIZINGCOMMITTEE

1. Ratih Dyah Kusumastuti, Ph.D 2. Putri Mega Desiana, MM. 3. Fajar Ayu Pinagara, M.Phil., M.Sc. 4. Asiah, MA. 5. Ratna Juwita, MSM., M.Ak. 6. Andreina Fara Hapsari, SE. 7. Sintani Sari Aristi, SE.

8. Intan Juwita Sari, SIA. 9. Muhammad Miqdad Rabbani, SE. 10. Muhammad Furqon Abi Wirawan,

A.Md. 11. Mamun 12. Mat Sholeh


ABSTRACT KEYNOTE SPEAKERS

PROF.DR.IFTEKHARHASAN

The Externalities of Globalization: Evidence from Foreign Bank Ownership and International

Diversification First, I discuss about the impact of foreign ownership on the price informativeness of bank stocks based on a large sample of banks from 60 countries between 1997 and 2012 and observe that foreign ownership associated with greater (lower) stock price informativeness (synchronicity). Such positive association is stronger when foreign banks originate from countries with stronger governance than their host countries, and when monitoring costs are lower. This evidence suggests that foreign ownership significantly reduces bank opacity by promoting better corporate governance. Our results yield important implications for bank regulators and governments by documenting and highlighting the significant role of banking globalization in promoting greater transparency, quality corporate governance, and efficient capital allocation. Second, I discuss how the capital market values globalization (international diversification) of banks in good- and in bad-times. I focus on this question by examining the domestic and foreign sovereign debt rating changes, both before and during the European sovereign debt crisis. Tracing 320 European banks in 29 countries and 226 credit rating announcements of European sovereigns, between January 1, 2001 and August 15, 2012, I report that capital market does value banks’ access to foreign funds. Despite some occasional adverse effect immediately after the negative news on sovereign credit rating changes, however, international diversification (globalization) is likely to be beneficial to European banks, especially during periods of distress.


ABSTRACTKEYNOTESPEAKERS

ASSOCIATEPROFESSORDR.RUBIAHMAD

How to Publish In International Journals?

Developing papers for research and publication is part and parcel of academic life in addition to teaching and supervision. Getting our work published is the key to having a productive, exciting and rewarding academic career. In my presentation, I share some general tips as well as my own experience on how to be successful in publication. It is highly recommended to start writing and publishing at the early stage of our research or doctoral study career. Diversifying your research portfolio, concentrating on one or two fields of specialization, choosing interesting topics and journals for your papers and collaborating with your PhD students, coworkers, and international professors are very useful together with writing clearly. The likelihood of getting your work published also increases with having interesting title and good abstract. These recommendations however require proper attention, planning and implementation.


KEYNOTE SPEAKERS BIODATA

PROFESSORDR.IFTEKHARHASAN

Dr. Iftekhar Hasan is the E. Gerald Corrigan Professor of Finance at Fordham University. He serves as a scientific advisor at the Bank of Finland; a research fellow at the Financial Institution Center at the Wharton School and NYU Stern School of Business. A Fulbright scholar and a Fulbright selector, Dr. Hasan, held visiting faculty positions at several universities in Europe, Asia and Australia. Professor Hasan's research interests are in the areas of financial

institutions, corporate finance, and emerging markets. Professor Hasan has over 325 publications in print, including 16 books and edited volumes and over 240 peer-reviewed articles in reputed journals such as JFE, JFQA, JME, SMJ, HRM, JAR, and MGMT_SCI. He received his PhD and MS from the University of Houston. He received a “Doctor Honoris Causa” from the Romanian-American University in Bucharest.


ASSOCIATEPROFESSORDR.RUBIAHMAD

Rubi Ahmad is an Associate Professor of Finance and Banking and is currently Deputy Dean of Research and Development, Faculty of Business and Accountancy (FBA), University of Malaya, Kuala Lumpur, Malaysia. She holds a PhD in finance at Department of Accounting and Finance of Monash University, Melbourne, Australia as well as MBA degree specialization in finance from University of Memphis, TN, USA.

Rubi Ahmad’s research is mainly focus on structural changes, organizational performances, regulations and challenges facing banking institutions as well as financial markets in emerging countries namely ASEAN. She has supervised many doctoral students and several of whom are now teaching at universities in Malaysia, Nigeria, Saudi Arabia and Iran. Currently, she supervises five doctoral students whose thesis topics include bank performance, financial regulations, mergers & acquisitions and investment. She has produced a wide range of publications specifically book chapters and academic articles on banking and finance in local and foreign academic journals. Her list of journal publications includes Journal of International Money and Finance, International Review of Economics and Finance, EMPIRICA, Chinese Management Studies, Asia-Pacific Financial Markets and Multinational Finance Journal. She also serves as an associate editor of Asian Journal of Business and Accounting (AJBA) as well as an external examiner for two local universities and University of Ilorin in Nigeria. From 2015 until today, she is one of the panel members of Malaysian Quality Accreditation (MQA) for Program Standard for Finance and Banking. MQA is a national body that oversees and approves all undergraduate and post-graduate programs offered by public and private institutions in Malaysia.

PROGRAM SCHEDULE


Wednesday,1stNovember2017

Time Description Venue

07.00‐08.15am Registration

PadangConventionCentre

08.15‐08.25am SafetyInductionbyHotelManagement

08.25‐08.30am OpeningRemarkbyMCandNationalAnthemReplay

08.30‐08.45am WelcomeSpeechfromTheGovernorofWestSumatera,Indonesia

08.45‐08.50am RecitingPrayer08.50‐09.00am ReportfromtheOrganizingCommittee09.00‐09.15am WelcomeSpeechfromTheDeanofFEBUI

09.15‐09.30amWelcomeSpeechfromTheRectorofUniversitasIndonesiaandOpeningCeremony

09.30‐10.30am KeynoteSpeech+Q&ASessionProf.Dr.IftekharHasanProffessorofFinanceandCorriganChairinInternationalBusinessandFinanceFordhamUniversity,USA

10.30‐10.45am TokenAppreciationandPhotoSession10.45‐11.00am CoffeeBreak

11.00‐12.30pm ParallelSession1Anai,Ombilin,Tarusan,Kuantan

12.30‐01.30pm LunchRanahMinangCoffeeShop

01.30‐03.00pm ParallelSession2Anai,Ombilin,Tarusan,Kuantan

03.05‐04.05pm KeynoteSpeech+Q&ASession

PadangConventionCentre

Prof.BambangP.S.Brodjonegoro,Ph.DMinisterofNationalDevelopmentPlanningofIndonesia

04.05‐04.15pm TokenAppreciationandPhotoSession04.15‐04.30pm CoffeeBreak

06.15pm DeparturetoWelcomeDinner LobbyHotel

07.00‐08.30pm WelcomeDinner&TraditionalDancePerformanceatGovernor’sResidenceGovernor'sResidence


Thursday,2ndNovember2017

Time Description Venue

08.30‐09.30am KeynoteSpeech+Q&ASession

OmbilinAssc.Prof.Dr.RubiBintiAhmadDeputyDean(ResearchandDevelopment)FacultyofBusinessandAccountingUniversityofMalaya,Malaysia

09.30‐09.45am CoffeeBreak Anai,Ombilin,Tarusan,Kuantan

09.45‐11.15pm ParallelSession3

11.15‐12.45pm

ParallelSession4

Anai,Ombilin

11.15‐12.45pm DoctoralColloquium

KuantanandTarusan

Panelists:1.Prof.Dr.IftekharHasan2.Assc.Prof.Dr.RubiBintiAhmad3.Prof.BalakrishnanParasuraman4.ZaafriA.Husodo,Ph.D5.Dr.BudiWidjajaSoetjipto

12.45‐01.45pm Lunch RanahMinangCoffeeShop

01.45‐03.30pm ParallelSession5

Anai,Tarusan,Kuantan

01.45‐03.30pm Practitioner'sTrack“ImprovingSME’sCompetitiveAdvantagesandImplementationofOVOPPolicyinWestSumateraProvince”

Ombilin

Panelists:1.Ir.ZirmaYusri(HeadofCooperativeandSMEDivision,WestSumateraProvince)2.AsbenHendriSE.,MM.(HeadofIndustryandTradeDivision,WestSumateraProvince)3.AgusMashudS.Asngari(VPCSRandSMEPartnershipProgram,PT.PertaminaPersero)4.ZakirMachmud,PhD.(HeadofUKMCentreFEBUI)ModeratedbyDr.RifellyDewiAstuti(Dept.ManagementFEBUI)

03.30‐04.00pm ClosingCeremony BestPaperAnnouncement

04.00‐04.30pm CertificateandReceiptCollectionwithCoffeeBreak


Friday,3rdNovember2017*

ItineraryOne‐DayTrip

07:00–08:30 Padang–AnaiValleyNaturalReserveandWaterfall

08:30–09:00 PhotostopatAnaiWaterfall

09:00–11:00 ProceedtoBukittinggi

11:00–12:00 Bukittinggicitytour:SianokCanyon,JapaneseTunneland

JamGadang

12:00–13:30 Fridayprayertimeattheclosestmosquesforgentlemen andladiescankindlywaitatFamilyRestaurant,continues tolunch

13:30–14:30 FreetimeandShoppingatPasarAteh

14:30–16:00 AvisittoPagaruyungRoyalPalaceatBatusangkar

16:00–17:00 ObservationatPagaruyungRoyalPalacewhichisthecenter ofMinangkabauancientculture.Youcanlearntheculture ofMinangkabauandalsotakesomepictureswearing Minangkabautraditionalclothes.

17:00–18.15 BacktoPadangviaPadangPanjang

18:15–19.00 MaghribprayerandDinneratPakDatuakRestaurant (SpecificofMinangkabauTraditionalFoods)

19:00–21:00 DrivetoPadang *Tour is optional. Registration is available at the first day of conference.

PARALLEL SESSIONS SCHEDULE


Parallel Session 1

1st November 2017 11.00 am - 12.30 pm

Anai

(ACCT) Ombilin 1

(FIN) Ombilin 2-3

(GSM) Tarusan

(ECO, GSM, OPR) Kuantan

(MKT)

Chair: Yosman Bustaman

Chair: Iftekhar Hasan Chair: Sari Wahyuni Chair: Mohammad Hamsal

Chair: Gita Gayatri

Analysis The Effect Of Audit Fee On Audit Quality In ASEAN Countries Fitriany Top Management Team Characteristics (TMT) and Profitability: The Case of Indonesian SOEs Hilda Rossieta The Effect of Head of Region Characteristics on Local Government Financial Performance: The Case of Indonesia Doddy Setiawan The Effect of Profitability, Tangibility, Corporate tax, Non-debt tax shield and Inflation rate to the Capital Structure on the Manufacture Companies listed in the Indonesia Stock Exchange Abdillah Arif Nasution Managers' Cost Stickiness Behavior: Empire Building Motive, Bonus Scheme Incentive and Companies' Earnings Level Hilda Rossieta

Closing Price Manipulation in Indonesia Stock Exchange Mahmudah Fatluchi Capital Structure Determinnats of SMEs Shariah Compliant Companies Mazila Md-Yusuf Does the religious values of CEO affect the capital structure? Rida Rahim Competition Analysis of Banking Industry in Indonesia: Were the efficiency transfers happened? Dony Abdul Chalid Cross border banking sector: Evidence of diversification and financial stability in Asia Pacific Viverita

The Influence of Value-Creation on Customer’s Based Destination Brand Equity : Case Study Daerah Istimewa Yogyakarta and Magelang in Indonesia Agung Nugroho Stakeholder Pressure and Its Effect on Strategic Response and Firm Performance: The Mediating Role of Dynamic Managerial Capabilities Elok Savitri Pusparini How Personality Could Increase Engagement to Change? Mediation Effect of Personal Mastery and Network Centrality Dofa Purnomo The Local Government’s Supply Chain Strategy to Empower the Traditional Fishermen in Southern Coast of Java Island Ni Putu Eka Widiastuti The Role of Entrepreneurial Orientation in Achieving Organization Performance Through Business Model Innovation and Strategic Collaboration Sandra Dewi

Determinants of Economic Growth: A Case Study of PIIGS Countries Erfan Fiddin, Zahrin Haznina Qalby The Equilibrium Analysis of Consumption and Imports of Soybean in Indonesia Hasdi Aimon, Zul Azhar Moderating Effect of Demographic Factors and Entrepreneurial Phase on the Relationship Between Entrepreneurial Competencies and Innovation of ASEAN Entrepreneurs: Evidence from GEM Data Gandhi Pawitan Managing Local Resources To Improve Community Empowerment And Reduce Poverty Wahyuningsih The Use of Lean Six Sigma to Improve Key Performance Indicators on The Plant Division of PT. PPN Athor Subroto

Empirical Analysis of Fit among Entrepreneurial Marketing and Marketing Strategy towards SMEs Marketing Performance Rifelly Dewi Astuti Tweens Perception on Advertising Using Older Cognitive Age Tetty Rimenda Tarigan Investigating Consumer Perceptions of Islamic Advertising: From Ethics to Virtue Anya Safira, Fadhil Akbar Purnama Analysis of team engagement and physical servicescape perception effects on branch service quality and customer engagement Daniel Tumpal H. Aruan Annual Traveller Demand from Advertising and Word of Mouth Saisomphorn Larhsoukanh


Parallel Session 2 1st November 2017 01.30 - 03.00 pm

Anai (FIN, IFIN)

Ombilin 1 (FIN)

Ombilin 2-3 (GSM)

Tarusan (HRM)

Kuantan (MKT)

Chair: Rofikoh Rokhim Chair: Iftekhar Hasan Chair: Vera Pujani Chair: Balakhrisnan P. / Aryana Satrya

Chair: Sri Rahayu HIjrah Hati

Demand for Islamic Pension Funds in Indonesia: an Exploratory Study Rahmatina Awaliah Kasri

Market Structure and Bank Stability: Comparison Between Conventional and Islamic Banks in Indonesia Muhammad Budi Prasetyo

National Framework, Market Structure, and Banking Stability (Evidence in ASEAN-5) Dony Abdul Chalid

The Influence of Banking Profitability on Share Price and The Moderating Role of Capital Adequacy Ratio and Foreign Exchange Transaction: Comparative Study of Government and Private Banks in Indonesia Meliza Zafrizal

Measuring the Impact of Higher Capital Requirement to Bank Lending Rate and Credit Risk: The Case of Southeast Asian Countries Sigit S. Wibowo

Financial Literacy and Consumer Debt: A Survey of Low Level Income Households in Depok, West Java, Indonesia Angelica Fadya Noventi, Dwi Nastiti Danarsari

Impact of the Agressive Working Capital Management Policy on Firm’s Profitability and Value: Study on Non-Financial Listed Firms in Indonesia Stock Exchange Rosyeni Rasyid

Idiosyncratic Cash Flow Volatility in Emerging Asia and Developed Asia in Manufacturing Sector Zaafri A. Husodo

The Exposure to Sensitivity of Common Idiosyncratic Volatility on Stock Returns: Evidence in South East Asia (ASEAN) Emerging Markets Pratiwi Noviayanti

The Financial Market Stability : Southeast Asia, BRIC and Latin America Isye Nur Isyroh

The Driving Factors And Focus Of CSR Implementation: A Comparison of Family Business In Indonesia, Japan and Thailand Sari Wahyuni

Effect of Institutional Related Criteria in Partner Selection: Case of Logistic Service Provider in Indonesia Hally Hanafiah

In Search of Product Uniqueness: Insight From Indonesia Agung Wahyu Handaru

Will Jakarta Still Having Traffic Congestion after MRT? Fajar Ayu Pinagara

The Effect of Public Service Quality and Public Education on Public Trust in Bekasi City: A Comparison of the Services for Civilians and Businesses Anton Wachidin Widjaja, Budi Indrawati

Determination of Leadership and Spiritual Motivation on The Performance of Employees through the Satisfaction of City Government Employees Batam, Indonesia Chablullah Wibisono

Spiritual Crafting: Another Strategies to Transform the Meaning of Work Missiliana Riasnugrahani

Exploring Antecendents and Consequences on Women/ Leader Identity Conflict in Indonesia Ilman Irianto, Intan Silvia Dale, Corina D. Riantoputra

Political Behaviours of Internal Auditors in a Public Organization Monica Devina

Emotional Labor and Organizational Commitment among Hospital Nurses: The Mediating Role of Job Burnout Uliyatun Nikmah

The Role of Newspaper as Political Marketing Tool during Indonesian Presidential Election of 2014 Maslina Warnie Hutasuhut, Indiana Ngenget

The Effects of Brand Love, Brand Image and Brand Personality on Brand Engagement of Local Fashion Brands in Indonesia : Moderating of Ethnocentrism Cindy Suwandhi

In a Social Capital Perspective: The Effect of Branded E-Stickers (BES) Usage on Brand Attitudes and Brand Purchase Intentions (Study on LINE Social Messenger) Yeshika Alversia

The Effect of Perceived Quality of Performance of Peripheral Conference Service on The Revisit Intention to Conference Host Destination and The Moderating Effect of Novelty Seeking Christina Lipuringtyas Rudatin

Perceived Justice and Perceived Loss Influence toward Customer Satisfaction in Service Recovery: the Impact on Trust and Switching Intention Gita Gayatri


Parallel Session 3

2nd November 2017 09.45 - 11.15 am

Anai

(GSM) Ombilin 1

(FIN) Ombilin 2-3

(GSM) Tarusan

(IFIN) Kuantan

(MKT, MIS)

Chair: Lily Sudhartio Chair: Irwan Adi Ekaputra

Chair: Anton W. Widjaja Chair: Zaafri A. Husodo Chair: Wahyuningsih

Social Media and Innovation: The Case of Indonesian Small-Medium Sized Enterprises Ambar Sari Dewi The Governance of Public-Private Ties Model: How to Govern The PPPs Infrastructure Project Effectively (An Indonesia Case) Krist Ade Sudiyono Strategic Roles of Owner-Managers in Achieving SMEs’ Dual Goals Ruslan Prijadi Why Gender Inequality is Still Appeared in Garment Factories in Indonesia? Muthia Pramesti Bridging the Gap of Knowledge between Government Policies and Project Performance: An Empirical Study in Highly Regulated Industry Fitria Astuti Firman

Continuous and Jump Betas : Implications for Portfolio Diversification (Evidence from Indonesia Stock Market) Usman Arief Capital Buffer for Stronger Bank Stability: Empirical Evidence from Indonesia’s Commercial Banks Dwi Nastiti Danarsari The Influence of Corporate Social Responsibility, Business Diversification, and Company Size on Company Value Erni Masdupi A Dynamic Effect of Profitability on Leverage: A Dynamic Inaction Model of Optimal Capital Structure in Indonesia Capital Market Ika Novaria Cost of Financial Distress and Firm Performance Estu Widarwati

The Effect of Entrepreneurial Marketing on Managing Resource and Its Impact on Innovation Performance Triyono Arief Business Unit Entrepreneurial Orientation and Strategic Initiative in Large Family Business Group: The Role of Corporate Centre and Family Influence Okder Pendrian The Role of Functional Competencies, Dynamic Capabilities and Technology Flexibility in Crafting Product Superiority: A Study of Indonesian Packaged Software Developers Minsani Mariani Social Construction of Trust in the Investment of "Bodong" Damsar, Indrayani State-owned Enterprises Innovation Performance Andreas Pardyanto

An Empirical Analysis on Zakat Institution's Performance in Jakarta, Indonesia: A Measurement Using a Newly Developed Index Maulidia Amri Dynamic Relationship between Sovereign Bond and Sukuk Market Developments with Indonesian Economy Reifa Qisthi Mitsaliyandito Investment Strategy in Islamic Capital Market: Study on Indonesia Stock Exchange Zaenal Arifin The Analysis of Market Power and Bank Soundness on Islamic and non-Islamic Bank Behavior Raihan Mahendra Sukuk Rating Prediction: the Case of Corporate Sukuk in Indonesia Nabila Ismail

An Analysis of Technology Acceptance Model with Extensions in Affective Components and Anxiety for Village Financial System (Siskeudes), A Case Study in Tangerang District, Indonesia Roby Syaiful Ubed, Ambang Aries Yudanto Successful Information Technology Adaptation Process to Enable Business Agility Siti Yasmina Zubaedah How Product Arrangement and Quantity Influence Consumer's Intention: The Role of Disliking Disorderliness and Scarcity Effects Andang Fazri Which is the Stronger Influence of Voting Intention: Candidate Credibility or Party Credibility Sri Rahayu Hijrah Hati The Influence of Sharia Compliance and Marketing Mix on Satisfaction and Intention of Muslim Tourist to Revisit Sharia Hotel Nurdin Sobari, Hardius Usman, M. Zainul Wathani


Parallel Session 4

2nd November 2017 11.15 am - 12.45 pm

Anai

(ACCT) Ombilin 1

(FIN) Ombilin 2-3 (HRM, GSM)

Tarusan Kuantan

Chair: Sigit S. Wibowo Chair: Dony Abdul Chalid

Chair: Tengku Ezni Balqiah

Chair: Balakrishnan Parasuraman, Budi W. Soetjipto

Chair: Iftekhar Hasan, Rubi Ahmad, Zaafri A. Husodo

Industrial Compensation Gap, Family Ownership, and Risk Preferences Vera Diyanty The Effect of Business Strategy on Manipulation of Real Activities Eva Herianti, Amor Marundha Fraud Risk Factors and Tendency to Commit Fraud: Analysis of Employees’ Perceptions Desi Adhariani The Accountability Type of Endowment (Waqf) Institutions in ASEAN Countries Dodik Siswantoro Corporate Governance Determinants for Mitigation of the Likelihood of Financial Distress Hafiz Mahmud Ahmad

