American Research Journal of Business and Management

1*DARYL D. GREEN, 2 JACK T. McCANN

Due to numerous problems in higher education, universities are struggling for sustainable answers. Higher education is undergoing tremendous changes. Disruptive change has a dangerous consequence to traditional institutions. The results of disruptive change for organizations produces unpredictability and uncertainty of outcomes in the environments. This article examines a new faculty model that includes an entrepreneurial mindset to stimulate innovation and creativity in the constant, changing environment in higher education. In analyzing the current crises in higher education, this paper describes a set of strategic implications that will aid faculty wishing to create sustainability education programs. The result of this investigation is significant because the results can better assist administrators, faculty and practitioners on how to inject innovative thinking in order to produce sustainability education for small liberal arts colleges and universities

1Dr. Manodip Ray Chaudhuri, 2Mr. Parth Mehra

Training is an important part of an organization and no one can think of development without it. By training, there is an attitudinal change in the employee, that leads to positive thinking, a sense of devotion to organizational and also by the help of technical and behavioural training the person in the organization can be aware of the latest developments and know how to come up with the best output with minimum investment and minimum labour waste. Every organization should have well trained and experienced employees to perform the activities in their day to day operations. Human Resources Management regards training as the blood stream of any organization because the success of an organisation highly depends on its workforce. For this reason, organizations should invest in employees training, which in an effort to enhance the performance of the employees which directly affect the performance of the organization. Nonetheless, some organizations regard training as unnecessary expenditure and always cut budgets in an effort to improve their financial standing to the detriment of their employee’s welfare, because of this action it is difficult for the staff to adapt to the ever-changing working environment and uncertain conditions with rapid technological innovation and organizational change. Trained employees contribute to the efficiency, growth, increased productivity and market reputation of an enterprise. Organizations need to realize that and train and manage the human resource for a sustainable growth in the present uncertain environment. Past research on training and development programmes indicate that appropriate training delivery is a crucial decision, the trainers have to yield optimum result. This is realized by industrial, commercial, research establishments and also by government institutions. In this paper, we have discussed about the training and development in the banking sector for both the private as well as public sector banks in India. HDFC Bank and ICICI Bank in the private spectrum and State Bank of India and Punjab National Bank in the public spectrum have been considered in this study. Discussion is illustrated and exemplified on how training and development initiatives are having a significant bearing on the performance of the employees, which in-turn are directly impacting the overall performance of an organization.

Sofia Maulida, Farida Jasfar, M. Zilal Hamzah

The purpose of this study was to determine the determinants of tourist satisfaction and trust and their impact on revisit intention in Recreational Parks in DKI Jakarta. This research was conducted in four recreational parks, namely Taman Impian Jaya Ancol, Taman Mini Indonesia Indah, Ragunan Wildlife Park and National Monument, with a sample of 498 respondents. The research method used is quantitative descriptive with data analysis techniques using SEM PLS with statistical tools Warppls 5.0 to test hypotheses. This study results that partially brand image variables, tourist perceptions and service quality affect tourist satisfaction. Furthermore, partially, brand image variables, tourist perceptions and service quality also affect tourist trust. Variable satisfaction and trust of tourists partially affect revisit intention. The magnitude of the effect of brand image variables, tourist perceptions, service quality together to tourist satisfaction by 36.4% and to tourist confidence by 46%. Tourist satisfaction and trust contributed 35.4% to revisit intention. This study provides theoretical implications in the form of a revisit intention model that all variables support the results of the study and managerial implications of this study for managers of recreational parks in order to integrate accessibility with accommodation and with admission to tourist attractions. This research is only limited to recreational parks in DKI Jakarta which are carried out in 4 recreational parks that have the largest tourists.

Amirul Wicaksono, Itjang D. Gunawan, Zulkifli Husin

Banks have an exclusive intermediary responsibility in maintaining sustainable development and have a demanding position related to digital technology development that requires banks to make adjustments. Technological innovations in financial services (FinTech) are overgrowing at this time. Referring to that, this research intends to examine more deeply the effect of information technology capabilities, business innovation, digital disruption and digital disruption reactions on sustainable banking performance. The object of the research was 54 banks that were categorized as Book I to Book IV Banks based on the decision of the Financial Services Authority (OJK). The sample used was 205 respondents who served as Chief Executive Officer (CEO)/ Chief Financial Officer (CFO) / Chief Technology Officer (CTO) / General Manager / Manager / Vice President. Purposive sampling used to determine the sample and Structural Equation Model (SEM) used for the analytical method. This study indicates that the direct effects of information technology capability and digital disruption reactions have a positive and significant effect on sustainable banking performance, and digital disruption has a positive and significant effect on digital disruption reactions. Only banking business innovation is having no significant effect on sustainable banking performance. While the indirect effect of digital disruption on sustainable banking performance mediated by the reaction to digital disruption shows positive and significant results. The ability of qualified information technology supported by digital capabilities and investment in human capital through development with training and dissemination of digital product/service development will encourage higher banking performance. Whereas business innovations that did not significantly effect bank performance, banks must synergize and collaborate with digital service providers outside the bank. Also, digital disruption has a positive effect on digital disruption reaction so that banks are expected to quickly and appropriately integrate digital disruption into the corporate strategy in the form of RBB (Bank Business Plan) because this will positively effect sustainable banking performance. The limited research related to digital reaction makes this research as one of the essential studies for banks so that banking management can blend in the banking strategy so that the banking business system so that bank financial technology can continue to make adjustments to information technology so that it makes banking performance sustainable and competitive.

