PROPOSED PERFORMANCE MANAGEMENT SYSTEM IMPLEMENTATION WITH INTEGRATED PERFORMANCE MANAGEMENT SYSTEM (IPMS) FOR PT. PUSATEX

The aim of this journal research is to propose the implementation of a performance management system with a focus on the Integrated Performance Management System (IPMS) at PT. Pusatex. Recognizing the importance of a robust performance management framework, the proposed system aims to address key challenges within the company, including traditional marketing methods, the absence of Key Performance Indicators (KPIs) in the company's system, and inefficiencies in the use of machinery and production tools. By implementing IPMS, the goal is to enhance the overall company performance, align business objectives, and foster a culture of continuous improvement. The primary objective is to shape a dynamic and responsive performance management system that not only addresses current challenges but also positions PT. Pusatex to build an effective performance management system to compete with global competitors.

The numerous changes needed at PT. Pusatex, relating to the development of the company that requires improvement, led the author to propose an integrated performance management system to address these issues.
In the competition among companies and considering the rapid pace of technological advancements, it is expected that companies have an assessment of their performance (Sheng, Zhou, & Lessassy, 2013).This system is something that should be consistently implemented within the company throughout its operation.The designed performance management system aims to enhance both the company's overall performance and that of its employees (Biron, Farndale, & Paauwe, 2011).The system should be effectively and efficiently achieved by emphasizing a strong quality orientation, focusing on employee development aspects, and addressing the pressures associated with evaluating factors within individuals and groups (Meyers, Durlak, & Wandersman, 2012).
For this reason, a company performance management system is the appropriate approach to assess all aspects of PT.Pusatex to improve problematic areas within the company, both at the organizational and individual levels.
Performance management is a systematic and integrated approach to managing organizational performance to achieve its strategic goals.According to (Aguinis, Joo, & Gottfredson, 2012), performance management is a continuous process that involves the identification, measurement, and enhancement of the performance of individuals and teams.Additionally, it serves to align performance with the strategic objectives of the organization.In doing so, performance management significantly contributes to the sustained success of the organization by enhancing the capabilities of its employees (Shahzad, Jianguo, & Junaid, 2023).
Integrated Performance Management System (IPMS), formulated by (Wibisono, 2016), is regarded as an advancement that builds upon the concepts of Balanced Scorecard (BSC) and Performance Prism.It combines the simplicity of BSC design with the focus on stakeholders from Performance Prism, aiming to be applicable, especially for companies in Indonesia.IPMS uses only three perspectives: business results, internal processes, and resource capabilities (Napitu, 2017).
The comparison suggests that the Integrated Performance Management System (IPMS) is a type of Performance Management System (PMS) that amalgamates the simplicity found in Balanced Scorecard (BSC) and The Performance Prism, while also considering stakeholders.Some advantages of IPMS over BSC and The Performance Prism, as highlighted by (Wibisono, 2016), include: 1. Uses a simple and structural approach, focusing on performance processes and outputs.2. Allows stakeholders to develop strategies, target, and evaluate outcomes.3. Just in terms of gauging performance in relation to duties, obligations, and compensation schemes.4. Offers a useful foundation for figuring out who is responsible.5. Assigns accountability to those involved to improve performance.

Method
the research design is a plan and procedure that encompasses decision-making from broad assumptions to detailed methods of data collection and analysis (Creswell & Creswell, 2017).In this Journal, a qualitative research approach is employed.This method involves the exploration of information from subjects, namely stakeholders responsible for governing and managing the company.The stakeholders include the president director and managerial-level individuals from PT. Pusatex, such as HR manager, marketing, finance, and PPC (Production, Planning and Inventory control).Data collection is conducted with all these subjects to obtain relevant and precise data for the qualitative research needs.
The first step taken by the researcher to address the issue is the collection of primary data, consisting of interview results from stakeholder of the company.The primary data collection involves conducting face-to-face interviews with the stakeholder within PT.Pusatex.The researcher utilizes in-person interviews to gather primary information.
Secondary data is collected from various sources within PT.Pusatex, such as financial reports, company deeds, employee data, and the company's profile.This secondary data will support the research in understanding the company's conditions and business processes.

Designing Performance Management System
In formulating a performance management system, there are four fundamental stages.Utilizing the information outlined in all these stages is essential for crafting a new performance management system (Armstrong & Taylor, 2020).Furthermore, this information can be instrumental in proposing a fresh performance management system.The proposal for a novel performance management system, employing the IPMS method for PT.Pusatex is presented below : In designing a performance management system, there are four fundamental steps (Ates, Garengo, Cocca, & Bititci, 2013).Designing a new performance management system can utilize all the information explained in each stage.Additionally, it can serve to support the proposal of the new performance management system.The proposal for the new performance management system using the IPMS method for PT.Pusatex can be seen below.

Stage 0: Foundation
According to (Wibisono, 2016), understanding the four principles and five rules in designing a performance management system is the focus of this stage.There are four foundational principles to consider when developing a performance management system : 1) Partnership with Stakeholders: Stakeholders must understand and support IPMS, contributing to targeted actions and improvements.2) Empowerment of Employees: Successful leaders empower employees based on their abilities, actively involving them to support company performance.3) Integrated Performance Improvement: Fostering a sense of belonging among employees enhances overall company performance.
Independent Team: A team formed by PT.Pusatex's Director has the authority to develop a company-specific performance management system.make decisions.