The Impact of Information Transmission and Liquidity toward the Indonesian Corporate Bond Yield Spread Antonius Siahaan The Orientation of Microfinance on Group Lending Strategy: A Delphi-ANP Evidence Ali Sakti A Demand Side Analysis of The Mission Drift Of Microfinance Institutions In Indonesia Ganesha Bayu Murti Interest Margin versus Small Medium Enterprises Financing: Does Bank Ownership Matter? Muhammad Miqdad Robbani Firm Profitability, Ownership Structure and Dividend Policy on the Indonesian Manufacturing Companies Yosman Bustaman

Human resource management practices in manufacturing SMEs in Central Java, Indonesia Fanny Martdianty Analysis on The Impact of Innovation Management toward Employee Engagement Mediated by Teamwork (Study Case at One of Banking Company in Indonesia) Fahrina Yuliani The Impact Owner’s Work-Life Balance, Motivation, and Personality on the MSE's Business Performance within Greater Jakarta Area Usman Manor Working Condition and Quality of Life for Female Workers in Garment Factories in Indonesia, Does It Ideal? Muthia Pramesti The Importance of PMO Practices in Strategic Initiative Implementation: An Empirical Study in Indonesian Banks Mohammad Ichsan

Doctoral Colloquium Fitria Astuti Firman Okder Pendrian Andreas Pardyanto Sandra Dewi Wilsa Theodore Hally Hanafiah Minsani Mariani

Doctoral Colloquium Dwi Nastiti Danarsari Titi Dewi Warnindra Nugroho Agung Wijoyo Estu Widarwati Andang Fazri Dofa Purnomo Elok Savitri Pusparini


Parallel Session 5

2nd November 2017 01.45 - 03.30 pm

Anai

(ACCT, FIN) Tarusan

(FIN) Kuantan

(MKT) Ombilin 1, 2, 3

Chair: Irwan Adi Ekaputra Chair: Ruslan Prijadi Chair: Wahyuningsih

Practitioner's Track

“Improving SME’s Competitive Advantages and Implementation of

OVOP Policy in West Sumatera Province”

(This session is in Bahasa

Indonesia)

The Effect of Environmental Disclosure on Firm Value and Cost of Equity Sylvia Veronica Siregar The Effect of Family Ownership And Internal Control Effectiveness on Audit Fee Ida Ayu Marina Clara Widiastiti Ownership Structure and Company's Risk Taking Behavior Desi Adhariani The Effect of Decentralization, Task Uncertainty, and Environmental Uncertainty on the Managerial Performance: Management Accounting System Dimensions as a Mediation Variable Dody Hapsoro IFRS, Accounting Information Quality, and Market Discipline: Evidence from Indonesian Banks Viska Anggraita The Effect of The Working Cabinet Reshuffle Volume II on Abnormal Return and Abnormal Trading Volume Activity of The Companies Listed in Jakarta Islamic Index (JII) Nisful Laila

Identifying Systematically Important Banks in Indonesia: CoVaR Approach Nugroho Agung Wijoyo, Irwan Adi Ekaputra Oil Price Volatility Between Oil Volatility Index and Realized Variance To Asean-5 Stock Return Using DCC-GARCH Sigit S. Wibowo Foreign Portfolio Investment Flows and Exchange Rate: Indonesia Evidence Dyah Anggitawati The Analysis of Herding Behavior in Indonesia and Singapore Stock Market Eko Rizkianto, Dony Abdul Chalid Profit-Loss Sharing Financing and Islamic Bank Earnings Volatility Titi Dewi Warnindra Determinnants of Financial Performance of State-Owned Enterprises with Government Subsidy as Moderator Aminullah Assagaf, Etty Murwaningsari

A Comparison Between the Application of Brand Functional Value and Brand Experiential Value Toward Consumer Evaluation on Local – Foreign Branding: An Experimental Study Tengku Ezni Balqiah The Effects of Green Brand Positioning, Green Brand Knowledge, and Attitude towards Green Brand on Green Products Purchase Intention Elevita Yuliati Entrepreneurial Proclivity on Performance : The Role of Market and Technology Turbulence As a Moderator Yunia Wardi The Antecedents of Donation Intention in The Islamic Philanthropy Organization: The role of Social Media Syahrina Mazaya Impact of Green Accounting and Green Culture to Green Reputations of Hotel in Indonesia I Putu Astawa The Antecedents of Muslimas Attitudes and Purchase Intention from And Online Fashion Store with Islamic Positioning Sri Daryanti

PARALLEL SESSION 1

(ACCT)


PARALLEL SESSION I

Analysis the Effect of Audit Fee on Audit Quality in ASEAN Countries

Muhammad Ridzki & Fitriany Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia

Email of corresponding author: [email protected] This study investigates the impact of audit fee to the audit quality. The samples were Indonesia, Malaysia, Singapore, Philippines and Thailand with the study period from 2011 to 2015. Total sample are 4.015 firm years. Audit quality is measured by the amount of earnings management as measured by the amount of AWCA (Abnormal Working Capital Accruals). Audit fee divided into positive abnormal audit fee (above normal audit fee) and negative abnormal audit fee (below normal audit fee). The regression results show that both positive abnormal audit fees and negative abnormal audit fee decrease the audit quality. It is a reasonable thing, if the auditor receives audit fee under a normal fee, then the audit quality will be low, because the auditor is paid cheaply. However, if a positive abnormal audit fee is also decrease the audit quality, indicating that there is a problem of independence, it indicate the existence of economic bonding between the auditor and the client in which the auditor is afraid of losing that client, thus giving his clients great tolerance, among others, by allowing earnings management performed by their client. These results indicate that independence of auditor still needs to be improved so that audit quality can be improved. Keywords: Earnings management; abnormal working capital accruals; abnormal audit fee; audit quality


PARALLEL SESSION I

Top Management Team Characteristics (TMT) and Profitability: The Case of Indonesian SOEs

Primatazya Putri & Hilda Rossieta

Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, 16424, Indonesia

Email of corresponding author: [email protected] This research aims to analyze the effects of Top Management Team (TMT, i.e., Board of Commissioners/ BOC and Boards of Directors/ BOD) characteristics on profitability of Indonesian State Owned Enterprises (SOEs). This research uses 175 SOEs firm-years observation as the sample, covering the period of 2010-2014. TMP characteristics included are: Education, Experience, Size and Gender. Net Profit Margin (NPM) and Net Operating Profit (NOP) are used as profitability measures. NPM is the bottom line profit which serve as the basis for determining dividend to the State as well as TMT bonus, while NOP indicate SOEs core competence. In general, most of BOC characteristics are associated with the bottom line profit NPM which concern more on dividend as the main interest of the State as owner as well as TMT’s interest in term of bonus. On the other hand, BOD characteristics have more balanced associations with both the State/TMT’s interests, as well as on SOEs core competence. More importantly, this research provides empirical evidence regarding the effect of TMT characteristics in the unique setting of Indonesian SOEs. Accordingly, besides pursuing commercial objectives, Indonesian SOEs have to consider social obligations attached to the State as dominating and controlling owner, as required by article 33 paragraph 3 of the 1945 Indonesian Constitution. Keywords: SOEs, TMT Characteristics, BOC/BOD Educational Background; BOC/BOD Educationally-fit; BOC/BOD Tenure; BOC/BOD Size; Women BOC/BOD ; SOEs Profitablity; Social Obligation


PARALLEL SESSION I

The Effect of Head of Region Characteristics on Local Government Financial Performance: The Case of Indonesia

Endang Sri Rahayu & Doddy Setiawan

Universitas Sebelas Maret, 57126 Surakarta, Indonesia Email of corresponding author: [email protected]

This study investigates the effect of head of region characteristics on local government financial performance. The head of region characteristics consists of age, tenure, education level, gender and affiliation of political parties. The sample of the study consists of 1,100 Local Government Financial Report which has been audited by Supreme Audit Board during of 2011 – 2015 period. Financial performance is measure using budget absorption and the ratio of regional autonomy. The results of the study find that age of the head of the region has a positive effect on the financial performance of local government, tenure of the regional head has a negative effect, education level of the regional head has no effect, female head of the region has a negative effect, and affiliation of local political parties has a negative effect on the financial performance of local government. Keywords: head of region characteristics, local government, financial performance, political party


PARALLEL SESSION I

The Effect of Profitability, Tangibility Assets, Corporate Tax, Non-debt Tax Shield and Inflation rate to the Financial

Capital Structure on the Manufacture Companies Listed in the Indonesia stock Exchange

Abdillah Arif Nasution ˡ, Ikhsan Siregar ², & Rahmansyah Panggabean ˡ ˡDepartment of Accounting, University of Sumatera Utara, Almamater Rd Campus

USU, Medan, North Sumatera 20155, Indonesia ² Department of Industrial Engineering, University of Sumatera Utara, Almamater Rd

Campus USU, Medan – North Sumatera 20155, Indonesia Email of corresponding author: [email protected]

This research is purposed for getting empirical evidence about the effect of profitability, tangibility assets, corporate tax, non-debt tax shield and inflation rate to the financial capital structure on the Manufacture Companies listed in the Indonesia Stock Exchange. The hypothesis research is return on asset, tangibility assets, corporate tax, non-debt tax shield and inflation rate are significantly influence either partially or simultaneously on the company’s financial capital structure. The Population of this research are the manufacture companies consumption goods sector which are listed on Indonesia Stock Exchange in 2014 until 2016. The total samples of this research are the 36 Manufacture Companies. The method of statistical data analysis which is used is descriptive statistics and test of classical assumption and also multiple linier regression. Based on the result of data processing is showed that partially profitability and Non-debt tax shield are negative influential on the Financial Capital Structure, and Tangibility Assets positive influential to the Financial Capital Structure. Meanwhile the Tax Corporate and Inflation Rate are not influential to the Financial Capital Structure of Manufacture Companies listed in Indonesia Stock Exchange. Simultaneously showed that profitability, Tangibility Assets, Corporate tax, Non-Debt taxshield and inflation rate are significantly influence to the Financial Capital Structure of the Manufacture Companies Listed in Indonesia Stock Exchange. Keywords: Profitability; tangibility assets; corporate tax; non-debt tax shield and inflation; manufacture companies


PARALLEL SESSION I

Managers’ Cost Stickiness Behavior: Empire Building Motive,

Bonus Scheme Incentive and Companies’ Earning Level

Tammy Zagita & Hilda Rossieta

Faculty of Economics and Business, Universitas Indonesia

Email of corresponding author: [email protected]

This study is aimed to examine the manager cost stickiness behavior and the effect of earnings target incentive. Cost stickiness is the phenomena of asymmetry cost behavior in which the increased cost in the condition of sales increase is higher than the decreased cost when sales fall. Managers tend to reduce the cost lower when the sales fall due to the adjustment cost and managers’ expectation toward the increase sales in the future. Cost stickiness behavior is also reinforced by the managers’ incentive to build an empire building by keeping the company size to remain big at the cost of company’s lower earnings. However, managers’ bonus scheme incentive, which are based on certain target earning level, eliminate the cost stickiness behavior. This research is conducted on 123 manufacturing companies listed in Indonesian Stock Exchange during the period of 2009 to 2015. The empirical result indicates that in general, managers of the manufacturing companies in Indonesia are having cost stickiness behavior. Yet, managers of companies with level of earnings which are closed to the critical level for claiming bonus are having incentive to maintain high earning level and avoid decreased earnings. Therefore, managers of these companies do not demonstrate the cost stickiness behavior Keywords: Asymmetric cost behavior; empire building motive; bonus scheme incentives; cost stickiness behavior.

PARALLEL SESSION 1

(FIN)


PARALLEL SESSION I

Closing Price Manipulation in Indonesia Stock Exchange

Mahmudah Fatluchi & Rofikoh Rokhim

Department of Management, Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia

Email of corresponding author: [email protected] This study examined closing price manipulation in Indonesia Stock Exchange using return correlation, return volatility and volume shifting. We use the data sample during September 2016 to February 2017. From twenty biggest market capitalizations, more than 50% of the sample was indicated having closing price manipulation. This study also featured deep interview with market practitioners, fundamental and internal external events. We found that 31% of information disclosure reported to IDX after market close has effect on price reversal. There is also significant proportion of volume shifts to pre-closing indicates the economic importance of the last minutes of trading and the heightened volatility suggests that closing price contains transitory component. Keywords: Closing price manipulation; information disclosure; pre-closing; price reversal; transaction volume; volatility


PARALLEL SESSION I

Capital Structure Determinants of SME Shariah Compliant Companies

Mazila Md-Yusuf

Arshad Ayub Graduate Business School, Universiti Teknologi MARA, Shah Alam, 40450, Selangor, Malaysia

Email of corresponding author: [email protected] Capital structure implies the components of capital in a company and has implications on the total financing cost of a company. This study examines the capital structure of Malaysian Small and Medium Enterprise (SME) shariah compliant companies that are listed in the Bursa Malaysia. The aim of the study is to identify the factors and the relationship of these factors with the capital structure of the SME shariah compliant companies. In this study, 18 SME shariah compliant companies were examined from the period of 2005 until 2014. Capital structure was proxied by debt ratio and the determinant variables used in this study were age of firm, firm’s asset tangibility, firm’s liquidity, firm’s profitability, firm’s growth rate and firm’s taxation payment. The pooled ordinary least square (POLS) multiple regression estimation was used and the findings showed that age of firm, firm’s asset tangibility and firm’s liquidity are the determinants that influenced the capital structure of the SME shariah compliant companies. The results also indicated that firm’s asset tangibility, firm’s growth rate and firm’s taxation payment have positive relation while age of firm, firm’s liquidity and firm’s profitability have negative relation with the debt ratio of the SME shariah compliant companies listed in the Bursa Malaysia. Keywords: capital structure; capital structure theories; leverage; SMEs; shariah compliant companies


PARALLEL SESSION I

Does the religious values of CEO affect the capital structure?

Rida Rahim, Cynthia Afriani & Rofikoh Rokhim

Faculty of Economics and Business, Universitas Indonesia Depok, Indonesia Email of corresponding author: [email protected]

The decision of the company's capital structure is related by behavior. The religious values of the CEO are reflected in religion, moral hazard and see the board of CEO at the meeting and the age of education. Studies used data panels of 2010-2015 period of sample 231 companies, observation 1386, with data panel method of Fixed Effect Model. Different test results show religious, fraud, size, profitability and age of the company are different for family and non family enterprises. We whose Christian CEO have higher debts than other family members of the board of CEO and we are companies where Christian CEO with family ownership as significant moderate variables have higher debt than other companies. We are also CEO of companies that stumble moral hazard cases have a significantly higher debt than the CEO of other companies and CEO of companies with family ownership as a moderating variable that stumbles fraud cases significantly have a debt higher than other CEO. The results we get in accordance with our prepositions, thus making this important decision between behavior and family to the decision of capital structure. Keywords: Religion; moral hazard; attendance; age; education; family and non family firm


PARALLEL SESSION I

Competition Analysis of Banking Industry in Indonesia: Were

the efficiency transfers happened?

Achmad Fadloli & Dony Abdul Chalid

Faculty of Economics and Business, Universitas Indonesia, Kampus baru UI, Depok 16424, Indonesia

Email of corresponding author: [email protected] The purpose of the research is to conduct an analysis on the level of competition of the banking industry in Indonesia. Using the data from 107 conventional banks which operates from 2005 to 2014, this research utilizes Profit Elasticity Model to measure the level of competition. The results show the decreasing of the level of competitiveness in the Indonesia Banking Industry. The result also indicates that big banks are facing a lower level of competition compared to the banks that are considered medium or small. Moreover, the regional development banks are facing the lowest level of competition. In general, the result indicates there is no transfer in efficiency. The banks that are considered relatively as more efficient would choose to attempt to aim for higher profit compared to transferring the advantage in terms of efficiency to lower the interest level to broaden the market.

Keywords: Bank; Competition; Profit Elasticity Model; Boone Indicator; Indonesia


PARALLEL SESSION I

Cross border banking sector: Evidence of diversification and

financial stability in Asia Pacific

Adhyati Pritakinari & Viverita

Department of Management, Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia

Email of corresponding author: [email protected] A glorious trend of globalization in the last two decades provokes banks to intensify their participation to get benefits from the opportunity in larger market, such as deregulation, more advanced communication and technology, as well as better economic condition (Claessens & Horen, 2012). Despite the benefit, member country of the cooperation is also facing increasing competition among themselves and in the region (Remolona & Shim, 2015). Yet, this opportunity also rise the risk of financial instability (Remolona & Shim, 2015) due to borderless economy as a result of global integration (Ashraf, Ramady, & Albinali, 2016). Theory suggests that banking competition affects the degree of bank’s financial innovation, such as increasing revenues from non-traditional activities (Claessens & Laeven, 2004), by diversifying their income (Pennathur, Subrahmanyam, & Vishwarao, 2012). This is inline with the conventional wisdom (Smith, 1984), that non-interest income are more stable and fee-based income will reduce bank’s risk. In the middle of sweltering question of the benefits from banking sector integration, this study aims to investigate the impact of income diversification and foreign ownership on financial stability of the banks. By employing panel regression technique with random effect and fixed effect models, of 82 listed banks from 8 Asia Pacific countries for a period of 2005-2015, the findings suggest that income diversification and foreign ownership influenced financial stability of banks. This result implies that foreign ownership increases financial stability in the Asia Pacific region by reducing risk, which indicates an evidence of the global advantage hypothesis. Keywords: Diversification, ownership, financial stability, Asia Pacific

PARALLEL SESSION 1

(GSM)


PARALLEL SESSION I

The Influence of Value-Creation on Customer's Based Destination Brand Equity: Case Study Daerah Istimewa

Yogyakarta and Magelang in Indonesia

Gracia Naomi Hanaka & Agung Nugroho

Faculty of Economics and Business, Universitas Indonesia Email of corresponding author: [email protected]

Indonesian Government has shown incredible effort to increase tourism sector productivity by investing on infrastructure. However, to achieve this goal, branding effort needs to be employed because branding added value to its product. Measuring how the destination brand adds value to its product can be captured by Customers-Based Destination Brand Equity (CBDBE). It is important to recognize its dimensions to increase CBDBE and develop competitive strategy through Value-Creation Experience in Tourist Destination (VCETD). VCETD assess the value-creation for tourists during their entire experience of a destination (before, during, and after their stay). Thus, this research purposes (1) the confirmed dimensions of CBDBE and VCETD as well as (2) the antecedence influence of VCETD to CBDBE for planning competitive strategy. This concept was tested on Daerah Istimewa Yogyakarta and Magelang where data collection was conducted in Departure Terminal in AdiSutjipto Airport and Borobudur temple with direct questionnaire. Then, it was analyzed using Structural Equation Modelling, whereas confirming the dimensions of VCETD and CBDBE using Second Order Confirmatory Factor Analysis then followed by Structural Model to assess the antecedence influence between the two. The result shown that there are five dimensions of Destination Brand Equity, which are Destination Brand Awareness, Destination Brand Image, Destination Brand Quality, Destination Brand Value, and Destination Brand Loyalty and three dimensions of Value Creation, which are Value-Creation Pre Visit, Value-Creation During Visit, Value-Creation Post Visit. Moreover, Value-Creation is proven significantly (t-value = 8.45) as an antecedent by which the customer perceives greater Destination Brand Equity. Keywords: Service Marketing; Tourism; Customers-Based Destination Brand Equity; Value-Creation Experience in Tourist Destination; Destination Branding; Value-Creation; Daerah Istimewa Yogyakarta; Borobudur


PARALLEL SESSION I

Stakeholder Pressure and Its Effect on Strategic Response

and Firm Performance: The Mediating Role of Dynamic Managerial Capabilities

Elok Savitri Pusparini, Budi W. Soetjipto, Riani Rachmawati & Lily

Sudhartio Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia

Email of corresponding author: [email protected] With the increasing prominence of stakeholders’ pressures on environmental sustainability activities in the developing country like Indonesia. We build on the stakeholder literature on strategic management to explain how organizations respond to pressures from such groups. Using a model integrating institutional, resource dependence, and cognitive theoretical perspectives, we examine the hotel sector’s response to the environmental sustainability pressures, how dynamic managerial capabilities take a major role in defining organizational strategic respons upon the pressures, and the impact of their respons in firm’s performance. Our findings indicate that stakeholders pressures affect dynamic managerial capabilities positively. We also find that dynamic managerial capabilities fully mediate the relationship effect of stakeholders’ pressures on strategic response. Further, we find significant and positive effect of strategic response on firm performance. Drawing from these results, we suggest strategies for managers as they try to make sense of and respond to stakeholders’ pressures. We also point to future avenues of inquiries for researchers. Keywords: Firms’ performance; stakeholders’ pressures; environmental sustainability; strategic response; dynamic managerial capabilities; hotel sector; Indonesia


PARALLEL SESSION I

How Personality Could Increase Engagement to Change?

Mediation Effect of Personal Mastery and Network Centrality

Dofa Purnomo, Rhenald Kasali, Budi W. Soetjipto & Tengku Ezni Balqiah Department of Management, Faculty of Economics and Business, Universitas

Indonesia, Depok Campus, Depok, 16424, Indonesia Email of corresponding author: [email protected]

Successful organizational change begins with individual change, in which the individual is the core of organizational change. Based on literature studies on the theory of power, researchers identified that personality, personal mastery (PM), and network centrality (NC) are the powers required by individuals to perform organizational change. Despite having power, it does not guarantee that people within organizations have engagement to change to participate actively in the organizational change. The study examined how personality could increase employees’ engagement to change (EC), through mediation effect of PM and NC. This research is conducted in an Indonesian energy state-owned enterprise and involves 155 respondents. Data are analyzed using structural equation modeling to examine the measurement and structural models. The results of this research demonstrate that PM mediates the effect of personality on EC, and NC mediates the effect of personality on EC. The results also show that NC is more strongly mediate the effect of personality on EC. The study concludes with a discussion of the findings, managerial implications and possible limitations.