Ellyana Amran, Willy Arafah 

The purpose of this study was to analyze the effect of Ethics Business, Motivation Entrepreneurship on Business Performance and indirect effect of Ethics Business on Business Performance with Motivation Entrepreneurship as a mediating variable of Muslim Women Entrepreneurs in Islamic Perspective in Jakarta. The research method used is a quantitative method. Research respondents are IWAPI Muslim Women entrepreneurs in Jakarta with a sample size of 354 Muslim women entrepreneurs. The sample is non-probability sampling by using purposive sampling. Data is collected using questionnaires and methods analyzed by using Structural Equation Model (SEM). The results showed that there was an effect of Islamic Ethics Business on Islamic Business Performance; there is a positive effect of Islamic Ethics Business on Islamic Motivation Entrepreneurship, and there is a positive effect of Islamic Motivation Entrepreneurship on Islamic Business Performance. Furthermore, there is no effect Islamic Ethics Business on Islamic Business Performance through Islamic Motivation Entrepreneurship as mediation.

Andre M. Hartawan, Yuswar Z. Basri, Willy Arafah

As Board of Commissioner (BoC) is one of the most important internal corporate governance mechanisms used by the shareholders to monitor management, this study endeavors to develop and test a conceptual model to enable the BoC to function as the Bank’s strategic resources, addressing agency dynamics in agency theory perspective which eventually will lead to sustainable competitive advantage in the Indonesian Banking Industry. The study focuses on the perceived knowledge of the Indonesian Bank’s current BoC members where data were collected through questionnaire with Structural Equation Modeling (SEM) analysis. The sampling technique is purposive sampling method collected from 97 Commissioners in Indonesian Banks within category 1 to 3. The research reveals following findings: (i) The effect of Board Member Attributes on BoC performance in Resource-Based View (RBV) is positive and significant (ii) The effect of Board Attributes on BoC performance in RBV is positive and significant (iii) The effect of Information Access and Disclosure on BoC performance in RBV is positive and significant (iv) The effect of Information Access and Disclosure on Sustainable Competitive Advantage is positive and significant (v) The effect of BoC in RBV on Sustainable Competitive Advantage is positive and significant (vi) The effect of BoC in RBV on Agency Dynamics is positive and significant (vii) The effect of the Agency Dynamics on Sustainable Competitive Advantage is insignificant and negative (viii) The mediating effect of BoC in RBV can increase the effect of Information Access and Disclosure on Agency Dynamics mitigation (ix) The mediating effect of BoC in RBV can increase the effect of Information Access and Disclosure on Sustainable Competitive Advantage (x) The mediating effect of BoC in RBV can increase the effect of Board Member Attributes on Sustainable Competitive Advantage (xi) The mediating effect of BoC in RBV can increase the effect of Board Attributes on Sustainable Competitive Advantage. Based on empirical findings obtained in this research, the managerial implications of this research can be used as input for Indonesian Bank’s relevant stakeholders to improve the quality of Board Member Attributes, Board Attributes, Information Access and Disclosure, in optimizing strategic role BoC in RBV, in mitigating Agency Dynamics towards achieving the Bank’s Sustainable Competitive Advantage.

Agus Hari Survijanto, Farida Jasfar, Hamdy Hady

The research objective is to identify and analyze the factors of Confirmation, Perceived Value and Customer Satisfaction of Trust, as well as the influence of Trust and other factors on Continuance usage intention, and create a model that conceptualizes these influences on Continuance Usage Intention The method used in this study is a quantitative descriptive method that was built using a questionnaire and analyzed using Structural Equation Modelling (SEM) fund analysis techniques based on an evaluation of the interdependence relationship between variables assisted by LISREL software 8.80. The results showed that the use of electronic money for the transportation industry in Jakarta needs help through increasing the Continuance usage of the intention of users of electronic money services. Continuance usage intention is conceptualized in a proposed model that modified from Expectation-Confirmation Model (ECM) by adding Perceived value dan Trust variables, that involves the role of Confirmation, Perceived value and Customer satisfaction of Trust and its implications for the Continuance usage intention electronic money users in land transportation service users in Jakarta. The results of this study found that (1) The factors that influence Trust of electronic money users in land transportation service users in Jakarta are Confirmation, Perceived value, and Customer satisfaction. (2) Trust has not been proven to affect Continuance usage intention, but Perceived value and customer satisfaction have been proven to influence Continuance usage intention. Perceived value and Customer satisfaction are proven to mediate the influence of Confirmation for the Continuance usage intention. (3) The Perceived value is proven to be the most influential factor towards the Continuance usage intention, and the dimension that most influences the Perceived value is the Perceived emotional value. (4) Perceived value and Customer satisfaction are proven to mediate the influence of Confirmation on Trust. (5) Data security and customer feasibilities on information of historical transaction balance are important in growing Trust that can help increase Continuance usage intention sustainably. These finding has several managerial implications for electronic service provider in carrying out strategic steps in increasing the Continuance usage intention of users of electronic money for land transportation in Jakarta. Further theoretical implications are research developing a broader framework of combining the Expectancy-Confirmation Model (ECM) model with Perceived Value and Trust. This is expected to play role in the progress of science and can provide insights for further research. Value obtained from this research is the existence of a new model and identification of aspects that affect the Continuance usage intention so that appropriate steps can be taken in increasing the Continuance usage intention, especially for electronic money users in the land transportation sector in Jakarta.

