Articles

Evaluation of Digital Banking Efficiency in Indonesian Banking Sector using Data Envelopment Analysis (DEA) Approach

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The digital banking industry in Indonesia has experienced significant growth, driven by changing customer demands, technological advancements, and regulatory support. The digitalization of Indonesian banks aims to enhance cost efficiency. This research utilizes the Data Envelopment Analysis (DEA) method to measure the cost efficiency of Indonesian commercial banks. The research includes digital banks as business units and neo-banks, comparing their cost efficiency from 2012 to 2020, with digital banks and neo-banks generally operating more efficiently than non-digital banks. The findings highlight the significant impact of digital transformation on cost efficiency in the banking industry. Stakeholders, including banks and financial authorities, can utilize these insights to plan strategies, reduce operating costs, and enhance cost efficiency. Further research can explore additional factors, such as macroeconomic influences, and categorize commercial banks based on their core capital categories.

Proposed Green Retailing Concept for Maintaining the Sustainability in the Company

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Retail business is a fast growing business in Indonesia. This is indicated by the number of retail businesses that have emerged both on a local and national scale. One of the companies engaged in the retail sector is ‘Berkah’ Swalayan. ‘Berkah’ Swalayan is a local retail company in Lampung and Central Java Provinces. This research aims to identify the internal and external conditions of ‘Berkah’ Swalayan which will then be given strategic recommendations related to green retailing. The topic of green retailing was chosen because this strategy is closely related to sustainable development goals which are currently a big focus and have a good impact on many sectors. Identification and analysis in this study used a mixed method, namely quantitative and qualitative methods. The data used are primary data and secondary data. Primary data comes from in-depth interviews with Berkah Swalayan and a survey of 101 respondents to Berkah Swalayan customers. Determination of the number of respondents using the Slovin formula. Secondary data obtained from literature review. Company analysis using the SWOT tool (Strength, Weakness, Opportunities, Threats). On the other hand, in this study variable validation was also carried out using SmartPLS 4. It was found that decision making related to green retailing was influenced by internal and external factors. Internal factors consist of company values. External factors consist of the influence of social organizations, customers and government. Meanwhile, green retailing can improve cost efficiency. This is because companies can reduce their budget costs for environmentally friendly company needs, for example reducing costs in the supply of plastic and the use of energy-friendly electronic devices. In this study the results obtained in the form of identification of internal and external company conditions. that green retailing is a strategy that can improve cost efficiency. In addition, the concept of green retailing also provides opportunities for companies to develop their business. Therefore, green retailing is a strategy that is recommended to be implemented for retail businesses. Several strategic recommendations are given in the implementation of green retailing. Recommendations for some of these strategies are implementing a ‘bring your own shopping container’ system which will be regulated by a point system, using environmentally friendly electronic devices, creating special eco-friendly angles, optimizing social media, and collaborating with the government, communities and businesses that focus on environmental issues.

Integrated Management System Based on Risk Process Implementation in Start-Up Company (Superspring) To Maximize the Cost Efficiency

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Risk and opportunity always come like two sides of a coin. The greater the risk, the higher the possibility of return obtained, or even the possibility of failure if it is not anticipated from the start. So the risk must be managed so as to minimize the impact that will be experienced. This research aims to explore the implementation of risk management in start-up company cost efficiency. Start from the business processes identification, risk and opportunity identification, risk analysis, and risk treatment. The risk and opportunity for improvement will be converted into financial conversion or calculated by the financial impact (on value). And finally, the cost comparison of existing costs with the implementation of risk control and implementation of improvement opportunities will be carried out. Using the process approach ISO 9001, risk approach ISO 31000, and FMEA, the company is ideal to implement risk management to make it cost-efficient. Based on the calculation done from the core process (the sales process, the IT process, the technical process, the warehouse and logistic process, and the customer service process) analysis, is shown that all over the risk decrease is about 65.54% (from inherent risk to residual risk) and the cost efficiency is about 315%.