Keywords: Organizational Change, Personality, Personal Mastery, Network Centrality, Engagement to Change


PARALLEL SESSION I

The Local Government’s Supply Chain Strategy to Empower the Traditional Fishermen in Southern Coast of Java Island

Ni Putu Eka Widiastuti, Kusumajanti & Asep Kamaluddin

Universitas Pembangunan Nasional “Veteran” Jakarta, 12450, Jakarta, Indonesia Email of corresponding author: [email protected]

The objectives of this study are: (1) to investigate how to determine the supply chain system strategy of the price efficiency for traditional fishermen in the southern coast of Java Island, (2) how to determine the market selling price of the fish to improve the competitiveness of traditional fishermen. This research uses qualitative method with a critical paradigm based on Karl Marx thought to answer the problem of economic competitiveness of traditional fishermen. The informants key of this research are traditional fishermen and heads of Fishery Department in Pangandaran, Pandeglang, Cilacap and Gunung Kidul. The results show that (1) the role of fish auction places that has been organized by the Fishery Department of district government can reduce the gaps of supply chain from fishermen to fish processing companies and household consumers, (2) the supervision of the fishery department acknowledges the managers of the fish auction place located in every district on the south coast of Java Island is still hampered by the middlemen. The middlemen (Bakulan, Local Javanese Language ) in each fish auction place determine fish market price and they provide working capital to the fishermen when they will start working to find fish in the sea. (3) The most effective strategies in fish supply chains from traditional fishermen are: fishermen- the location of fish auction- fish processing industries/consumer. To enhance the fisherman's economic competitiveness, the Department of Fishery should oversee the operating activity of fish auction and establishes fair price index of every type of fish caught by fishermen in every district. Keywords: Traditional fishermen, Supply chain strategy, Fair indeks price of fish


PARALLEL SESSION I

The Role of Entrepreneurial Orientation in Achieving Organization Performance through Business Model

Innovation and Strategic Collaboration (Study of Entrepreneurship on Hospital Organizations in Indonesia)

Sandra Dewi, Rhenald Kasali, Tengku Ezni Balqiah & Anton Wachidin

Widjaja Faculty of Economics and Business, Universitas Indonesia,Depok, Indonesia


External environment faced by the firms today, showing the uncertainty due to the disruptive change that occurs in all aspects. Impacts of the phenomenon of disruptive innovation, which upsets the balance of the market, requires all companies renew themselves for maintain their position in the competition. To that end, many researchers mentioned the importance of strategic management with entrepreneurial approach in the process of formulation and implementation of corporate strategy in the era of the 21st century. This paper intended to represent the role of entrepreneurial orientation in creating superior and sustainable organizational performance, through business model innovation and collaborative strategic relationship, as intangible assets which are inimitable. This study apply hospital industry in Indonesia as the research context which currently facing disruptive change at the time of policy reforms regarding hospital payment system, and denoted the urgent need for entrepreneurial strategies to mitigate them. This conceptual paper is a preliminary steps prior to the empirical research, which expected. to contribute to academics, researchers, and all of hospital stakeholders to deepen the understanding on hospital strategy - that should simultaneously consider business ethics, and also ensure the preservation of the relationship in the stakeholder networks with conflicting interests. Keywords: entrepreneurial orientation, business model innovation, stakeholder network capability, strategic collaboration, hospital industry

PARALLEL SESSION 1

(ECO, GSM, OPR)


PARALLEL SESSION I

Determinants of Economic Growth: A Case Study of PIIGS Countries

Erfan Fiddin, Hari Puspo Nur Cahyono & Zahrin Haznina Qalby

The University of Illinois at Urbana-Champaign, 1912 S Orchard Street, 61801, US Email of corresponding author: [email protected]

PIIGS refers to members of European Union (EU) which were struck the hardest by the recession, named Greece, Ireland, Italy, Portugal, and Spain. EU has main purpose to promote greater social, political and economic harmony among its members, so as PIIGS should have competitive advantages in the recovery process relatively to non-EU member. Yet post-crisis they never even reached their initial growth level, which was already not appealing from the beginning. This paper aims to assess what major factors that contribute to this sluggish economic growth of PIIGS. We measure economic growth by GDP Growth, with independent variables utilized in the model were as follows: Foreign Direct Investment, Inflation, Domestic Savings, Net Export, Labor Force, Human Capital, Private Debt and Public Debt. Besides, we use dummies also, representing country effect, and time trend. The observation covered pre- and post-financial crisis, from 2002 to 2013. Under Multiple Linear Regression Analysis, this paper found that among eight independent variables, Domestic Savings and Net Export were the ones seem to have significant impacts on growth. Domestic Savings is found to have positive impact, while Net Export is surprisingly the other way around. This negative effect is arguably coming from the negative value of Net Export itself that is driven by low domestic output. Another surprising finding is the negative Human Capital’s coefficient, even if this is not proven to be statistically significant. These findings have some important policy implications in regards to the attempt to promote PIIGS’ economic growth. Keywords: PIIGS, Economic Growth, Foreign Direct Investment, Inflation, Domestic Savings, Net Export, Labor Force, Human Capital, Private Debt and Public Debt


PARALLEL SESSION I

The Equilibrium Analysis of Consumption and Imports of

Soybean in Indonesia

Hasdi Aimon, Melti Roza Adry & Zul Azhar

Faculty of Economics, Universitas Negeri Padang, 25130, Padang, Indonesia Email of corresponding author: [email protected]

This article aims to explain the influence and equilibrium of soybean price, per capita income, and soybean import to soybean consumption in short and long term in Indonesia. The aim is also to analyze the influence and equilibrium of real exchange rate, per capita income and soybean consumption to soybean import in short and long term in Indonesia. The data used are the time series from 1986 to 2015. The study uses Co-integration Model and Error Correction Mechanism Model. It was found that the soybean price, per capita income, and soybean import significantly affect the soybean consumption in Indonesia. Then the soybean price and per capita income also disrupts the equilibrium of soybean consumption in a short term. In a long term, fortunately, the consumption of soybean will reach back to its equilibrium in long term. Moreover, the real exchange rate, per capita income, and soybean consumption significant effect on soybean imports in Indonesia. The real exchange rate and per capita income disrupts the soybean import in short term but it will reach back to its equilibrium in long term. Accordingly, the Indonesian government is recommended to reduce soybean imports by increasing soybean production by establishing local soybean prices, so that soybean farmers feel advantaged. Keywords: soybean consumption, soybean import, and soybean price


PARALLEL SESSION I

Moderating Effect of Demographic Factors and

Entrepreneurial Phase on The Relationship Between Entrepreneurial Competencies and Innovation of ASEAN

Entrepreneurs: Evidence from GEM Data

Gandhi Pawitan 1, Maria Widyarini 1 & Catharina B. Nawangpalupi 2

1Dept. of Business Administration, , Jalan Merdeka 30, 40117, Bandung, Indonesia 2Dept. of Industrial Engineering, Universitas Parahyangan, 40141 Bandung, Indonesia


Entrepreneurs’ competencies were believed as a main factor for entrepreneurs in creating their business innovativeness. In a process of business creation innovation, entrepreneurial competencies are a basic factor in promoting competitiveness. This paper focuses on a relationship between entrepreneurs’ competencies and innovation and we propose that age and education are moderating in this relationship. The data about entrepreneurial activities was collected under the Global Entrepreneurship Monitor – GEM framework. GEM model adopted as framework that identifies key elements of the relationship and interaction between entrepreneurship and economic growth. The GEM model defined entrepreneurship into three main components, such as entrepreneurial framework conditions, entrepreneurial competencies and aspiration, and phase of entrepreneurial activities. This study uses the 2013 individual level data of the ASEAN countries in the GEM consortium. Using analysis of correlation and multiple regression modeling, the authors demonstrated that competencies enhances innovation, higher education generally reduce innovation, younger entrepreneurs have higher tendencies to be innovative, and start-ups are more innovative than established business owners. Keywords: Entrepreneurial competency, entrepreneurial phase, GEM model, innovation, regression model, correlation analysis


PARALLEL SESSION I

Managing Local Resources to Improve Community

Empowerment and Reduce Poverty

Wahyuningsih & Husnah Faculty of Economy and Business, Tadulako University, Kampus Bumi Tondo Untad,

Palu, Indonesia Email of corresponding author: [email protected]

This study aims to build a model describing the relationships among local resources management strategy, community empowerment, and poverty alleviation. This is a conceptual paper describing a key role of local resources to improve the skill of local community which lead to reduce poverty. Well managed local resources utilizing technology might increase value added and improve the income of society. It is argued that imperfectly imitable and non-substitutable local resources contribute to society economy improvement, therefore it will have a greater impact on poverty reduction. Theoretical contribution of this study is to enlarge body of knowledge in the field of strategic management. Meanwhile, managerial implications of this study can be applied by small medium enterprises (SME) and stakeholders to manage local resources and solve poverty problems. Keywords: local resources; RBV; community empowerment; poverty


PARALLEL SESSION I

The Use of Lean Six Sigma to Improve Key Performance

Indicators on the Plant Division of PT. PPN

Widhi Setya Wahyudhi & Athor Subroto


Email of corresponding author: [email protected] This paper is aimed to analyse the applicability of the Lean Six Sigma in term of its capability to support efficiency and performance in the maintenance division of a coal mining contractor. The data collection was done in 5 months, from October 2016 until February 2017 taken from the company data base—computerized maintenance management system (CMMS). The Lean Six Sigma is an approach that provide a structured approach to resolve the problem through the implementation of 5 phase of six sigma methodology; Define, Measure, Analyze, Improve and Control (DMAIC). Six Sigma had been applied to focused on the quality to ensure the system maintenance activities are more effective and efficient in order to obtain an optimal maintenance management system by which capable to create a competitive advantage for the companies. Some performance improvements have been achieved such as the improvement on the key performance indicator namely Re-do Periodical Service (Re-do PS). Re-do PS value for PC1250 and HD4657R decreased to 0%. The other improvement can be seen on the Process Performance Index (Ppk) value of PC 1250 that increased to 8.30 and Ppk value of HD4657R that increased to 18.32. Overall last not but not the least, the financial performance has also increased, by saving the cost of maintenance as much as IDR 3 Billion for HD4657R and IDR 16 Billion rupiah for PC1250. Keywords: Lean Six Sigma; Computerized Maintenance Management System (CMMS); Heavy Equipment; Sustainable Competitive Advantage.

PARALLEL SESSION 1

(MKT)


PARALLEL SESSION I

Empirical Analysis of Fit among Entrepreneurial Marketing and Marketing Strategy towards SMEs Marketing

Performance

Rifelly Dewi Astuti, Adi Zakaria Afiff & Tengku Ezni Balqiah

Universitas Indonesia, Kampus UI Depok, 16424, Depok, Indonesia Email of corresponding author: [email protected]

SME’s contribution in each country is unquestionable. Almost 60% of Indonesia GDP is contributed from SMEs. However, SMEs have several strengths and limitations that made them different and unique than established companies. SMEs could reach their maximum marketing performance by combining right orientation and marketing strategy which been implemented by their owners. The aim of this study is to find the right profile of entrepreneurial marketing dimensions and SMEs marketing strategy clusters that have maximum marketing performance. Based on data from 130 SMEs owners in Indonesia, we identified seven dimensions of entrepreneurial marketing and five marketing strategy clusters. By using profile deviation concept of fit, we indicate that SMEs owners’ member of traditional marketers cluster which combine with proactive orientation will produce the maximum market growth, and mass marketers cluster which has customer focus orientation will produce maximum profitability. Keywords: Entrepreneurial Marketing; SMEs Marketing Strategy; Profile Deviation Fit; Marketing Performance


PARALLEL SESSION I

Tweens Perception on Advertising Using Older Cognitive Age

Tetty Rimenda, Adi Zakaria Afiff & Sofjan Assauri Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia

Email corresponding author: [email protected] Cognitive age is people’s perception on the age which is younger or older than their chronological age Cognitive age was measured with doing congruence with the age of advertisement model. This research was started by testing if children at tween age have had cognitive age perception. According to Cognitive Development Theory (Piaget, 1970), tween have not been able to understand the concept of cognitive age because their cognitive development is still in concrete operational phase. Meanwhile, according to Consumer Socialization Theory (Jhon, 1999), tween have been able to understand the concept of cognitive age. The major purpose of this research was to test tween if they can be influenced by ads using cognitive age concept. The number of participant was 115 tween boys and 95 tween girls (11-12 years old). This study used experimental design 2 (cognitive age: congruent versus incongruent) x 2 (Ad model: male versus female) x 2 (age of model: peer versus older).This study proved that tween had perception on cognitive age, The desire to have products in tween boys and girls is equally aroused by congruence with older advertising models. The desire to evaluate product differs between tween boys and girls. There is no difference between tween boys and tween girls in terms of giving references. The findings also provide input to educators and parents, to be more vigilant in looking at the various ads. Explanations from parents about the product being advertised will form cognitive defences in children. Keywords: cognitive age, congruence, tween


PARALLEL SESSION I

Investigating Consumer Perceptions of Islamic Advertising:

From Ethics to Virtue

Anya Safira 1, Fadhil Akbar Purnama 2 & Kim Shyan Fam 3

1 Universitas Indonesia, Kampus Widjojo Nitisastro, 16424, Depok, Indonesia 2 Durham University, Durham, United Kingdom

3 Victoria University of Wellington, Wellington, New Zealand Email of corresponding author: [email protected]

Although there has been an increase of research which links religion with advertising (Cader, 2015), Islamic advertising has yet to be fully investigated. Prior studies have mostly comprised of conceptual papers (guidelines derived from the Quran and Hadith) and only focused on Middle Eastern contexts (Saeed, Ahmed & Mukhtar, 2001; Rice & Al-Mossawi, 2002; Hassan, Chachi, & Latiff, 2008; Bari & Abbas, 2011). This leaves two major gaps in the body of literature, namely consumer-based research to explore whether the derived concepts are in line with consumer beliefs and perceptions, and also exploring other cultural contexts which may affect them. Indonesian Muslim consumers, in particular, have been relatively under-researched although they are the world’s largest Muslim population, with 207.2 million people (Statistics Indonesia Population Census 2010). Evidently, Hefner (2011) also states that “what Indonesian Muslims think and do should be a matter of general interest”. This current study aims to gain a greater understanding of the perceptions of Islamic advertising held by Indonesian Muslim consumers, and how these affect attitudes and behaviours. The methodological approach is qualitative with the paradigm of critical realism. Data was collected through in-depth interviews with Indonesian Muslim consumers of various backgrounds, including different age groups, genders and ethnicities. The recoded interviews were transcribed into verbatims. Consequently, thematic analysis was conducted to look for patterns within the text (Dittmar & Drury, 2000), with the aid of Nvivo software. Keywords: Islamic advertising; Muslims; Islamic marketing; Indonesia


PARALLEL SESSION I

Analysis of team engagement and physical servicescape perception effects on branch service quality and customer

engagement

Jessica Dharmaputra & Daniel Tumpal H. Aruan Faculty of Economics and Business, Universitas Indonesia, Depok 16424, Indonesia


Service-profit-chain is known as a theory that connects the interaction process between internal service quality (i.e. employee satisfaction) and external service value (i.e. customer satisfaction and loyalty). The theory addresses that satisfied employees are more likely to be more productive at work and loyal to the company that eventually provides high service value to customers. High service value will yield customer satisfaction that ultimately leads to company’s growth and profitability. Based on that premise, ample studies have been done to better explain the process of which employee’s interactions with customers that would generate customer satisfaction. However, due to varying degree of service attributes and service category, findings of those studies are still inconclusive and it leaves some gaps remained, especially in emerging countries context. This research, therefore addresses the gap, specifically by examining the role of team engagement in employee side that may affect customer engagement through service quality. It also investigates whether the relationship of team engagement and perception of physical servicescape affect service quality and customer engagement. As many as 236 respondents from one of the biggest national private bank in Indonesia participated in a cross-sectional survey. Structural Equation Modeling was used to determine the relationships of the variables. The results revealed that team engagement perceptions and physical servicescape perceptions have significant positive effects on service quality, while service quality positively affects customer engagement. However, team engagement and physical servicescape perception did not have direct effect on customer engagement. Keywords: branch service quality; customer engagement; team engagement; internal marketing; physical servicescape; service-profit-chain; banking service


PARALLEL SESSION I

Annual Traveller Demand from Advertising and Word of

Mouth

Saisomphorn Larhsoukanh & Chengzhang Wang

School of Economics and Management, Southwest Jiaotong University, Sichuan, China


There are two main sources of information about a country such as Laos as regard as a travel destination: advertising (books and magazines, TV or radio, and travel agencies), and word-of-mouth recommendations (WOM) via the Internet and friends. The two research issues we address here: first, how does advertising influence WOM, and vice versa; Second, we tackle the unsolved problem regarding how to predict traveler demand using WOM, which is, in turn, to help improving tourism competitiveness. By using static demand and quadratic cost function, we find that advertising generates optimal outcome in tourism industry rather than WOM. Specifically, although the player’s (the tourism industry in a country) net profit tends to have a positive effect on optimal advertising investment, with WOM, it is the opposite case. WOM can be detrimental to an agent’s advertising campaigns, and may create tourism competitive disadvantage. Keywords: Word of Mouth (WOM); Advertising; Tourism demand forecast; Optimization; Game theory

PARALLEL SESSION 2

(FIN, IFIN)


PARALLEL SESSION 2

Demand for Islamic Pension Funds in Indonesia: An Exploratory Study

Rahmatina A. Kasri 1, Banu M. Haidlir 1 & M. Amin 2

1Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia 2 Indonesia Financial Services Authority, 10110 Jakarta, Indonesia

Email of corresponding author: [email protected] Pension fund is a financial sector that provides a range of benefits, not only to the participants but also to the economy of a country. This applies to both conventional and Islamic pension funds. In Indonesia, although Islamic pension fund has not grown as fast as other Islamic financial sectors, many believe that the majority of Indonesian people actually interested in participating in Islamic pension plan. Therefore, the main purpose of the study is to explore and determine the preference/demand for Islamic pension funds in Indonesia. With this perspective, a survey was conducted in 6 (six) major cities in Indonesia (Jakarta, Bandung, Surabaya, Makassar, Medan and Balikpapan) and involved 200 respondents. Halal purchase intention framework and exploratory factor analysis are employed to analyse the primary data obtained. The survey found that more than 70% of the respondents are interested to have an Islamic pension plan. Thus, demand for Islamic pension fund is relatively high in Indonesia. Further analysis also suggests that marketing and religiosity are the main determinants for purchasing or joining the Islamic pension plan schemes. Authorities and market players should therefore consider these factors in their strategy to accelerate demand and development of Islamic Pension Funds in the country. Keywords: Islamic pension fund; demand for Islamic financial product; halal purchase intention; consumer behaviour; Islamic economics and finance


PARALLEL SESSION 2

Market Structure and Bank Stability: Comparison between

Conventional and Islamic Banks in Indonesia

M. Budi Prasetyo & Rachmat Rinaldi Faculty of Economics and Business University of Indonesia, Depok, 16411, Indonesia

Email of corresponding author: [email protected], The purpose of this study is to proof the effect of bank competition level on banking industry stability in sharia and conventional bank in Indonesia during 2011 – 2015. Using the Panzer Rose H-Statistic model to measure the level of bank competition and Z-Score as a measure of banking stability, the results of this study conclude that both have a positive relationship. The sharia and conventional banking industry in Indonesia supports the competition stability theory which states that competitive industry will encourage bank stability because of low adverse selection and moral hazard. The results of this study also show that small Islamic banks have better stability than large Islamic banks. The difference in cost efficiency is the main cause of the difference in stability between Islamic commercial banks and Islamic business units. Keywords: Competition fragility; competition stability; Islamic bank.