Donny Bayu Sukarno, Haryono Umar, Haeba Ramli

The Defense Industry shows a decrease so that some products are no longer produced due to the absence of orders. This condition questions the systems and business strategies used by the Defense Industry in facing global competition against the production of state defense equipment. BUMN Defense Industry as a state-owned strategic BUMN that is expected to be a beacon of the Indonesian military equipment industry and able to meet the needs of the country’s defense and security equipment so that Indonesia does not depend on foreign defense products. Innovation, Firm Performance is a strategic and integrated approach to deliver positive results in organizations by improving performance and developing the ability of teams and individuals. Managing people in an organizational context means managing people in order to produce optimal performance for the organization, so it becomes a concept of firm performance, organizational structure. The method of analysis is done through explanatory research, with PLS / SEM applications. The concepts and problems studied see the causality relationship, then explain the variables that cause the problem under study. The research sample of 92 State Defense Strategic Industry BUMNs. Corporate Entrepreneurship is always used by companies that have been operating long enough and in large companies. This entrepreneurship is generally used for the purpose of seeing the company’s profits. The results of this study Corporate Entrepreneurship have a positive effect on firm performance and are able to improve Innovation Managerial implications in this study are to provide information for relevant agencies to be able to maintain organizational culture by being positive in supporting the development of the Strategic BUMN of the State Defense Industry.

Erry Herman, Haryono Umar, Willy Arafah

BResearch on organization effectiveness has shown a significant upward trend in the recent past. The purpose of the present study is to propose a conceptual model that empirically examines the relationship between organization effectiveness and related variables that affect it such as corporate culture and human capital and also indirectly affected by employee engagement of Indonesia Defense Industry - PT Pindad Persero, PT Dirgantara Indonesia and PT Pal Indonesia Persero. A data set of managers and staff was collected from defence industries and it represents the X, Y, Z generation. It was collected through a survey instrument based on quota with random proportional samples. The collected responses were subsequently tested by using structural equation modelling (SEM). The research result shows the importance of intangible dimension is a crucial factor and the most significant variable to increase defense industry organization effectiveness is to put forward employee high level working commitment through employee engagement development. Employee engagement is the binding factor in order to enhance corporate culture transformation and to absorb knowledge, competency and employee qualification through human capital development, which are lead to improve defense industry organization effectiveness in terms of productivity, adaptability and flexibility. Managerial implication from this research gives the theoretical approach to the researcher and manager to apply a good employee engagement in developing creativity and innovation capability, making proper culture transformation to produce a solid team work, which is supported by high performance human capital development in order to improve organizational effectiveness. For further research, it is needed to examine other variables for measuring organizational effectiveness such as, integrity, trustworthiness and business intelligence /big data analytics. This research demonstrates the impact of organization effectiveness on the defence industry, a relatively under research in Indonesian context. The present study is an earnest effort in this direction to analyze the relationship of corporate culture, human capital through employee engagement in order to enhance organizational effectiveness.

Dr. Rambabu Lavuri 1, Prof. D. Sreeramulu 2

At present scenario, an environmental aspect has turned into a key issue. The green market concept has turn into the trendy expression in most recent decade because of sensational increment in environmental consciousness around the world. Purpose of the investigation is to find out the environmental consciousness and studying respondent’s attitudes & perception, and drive factors to purchasing towards green products. The research data were composed through survey and interview methods by the structure questionnaire from the 429 respondents from three districts of Telanagna state in India. The results revealed that media exposure had a significant impact on the consumer perception & attitude, along these lines environmental driving factors show great influence on perception & attitude towards purchasing eco friendly products and Consumers attitude and perception have positive impact on purchasing eco friendly products. As per results, respondents have positive association and more environmental consciousness by the purchasing of eco-friendly products. Finally, the study concluded that the consumers are familiar about the environmental aspects and also their green awareness is high. To increase the sales volume of ecological sustainable items, marketers need to adopt a better marketing mix for their eco-friendly items in order to change respondent’s negative perception and develop eco-awareness towards green products. Similarly, government should take responsibility towards creating better awareness about environmental consciousness and eco friendly products by purchasing green products.