Open AccessProductivity Evaluation Through American Productivity Center Approach at PT Sejahtera Furnindo
Author(s) -
Ahmudi,
Manik Mahachandra,
Naniek Utami Handayani
Publication year - 2019
Publication title -
iop conference series. materials science and engineering
Language(s) - English
Resource type - Journals
eISSN - 1757-899X
pISSN - 1757-8981
DOI - 10.1088/1757-899x/598/1/012074
Subject(s) - productivity , profitability index , profit (economics) , business , industrial organization , total factor productivity , gross profit , agricultural economics , operations management , economics , finance , economic growth , microeconomics
PT Sejahtera Furnindo, a well-established export furniture company in Central Java, currently only considering the profit level to study its performance. With this approach, company usually pays only a little attention to its resources usage efficiency, that makes it requires a large cost to carry out company activities. For finding a more comprehensive approach, this research offers an evaluation of company productivity measurement using American Productivity Approach (APC). Results of this study showed that total factor productivity during the measurement periods indicate a positive growth level. This illustrates its success in managing labor input and collective capital owned. However, the total productivity revealed a changing level of growth, which illustrated that company had not been able to manage the overall input successfully during the measurement periods. Efforts are needed to increase the profitability for the coming period, along with efforts to increase productivity that focus on increasing material productivity and capital productivity as input factors that were also significantly influenced its profitability.