PARALLEL SESSION 2

National Framework, Market Structure, and Banking Stability

(Evidence in ASEAN-5)

Dony Abdul Chalid, Liyu Adhi Kasari Sulung, Muhammad Miqdad Robbani, Muzdalifah

Faculty of Economics and Business, Universitas Indonesia Kampus baru UI, Depok 16424, West Java, Indonesia


This study aims to find the relationship among banking stability, national governance and market structure to enlighten the policy making in regional banking consolidation. Using fixed effect model, we restrict our analysis to banks listed in Indonesia Malaysia, Singapore, Thailand, Philippines, also known as ASEAN-5. We use z-score as a measurement of banking stability. We also show the prominent result by having positive relationship between political stability and banking stability but negatively significant relationship between rule of law and banking stability. Moreover, market structure also shows negatively associated with bank stability. Keywords: National governance, market structure, banking stability, ASEAN-5, emerging market


PARALLEL SESSION 2

The Influence of Banking Profitability on Share Price and The

Moderating Role of Capital Adequacy Ratio and Foreign Exchange Transaction:

Comparative Study of Government and Private Banks in Indonesia

Meliza Zafrizal & Rasidah Mohd Said

Graduate School of Business, Universiti Kebangsaan Malaysia, 43600 UKM Bangi, Selangor, Malaysia

Email of corresponding author: [email protected] Bank share price in Indonesia tend to fluctuate for the last ten years. Cutting of Net Interest Margin issue results in some investors hesitate to invest their funds in bank’s shares. Recently, ten biggest banks in Indonesia (MANDIRI, BNI, BRI, BTN, BCA, DANAMON, PERMATA, PANIN, CIMB NIAGA, and MAYBANK INDONESIA (formerly BII) play dominant role in banking sector share market. Thus, this research will analyze and compare the influence of these government and private banks profitability to their share price of ten biggest banks in Indonesia. There are many previous studies about banking profitability and share price but only few studies analyzes banking profitability and share price using bank’s capital adequacy ratio and foreign exchange transaction as moderators. Random Effect Method and Ordinary Least Square are applied to measure the influence of bank profitability on share price using Capital Adequacy Ratio and Foreign Exchange Transaction as moderators. The results find that both government and private banks profitability have an influence on the share price. Capital Adequacy Ratio can moderate the influence of government and private bank profitability on share price but it cannot moderate the influence of private bank profitability on share price. Foreign exchange transactions can enhance the influence of government bank profitability on share price. Nevertheless, it cannot moderate the influence of private bank profitability on share price. Keywords: bank share price; bank profitability; capital adequacy ratio; and foreign exchange transaction


PARALLEL SESSION 2 Measuring the Impact of Higher Capital Requirement to Bank

Lending Rate and Credit Risk: The Case of Southeast Asian Countries

Winda F.K. Pratiwi & Sigit S. Wibowo

Faculty of Economics and Business, Universitas Indonesia, Depok, 16424 Email of corresponding author: [email protected]

This study discusses the impact of increasing bank capital against lending interest rate, amount of loans, and banks' credit risk exposure. Using panel data from 18 top banks in 5 Southeast Asian countries between 2008 and 2015. Our findings show that there is no significant relationship between capital increase and lending interest rate in Southeast Asia. This is due to lending interest rate movement was driven mostly from banks' cost structure, rather than capital charge. Although lending interest rate has significant relationship with amount of loans, there are no transmitted impact of the capital increase to the economy. We also find that bank capital level has positive relationship with credit risk which indicates that level of bank capital serves as a buffer against credit risk. Keywords: Basel III Capital; credit risk; lending rate

PARALLEL SESSION 2

(FIN)


PARALLEL SESSION 2 Financial Literacy and Consumer Debt: A Survey of Low Level

Income Households in Depok, West Java, Indonesia

Angelica Fadya Noventi & Dwi Nastiti Danarsari

Department of Management, Faculty of Economics and Business Universitas Indonesia, Depok Campus, Depok, Indonesia

Email of corresponding author: [email protected] This study aims to examine the impact of financial literacy on consumer debt measured by debt to income ratio, number of lenders, and net worth among low-income households who are in over-indebtedness condition. The key components of financial literacy used are numeracy and money management skills. This study is conducted by a survey to 103 low-income households in Depok, West Java. The main finding from the analysis is that either numeracy or money management skills do not significantly affect the debt to income ratio and net worth. However, money management skills are found to have a significant influence on the number of lenders. As money management skills improve, the number of lenders increases. Numeracy skills, however, has no significant effect on the number of lenders. The finding is found to be different than previous studies which suggest that money management skills would decrease the number of lenders. This study has an implication on the educational program in related to enhance the degree of financial literacy among low-income households. Keywords: Financial literacy, Debt, Money management, Numeracy Skills, Low-Income, Indonesia


PARALLEL SESSION 2

Impact of the Aggressive Working Capital Management

Policy on Firm’s Profitability and Value: Study on Non-Financial Listed Firms in Indonesia Stock Exchange

Rosyeni Rasyid

Faculty of Economics, UniversitasNegeri Padang, Padang, Indonesia. Email of corresponding author: [email protected]

Effective working capital management policies is crucial to the company's the long survival. The working capital policy is concerned with determining the aggregate amount of a firm’s current assets and current liabilities is required by a firm. This study investigates the impact of the aggressive working capital management policy on firm’s profitability and value of non-financial listed firms. This study collected the data from 393 non-financial Indonesian listed companies in 2014. The data were analyzed by using multiple linear regression. The findings have established that aggressive working capital policy has a significant influence on the company profitability, however, it has no significant impact on the market value of the company. Moreover, this study found that aggressive investment policy (AIP) has a positive relationship with the profitability. Surprisingly, the finding showed that the aggressive financing policy (AFP) has a negative impact on profitability. Accordingly, to increase the company’s market value, the manager has to increase profitability by optimizing investment on current asset and by adding the proportion of long-term financing in working capital. In addition, this study employed leverage ratio and firm’s size as the control variables. Finally, this study has also discussed some limitations and future research. Keywords: Aggressive Investment Policy, Aggressive Financing Policy,

Leverage, Size, Profitability, Value of the Firm


PARALLEL SESSION 2

Idiosyncratic Cash Flow and Idiosyncratic Returns in

Emerging and Developed Markets Asia in Manufacturing Sector

Yunita Astanti Ulinnuha & Zaafri A. Husodo

Faculty of Economics and Business, Universitas Indonesia, Email of corresponding author [email protected]

This research investigates short and long term relationships between idiosyncratic returns and idiosyncratic fundamental cash flow of manufacturing sector in emerging and developed markets in Asia. An autoregressive model is used to measure the short term relationship, while a Johansen cointegration test is used to measure the long term relationship. Three fundamental cash flow measurements are calculated: earnings, cash flow, and sales. We follow Campbell et al. (2001) to estimate the idiosyncratic return. We found that manufacturing industry in emerging markets reveal that the relationship between idiosyncratic cash flow and idiosyncratic returns is more persistent in the long term, than in the short. The Johansen test results indicate there is a long term relationship between the idiosyncratic fundamental and idiosyncratic returns in emerging markets for variable cash flow and sales. Conversely, we haven’t found similar result in developed markets. Keywords: Idiosyncratic cash flow, Idiosyncratic returns, Developed markets, Emerging market


PARALLEL SESSION 2 The Exposure to Sensitivity of Common Idiosyncratic Volatility

on Stock Returns: Evidence in South East Asia (ASEAN) Emerging Markets

Pratiwi Noviayanti & Zaafri A. Husodo

Faculty of Economics and Business, Universitas Indonesia, Email of corresponding author: [email protected]

This research aims to examine whether the shocks from common idiosyncratic volatility (CIV) are priced in emerging markets, especially in Southeast Asia. We estimate idiosyncratic volatility employing an exponential generalized autoregressive conditional heteroskedasticity (GARCH) method to provide control for time-varying behaviour. Furthermore, we construct the CIV from the average of the monthly expected idiosyncratic volatility across the firms in our sample. After that, a 60-month rolling regression is conducted to estimate the CIV-beta to form a quintiles portfolio that is sorted by CIV-beta. This study found that there is no significant result for the CIV-beta investment strategy (long in highest CIV-beta and short in lowest CIV-beta), and showed that exposure to CIV is not priced in stock market returns in the Association of Southeast Asian Nations (ASEAN).

Keywords: firm volatility; idiosyncratic risk; cross-section of stock returns; emerging markets.


PARALLEL SESSION 2

The Financial Market Stability:

Southeast Asia, BRIC and Latin America

Isye Nur Isyroh & Zaafri A. Husodo


The aims of this research: first, to determine the correlation between the stock market to financial stability. Second, to determine the correlation between stock market and liquidity availability. Both are conducted in the implementation period of Quantitative Easing that applied as a strategy to slowing down the effect of subprime crisis in 2008. The research is conducted in 8 countries: US, Indonesia, Malaysia, Thailand, Brazil, Russia, India and Latin America. National composite index for each country used to capture the condition of stock market as dependent variable. VIX used as a proxy of financial market stability in US and TED spread as a proxy for liquidity availability. All the daily data derived from Datastream from November 1st, 2008 to January 1st 2013 and will be divided into three different periods based on the implementation date of QE1, QE2 and QE3. DCC model is employed for this research to capture the dynamic movement between variables studied. Results show there is stronger significant influence on VIX correlation with stock indexes in US, Indonesia, Thailand, Brazil, India and Latin America rather than the correlation on TED spreads which is only found significant in Russia when QE1 period. This indicates that most investors do not assess the availability of liquidity as one of the indicators as strong as financial stability. Keywords: crisis; QE; VIX; TED spread; dynamic

PARALLEL SESSION 2

(GSM)


PARALLEL SESSION 2

The Driving Factors and Focus of CSR Implementation: A Comparison of Family Business in Indonesia, Japan And Thailand

Sari Wahyuni 1 & Arif Ario Suryo Hendara Sentanu 2

1Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia 2Debt Research, PT Danareksa Sekuritas


The purpose of this study is to understand what are the driving factors and focuses of CSR implementation by family businesses (Indonesia, Japan, and Thailand). We investigated how three countries differ and are similar to one another. By using qualitative research, we conducted thorough literature review and in-depth interviews with several family businessmen from Indonesia and Japan. The result of the study shows that culture, religion, moral and ethics are the driving factors for family businesses. In Asia, they all focus their CSR program on education, community, and the environment. Although all countries were similar, they each had their own uniqueness and characteristics. In Indonesia, ethics and religion are the major driving factors for CSR implementation. In Japan, Confucian philosophy and ethics are their main reason. In Thailand, Buddhism as it is the foundation of the culture and norms in Thailand apparently become the major driving factor for CSR implementation. Keywords: Corporate Social Responsibility, CSR, Family Business, Family, Business, Indonesia, Japan, Thailand


PARALLEL SESSION 2

Effect of Institutinal Related Criteria in Partner Selection: Case of Logistic Service Provider in Indonesia

Hally Hanafiah & Anton Wachidin Widjaja

Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia Email of corresponding author: [email protected]

Although previous studies have acknowledged that partner selection has a major influence on the success of the strategic alliance, but the criteria that became a critical factor in selecting alliance partners are still not going into all the parameters and have not been integrated. Studies previously alliance partner selection focuses more on the individual level by using task critical factor, namely the criteria which better reflects the resources and capabilities of partners. It is also used in dyadic level by partner critical factor levels greater emphasis on the factors that determine the continuity of the relationship between partners during alliance. Due to differences and changes in the level of the external environment, so this study include the institutional critical factor as a third factor that will increase partner selection process more precise. This research will develop a framework that combines three critical criteria as an input factor in the formation of supply chain integration process produces an output in the form of supply chain integration between partners through the effective and efficient logistic capability. This framework will be tested in the logistic service provider companies in Indonesia. In addition to providing theoretical contribution, this study provides managerial contribution through reduced logistics costs and government involvement. At the end this improvement will create competitive advantage only for third party logistic company but also Indonesia in ASEAN economic community. Keywords: Partner Selection, Supply Chain Integration, Dynamic Capability


PARALLEL SESSION 2

In Search of Product Uniqueness: Insight From Indonesia

Agung Wahyu Handaru & Marsellisa Nindito

Faculty of Economics, Universitas Negeri Jakarta, 13220 Jakarta, Indonesia Email of corresponding author: [email protected]

This paper explores basic questions of what aspects that definitely embedded in uniqueness of products. The present study developed twenty six criteria of products uniqueness and then grouped using factor analysis. In this research two hundred and fifty respondents were participated and the Kaiser-Meyer-Olkin measure of sampling adequacy showed good sample suitability. The present study found that from twenty six criteria of product uniqueness, only seventeen of them was selected to go through factor analysis. Seventeen selected indicators can be grouped into four new groups using principal component analysis extraction method and varimax rotation. The four new groups are: “basic value”, consists of 7 indicators; “differentiation”, consists of 3 indicators; “technology” consists of 3 indicators; and the last “additional function”, consists of 4 indicators. All criteria of product uniqueness have undergone the correlation test and discovered some important facts. Findings showed that first; the strongest indicator that embedded in product uniqueness is “handmade”. Second, product differentiation highly correlates with culture; spectacular product with bigger size; and luxury product with also bigger size. Recommendations for manufacturer are including focus on cultural element in the making of product or service, and concentrate on size for luxury product. Keywords: Product Uniqueness; Product Differentiation; Product Innovation


PARALLEL SESSION 2

Will Jakarta Still Having Traffic Congestion after MRT?

Fajar Ayu Pinagara 1 & Sirinna Khamtanet 2

1Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia 2Faculty of Liberal Arts and Management Science, Kasetsart University, Thailand

Email of corresponding author: [email protected] Traffic congestion is a common thing in Jakarta, the Indonesia capital city. In line with the rapid growth of population and income level in Jakarta, the numbers of vehicles are also multiplying. Comparing to the limitation of road construction, Jakarta’s road are choked with traffic congestion. The congestion has caused severe problems, not only in transportation, but also in environmental, social, and economic aspects. Data says that the economic loss from this problem in Jakarta is about US$ 3.25 billion per year. The government has tried to solve this problem by providing the bus transport system (BRT), Mass Rapid Transit (MRT) system and road building. Given this poicy development, will Jakarta release its pressure from traffic congestion in later years? This research answered the problem question by using system dynamic modeling. Having a number of vehicle, total road and measurement about the level of traffic volume and travel time, this research would give a significant insight of how BRT, MRT system and increasing the road construction growth can reduce traffic congestion. Based on simulation of the model, it shows as it’s expected that in couple years to come, Jakarta may release its pressure from traffic congestion with certain condition. Keywords: Traffic, congestion, system dynamics


PARALLEL SESSION 2

The Effects of Public Service Quality and Public Education on Public Trust in Bekasi City: Comparison between Services for

Civilians and Businesses

Anton Wachidin Widjaja & Budi Indrawati Universitas Bhayangkara, Jakarta, Indonesia

Email of corresponding author: [email protected] The relatively lower quality of public services in the developing countries, such as in Indonesia, provides an interesting opportunity to study the effects of public service quality on both public satisfaction and public trust. Improvements in both public education and public expertise will stimulate public institutions to also improve their quality of services. This study aims to examine the effects of both public service quality and public education in Bekasi Municipality on both public satisfaction and public trust. This study is focused on Public Health Department which provides services for civilians and on People’s Economic Department which provides services for business people. Based on 100 respondents from each department, this study clearly shows that public service quality affects public satisfaction. In the Public Health Department, Public Satisfaction also affects Public Trust, but this is not the case with the People’s Economic Department. In the Public Health Department, Public Education will affect Public Expertise that in turn will also affect Public Trust. Public Service Quality does not directly affect Public Trust, but indirectly through Public Satisfaction. In the People’s Economic Department, Public Expertise affects both Public Satisfaction and Public Trust. This study found that the characteristics provided by two departments will determine the effect of public service quality and public education on public satisfaction and public trust. Keywords: Public Services, Public Education, Public Expertise, Public Satisfaction, Public Trust

PARALLEL SESSION 2

(HRM)


PARALLEL SESSION 2 Determination of Leadership and Spiritual Motivation on The Performance of Employees through the Satisfaction of City

Government Employees Batam, Indonesia

Chablullah Wibisono Batam University, Batam, Riau Islands, Indonesia

Email of corresponding author: [email protected] Batam City’s vision "The City of Batam as Bandar World Madani," includes spiritual values that are integrated into performing in the society. In the government office, Batam is a very religious city. However, since there is a change of leader in every five year, the spirituality within the government office may also change. This research aims to find out the determination of leadership and spiritual motivation on the performance of employees through the satisfaction of city government employees in Batam, Indonesia. The population of this study is all employees in the city government of Batam. By employing SEM assisted software AMOS version 22, the results showed that there is a significant relationship between determination variable and satisfaction leadership. Moreover, the decision variable is significantly and positively related to spiritual motivation satisfaction. The determination variable also proven to be significantly and positively related with satisfaction performance of employees. The determination variable is significantly associated with leadership performance of employees’ variable. The correlation score is as follows: 0.832 (multiple square satisfaction), 0.914 (performance of employees), 0.832 (multiples variables correlation for satisfaction). On the other hand, the magnitude of determination is the value of square multiple correlation to variable Satisfaction times 83, 2%, while the scope of determination 91, 4%. This study concludes that all independent variables have a significant and positive relation with the dependent variable, which means that the employees have performed in a civilized manner (Madani). Keywords: Leadership, Spiritual Motivation, Performance of Employees, Satisfaction


PARALLEL SESSION 2

Spiritual Crafting: Another Strategy to Transform the Meaning

of Work

Missiliana Riasnugrahani & Corina D. Riantoputra Faculty of Psychology, Universitas Indonesia, 16424, Depok, Indonesia


Integrating interpersonal sense making theory and job crafting, this qualitative study examined responses from 8 workers (consist of three white-collar, two blue-collar and three no-collar workers), to delineate the dynamic process of work meaning, defined as employees’ understandings of what they do at work as well as the significance of what they do. Results indicate that meaning of work is affected by interpersonal relationships in the workplace. Being devalued by others motivated individuals to proactively shaping a new meaning to get positive regards by doing job crafting. Job crafting helps individual to forming work meaning. This means that the meaning of work is not only a privilege of high-prestige job, but a low-prestige job can have a positive meaning by doing the crafting strategies. Further, in contrast to previous research, we also found 75% of participants doing spiritual crafting. We defined it as individual proactive effort to view the task as part of God's plan or will. Spiritual crafting helps the individual to accept unpleasant situations in his work, and sees the event positively. A person, who have a belief that everything is part of God's plan or has a “special” purpose in his life, may experience less distress when facing barriers in the workplace. Through spiritual crafting the individual transforms the meaning of work as the field of worship for God.

Keywords: devalued; job crafting; spiritual crafting; work meaning


PARALLEL SESSION 2

Exploring Antecedents and Consequences of Women/

Leader Identity Conflict in Indonesia

Ilman Irianto, Intan Silvia Dale & Corina D. Riantoputra Faculty of Psychology, Universitas Indonesia, 16424 Depok, Indonesia

Email of corresponding author: [email protected] Arguably, there are still different cultural expectations towards leader and women in Indonesia. A leader must display agentic behavior likes aggressive, assertive, and independent while a woman must display communal behavior likes caring, causing identity conflict in women leaders in Indonesia. Very few researchers have considered the antecedent and consequence from identity conflict experienced by women leaders. To delineate some of its, we build a model that (1) explains the relationship between stereotype threats, female role model, and leadership self efficacy on identity conflict; and (2) predicts the consequences of identity conflict on emotional exhaustion and life satisfaction. Employing an online survey from less female worker than men worker organization, we collected data from 151 women leaders in Indonesia. Controlling for age, tenure and education level, the results showed that (1) female role models are not associated with identity conflict; (2) stereotype threats are positively associated with identity conflict; (3) leadership self efficacy are negatively associated with identity conflict and (4) Identity conflict contributes to 32% of emotional exhaustion and 21% less life satisfaction experienced by women leaders. This research highlights the detrimental impacts of identity conflict on women leaders in Indonesia, and triggers discussion on how to reduce stereotype threats and to increase leadership self efficacy in Indonesia that, characteristically, has a sex-role non-egalitarian culture. Keywords: Identity conflict; leadership self efficacy; stereotype threat; female role model; emotional exhaustion; life satisfaction; women leader


PARALLEL SESSION 2

Political Behaviours of Internal Auditors in the Indonesian

Public Organisation1

Annisa Putri Lestari Merdekawati, Muhammad Irfan Syaebani & Monica Devina

Faculty of Economics and Business, Universitas Indonesia, UI Campus, 16424, Depok, Indonesia

Email of corresponding author: [email protected], [email protected]

Political behaviours are common at a workplace, including in a public organisation. However, political behaviours are like a double-edged sword. They could support the management, but on the other hand, they could also turn into a negative side which generates some drawbacks and inhibits the effectiveness of management. This research focuses on types, causes, impacts, and solutions of internal auditors’ political behaviours. We used the phenomenological methodology and qualitative approach. Interviews were conducted with ten auditors from various backgrounds in order to ensure validity of the findings. This research revealed four main conclusions. First, there are two types of political behaviour, namely defensive political behaviour and impressive management. Second, the causes of political behaviour are individual and organisational. Third, the political behaviour could impact intrapersonal auditors, interpersonal relationship, and organisation as a whole. Fourth, this research indicates solutions to encounter the problems by improving the human resource system and organisational culture. Keywords: internal auditor, organisational behaviour, political behaviours, public organisation

1 The organisation where research takes place refused to be identified. Therefore, according to ethical concern, the organisation identity cannot be disclosed.


