Designing System for Employee Performance Allowance Calculation using Pay for Performance

Sari Harto Kusumo, Trisacti Wahyuni

2018

Abstract

This study aims to propose the calculation of employee performance allowance system design using Pay for Performance (PFP) at Agency X. PFP helps in producing reliable data in evaluating employee performance such as the existence of supporting evidence for the performance performed by employees and must be included to meet criteria promotion based on the credit number unit specified in the applicable rules. Agency X is a work unit that is responsible to the Minister through the Secretary General and headed by the Chief. Agency X itself has the task of carrying out guidance and management of information systems, data management, and analysis and presentation of data and information. The non-optimal employee performance allowance payment will result in an inefficient payment system for employee salaries. If the agency's performance is not effective but the costs paid are high, it can be said that the agency is not efficient in managing its costs. There are some employees who have not received a promotion even though they have exceeded a certain period of work because the employee has not fulfilled the determined performance but receives a full performance allowance. PFP is part of the Management Accounting Control System (MACS). MACS helps decision makers in determining whether strategies, objectives, levels of organization, business, and operations can be fulfilled. PFP can be applied as a control system to overcome the problem of the gap of interests faced by Agency X. This study uses qualitative methods with a case study approach. Data collection and analysis using research instruments, interviews, documentation, and content analysis. The benefit of this research is to evaluate and provide solutions to the causes of problems and provide a basis for making decisions to change the current employee performance allowance calculation system to be more efficient.

Paper Citation

in Harvard Style

Kusumo S. and Wahyuni T. (2018). Designing System for Employee Performance Allowance Calculation using Pay for Performance.In Proceedings of the 1st Unimed International Conference on Economics Education and Social Science - Volume 1: UNICEES, ISBN 978-989-758-432-9, pages 1122-1127. DOI: 10.5220/0009505711221127

in Bibtex Style

@conference{unicees18,
author={Sari Harto Kusumo and Trisacti Wahyuni},
title={Designing System for Employee Performance Allowance Calculation using Pay for Performance},
booktitle={Proceedings of the 1st Unimed International Conference on Economics Education and Social Science - Volume 1: UNICEES,},
year={2018},
pages={1122-1127},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0009505711221127},
isbn={978-989-758-432-9},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st Unimed International Conference on Economics Education and Social Science - Volume 1: UNICEES,
TI - Designing System for Employee Performance Allowance Calculation using Pay for Performance
SN - 978-989-758-432-9
AU - Kusumo S.
AU - Wahyuni T.
PY - 2018
SP - 1122
EP - 1127
DO - 10.5220/0009505711221127