Stage 1 Basic Information
This basic information is integral to the development of the performance management system.This journal uses SWOT analysis which was developed into the TOWS Matrix.SWOT Analysis is an effective strategic planning method designed to assess the strengths, weaknesses, opportunities, and threats associated with a company that is either in development or still in the planning phase.
Table 1.Basic Information

Stage 2 Design
When creating the IPMS (Integrated Performance Management System), the researcher will concentrate on several key aspects, including the company's vision and mission, corporate strategy, performance variables, variable linkage, and benchmarking.

Vision
PT Pusatex currently does not have a company vision, and the researcher here proposes a new vision for PT Pusatex based on the company's future needs.The researcher proposes the following new vision: "To be the biggest producer of sarung with the highest quality materials to delight our customers, meeting their needs and employing the best technology." After discussions with the President Director of PT.Pusatex, the vision "To become one of the biggest producers of sarongs with the highest quality materials to delight our customers" has been selected.

Mission
Mission is a series of actions necessary to achieve the vision.It can also be described as an elaboration of the vision.While the vision is usually condensed into one sentence, the mission is articulated in several sentences designed to be easily understood by anyone reading it.

Strategy
Corporate strategy is a plan that originates from the main objectives or policies established by a company, involving a series of interrelated actions.
Based on the design of the Integrated Performance Management System (IPMS), all corporate strategies will be categorized into three groups: resource availability, internal processes, and organizational outcomes.The strategic map of PT.Pusatex can be seen in the figure below.

Performance Variable
There are two recognized types of variables: quantitative variables and qualitative variables.While certain variables may not be easily measurable quantitatively, qualitative variables can be effectively employed (Borrego, Douglas, & Amelink, 2009).Qualitative variables can be utilized successfully as long as they are specific and utilize a rating system.In the design of the Integrated Performance Management System (IPMS), performance variables are categorized into three perspectives, as illustrated in the following table.

Linkage Variable
The researcher employs correlation analysis with a focus on interviews and group discussions.This is utilized to explore the interconnections between each perspective and to identify cause-and-effect relationships based on the opinions and experiences of the involved parties.The cause-and-effect relationships are still in the form of predictions as they have not been proven yet.

Benchmarking
Due to data limitations, this study focuses on internal benchmarking and competitive benchmarking.Internal benchmarking is conducted using financial

Proposed Performance Management System Implementation With Integrated
Performance Management System (IPMS) For PT. Pusatex performance from the period 2018 to 2022.Competitive benchmarking is done with PT.TSU, which operates in the same industry as PT.Pusatex.
The table above shows that PT.Pusatex is superior in many ways compared to competitors in net profit companies PT.Pusatex is also superior in the expense which is still a challenge for PT.Pusatex's Net profit which is still decreasing unlike PT TSU which experienced its best year in 2022, therefore it is a challenge for PT.Pusatex to make next year the best year and develop in the following years.Therefore a need for PT.Pusatex to develop a strategy regarding this matter and find out why net profit this year has only grown slightly after further research because expenses are still high compared to the development of net profit and the results of discussions with the director of the company it turns out that many lines are still not being carried out properly, namely in the operational section where there are still many reject rates and project delays that need to be improved, besides that the marketing department is also still carrying out traditional activities, all of this also happens because there is no KPI in the company, this problem will always occur and there is no awareness leading to it.

Stage 3 Implementation
The implementation plan will encompass details such as the specific activities, the designated individuals responsible for each task, and the expected duration for each activity.The table above outlines the details of activities in the implementation plan, starting from the introduction, through the continuous change process in establishing a new performance management system.
The introduction of IPMS and its socialization will take place over approximately 3 months from April 2024 to June 2024.Following the socialization, performance measurement, measurement evaluation, diagnostic improvement, and continuous follow-up will be conducted.This timeline will span around 1 month, starting from the beginning of the new quarter and will be reviewed at the end of the quarter.The Corporate Strategy Team, as an independent team, will collaborate with the Account Management Team, starting with observing and mapping the existing business processes applied by Account Management, conducting literature research on frameworks and systems applicable to existing Account Management operations, building and testing the functionality of the new IPMS, socializing and implementing the recommended system, collecting feedback, and refining it until the end of the research project duration.

Stage 4 Refreshment
The final step in the performance management system is refreshment, where a thorough assessment is conducted based on the latest information and knowledge (Marr & Gray, 2012).This step highlights the ongoing maintenance of the established system, stressing the importance of leadership, commitment, and stakeholder involvement for long-term effectiveness (Lazos-Chavero et al., 2016).
A dynamic and continuously updated performance management system is essential to stay in sync with changes in the business environment, such as competition, regulations, community demands, customer needs, and technological advancements.It should also be flexible enough to adapt to evolving performance standards and methods.Leadership, commitment, and stakeholder involvement are critical aspects that the system should address.Regular monitoring is vital to prevent errors and ensure that the company consistently meets its targets.