PARALLEL SESSION 2

Emotional Labor and Organizational Commitment among

Hospital Nurses: The Mediating Role of Job Burnout

Uliyatun Nikmah & Imbuh Sulistyarini University of Indonesia, 16425, Depok, Indonesia

Email of corresponding author: [email protected] The increasing interaction between employees and consumers is one of the common phenomenon occurred in the development of service sector which involves certain emotional expression. Emotions at work can be related to job burnout and other work outcomes such as employees’ organizational commitment. Emotions at work and its outcomes are deemed important in occupation such as hospital nurse as they can affect the quality of service given to the patients. This study aims to analyze the effect of emotional labor toward organizational commitment and the role of job burnout as mediator using Structural Equation Modeling (SEM) method. Research data were collected from 330 hospital nurses using questionnaire. The study result showed that emotional labor has a positive effect toward job burnout, job burnout has a negative effect toward organizational commitment, meanwhile emotional labor has no significant direct effect toward organizational commitment, but was found mediated by job burnout. Future directions can be utilized to improve the hospital nurses’ behaviors at work in providing health services. Keywords: emotional labor; job burnout; organizational commitment; structural equation modeling

PARALLEL SESSION 2

(MKT)


PARALLEL SESSION 2

The Role of Newspaper as Political Marketing Tool during Indonesian Presidential Election of 2014

Maslina W. Hutasuhut 1 & Indiana Ngenget 2

1Faculty of Communication, IISIP Jakarta 2Faculty of Political Science, IISIP Jakarta

Email of corresponding author: [email protected] This research was conducted to determine the role of newspaper in implementing political marketing during Indonesian presidential election of 2014, by utilizing news contents of the presidential election from Kompas, Republika, and Media Indonesia, during campaign period. This research was conducted in three studies. Study 1 utilized quantitative content analysis to determine the objectivity of each newspaper. Study 2 utilized qualitative content analysis, using the concept of “attitude” in the discipline of consumer behavior, to determine the efforts made by each newspaper outlet in developing and altering the reader’s mindset and attitude towards a presidential candidate favored by each newspaper. Study 3 utilized qualitative content analysis, using the concept and categories in political science. The research showed that the three newspapers, in various ways and methods, do not fully apply Indonesian Law No.40 of 1999 regarding Journalism Press and Journalistic Codes of Ethics as their code of conduct. These findings show that the implementation of marketing in the realm of politics must be done with caution in order to deliver news for the public in a neutral and independent manner. It can be concluded that the lack of objectivity from the three newspapers relate to the dominant ideological model theory, in which media ownership will determine the political views that would be disseminated by the mass media, as well as elite values model theory, in which the control of the media’s output by means of intervention from the media owners in editorial decisions, prohibiting the editor’s and journalist’s professional independence. Keywords: political marketing; presidential election; Journalistic Codes of Ethics, objectivity, factuality, impartiality


PARALLEL SESSION 2

The Effects of Brand Love, Brand Image and Brand Personality on Brand Engagement of Local Fashion Brands in Indonesia :

Moderating of Ethnocentrism

Cindy Suwandhi & Tengku Ezni Balqiah Faculty of Economics and Business, Universitas Indonesia, Kampus UI, Depok, 16424

Email of corresponding author: [email protected] In the last few decennium, research pertaining to brand has gained the attention of many academician. Interest in further studies of matters related to it, such as brand love and brand engagement has increased tremendously as well. This study was conducted to examine the effect of brand love, brand image and brand personality on brand engagement with ethnocentrism as a moderating factor by using case study of local fashion brand in Indonesia. Respondents in this study were people who have purchased clothing items from a specific brand of local fashion. Data processing method used is Structural Equation Model (SEM). This study indicates that the excitement does not have a positive influence towards brand love, and brand image does not have a positive effect on word-of-mouth (WOM). Nonetheless, with the existence of ethnocentrism as moderating factor, excitement’s effect towards brand love and brand image were even greater. Hereafter, brand advocacy was finally formed by brand love’s positive effect towards WOM. This study demonstrated the importance of ethnocentrism in enhancing word of mouth, and further brand advocacy. Keywords: Brand Love; Brand Image, Brand Engagement, Ethnocentrism


PARALLEL SESSION 2

In a Social Capital Perspective: The Effect of Branded E-

Stickers (BES) Usage on Brand Attitudes and Brand Purchase Intentions

(Study on LINE Social Messenger)

Salsa Andiani & Yeshika Alversia Magister Management, Faculty of Economics and Business, Universitas Indonesia,

Kampus UI Salemba, 10430, Jakarta, Indonesia Email of corresponding author: [email protected]

Branded E-Stickers (BES) is one of the brand new and innovative tools to promote brand using an interactive way that enables social messenger users to chat more attractively with other users. To examine the effectiveness of this new marketing tool, this study investigates the effect of Branded E-Stickers (BES) usage on Brand Attitudes and Brand Purchase Intentions, in the perspective of social capital theory. Total 358 Indonesian LINE messenger users filled the questionnaire. Through multiple regression analysis, the results show that social capital plays important role in influencing users’ brand attitudes and brand purchase intentions. Referent ties, brand attitudes, and intensity of BES usage have direct significant and positive effect on brand purchase intentions while majority ties, sociability, self- disclosure, self-presentation, and featured character-brand fit indirectly influence brand purchase intentions through brand attitudes. Since Branded E-Stickers can facilitate LINE users to develop their social capital, marketers should take this opportunity by promoting their brand through Branded E-Stickers. Keywords: Social capital; brand attitudes; purchase intention; social ties; referent ties; majority ties


PARALLEL SESSION 2

The Effect of Perceived Quality of Performance Of Peripheral Conference Service On The Revisit Intention To Conference

Host Destination And The Moderating Effect of Novelty Seeking

Christina Lipuringtyas Rudatin, Sofjan Assauri & Tengku Ezni Balqiah

Graduate School of Management, Faculty of Economics and Management, Universitas Indonesia, Depok, Indonesia

Email of corresponding author: [email protected] Meeting, Incentive, Conference and Exhibition (MICE) Industry continues to grow rapidly and no doubt has considerable contribution to the economy. This article examines how Perceived Quality of Performance of Peripheral Conference Service as a supporting program of a conference, may affect the loyalty of participants at the conference host destinations, as well as the effect of the conference participants Novelty Seeking in moderating the influence of the strength of Satisfaction on The Revisit intention to the conference host destination. The unit of analysis of this study was three international conferences in Bali, Surabaya and Jakarta. The data collection was done by using a questionnaire with Likert scale 7 and analyzed by using Partial Least Square Structural Equation Model (PLSSEM). The results showed that Perceived Quality of Performance of Peripheral Conference Service has a positive influence on the satisfaction of conference participants on the destination and the subsequent positive effect on the revisit intention to conference host destination. Novelty seeking is not proven to have an effect in moderating the influence of the power of satisfaction on the revisit intention to conference host destination. Keywords: Peripheral Conference Service; Satisfaction; Revisit Intention;

Novelty Seeking


PARALLEL SESSION 2

Perceived Justice and Perceived Loss Influence toward

Customer Satisfaction in Service Recovery: the Impact on Trust and Switching Intention

Sitti Halima 1 & Gita Gayatri 2

1Universitas Terbuka Gorontalo, Gorontalo 96138, Indonesiaculty 2Management Department, Faculty of Economics and Business, Universitas

Indonesia, Depok 16424, Indonesia Email of corresponding author: [email protected]

The purpose of this study is to determine the most influential variables on customer satisfaction during service recovery of a given service failure, and to identify the variables that are less likely to impact on customer behavior in the future,once customer is satisfied with the remedy. Data was obtained by spreading the questionnaire to 242 respondents from customers of prepaid card from PT. X in the area around Depok, West Java. The approach was followed by convenience sampling and snowball sampling; a quantitative data analysis was conducted to obtain the data, and the analysis was employing the Structural Equation Modeling (SEM). Result showed that all variables had a positive effect; the coeffient of determination was shown in the distributive justice, which means that distributive justice was the biggest variable with positive and significant effect compared to other variables in this study.Although ‘perceived loss’ variable had a positive value, its weightage was much less than other variables.The SEM test results showed that the combined variables in this research, i.e. distributive justice, procedural justice and Interactional justice as well as the perceived loss has positive and significant impact on customer satisfaction in service recovery as well as impact on trust and switching intention. Therefore, in order to increase trust and reduce the switching intention it is important to take into account the variables that influence the customer satisfaction with the service recovery.

Keywords: Distributive Justice; Procedural Justice; Interactional Justice; Perceived Loss; Satisfaction with Service Recovery; Trust; Switching Intention

PARALLEL SESSION 3

(GSM)


PARALLEL SESSION 3 Social media and innovation: The case of Indonesian small-

medium sized enterprises

Ambar Sari Dewi

School of Business, Economic, and Law, The University of Queensland, Brisbane, Australia

Email of corresponding author: [email protected] The use of social media plays an essential role in innovation management, helping improve firm’s competitive advantage. Firms use social media to search for and exploit new ideas and collaborate with potential networks of partners and customers. Previous literature has argued that the use of social media requires certain knowledge and capabilities. However, this is often based on the evidence of large enterprises’ experiences, which have abundant resources, and rarely accounts for small-medium sized enterprises (SMEs) experiences, which are often constrained by limited resources. Using a qualitative case study, this paper aims to analyse how such firms, particularly in developing countries such as Indonesia, use social media to support innovation. Data were collected from eleven SMEs’s owner/manager operating in Indonesia using interviews and social media scrap as data collection instrument. Findings suggest that some SMEs use social media effectively to improve their internal and external capabilities and resources for enhancing innovation. Prior knowledge and previous network of friends and partners are important factors in determining the effective use of social media. Based on the findings, some contributions of the study were elaborated.

Keywords: innovation management; Indonesia; SMEs; social media; absorptive capacity; complementary assets


PARALLEL SESSION 3

The Governance of Public-Private Ties Model:

How to Govern the PPPs Infrastructure Project Effectively (An Indonesia Case)

Krist Ade Sudiyono, Tirta Mursitama, Boto Simatupang &

Mohammad Hamsal Doctor Research in Management Program, Bina Nusantara University, 11480, Jakarta,

Indonesia Email of corresponding author: [email protected]

Even though the Public-Private Partnerships model in public infrastructure provision has proliferated in the last decade, its effectiveness with respect to the addressed problems has remained very challenging. The purpose of this study is to explore how the public-private ties model strategically managed in creating value to involved parties as well as to other stakeholders. This empirical study is consolidating value creation theories in strategic management and theories of governance in new public management discourse. It uses an original primary dataset collected by a survey of 132 involved companies in Indonesia infrastructure development. There are at least two significant findings. First, the public infrastructure provision is beyond physical development activities. It is an economic and public value creation process. Second, the dynamic capability exploration has to be executed in a way of democratic accountability, having strong stakeholders’ procedural legitimacy, and public participation enforcement. The value creation needs collaborative governance in accordance that the model is vulnerable due to endemic conflict and tensions. This research leaves out two side effect of governance. Other than as a value creation component, the governance also can be as a value destruction of the public-private ties model. These findings have important theoretical and managerial implication for public policy to encourage private willingness participating in infrastructure development. Keywords: Collaborative governance; Cross-sector collaboration; Public-private partnerships; Public-private ties; Value Creation


PARALLEL SESSION 3

Strategic Roles of Owner-Managers In Achieving SMEs’ Dual Goals

Valentinus R. Sofyan & Ruslan Prijadi

Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia Email of corresponding author: [email protected]

Small and Medium Enterprises (SMEs) play an important role in Indonesia economy. Not only they create more employment, but also they nurture innovation culture and entrepreneurship skills that make small firms endure economic downturn. SMEs’ unique management characteristics and mixed business-personal goals are interesting subject of research. This research examines if SMEs’ strategy executed by owner-managers affects their performance (financial/economic vs. non-economic). One of the strategies that pursued by SMEs is a differentiation strategy, which characterized by a unique product that is hard to imitate, resulting customers’ willingness to purchase higher prices goods or services. Having a small sample size and applying SEM-PLS, this research signifies the strategic role of owner-managers. The owner-managers effectively influence the strategy and the strategy further affect the achievement of non-economic goals, but not the economic/financial goals. These results imply the present of non-financial goals that might be considered as important as or perhaps more important than the financial goals in SMEs’ business practice. Small sample size and self-assessed performance measures are among the limitation of this research. Keywords: small enterprise, strategy, owner-manager, financial goals, non-financial goals


PARALLEL SESSION 3

Why Gender Inequality Is Still Appeared

In Garment Factories, In Indonesia?

Annisa Halimah Imron, Muthia Pramesti & Sari Wahyuni Department of Management, Faculty of Economics and Business, Universitas

Indonesia, Depok, Indonesia Email of corresponding author: [email protected]

In Indonesia, female workers have significant role in garment factory due to majority of the workers are women. Gap between female and male workers might create problems for women, which will lead to gender inequality at the working place. This study aims to explore descriptive study on the working conditions, based on gender, for the garment workers in Indonesia. It is also found out the causes of gender inequality inside factories, during the period of 2012-2014. Gender equality in the workplace is beneficial for firm performance when it is managed properly. The research methodologies used for this study are quantitative and qualitative research. The quantitative research is using descriptive study to explain the data of the workers’ survey collected by Better Work Indonesia. The qualitative research is using literature review. It is found that some elements influenced the persistence of gender inequality in Indonesia, such as: occupational distribution, payment and work hour, training and promotion, health and well-being as well as perceived barrier and voice. Keywords: garment factories, gender equality, female workers, working condition


PARALLEL SESSION 3

Bridging the Gap of Knowledge between Government

Policies and Project Performance: An Empirical Study in Highly Regulated Industry

Fitria Astuti Firman 1, Ine Minara Ruky 2, Ratih Dyah Kusumastuti 1,

& Harris Turino Kurniawan 1

1Department of Management, Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, 16424, Depok, Indonesia

2Department of Economics, Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, 16424, Depok, Indonesia


There is a strong motivation from previous literature to investigate a relationship between government policies and project performance through strategic management perspective. In this regards, this paper has aim to identify internal attributes of the firm which act as mediators by integrating research avenues on Strategic Management, Entrepreneurship and Project Management. Previous research show that a variable of entrepreneurial orientation and resource orchestration process are important attributes to the firms that are expected to mediate the relationship between institutional context and project level. Project in this paper refers to a strategic project. This kind of project consists of activities that are intended to achieve business goal of the firm. Thus, project performance has a broader definition that in this case, it is denoted as a variable of perceived investment performance. The research model built is analyzed by using Structural Equation Modeling (SEM). A specific context of renewable energy power generation industry is chosen to validate the research model. The units of analysis are Independent Power Producers (IPPs) – project based companies which are dedicated to build, operate and maintain the power plants. The respondents are directors or managers of IPPs. Finally, this paper also presents a discussion on implications and directions for future research. Keywords: entrepreneurial orientation; government policies; project performance; resource orchestration

PARALLEL SESSION 3

(FIN)


PARALLEL SESSION 3

Continuous and Jump Betas: Implications for Portfolio Diversification (Evidence from Indonesia Stock Market)

Usman Arief & Zaafri A. Husodo

Graduate School of Management, Faculty of Economics and Business Universitas Indonesia, Depok, Indonesia

Email of corresponding author: [email protected] We investigate the difference of CAPM beta for both continuous and jump components for constituent stocks market using Indonesia Stock Exchange (JKSE) and overall 45 the most active stocks from the LQ45 index for six months period from March 2017 to August 2017. We decompose the time-varying beta for stocks into beta for continuous and discontinuous systematic risk, we use 5 min interval data set from Thompson Reuters, and we find that there is significance jumps components in Indonesia stock market (JKSE). However, we do not find any significance jumps component in individual stock market in LQ 45. We estimate individual beta small size companies have larger beta than large size companies with the highest beta is 0.00004% and the average beta is 0.0000132%. Furthermore, low volatility firms has smaller beta with the average 0.000056% as opposed to high volatility firms with the average 0.0000171%. This research reveals that continuous volatility in stock market is 0.0000123% and jump volatility is 0.0000434%. We also investigate that diversification effect can be employed to decrease the total realised volatility by simply adding the number of stocks. We do not find the same pattern for continuous and jump systematic risk, but we find that investor can omitted jump systematic risk when they have at least 10 stocks in their portfolio. Keywords: high frequency data, continuous and jump beta, systematic risk,


PARALLEL SESSION 3

Capital Buffer for Stronger Bank Stability: Empirical Evidence from Indonesia’s Commercial Banks

Dwi Nastiti Danarsari, Viverita & Rofikoh Rokhim

Department of Management, Faculty of Economics and Business, Universitas Indonesia, Depok Campus, 16424, Depok, Indonesia Email of corresponding author: [email protected]

This study investigates the relationships between the capital buffer and bank stability in Indonesia’s commercial banks during the period of 2001 to 2015. The research horizon captures periods of pre and posts 2007-2008 financial crisis and implementation of Basel II and Basel III, as well as capital regulation adjustments in Indonesia’s banking sector. By using dynamic panel regression, the estimation indicates that improvement of the capital buffer will enhance bank stability. Furthermore, bank market power, revenues diversification, size, and capital regulation have a positive impact on the improvement in bank stability. Hence, this study provides insights regarding signals from the banking sector about the implementation of capital regulations. Keywords: Bank stability; bank capital buffer; bank capital; Indonesia’s commercial banks.


PARALLEL SESSION 3

The Influence of Corporate Social Responsibility, Business

Diversification, and Company Size on Company Value

Erni Masdupi & Ananda Yulius

Faculty of Economics, Universitas Negeri Padang, Kampus UNP Air Tawar Barat, Padang, Indonesia

Email of corresponding author: [email protected] The purpose of a company is to maximize company value, which is synonymous to increasing the shareholders’ wealth. There are some variables that could determine company value such as corporate social responsibility (CSR), diversification of business, and company size. This study examines the influence of corporate social responsibility (CSR), diversification of business, and size of the company upon the value of manufacturing companies listed on the Indonesian Stock Exchange (IDX). The research population is all manufacturing companies listed on IDX within the period 2011-2014. Based on some purposive sampling criteria, 110 company-year observations were chosen as the sample for this study. This study used a regression model, which found that CSR had an insignificant effect in influencing company value. Diversification, as measured in the Herfindahl index by sales, had a positive and significant effect on company value, but the number of business segments had an insignificant impact upon company value. Finally, company size, which was measured by the number of assets, insignificantly affected company value while the market value of equity positively and significantly influenced company value. This implied that investors trust market value more than historical data. This is because market measurements such as the market value of equity could reflect a company’s prospects in the future while accounting-based measures only provide historical data on the company. Additionally, the government should allow companies to grow in size and to diversify into related businesses. Keywords: Corporate social responsibility; business diversification;

company size; company value


PARALLEL SESSION 3

A Dynamic Effect of Profitability on Leverage: A Dynamic Inaction Model of Optimal Capital Structure in Indonesia

Capital Market

Ika Novaria 1 & Viverita 2

1Master of Management, Faculty of Economics and Business, Universitas Indonesia, Salemba, 10430, Jakarta, Indonesia

2Department of Management, Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia

Email of corresponding author: [email protected] This study analyzes the effect of profitability on leverage through dynamic inaction model. The model implies that the effect of profitability on leverage may vary, depending on the firms’ capital structure optimality that is achieved through refinancing. By using panel data regression and generalized method of moments (GMM), this study investigates the dynamic effect of profitability on leverage of 175 public-listed firms in Indonesia Stock Exchange during 2006 – 2015. We find that profitability has no significant effect on leverage, in firms both with optimal and non-optimal capital structure. However, in optimal capital structure, firms and industry characteristics have a better ability in explaining leverage. We also find that profitability has no significant effect in predicting refinancing activity. Firm size, on the other hand, has better predictive power instead. In adjusting its capital structure to the optimal target, larger firms and firms with higher profitability tend to adjust their leverage faster, while firms with higher growth opportunity, as well as bigger leverage gap tend to adjust their leverage more slowly. This study reveals that the determinants of leverage may differ for firms with optimal and non-optimal capital structure. Keywords: Leverage; capital structure; profitability; refinancing; dynamic inaction model; speed of adjustment.


PARALLEL SESSION 3

Cost of Financial Distress and Firm Performance

Estu Widarwati 1 & Dewi Sartika 2

1STIE Sutaatmadja, 41121 Subang, Indonesia 2Akademi Sekretari dan Manajemen [ASM] Persada Bunda, Riau, Indonesia


The performance of business become an important thing to be main goal of firm in their activity in order to get the competitive advantage, but contrary, the recession may bring a probability of firm’s decreasing and liquidation. The global financial crisis provides the importance in developing model to monitor, identify and assess potential risks which can threaten business sustainability. Cost of Financial Distress (CFD) is one of tools for identifying early risk of firm performance decline such growth opportunity and stock return, so firm can reduce their loss before it lead to bankruptcy. This research aims to explain the evidence of CFD in Indonesia by using opportunity loss and its consequence on firm performance. The data used are 231 firms of Indonesia Stock Exchange (IDX) in 2011 – 2015 by descriptive analysis using a base year, and regression models for presenting the impact of CFD. The study shows there is difference of CFD among industries and this implies to firm that should consider the CFD’s impact to its performance. The result proposes that CFD as an early detection tool for reducing loss that can damage firm performance especially market share. Keywords: Cost of Financial Distress, Firm Performance, Sales Growth, Stock Return, Crisis

PARALLEL SESSION 3

(GSM)


PARALLEL SESSION 3

The Effect of Entrepreneurial Marketing on Managing Resources and Its Impact on Innovation Performance

Triyono Arief Wahyudi

Kalbis Institute, Jakarta Timur 13210, Indonesia Email of corresponding author: [email protected]

Globalization affects many companies in Indonesia. It causes an increased global competition. These companies compete with the others which are not only within industry. Therefore managers should have the valuable orientation in managing their resources to achieve the competitive advantage through creating innovation performance. This research offers entrepreneurial marketing as these valuable orientations. The objectives are to analyze the effect of entrepreneurial marketing on managing resources and also to analyze the influence of managing resources on innovation performance. It is a quantitative research which has the conceptual model consisted three constructs. These were entrepreneurial marketing, managing resources and innovation performance. There are 2 hypotheses. The unit of analysis was the managerial level of manufacture companies. The data is collected through distributed questionnaires. The collected questionnaire is 91 out of 215 distributed questionnaires. The data set is analyzed by using the SPSS (Statistical Package for the Social Sciences) for reliability test, validity test, normality test and hypothesis tests. The results are all hypotesis supported by the data. The contribution on theoritical manner is the empirical evident of the effect of entrepreneurial marketing on managing resources and also the effect of managing resources on innovation performance. The managerial implication of this research is the entrepreneur could creatively explore entrepreneurial marketing’s elements which are proactiveness, opportunity focus, calculated risk taking, innovativeness, customer intensity, resource leveraging and value creation to manage resources for achieving the best innovation performance. Keywords: Entrepreneurial Marketing; Value Creation; Innovativeness; Managing Resources, Innovation Performance.


