• ISSN: 2301-3567 (Print), 2972-3981 (Online)
    • Abbreviated Title: J. Econ. Bus. Manag.
    • Frequency: Quarterly
    • DOI: 10.18178/JOEBM
    • Editor-in-Chief: Prof. Eunjin Hwang
    • Executive Editor: Ms. Fiona Chu
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HOME > Archive > 2013 > Volume 1 Number 1 (Feb. 2013) >
JOEBM 2013 Vol.1(1): 77-80 ISSN: 2301-3567
DOI: 10.7763/JOEBM.2013.V1.18

Will Indonesia Still Sustain? Assessment on Integrated Sustainable Development of Strategic Target and Implementation in Indonesia

Dwi Kartini, Yudi Azis, and Ismail Solihin

Abstract— Although the concept of sustainable development has become one of the mainstream on development in Indonesia and stated in the National Medium Term Development Plan (RPJMN) in 2010-2014, but the study shows that of the 35 Ministry of the study, there are only 4 Ministries that had explicitly incorporate dimensions of sustainable development which consists of the economic, social and environmental issues into the strategic objectives and Key Performance Indicators (KPI). Though Indonesia Indonesia has developed a National Sustainable Development Strategy (Agenda 21) which contains recommendations to the sector in the application of the principles of sustainable development by 2020. Formulation of National Sustainable Development Strategy as well as the mainstreaming of sustainable development is part of the government's strategic planning. The phenomenon that is often found when integrating strategic planning into the implementation of sustainable development strategy in Indonesia is the strategy gap, which is the disconnect between long-term goals with short-term budget planning which created a short-term budget to support the implementation of programs and activities.To address these gaps necessary strategy of strategic management models to integrate strategic planning with the implementation of sustainable development strategy in Indonesia.
The selected model is the model that has a balanced scorecard performance indicators (financial perspective and customer perspective) and the determinant indicators (internal business process perspective and learning and growth perspective) and connect the two types of indicators through a causal relationship (cause and effect relationship). Bureaucratic reforms in Indonesia has encouraged ministries and government institutions in Indonesia to have Key Performance Indicators that the majority of the models are prepared using the Balanced Scorecard. This phenomenon provides an opportunity for the integration of sustainable development strategy to mainstream the implementation of sustainable development which translates into a variety of programs and activities undertaken by the respective ministries and government.

Index Terms— Sustainable development, national sustainable development strategy, the national medium term development plan(RPJMN), gap strategy, balanced scorecard, key performance indicators (KPI).

Dwi Kartini and Yudi Azis are with the Faculty of Economics and Business, Universitas Padjadjaran, Bandung, Indonesia (e-mail: dwi.kartiniy@gmail.com, yudiazis@yahoo.com).
Ismail Solihin is with the Faculty of Business and Management, Universitas Widyatama, Bandung, Indonesia (e-mail: ismail.solihin@widyatama.ac.id).

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Cite: Dwi Kartini, Yudi Azis, and Ismail Solihin, " Will Indonesia Still Sustain? Assessment on Integrated Sustainable Development of Strategic Target and Implementation in Indonesia," Journal of Economics, Business and Management vol. 1, no. 1, pp. 77-80, 2013.

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