PARALLEL SESSION 3

Business Unit Entrepreneurial Orientation and Strategic Initiatives in Large Family Business Groups: The Role of

Corporate Centre and Family Influence

Okder Pendrian, Kresnohadi Ariyoto Karnen, Riani Rachmawati, & Ratih Dyah Kusumastuti

Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia Email of corresponding author: [email protected]

The number of studies on strategic management practices and their influence on entrepreneurship in family business has been on the rise lately. Yet, there have been few studies that investigate their relationships with large family business groups having unique characteristics, i.e. the presence of a corporate centre that handles corporate strategy in a business group and the presence of family management that affects strategic decision-making processes, including the ones on entrepreneurship and innovation, both at the corporate level and at the business unit level. This paper aims to examine and analyse the influence of corporate parenting role played by the corporate centre in the form of strategic planning, strategic control and financial control as well as family influence factors on business unit entrepreneurial orientation (EO) and business unit strategic initiatives, which in turn affect business unit performance. The study uses a structural equation model (SEM) involving 106 respondents who are CEOs and senior management officers in business units managed by 16 corporate centres of family business groups in Indonesia. The study result shows that the presence of corporate centres and family influence affect business unit performance through influences on the EO levels and strategic initiatives. Corporate centres that follow the strategic planning approach have a positive influence on the EO level and strategic initiatives in business units. Meanwhile, the strategic control approach has a positive influence on the EO level but not on the strategic initiatives in business units. On the other hand, the financial control approach has a negative influence on the EO level but not on the strategic initiatives in business units. Moreover, family influence has a positive influence on the EO level and the strategic initiatives in business units. At the business unit level, it is found that the EO level does not have a direct relationship with the performance, but its influence on the performance will be positive whenever EO has been implemented in the form of strategic initiatives.

Keywords: Family business groups, strategic planning, strategic control, financial control, family influence, entrepreneurial orientation, business unit strategic initiative


PARALLEL SESSION 3

The Role of Functional Competencies, Dynamic Capabilities

and Technology Flexibility in Crafting Product Superiority: A Study of Indonesian Packaged Software Developers

Minsani Mariani 1, Firmanzah 2, Tengku Ezni Balqiah 2 & Sari Wahyuni 2

1 Binus Business School, Bina Nusantara University, Jakarta, Indonesia 2 Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok,

Indonesia Email of corresponding author: [email protected]

Strong software product development competencies, including customer competence, technical competence and managerial competence, have been identified as critical factors in crafting product superiority. However, given the great degree of uncertainty, software developers must continually cope with extremely rapid changes that demand innovative technological and managerial responses. Based on dynamic capabilities theory and strategic organizational flexibility, this study developed a theoretical model to explore the effect of dynamic capabilities and technology flexibility on product development competencies and product superiority. Data were collected from 112 business executives from packaged software firms in Indonesia. Partial Least Squares (PLS) analysis supports the study’s hypotheses that when dynamic capabilities and technology flexibility are introduced to the model, the relationship between a software firm’s functional competencies and product superiority becomes insignificant. The findings can provide guidelines for software developers to cultivate dynamic capabilities and pursue technology flexibility to craft superior software products. Keywords: Product Development Competencies, Product Superiority, Dynamic Capability, Technology Flexibility


PARALLEL SESSION 3

Social Construction of Trust in the Investment of “Bodong”

Damsar 1 & Indrayani 2

1 Department of Sociology, University of Andalas, Padang, Indonesia 2 Department of Management, University of Batam, Batam, Indonesia

Email of corresponding author: [email protected] This paper aims to explain how trust is constructed in the investment of “bodong” in Indonesia. Investment of “bodong” is the emic concept of Indonesian business community about investment with Ponzi scheme. The growth of “bodong” investment occurred in a legal and socio-political settings where absence of regulation, literacy and oversight of financial services activities, as well as the transition from a controlled democracy to a liberal democracy. The social construction of trust in "bodong" investment is the result of the interrelation between the strategy of the trustee and the trustor's motivation. The trustee strategy includes the use of the effects of reference groups, bonuses, advertisements and charity activities displayed. The majority of trustor did not understand about this investment. The trustor’s motivation includes very high profits, the influence of reference groups, attractive bonuses and charity displayed by trustee. The small group of trustors who have understood this type of investment, the opposite is true, the distrust of “bodong” investment is deconstructed by doubts about their own knowledge and understanding because it is different from the reality faced and the speculative behavior they have. Therefore, policies on increasing the literacy of financial investment and banking in the community and supervision of business activities are needed. This paper is produced from qualitative research on 50 informants that gathered by snowball sampling method. The primary data was collected through in-depth interviews. While secondary data were gathered through online media news and documents from related offices. The data were analyzed by using model from Miles and Huberman. Keywords: Investment, Ponzi Scheme, Social Construction, Trust


PARALLEL SESSION 3

State-owned Enterprises Innovation Performance

Andreas Pardyanto & Avanti Fontana

Faculty of Economics and Business, Universitas Indonesia, 16424, Depok, Indonesia Email of corresponding author: [email protected]

State-Owned Enterprises (SOEs) play crucial roles in most economies, including in the most advanced ones. SOEs, especially in Indonesia, are facing dynamic changes and need to adapt to rapid environmental changes and high complexities. Internally they are required to ensure that wealth is created and distributed throughout the nation as mandated by the law to meet the demand of public services and to protect domestic concerns. On the other side, they have to improve their competitiveness to deal with global open market competition in both technological and demand changes. SOEs transformation has been the goal of Indonesia’s economic renewal. The objective of this study is to understand the SOEs’ strategic entrepreneurship processes in developing their capabilities to create wealth in their effort to adapt to the changing environment and produce high demand of innovation. Dynamic capability framework is used to explain entrepreneurship and strategic actions through the variables of firm absorptive capacity in the changing environment and the relationship on dynamic innovation capability. This proposal discusses the multidimensional influences of entrepreneurship and strategic actions in the process of developing innovation as a proxy to effective value creation, value delivery and value capture represented by a systematic innovation performance. Keywords: Changing environment; organization factors, strategic entrepreneurship process; organizational learning; dynamic innovation capability; innovation performance; state-owned enterprise

PARALLEL SESSION 3

(IFIN)


PARALLEL SESSION 3

An Empirical Analysis on Zakat Institution’s Performance in Jakarta, Indonesia: A Measurement Using a Newly

Development Index

Maulidia Amri 1, Mohamad Soleh Nurzaman 2 & Nurul Huda 1

1 Middle Eastern and Islamic Studies, Universitas Indonesia, Kampus UI Salemba, Jakarta, Indonesia

2Center for Business and Islamic Economics, Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia

Email of corresponding author: [email protected] The purpose of this research is to evaluate the performance of zakat institution in Jakarta. Jakarta is chosen based on three reasons: the importance of Jakarta as the capital city of Indonesia, the availability and accessibility of data, and the absence of zakat comprehensive measurement index in Jakarta. The object of analysis is Badan Amil Zakat Infaq dan Shadaqah (BAZIS) DKI Jakarta. This research utilizes National Zakat Index (NZI) as the method of analysis. NZI is newly developed by National Amil Zakat Agency (BAZNAS) in December 2016. There are two main dimensions establishing the index, which are macro and micro dimensions. Macro dimension consists of three indicators which are regulation, Regional Government Budget’s support, and zakat institution database. Meanwhile, the indicators of micro dimension are organization and impact assessment of zakat (zakat recipients). The method utilizes primary and secondary data. The finding of the research indicates that zakat organization’s performance shows good performance. The macro dimension index results with 0.78 point and the micro dimension results with 0.75 point. In addition, the Index of BAZIS DKI Jakarta is 0.75 using NZI methods. This evaluation is an essential element of assessing an institution performance in achieving goals. Interestingly, utilization of NZI will develop an ability to measure the magnitude of change over time or place. Keywords: Zakat, Performance, Institution, Jakarta, National Zakat Index (NZI)


PARALLEL SESSION 3

Dynamic Relationship between Sovereign Bond and Sukuk

Market Developments with Indonesian Economy

Reifa Qisthi Mitsaliyandito & Tika Arundina Faculty of Economcis and Business, Universitas Indonesia,Depok, Indonesia


This study discusses the impact of sovereign bond and sukuk market development toward Indonesian economy, as well as the reverse direction. This study will use the 2009-2016 quarterly longitudinal data of outstanding bond and sukuk as a proxy of the size of the bond and sukuk markets, as well as the GDP of Indonesia as a proxy of the size of the economy. Basic model used in this study is a VAR model and using granger causality test to determine the direction of causality. This study is also using Impulse Response Function and Variance Decomposition to determine the impact of shock on each variable to the others. The result shows that overall only sovereign sukuk has positive impact to the economy. So, sukuk can be considered as a more effective investment instrument compared to conventional bond to improve Indonesian economy. Keywords: Bond; Sukuk; Indonesian economy; VAR


PARALLEL SESSION 3

Investment Strategy in Islamic Capital Market:

Study on Indonesia Stock Exchange

Zaenal Arifin

Universitas Islam Indonesia, 55283 Yogyakarta, Indonesia Email of corresponding author: [email protected]

An Islamic capital market is a capital market that provides Islamic stocks and trades in an Islamic way. Currently there are many capital markets that provide Islamic stocks. Islamic capital market concepts have also been developed by a number of experts such as Metwally (1992), Chapra (1992), and Taj-El-Din (2002). This study aims to create a model of investment in Islamic capital markets. In the first step, we test whether the existing Islamic capital market models are attractive enough. The results of our tests show that Metwally's model is quite attractive in terms of risks and returns but this model is constrained by the technical problems of capital markets that do not allow trade restrictions as required by Metwally. The Chapra model, by contrast, has no constraints in implementation but its appeal does not consistently outperform or match existing capital market models. Therefore, in the second step, we look for an Islamic capital market model that would be attractive to investors and can be implemented. Our research finds that an Islamic capital market model that uses a long-term investment strategy is an attractive option. This study proves that investments with longer periods will generally yield higher annualized returns. Annual investment yields the greatest returns, followed by semester investments and finally quarterly ones. Investors who lack large funds would generally choose only some shares to form their portfolio. The strategy of selecting stocks based on price-to-book ratio (PBR) was found to be quite successful for this. Keywords: Islamic Capital Market, Stock Return, Risk of Stock, Price to Book Ratio, Long- Term Investment Strategy


PARALLEL SESSION 3

The Analysis of Market Power and Bank Soundness on Islamic

and non-Islamic Bank Behavior

Raihan Mahendra & M. Budi Prasetyo Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia

Email of corresponding author: [email protected] The objective of this research is to determine the effect of bank market power and bank soundness on the behavior of Islamic and non-Islamic bank to collect and channel public funds during periods of 2011-2015. Using Lerner Index to measure bank degree of market power, and CAR as a measure of bank soundness, the result on Islamic bank shows a significant positive relationship only on bank channeling of funds. However, on non-Islamic bank the result show a significant positive relationship on bank collecting and channeling of funds. Bank collection and channeling of fund will be greater on when bank market power and bank level of soundness also rises. Keywords: Lerner Index; Bank Market Power; CAR; Commercial Bank behavior


PARALLEL SESSION 3

Sukuk Ratings Prediction:

The Case of Corporate Sukuk in Indonesia

Nabila Ismail & Tika Arundina Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia

Email of corresponding author: [email protected] The objective of this research is to discover how to set a rating for sukuk and to assess the factors that significantly influence sukuk ratings in Indonesia. The significance of this study is that it aims to reduce asymmetric information between investors and issuers so that they will be able to conduct analysis independently by referring to the model in this study. The study applies multinomial logistic regression in order to predict the sukuk ratings made by PT. Pefindo using several independent variables such as total assets, long-term leverage ratio, current ratio, interest coverage ratio, ROA, guarantees and sukuk structure. The result shows that this model could predict 95.1% of sukuk rating issuance by PT. Pefindo. Keywords: sukuk, sukuk rating, credit rating

PARALLEL SESSION 3

(MKT, MIS)


PARALLEL SESSION 3

An Analysis of Technology Acceptance Model with Extensions in Affective Components and Anxiety for Village Financial System (Siskeudes), A Case Study in Tangerang

District, Indonesia Roby Syaiful Ubed, I Gede Agus Ariutama & Ambang Aries Yudanto

Politeknik Keuangan Negara STAN, 15222, South Tangerang, Indonesia Email of corresponding author: [email protected]

The purpose of this study is to measure the predictors affecting the acceptance of a new system, Siskeudes, intended to assist villages to administer village fund. It was designed by State Development Audit Agency (BPKP) to be applied in Indonesian villages in 2016. Technology Acceptance Model (TAM) used in this research consisted of Perceived of Usefulness (PU) and Perceived Ease of Use (PEU) as direct variables affecting Intention of Use (IU). In addition, two extensions were added to the model; Computer Anxiety (ANX) and Affect (AFF). From 246 questionnaires distributed to all Siskeudes operators in all villages in Tangeran District, 187 were fit for research purpose. To describe the relationship pattern between latent constructs and observed variables, Structural Equation Modelling (SEM) was used. The significant findings showed that the technology anxiety of operators influenced their perceptions on the usefulness of Siskeudes negatively, whereas operators’ positive perception on Siskeudes influenced their perception on Siskeudes ease of use positively. Furthermore, both Siskeudes usefulness and ease of use affected their intention to use positively. Likewise, PEU affected PU positively. One implication of the findings is that gratifying work environments are needed to enhance Computer Affect (AFF). Minimizing Anxiety (ANX) through intensive training for operators is another significance of the findings. Keywords: Siskeudes; TAM; Anxiety; Affect


PARALLEL SESSION 3

Successful Information Technology Adaptation Process to

Enable Business Agility

Siti Yasmina Zubaedah, Benny Ranti & Jos Luhukay


Business agility is reflected in the firms’ ability to adjust effectively to the changing environment and maintain consistently good performance over long periods of time. In today’s Information Era, Information Technology (IT) solutions become the main pre-requisite to ensure firm evolution leading to sustainable competitive advantage. However, many IT implementations fall short due to unsuccessful change management and consequently firms fail to capitalize on the business values to be generated by the IT solutions. Following the people, process, and technology perspectives in evaluating IT implementation, managing people to adapt to the new IT solution is the hardest and most tedious process. Choosing one appropriate change management approach among rational-empirical, normative-reeducation, power-coercive, and environmental-adaptive approaches is not an easy task. Often a combination of two or three approaches is the most suitable one. Firm agility needs to include the ability to adopt IT solutions effectively to adjust the business in accordance to the business dynamics. This paper explores academic theories and implementation practices to analyze how agile firms adapt IT solutions, in particular the Enterprise Resources Planning (ERP) solution, effectively. We argue that ERP, because of its end-to-end business process coverage characteristic, is the core component of adaptability: its adaptation process is key to effectiveness. The inner-workings of a firm determine how implementation projects can be executed and we posit that an adaptive change management must be employed to ensure effectiveness. Ultimately, this study aims at building appropriate ERP adaptation process to improve business agility. Keywords: Business Agility; Change Management; Organizational Adaptation; Enterprise Resources Planning; Management Information Systems


PARALLEL SESSION 3

How Product Arrangement and Quantity Influence

Consumer’s Intention: The Role of Disliking Disorderliness and Scarcity Effects

Andang Fazri, Adi Zakaria Afiff, Tengku Ezni Balqiah

Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia Email of corresponding author: [email protected]

Previous research claimed that disgust and contamination fears mediated the relationship between touch and purchase intention. Disorganized product display used as a contamination cue and a limited quantity of product used as a cue that the product has been more touched. Contrary to that, several studies showed that people actually did not like messiness itself, and limited product quantity could be a scarcity cue that increased the positive perception of the product. Our research aims to study the relationship between buying intention and product arrangement as well as product quantity. Using 2 (product arrangement: organized vs. disorganized) x 2 (product quantity: fully-stocked vs. one product) between subjects experimental design, we find that variables the perception that product has been contaminated and the feelings of dislike toward messiness together mediate the relationship between product arrangement and purchase intention. Then the relationship between product quantity and purchase intention mediated by the level of perception that the product is in high demand, while the perception that the product has been more touched does not mediate the relationship.


PARALLEL SESSION 3

Which is the Stronger Influence of Voting Intention:

Candidate Credibility or Party Credibility

Sri Rahayu Hijrah Hati, Gita Gayatri, Rambat Lupiyoadi & Anya Safira

Management Department, Faculty of Economics and Business, Universitas Indonesia, 16424, Depok, Indonesia

Email of corresponding author: [email protected] This research examines the influence of the political party credibility and presidential candidate personal credibility on voting intention in the presidential election setting. The dual credibility model which is taken from the marketing communication fields is tested with structural equation modeling using the online survey data of 422 respondents collected during the Indonesian presidential campaign held in 2014. The results suggest that it is only candidate credibility which has a significant influence on voting intention both directly and indirectly via attitude toward the candidate brand. In contrast, party credibility has no influences on voting intention in the direct presidential election setting. Keywords: Credibility, party, candidate, voting, presidential election, political marketing


PARALLEL SESSION 3

The Influence of Sharia Compliance and Marketing Mix on

Satisfaction and Intention of Muslim Tourist to Revisit Sharia Hotel

Nurdin Sobari 1, Hardius Usman 2 & M. Zainul Wathani 2

1Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia

2Study of of Middle East and Islam, Islamic Economic and Finance, University of Indonesia

Email of corresponding author: [email protected] This research aims to analyze the influence of sharia compliance and marketing mix (product, price, place, promotion, people, process, and physical evidences) on satisfaction and intention of Muslim tourists to revisit the sharia hotels. A total of 159 local muslim tourist who had stayed at sharia hotel in Indonesia participated in this research. Data analysis method used is factor analysis and regression analysis. The findings of the research reveal that sharia compliance, product, price, process and physical evidence have significant influence on satisfaction, and satisfaction is proved to influence the intention of Muslim tourists to revisit sharia hotels. The results of this study provide useful information for policy makers and business manager to formulate suitable marketing strategies to enhance the potential of sharia hotels in Indonesia. Keywords: sharia compliance, marketing mix, satisfaction, intention to revisit, factor analysis, regression analysis

PARALLEL SESSION 4

(ACCT)


PARALLEL SESSION 4

Industrial Compensation Gap, Family Ownership, and Risk Preferences

Muhammad Ridha Jihad & Vera Diyanty

Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia Email of corresponding author: [email protected]

The aim of this reseacrh is to provide empirical evidence about the effect of industry’s gap compensation and family firm on risk preferences. This research observe 1282 data from 299 companies sampel from Indonesia Stock exchange (BEI) over 2011-2015. The results show that industry’s gap compensation and family firm has negative effect on risk preferences. Empirical results not show that family firm weakens negative relationship between industry’s gap compensation and risk preferences. Implication of this research is the importance of standart amount of compensation to directors based on task and responsibility that is given to them. It will prevent opportunistic behavior of directors in risk-taking policies. Keywords: Industrial Compensation Gap, Family Ownership, Risk Preferences


PARALLEL SESSION 4

The Effect of Business Strategy on Manipulation of Real

Activities

Eva Herianti 1 & Amor Marundha 2

1Faculty of Economics and Business, Muhammadiyah University, 2Faculty of Economics and Business, Persada YAI University Email of corresponding author: [email protected],

[email protected]

This study has a purpose to examine the effect of low cost strategy and differentiation strategy on the manipulation of real activity. Sample selection was done by using purposive sampling at manufacturing companies listed in Indonesia Stock Exchange (BEI) in the period of 2012-2016 with analysis period 2014-2016 and get final sample that consist of 358 observations. The research findings show that the low cost strategy does not significantly affect the manipulation of real activity. While the differentiation strategy has a negative and significant effect on the manipulation of real activity.

Keywords: Low Cost Strategy, Differentiation, Manifest Activity


PARALLEL SESSION 4

Fraud Risk Factors and Tendency to Commit Fraud:

Analysis of Employees’ Perceptions

Jesi Rizky Anindya & Desi Adhariani Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok, Indonesia

Email of corresponding author: [email protected] This study aims to determine the fraud risk factors perceived by employees as having the greatest influence in the incidence of fraud and to gather their opinions on fraud prevention measures. The fraud risk factors in this study are based on the concept of fraud triangle developed by Donald Cressey, as well as examples of situations described in SAS No. 99. The sample for this study is made up of employees of companies selected using the convenience sampling method. Results from the survey on 109 employees showed that none of the three factors significantly affect employees’ inclination to commit fraud; however, a comparison between the factors indicates that pressure is considered to have the greatest impact among those factors. With respect to fraud prevention, employees assume that all prevention methods are very important and should be implemented, especially the adequate segregation of duties. Keywords: Fraud, fraud risk factors, fraud triangle


PARALLEL SESSION 4

The Accountability Type of Endowment (Waqf) Institutions in

ASEAN Countries

Dodik Siswantoro

Fakulty of Economics and Business, Universitas Indonesia, Depok 16424, Indonesia Email of corresponding author: [email protected]

This research aims to analyze the accountability type of endowment institutions in ASEAN countries. Each country may have specific accountability characteristics as affected by its milieu. The research uses the qualitative method and is based on the post-positivist paradigm. Data collection is based on interviews, and unit analysis of endowment institutions are collected from three countries (Indonesia – four institutions, Malaysia – two institutions and Singapore – one institution). The result shows that only Indonesia cannot be classified for accountability type, followed by Malaysia, while Singapore may have a clear pattern of accountability logic. Keywords: Accountability; waqf; type; ASEAN; culture


PARALLEL SESSION 4

Corporate Governance Determinants for Mitigation of the Likelihood of Financial Distress

Hafiz Mahmud Ahmad & Desi Adhariani

Department of Accounting, Faculty of Economics and Business, Universitas Indonesia, Indonesia


This study aims to examine the effect of corporate governance factors on the likelihood of a company being exposed to financial distress. The factors investigated are the family ownership, institutional ownership, the proportion of independent directors, and the size of audit committee, board of directors, and board of commissioners. The period studied is 2011 - 2015 using samples of non-financial companies in Indonesia with a total of 190 observations. Data collection is conducted using the paired matched by matching financial report data of 95 observations indicated to experience financial distress with the pair 95 “healthier” observations from the same industry sector, same period, and similar asset size. Binary Logistic Regression is used in this research. The results show that family ownership, the size of the board of directors, board size, and audit committee size have significant roles in preventing companies from experiencing financial distress. While institutional ownership and the proportion of independent directors are found to have no effect. Although not all hypothesis are supported in this research, the findings assert the important role played by corporate governance in mitigating the likelihood of financial distress. Keywords: financial distress; corporate governance; ownership; audit committee; board of directors; board of commissioners

PARALLEL SESSION 4

(FIN)


PARALLEL SESSION 4

The Impact of Information Transmission and Liquidity toward the Indonesian Corporate Bond Yield Spread

Antonius Siahaan 1, Irwan Adi Ekaputra2 & Buddi Wibowo 2

1Swiss German University, Tangerang Selatan, Indonesia 2Faculty of Economics and Business, Universitas Indonesia, Depok, Indonesia

Email of corresponding author: [email protected] This research aims to investigate whether information risk and liquidity becomes the yield spread determinant of the of the Indonesian corporate bond market. The study uses the market microstructure approach. Previous researches have been developed to expose several private information such as Volatility Model or the information effect on transaction (Balduzi et al., 1999; Green, 2004; Brandt dan Kavajecz, 2004) and sequential trade models used by Easley et al (2002), In this research Information risk is measured by Probability of Informed Trading (PIN) model, liquidity is measured by Lesmond-Ogden-Trzcinka (LOT) model, systematic liquidity risk is measured by Pastor and Stambaugh model. Using intraday data of Indonesian corporate bond transaction during 2006-2011, we found that all the three main variables influence the determination of the Indonesian corporate bond yield spread. The average PIN of Indonesian corporate bond is 7,98 % which is lower compared to US Market. Average LOT for Indonesian corporate bond is 310 bps which is less than US Market and investor demand of illiquid bonds is more sensitive to systematic liquidity than the liquid bonds Keywords: microstructure,corporate bond, liquidity, information risk, probability of informed trading, systematic liquidity, yield spread


PARALLEL SESSION 4

The Orientation of Microfinance on Group Lending Strategy:

A Delphi - ANP Evidence

Ali Sakti 1, Viverita 2 & Zaafri A. Husodo 2 1Graduate School of Management, Faculty of Economics and Business, Universitas

Indonesia, Depok, Indonesia 2Department of management Faculty of Economics and Business, Universitas

Indonesia, Depok, Indonesia Email of corresponding author: [email protected]

The main objective of this paper is to determine the dominant orientation of the microfinance institution in serving the poor and micro-small enterprises by using a group lending approach. Based on the objective, this research tends to analyse the decision making process undertaken by microfinance institutions in conducting group lending. In the latest development of microfinance practice, the dominance of the interests of microfinance institutions that focus on achieving financial sustainability (commercial orientation) allows the tendency of microfinance to shift the mission from social orientation as its genuine mission. Therefore, this research aimed to fill the gap in the study of financial intermediation with respect to the orientation of microfinance. The practice of microfinance has a complexity in the relationship of the causal and mediating factors as well as random environment noise, which causes difficulty in determining the parameters of both that which is intangible and immeasurable. Putting those conditions into consideration, this study selected the DELPHI and ANP approach as its methodology. In general, the social orientation of microfinance in group-lending strategy still exists. The most important factor in affecting the social orientation of group lending practice is the aspect of objective and impact. Keywords: Group Lending, Mission Drift, Microfinance Orientations, Social Orientation, Commercial Orientation


PARALLEL SESSION 4

A Demand Side Analysis of the Mission Drift

of Microfinance Institutions in Indonesia

Ganesha Bayu Murti 1, Viverita 2 & Rofikoh Rokhim 2 1Graduate School of Management, Faculty of Economics and Business, Universitas

Indonesia, Depok 16424, Indonesia 2Department of Management, Faculty of Economics and Business, Universitas Indonesia,

Depok 16424, Indonesia Email of corresponding author: [email protected]

Focus of this study is to prove the occurrence of mission-drift (MD) of Microfinance Institutions (MFIs) in Indonesia in 2015. The MD of the MFIs in this study is define as when the percentage increase in the loan price compared to the percentage increase in the loan size is more than one, delivered by MFIs to micro enterprises (MEs), from the first loan compared to the second one. Although the behavior of MFI’s is investigated, this study is using the demand-side approach where MEs, as MFIs debtors, are the observation unit. We found that most of MFIs other than Cooperatives and Baitul Maal wat Tamwil (BMTs) groups, are having more price movement rather than quantity movement with mean value of 2.22. This implies that MD only occur in Other types of MFIs, and do not occur on Cooperatives type and BMT type of MFI. This implies that most of Indonesian MFIs still focus on their main mission, which is social mission that help enhance the welfare of the society. Keywords: mission-drift; Microfinance Institution; Cooperatives; BMT; Others group; Indonesia


PARALLEL SESSION 4

Interest Margin versus Small Medium Enterprises Financing:

Does Bank Ownership Matter?

Muhammad Miqdad Robbani 1,Hasan Ashari 2&Liyu Adhi Kasari Sulung 1

1Department of Management, Faculty of Economics and Business, Universitas Indonesia, Depok 16424, Indonesia

2Budget and Treasury Training Center, FETA, Ministry of Finance of Republic of Indonesia

Email of corresponding author: [email protected] Indonesian governance intends to improve small medium enterprise financing as one type of relationship lending whilst at the same time decrease the level of interest margin. Otherwise, relationship lending lead into high level of interest margin. This paper examines the relationship between SMEs financing and interest margin in Indonesia using panel data of 124 banks in Indonesia from 2008 to 2014. Furthermore, we also identify the direction of SMEs financing considering the ownership of bank. We use panel data regression and GMM methods to ensure the robustness of the result. The overall results suggest that SMEs financing positively increase the interest margin since the relationship lending charge more margin to each of transaction. The results confirm regulation conflict between increasing small medium financing and decreasing interest margin. However, we find the difference sign and significant level of SMEs financing for each type of bank ownership as the result of SMEs financing readiness. Keywords: SMEs; Financing; Indonesia; Interest Margin


PARALLEL SESSION 4

Firm Profitability, Ownership Structure and Dividend Policy on

the Indonesian Manufacturing Companies

Muhammad Arif Akbar & Yosman Bustaman

Swiss German University, Alam Sutera Campus, Tanggerang Indonesia Email of corresponding author: [email protected]

This paper aims to reinvestigate relationship between firm’s profitability, level of company insider’s ownership, government ownership and foreign ownership on the dividend distribution for manufacturing firms in Indonesia over the period 2009 to 2015. We employ two main proxies for firm’s profitability: return on asset (ROA) and net profit margin (NPM). Using data panel regression, our findings reveal that profitability has positive impact on dividend distribution, this finding supports dividend-signaling theory. Furthermore, stronger level of monitoring by insiders as proxied by larger ownership of board member tend to decrease dividend payment, however this finding is not significant. The larger government ownership results on increase in dividend payment, political factors and cash needed to fund country budged might influence this decision. This study also find negative relationship between level of foreign ownership and dividend payment; cutting dividend payment is a signal to market that foreigners do not tunneling cash to its principal abroad. Our results are expected to raise concern on corporate governance issues especially on minority shareholder protection.

Keywords:Dividend policy; insiders; institutions; ownership structure; profitability; state-owned enterprises

PARALLEL SESSION 4

(HRM, GSM)


PARALLEL SESSION 4

Human resource management practices in manufacturing SMEs In Central Java, Indonesia

Fanny Martdianty, Alan Coetzer & Pattanee Susomrith

School of Business, Edith Cowan University, WA 6027, Australia Email of corresponding author: [email protected]

SMEs are major employers in Indonesian, yet little is known about human resource management (HRM) practices that they employ. This study focused on hiring, developing, and retaining employees in manufacturing SMEs in Central Java, Indonesia in comparison to the dominant discourse on HRM in SMEs. The study involved interviews with 13 owner-managers and 42 employees representing 13 SMEs. Findings suggest that HRM in these SMEs were not the coherent set of practices typically identified in ‘best practice’ literature, but practices that were characteristically informal and emergent. Cost and appropriateness were key considerations in making decisions regarding HRM adoption. Regarding attracting employees, ‘word-of-mouth’, employee referrals and ‘walk-ins’ were the preferred methods. Informal interviews and work samples were predominant ways of assessing skill levels of prospective employees. Training was usually informal, on-the-job and unstructured. Employees attended off-the-job training only when courses were free and such courses were usually provided by government institutions or major clients. Performance appraisal was rare, but when present it was typically informal and undocumented. Regarding retaining employees, owner-managers were intent on creating a harmonious, ‘family-like’ culture and providing work schedule flexibility. Factors such as labour market conditions, culture, labour law enforcement and the technology in use also contributed to the HRM investment decision and type of HRM adopted. Although the practices employed seemed informal, reactive and short-term oriented they could be justified as being congruent with the conditions and the characteristics of SMEs and were not necessarily ‘wrong’ or ‘inferior’. Keywords: HRM; SME; Indonesia


PARALLEL SESSION 4

Analysis on the Impact of Innovation Management toward Employee Engagement Mediated by Teamwork (Study Case

at One of Banking Company in Indonesia)

Fahrina Yuliani & Niken Ardiyanti Faculty of Economics and Business, Universitas Indonesia Email of corresponding author: [email protected]

This study aims to determine the impact of employee’s perception of Innovation Management toward Employee Engagement mediated by Teamwork in one of banking company in Indonesia. The respondents of this study were 106 permanent employees in that company. There are three sub variables of Innovation Management which being used in this study, that is Innovation System, Competitors and Technology and New Services. By using the causal steps developed by Baron & Kenny (1986) to determine mediated result, the result of this study performs that only two out of three sub variables from Innovation Management, that is Innovation System and Competitors and Technology that give impact toward Employee Engagement mediated by Teamwork. Both of the sub variables were partially mediating toward Employee Engagement. To conclude, this study revealed that Employee Engagement can be maintain by a good Innovation Management, which can be implemented through the role of Teamwork. Keywords: Innovation Management; Innovation System; Competitors and Technology; New Services; Teamwork; Employee Engagement


PARALLEL SESSION 4

The Impact of Owners’ Work-Life Balance, Motivation, and

Personality on the MSE’s Business Performance within Greater Jakarta Area

Usman Manor & Putri Mega Desiana



Balancing the time for work and other matters when operating a micro and small enterprises (MSE) is an important aspect to the owner. Additionally, the motivation and the personality of the owners in micro and small enterprises are also equally important. The research is about the influence of work-life balance, motivation, and personality on micro and small enterprises’ performance in Greater Jakarta area. This research involves 152 micro and small enterprise owners. Data analysis is conducted using SPSS 20.0 software. The purpose of the study is to find out the influence of work-life balance, motivation, and personality of the MSE owners to improve the business performance. The results of the study are work-life balance do not have an influence on MSE performance while motivation and personality do have influence. The number of respondents and time for research needs to be improved. Also, the entrepreneurial motivation with specific measurement tools should be used for future studies.

Keywords: Micro and Small Enterprises, Motivation, Performance, Personality, Work-Life Balance


PARALLEL SESSION 4

Working Condition and Quality of Life for Female Workers in

Garment Factories in Indonesia, Does It Ideal?

Aryana Satrya, Permata Wulandari, Muthia Pramesti, Sari Wahyuni, M.Zuhdi

Department of Management, Faculty of Economics and Business, Universitas Indonesia, Kampus Baru UI, Depok, Indonesia

Email of corresponding author: [email protected] Women are the dominant workers in garment industry in ASEAN region and worldwide. Notwithstanding the creation of jobs for women resulted by garment factories, workplaces employing women are often characterized by harsh working conditions. Their experience at the workplace affects their well-being, not only at work, but at home and as members of their households and communities. This research aimed to analyze how improvements in working conditions affect the lives of workers, especially women and their families. The research methodology used for this study is qualitative research, based on focus group discussion. It is conducted to several garment factories in Indonesia which are divided into factories which have previously joined better work programs in Indonesia (BWI factories) and factories which have not yet joined better work programs in Indonesia (Non-BWI factories). The analysis is classified into two dimensions: working conditions and individual context. The results show that working condition dimensions (compensation, giving birth, safety work, supervisor relationship, company’s rules, promotion) and individual dimensions (objective of working, future achievement’s and having more time at home) are better in the BWI factories compared to the non-BWI factories. Keywords: working condition, female labor, factory, garment industry


PARALLEL SESSION 4

The Importance of PMO Practices in Strategic Initiative

Implementation: An Empirical Study in Indonesian Banks

Mohammad Ichsan & Mohammad Hamsal Bina Nusantara University, 11530 Jakarta, Indonesia Email of corresponding author: [email protected]

In order to be competitive in the market, the business organizations are forced to formulate the strategy and implement it as strategic initiatives which are commonly managed in projects. This study examines how crucial project management office (PMO) practices to strategic initiative implementation which is measured in performance indicators of banks taken from years 2013-2015. An empirical research has been performed through a survey using questionnaires to assess the contribution of PMO practices in managing the strategic initiatives in Indonesian banks. A set of data from 82 top executives representing 82 banks (from total 119 banks) listed in Indonesian Financial Services Authority in 2015 has been collected. Using Partial Least Square-Structural Equation Models method with help of software SmartPLS 3.0, the variables strategic initiative implementation, project portfolio management capabilities and bank performance are analyzed and compared with moderating effect PMO practices. The results show that PMO practices moderate positively the result of the strategic initiatives implementation mediated by project portfolio management to bank performance. Keywords: project management office, dynamic capabilities, strategic initiatives, project portfolio management, bank performance, indonesian banks

PARALLEL SESSIONS 5

(ACCT, FIN)


PARALLEL SESSION 5 The Effect of Environmental Disclosure on Firm Value and Cost

of Equity

Ledi Okta Virtania 1 & Sylvia Veronica Siregar 2

1Faculty of Economics, Universitas Negeri Padang, 25132 Padang, Indonesia 2Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia

Email of corresponding author: [email protected] The purpose of this study is to determine whether there is significant impact of environmental disclosure on cost of equity. The samples of this study are non-financial companies listed on Indonesia Stock Exchange year 2013-2014. This study find, contrary to our expectation, that there is positive significant impact of environmental disclosure on cost of equity. This study also finds that there is different impact of different environmental disclosure type and nature on cost of equity. Soft type of environmental disclosure and the nature of positive disclosure have a positive impact on cost of equity.

Keywords: cost of equity; environmental disclosure; firm value


PARALLEL SESSION 5

The Effect of Family Ownership and Internal Control

Effectiveness on Audit Fee

Ida Ayu Marina Clara Widiastiti &Vera Diyanty Faculty of Economics and Business, Universitas Indonesia, Depok 16424, Indonesia

Email of corresponding author: [email protected] This study aims to investigate the influence of alignment effect and entrenchment effect of family ownership and internal control effectiveness on audit fee. This study use generalized least square (GLS) regression method. This study measure the level of internal control effectiveness by using internal control principles based on Internal Control Integrated Framework by COSO in 2013. The result of this study indicates that companies actually will pay significant lower audit fees because of alignment effect between controlling shareholders and company interest. This study also shows that a company which has separation of ownership and control will choose low-quality auditors to hide their expropriation. Besides that, this study also indicates that lower control risk in a company will turn to lower audit fees. This study implies the importance of audit fee disclosure which reflects inherent risk from alignment and entrenchment effect and also reflects control risk from internal control ineffectiveness.

Keywords: Audit Fee; Alignment Effect; Entrenchment Effect; Internal Control Effectiveness


PARALLEL SESSION 5

Ownership Structure and Company’s Risk-Taking Behaviour

Sekar Langit & Desi Adhariani

Department of Accounting, Faculty of Economics and Business, Universitas Indonesia, 16451, Indonesia


This study aims to determine the effect of ownership structure on risk-taking behaviour of the companies listed on the Indonesia Stock Exchange in the period 2013 to 2015 with a total of 390 firm observations. Companies’ risk-taking is measured using income volatility for five years. There are two types of corporate ownership structures investigated in this study: family ownership and foreign ownership. By using fixed effect panel regression, the results showed that both ownership structures have significant negative effect on the company's risk taking behaviour which imply that family and foreign ownership can function effectively to mitigate excessive risk taking behaviour in a company. Keywords: risk taking, ownership structure, family ownership, foreign ownership


PARALLEL SESSION 5

The Effect of Decentralization, Task Uncertainty and

Environment Uncertainty On The Managerial Performance: Management Accounting System Dimensions As Mediation

Variables

Alfriadi Dwi Atmoko & Dody Hapsoro STIE YKPN, 55281, Daerah Istimewa Yogyakarta

Email of corresponding author: [email protected] This study aims to empirically examine the effect of decentralization, task uncertainty and environment uncertainty on managerial performance with Management Accounting System (MAS) dimensions that consist of broad scope, timeliness, aggregation and integration as mediating variables. This study was conducted on a variety of business sectors in Yogyakarta, Indonesia. The respondents selected for this study were low, middle and top level managers of companies in various business sectors. The research sample consisted of 125 managers. The hypothesis in this study was tested with a regression-path analysis with an analytical method of the Partial Least Square following the pattern of the Structural Equation Modeling with WarpPLS application 5.0. The results of this study show that decentralization, task uncertainty and environment uncertainty have positive effects on managerial performance mediated by four MAS dimensions that consist of broad scope, timeliness, aggregation and integration. However, task uncertainty has a negative effect on the dimension of broad scope. In other words, the broad scope dimension cannot mediate the effect of task uncertainty on managerial performance. Keywords: Contingency Theory, Decentralization, Task Uncertainty, Environment Uncertainty, Management Accounting System and Managerial Performance


PARALLEL SESSION 5

IFRS, Accounting Information Quality, and Market Discipline:

Evidence from Indonesian Banks

Viska Anggraita 1, Hilda Rossieta 1*, Ratna Wardhani 1 & Buddi Wibowo 2

1 Department of Accounting, Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok 16424, Indonesia

2 Department of Management, Faculty of Economics and Business, Universitas Indonesia, Kampus UI Depok 16424, Indonesia

Email of corresponding author: [email protected] In 2010 the international accounting standards (IFRS) of financial instruments were implemented in banking sector in Indonesia. The implementation of this IFRS has a major impact on risk transparency in Indonesian banking. This study examines the impact of financial instruments international accounting standard implementation on market discipline in Indonesian banking. Using 2007-2013 data the results show an increase in market discipline after the implementation of financial instruments international accounting standard. The quality of loan loss provision information and the disclosure of financial instruments based on IFRS in financial statements proved to increase market discipline in Indonesia banking sector. The transparency of risk information in the financial statements increases the ability of bank stakeholders to perform the monitoring function which enabled effective market discipline. Keywords: Market discipline; IFRS; financial instruments disclosures; accounting information quality; bank risk taking


PARALLEL SESSION 5

The Effect of the Working Cabinet Reshuffle Volume II on Abnormal Return and Abnormal Trading Volume Activity of

the Companies Listed In Jakarta Islamic Index (JII)

Fatin Fadhilah Hasib, Dewi Nuraini Rahmi Azasi, Nisful Laila, Achsania Hendratmi & Puji Sucia Sukmaningrum

Faculty of Economics and Business, Universitas Airlangga, Surabaya, Indonesia Email of corresponding author: [email protected]

This study aims to examine the differences of reaction in the Jakarta Islamic Index (JII) before and after the announcement of the Working Cabinet reshuffle Volume II on July 27 2016. The study period was 21 days which consists of 10 days before the event and 10 days after the event. The method used in this study is event study with market adjusted model method that observes the market's reaction to the information of an announcement or publicity events. The results of the study show that there is a reaction at the abnormal return and abnormal trading before and after the announcement of the cabinet reshuffle which is the value of significance, so it can be concluded that the capital market is efficient with a weak form. Keywords: event study; reshuffle; abnormal return; abnormal trading volume activity

PARALLEL SESSION 5

(FIN)


PARALLEL SESSION 5 Identifying Systemically Important Bank in Indonesia: CoVar

Approach

Nugroho Agung Wijoyo, Irwan Adi Ekaputra & Buddi Wibowo Fsculty of Economics and Business, Universitas Indonesia, Depok, Indonesia

Email of corresponding author: [email protected] This study attempts to identify systemically important bank in Indonesia by utilizing Conditional Value-at-Risk (CoVaR) approach (Adrian and Brunnermeier, 2016). Based on all commercial banks data during 2002-2014, we conduct three-steps measurement as follows. Firstly, we use Merton model to gauge the commercial banks probability of default. Secondly, we quantify the value at risk of each bank including its contribution to the whole banking systemic risk. Finally, we measure financial linkage among banks and the individual bank value at risk contribution, given other banks value at risk (ΔCoVaR A|B). Applying (ΔCoVaR A|B) threshold of 20 percent, we find 12 Indonesian banks out of 119 all commercial banks as systemically important banks. Keywords: Systemic Risk, Probability of Default, CoVaR, Financial Linkage, Systemically Important Bank


PARALLEL SESSION 5 Oil Price Volatility between Oil Volatility Index And Realized

Variance To Asean-5 Stock Return Using DCC-GARCH

Edbert Surya & Sigit S. Wibowo

Department of Management, Faculty of Economics and Business, Universitas Indonesia, 16424 Depok, Indonesia

This paper investigates the dynamic correlation between oil volatility and five ASEAN stock markets using DCC-GARCH approach. We use OVX (CBOE crude oil volatility index) and Realized Variance (RV) derived from WTI prices to examine optimal oil volatility measures between these proxies. Our aim is to examine OVX index as an oil price volatility indicator for emerging countries. The findings show that both proxies have negative correlation to these stock markets between 2007 and 2017. Furthermore, the finding suggests that RV still provides better measures compare to OVX for ASEAN-5 stock markets. Keywords: Oil volatility, ASEAN-5, DCC-GARCH, Crude Oil Volatility Index


PARALLEL SESSION 5

Foreign Portfolio Investment Flows and Exchange Rate: Indonesia evidence

Dyah Anggitawati & Irwan Adi Ekaputra


Using daily foreign transactions data in stock and bond markets, this study investigates the daily dynamics of IDR/USD exchange rate and foreign portfolio investment flows. Based on unrestricted VAR model, we find feedback relations between Net Foreign Investment (NFI) flows and IDR/USD return in the bond market, while we only find IDR/USD return leads NFI flows in the stock market. The results suggest that foreign investor tend to rebalance their international portfolio and chase higher return in the Indonesian bond market, and not in the stock market. Additionally, the result suggests that foreign investors tend to invest in the bond market before they invest in the stock market (NFI to the bond market leads NFI to the stock market). Hence, through its influence on the exchange rate, foreign participation in the bond market seems to play a more important role in the Indonesian economy than its participation in the stock market. Keywords: Exchange rate; Granger causality; Investment flow; Portfolio


PARALLEL SESSION 5

The Analysis of Herding Behavior in Indonesia and

Singapore Stock Market

Aditya Andika Putra, Eko Rizkianto & Dony Abdul Chalid


This research aims to examine the presence of herding behavior in Indonesia and Singapore stock markets. Using CCK method and daily data of the stock population in both country’s stock markets on the period of 1996-2015, this research finds the evidence of herding behavior in Indonesia and Singapore. Moreover, this research finds that herding behavior in Indonesia is stronger than herding behavior in Singapore. However, this study was unable to find evidence of whether there are herding spillovers from Indonesia stock market to Singapore, vice versa. Keywords: Herding Behavior, International Financial Market, Financial Crisis


PARALLEL SESSION 5

Profit-Loss Sharing Financing and Islamic Bank Earnings

Volatility

Titi Dewi Warninda 1, Irwan Adi Ekaputra 2 & Rofikoh Rokhim 2 1State Islamic University (UIN)Syarif Hidayatullah Jakarta

2Faculty of Economics and Business, Universitas Indonesia Email of corresponding author: [email protected]

Profit-loss sharing (PLS) financing, which comprises Mudarabah and Musharakah, should be the main form of financing offered by Islamic banks. However, based on data from 63 Islamic banks in the Middle East, South Asia, and Southeast Asia, we find that the proportion of PLS financing is still very low compared to debt-like financing. Moreover, we find that only Musharakah financing displays significant linear and curvilinear (inverse U-shape) impact on the volatility of Islamic banks’ earnings. Our empirical estimates suggest that the maximum level of earnings volatility is achieved when Musharakah financing makes up around 26 percent of the total financing. Increasing Musharakah financing beyond 26 percent may instigate more efficient customer selection and monitoring that leads to lower earnings volatility. Keywords: Mudarabah, Musharakah, Profit-loss sharing financing, Islamic bank, Earnings volatility


PARALLEL SESSION 5

Determinants of Financial Performance of State-Owned Enterprises with Government Subsidy as Moderator

Aminullah Assagaf 1 &Etty Murwaningsari 2

1Faculty of Economics and Business, DR. Soetomo University, Surabaya, Indonesia 2Faculty of Economics and Business, Trisakti University, Jakarta, Indonesia

Email of corresponding author: [email protected] The purpose of this research is intended to study the factors that affect the financial performance of state-owned enterprises. In this study used purposive sampling method seven state-owned enterprises with observations during the last eleven years. In the data analysis, this study uses linear regression model and its management using SPSS software Amos 23. The results of this study found that the government subsidy variable and significant negative effect on the financial performance of the alpha 0.01, which means that the state-owned enterprises is difficult to manage the company as a independently if the subsidy program and the additional capital the government continues to do every year. Regression calculation results also found that strategic profitability and significant positive effect on alpha 0.10 to financial performance, which means that the company’s management is still likely to perform earnings management practices to affect the company’s financial performance. Capital structure variables showed a positive effect and no significant effect on financial performance for the investment decisions state-owned enterprises financed with debt tend not financially feasible so it does not affect financial performance. Payed on the investment decision is a low economical feasibility of using the size of externalities or social benefit is greater than the social cost. Government subsidy used as independent variables and as a moderator variable, the study found that government subsidy strengthen relationships variable capital structure with financial performance, because the government subsidy strengthen the link between debt with financial performance, because the government encouraged state-owned enterprises to seek a loan to reduce the burden of government subsidies or additional capital. Keywords: financial performance; strategic profitability; financial indicators; capital structure

PARALLEL SESSION 5

(MKT)


PARALLEL SESSION 5 A Comparison between the Application of Brand Functional

Value and Brand Experiential Value toward Consumer Evaluation on Local – Foreign Branding:

An Experimental Study

Asysyifa Azzahra & Tengku Ezni Balqiah

Faculty of Economics and Business, Universitas Indonesia, Indonesia Email of corresponding author: [email protected]

In today’s local products’ growing number in Indonesia, as well as the increasing number of media types to market these products, it is important for local businessperson or organization to understand the strategy in managing their brands in order to compete with local and foreign brands. This study discusses the comparison between the application of brand functional value and brand experiential value toward consumer evaluation in the context of local branding and foreign branding strategy. Consumer evaluation is represented by perceived quality, attitude toward the brand, purchase intention, and word of mouth. The research method used is experimental research with 2x2 factorial design using fictitious brand as test object. The finding shows that there are differences in value application effect toward consumer evaluation in local and foreign branding context. The combination of foreign branding strategy and experiential value produces the highest perceived quality, attitude toward the brand, and purchase intention, while the combination of foreign branding strategy and functional value yields the highest word of mouth. Keywords: Brand; Functional Value; Experiential Value; Local Branding; Foreign Branding; Perceived Quality; Attitude Toward the Brand; Purchase Intention; Word Of Mouth


PARALLEL SESSION 5

The Effects of Green Brand Positioning, Green Brand Knowledge, and Attitude towards Green Brand on Green

Products Purchase Intention

Lendy Aulina & Elevita Yuliati

Faculty of Economics and Business, Universitas Indonesia, Kampus Baru UI, Depok 16424, Indonesia

Email of corresponding author: [email protected] This research is based on Huang, Yang and Wang (2014), and aim to analyse the influence of green brand positioning, green brand knowledge, and attitude towards green brand to green purchase intention. While Huang, Yang and Wang focused on green cars purchase intention, this research focuses on personal care and cosmetics products. The object of this research is The Body Shop, a brand widely known for its green activities. The 347 respondents were consumers who have never bought The Body Shop previously and lived in Jakarta and greater area (Jabodetabek). The data was analysed with Structural Equation Modeling, using LISREL 8.51 statistical software. The results showed that green brand positioning, while does not influence attitude toward green brand, has positive effects on green brand knowledge. Green brand knowledge positively influences attitude toward green brand, and finally, attitude toward green brand positively influence green purchase intention. Keywords: green brand; green product; brand positioning; brand knowledge; brand attitude; purchase intention


PARALLEL SESSION 5

Entrepreneurial Proclivity on Performance: The Role of Market

and Technology Turbulence As A Moderator

Yunia Wardi 1, Perengki Susanto 2, Abror Abror 1 & Nor Liza Abdullah 3

1Faculty of Economics, Universitas Negeri Padang, Padang, Indonesia 2Graduate School of Business, Universiti Kebangsaan Malaysia, Malaysia

3School of Business Management, Universiti Kebangsaan Malaysia, Malaysia Email of corresponding author: [email protected]

Entrepreneurial proclivity is an interesting topic in business, especially for SME’s business management process. This study aims to investigate the impact of the entrepreneurial proclivity on business performance by using market and technology turbulence as a moderator. Firstly, this study investigated the effect of entrepreneurial proclivity (i.e., innovativeness, proactiveness, and risk-taking) on SMEs performance. Secondly, this research also examined the moderating effect of market and technology turbulence on the entrepreneurial proclivity-SME’s performance relationship. By conducting a survey, this study collected the data from 400 managers or owners of SME’s in West Sumatera. Moreover, with Moderated Regression Analysis (MRA) as the analysis tool, the findings revealed that entrepreneurial proclivity dimensions, which consist of innovativeness, proactiveness, and risk-taking, have a significant effect on SME’s performance in West Sumatera. However, this study found that the market and technology turbulence has no significant moderating effect on the relationship between entrepreneurial orientation and SMEs performance. This study gives contribution to entrepreneurship literature, especially on the relationship between entrepreneurial proclivity and business performance and it has some managerial implications. However, there are some limitations of the study, also future research are discussed. Keywords: Entrepreneurial proclivity; Performance; Innovativeness; Proactiveness; Risk-taking


PARALLEL SESSION 5

The Antecedents of Donation Intention in the Islamic Philanthropy Organization: The Role of Social Media

Syahrina Mazaya, Sri Rahayu Hijrah Hati&Fitrasyah Nurmulya

Management Department, Faculty of Economics and Business, Universitas Indonesia, 16411, Depok, Indonesia


The purpose of this research is to examine how user interactions and word of mouth on the Islamic philanthropy social media affect the conception of brands and influence their social media followers’ donation intention. The research was conducted in one of the largest Islamic Philanthropy Organization in Indonesia. According to the online survey to 200 social media followers, it is found that that annoyance with the page due to information overload leads to negative effects on social media page commitment and decreased word of mouth activities. In regards with donation intention, the study found that brand page commitment becomes the only variable which significantly influences donation intention. Annoyance, word of mouth and brand awareness do not significantly influence donation intention. The results of this study are expected to make a contribution to the understanding of the potential of social media campaigns in a non-profit organization. Keywords: Donation intention; annoyance; brand page commitment; word of mouth; brand awareness; Islamic philanthropy.


PARALLEL SESSION 5

Impact of Green Accounting and Green Culture to Green

Reputations of Hotel in Indonesia

I Putu Astawa 1,Parulian Silaen 2 &Tjokorda Gde Raka Sukawati 3

1 State Polytechnic of Bali, Badung 80361, Indonesia 2University of Wollongong, University of Wollongong, Sydney, Australia

3 Udayana University, Badung 80361, Indonesia Email of corresponding author: [email protected]

This research studies issues about green hotel in perspective green accounting consisting of three aspects, they are environmental awareness, environmental involvement, and environmental reporting (Jahamani , 2003) and green culture (culture of Tri Hita Karana) i.e. harmony with the God, harmony with human being, and harmony to the natural environment. The research used purposive sampling with indonesi that the hotels should follow the competition of Tri Hita Karana awards undertaken by Wisnu foundation in 2016. The number of hotel following the competition was one hundred twenty-four and of the number, only one hundred hotels were committed to filling in the questionnaires. The data collected was analyzed by using partial least square method. As the result, environmental awareness, environmental involvement, and environmental reporting had contributed to the creation green-reputed hotel. In addition, green culture run at the hotel was able to influence reputation of the hotel in the consumers’ perspective. Consumers chose to believe hotels which are aware of the environment. This study gave an implication on legitimacy theory (Deegan, 2004) that green accounting and green culture got an acknowledgment of the community and gave better impact on the company value in accordance with signaling theory (Besley and Brigham, 2008). The consciousness of keeping a harmony with the god, mankind, and nature strengthen hotel position in the heart of consumers so as to give impact on the sustainability of hotel in Indonesia. Keywords: green accounting, green culture, green reputation


PARALLEL SESSION 5

The Antecedents of Muslimas Attitudes and Purchase Intention from an Online Fashion Store with Islamic Positioning

Salma Amelia Dina, Sri Rahayu Hijrah Hati & Sri Daryanti

Department of Management, Faculty of Economics and Business, Universitas Indonesia, 16411, Depok, Indonesia

Email of corresponding author: [email protected] This study aims to investigate the causal effects of website service quality on navigation experiences, the attitude and purchase intention of the Muslimas in online specialty store with Islamic positioning. Website service quality consists of transaction-related services and pre-purchase services. Data obtained from 318 respondents’ aged at least 17-year-old. Data analysis was performed by descriptive analysis and partial least squares. The results indicate that both transaction-related services and pre-purchase services significantly influence navigation experience which in turn influence Muslim women customer attitude and purchase intention in Islamic online specialty store. Keywords: purchase intention, transaction, pre-purchase, fashion, e-commerce, Islamic

AUTHOR’S INDEX


Abdillah Arif Nasution 14, 23 Abror Abror 144 Achmad Fadloli 29 Achsania Hendratmi 133 Adhyati Pritakinari 30 Adi Zakaria Afiff 44, 45,

106 Aditya Andika Putra 138 Agung Nugroho 14, 32 Agung Wahyu Handaru 15, 64 Alan Coetzer 122 Alfriadi Dwi Atmoko 131 Ali Sakti 17, 117 Ambang Aries Yudanto 16, 104 Ambar Sari Dewi 16, 80 Aminullah Assagaf 18, 140 Amor Marundha 17, 111 Ananda Yulius 88 Andang Fazri 16, 17,

106 Andreas Pardyanto 16, 17, 96 Angelica Fadya Noventi 15, 56 Annisa Halimah Imron 83 Annisa Putri Lestari Merdekawati 71 Anton Wachidin Widjaja 15, 36, 63,

66 Antonius Siahaan 17, 116 Anya Safira 14, 46,

107 Arif Ario Suryo Hendara Sentanu 62 Aryana Satrya 15, 125 Asep Kamaluddin 35 Asysyifa Azzahra 142 Athor Subroto 14, 42 Avanti Fontana 96 Banu M. Haidlir 50 Benny Ranti 105 Boto Simatupang 81 Buddi Wibowo 116, 132,

135 Budi Indrawati 15, 66 Budi W. Soetjipto 17, 33, 34 Catharina B. Nawangpalupi 40 Chablullah Wibisono 15, 68 Chengzhang Wang 48 Christina Lipuringtyas Rudatin 15, 77 Cindy Suwandhi 15, 75 Corina D. Riantoputra 69, 70

Cynthia Afriani 28 Damsar 16, 95 Daniel Tumpal H. Aruan 14, 47 Desi Adhariani 17, 18,

112, 114, 130

Dewi Nuraini Rahmi Azasi 133 Dewi Sartika 90 Doddy Setiawan 14, 22 Dodik Siswantoro 17, 113 Dody Hapsoro 18, 131 Dofa Purnomo 14, 17, 34 Dony Abdul Chalid 4, 14, 15,

17, 18, 29, 52, 138

Dwi Nastiti Danarsari 15, 16, 17, 56, 87

Dyah Anggitawati 18, 137 Edbert Surya 136 Eko Rizkianto 18, 138 Elevita Yuliati 18, 143 Elok Savitri Pusparini 14, 33 Endang Sri Rahayu 22 Erfan Fiddin 14, 38 Erni Masdupi 16, 88 Estu Widarwati 16, 90 Etty Murwaningsari 18, 140 Eva Herianti 17, 111 Fadhil Akbar Purnama 14, 46 Fahrina Yuliani 17, 123 Fajar Ayu Pinagara 4, 15, 65 Fanny Martdianty 17, 122 Fatin Fadhilah Hasib 133 Firmanzah 4, 94 Fitrasyah Nurmulya 145 Fitria Astuti Firman 16, 17, 84 Fitriany 14, 20 Gandhi Pawitan 14, 40 Ganesha Bayu Murti 17, 118 Gita Gayatri 14, 15, 78,

107 Gracia Naomi Hanaka 32 Hafiz Mahmud Ahmad 114 Hally Hanafiah 15, 17, 63 Hardius Usman 16, 108 Hari Puspo Nur Cahyono 38 Harris Turino Kurniawan 84 Hasan Ashari 119


Hasdi Aimon 14, 39 Hilda Rossieta 14, 21, 24,

132 Husnah 41 I Gede Agus Ariutama 104 I Putu Astawa 18, 146 Ida Ayu Marina Clara Widiastiti 18, 129 Ika Novaria 16, 89 Ikhsan Siregar 23 Ilman Irianto 15, 70 Imbuh Sulistyarini 72 Indiana Ngenget 15, 74 Indrayani 16, 95 Ine Minara Ruky 84 Intan Silvia Dale 70 Irwan Adi Ekaputra 16, 17, 18,

135, 137, 139

Isye Nur Isyroh 15, 60 Jesi Rizky Anindya 112 Jessica Dharmaputra 47 Jos Luhukay 105 Kim Shyan Fam 46 Kresnohadi Ariyoto Karnen 93 Krist Ade Sudiyono 16, 81 Kusumajanti 35 Ledi Okta Virtania 128 Lendy Aulina 143 Lily Sudhartio 16, 33 Liyu Adhi Kasari Sulung 52, 119 M. Amin 50 M. Budi Prasetyo 51, 101 M. Zainul Wathani 16, 108 M.Zuhdi 125 Mahmudah Fatluchi 14, 26 Maria Widyarini 40 Marsellisa Nindito 64 Maslina W. Hutasuhut 74 Maulidia Amri 16, 98 Mazila Md-Yusuf 14, 27 Meliza Zafrizal 15, 53 Melti Roza Adry 39 Minsani Mariani 16, 17, 94 Missiliana Riasnugrahani 15, 69 Mohamad Soleh Nurzaman 98 Mohammad Hamsal 81, 126 Mohammad Ichsan 17, 126 Monica Devina 15, 71

Muhammad Arif Akbar 120 Muhammad Irfan Syaebani 71 Muhammad Miqdad Robbani 17, 52,

119 Muhammad Ridha Jihad 110 Muhammad Ridzki 20 Muthia Pramesti 16, 17, 83,

125 Muzdalifah 52 Nabila Ismail 16, 102 Ni Putu Eka Widiastuti 14, 35 Niken Ardiyanti 123 Nisful Laila 18, 133 Nor Liza Abdullah 144 Nugroho Agung Wijoyo 17, 18,

135 Nurdin Sobari 16, 108 Nurul Huda 98 Okder Pendrian 16, 17, 93 Parulian Silaen 146 Pattanee Susomrith 122 Perengki Susanto 144 Permata Wulandari 125 Pratiwi Noviayanti 15, 59 Primatazya Putri 21 Puji Sucia Sukmaningrum 133 Putri Mega Desiana 4, 124 Rachmat Rinaldi 51 Rahmansyah Panggabean 23 Rahmatina A. Kasri 50 Raihan Mahendra 16, 101 Rambat Lupiyoadi 107 Rasidah Mohd Said 53 Ratih Dyah Kusumastuti 4, 84, 93 Ratna Wardhani 132 Reifa Qisthi Mitsaliyandito 16, 99 Rhenald Kasali 34, 36 Riani Rachmawati 33, 93 Rida Rahim 14, 28 Rifelly Dewi Astuti 15, 44 Roby Syaiful Ubed 16, 104 Rofikoh Rokhim 15, 26, 28,

87, 118, 139

Rosyeni Rasyid 15, 57 Ruslan Prijadi 16, 18, 82 Saisomphorn Larhsoukanh 14, 48 Salma Amelia Dina 147


Salsa Andiani 76 Sandra Dewi 14, 17, 36 Sari Wahyuni 4, 14, 15,

62, 83, 94, 125

Sekar Langit 130 Sigit S. Wibowo 14, 15, 17,

18, 54, 136

Sirinna Khamtanet 65 Siti Yasmina Zubaedah 16, 105 Sitti Halima 78 Sofjan Assauri 45, 77 Sri Daryanti 18, 147 Sri Rahayu Hijrah Hati 16, 107,

145, 147 Syahrina Mazaya 18, 145 Sylvia Veronica Siregar 18, 128 Tammy Zagita 24 Tengku Ezni Balqiah 4, 17, 18,

34, 36, 44, 75, 77, 94, 106, 142

Tetty Rimenda 14, 45 Tika Arundina 99, 102 Tirta Mursitama 81

Titi Dewi Warninda 17, 139 Tjokorda Gde Raka Sukawati 146 Triyono Arief Wahyudi 92 Uliyatun Nikmah 15, 72 Usman Arief 16, 86 Usman Manor 17, 124 Valentinus R. Sofyan 82 Vera Diyanty 17, 110,

129 Viska Anggraita 132 Viverita 14, 30, 87,

89, 117, 118

Wahyuningsih 14, 16, 18, 41

Widhi Setya Wahyudhi 42 Winda F.K. Pratiwi 54 Yeshika Alversia 14, 76 Yosman Bustaman 120 Yunia Wardi 144 Yunita Astanti Ulinnuha 58 Zaafri A. Husodo 15, 16, 17,

58, 59, 60, 86, 117

Zaenal Arifin 16, 100 Zahrin Haznina Qalby 14, 38 Zul Azhar 14, 39

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