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ANALYZING ORGANIZATIONAL CAPABILITIES AS A STRATEGY TO
IMPROVE COMPANY PERFORMANCE AT PT GUTENINC GROUP

BANDUNG
FINAL PROJECT
By:
ARIEF ABDILLAH
29116507
Master of Business Administration Program

School of Business and Management
Institut Teknologi Bandung
2018
ANALYZING ORGANIZATIONAL CAPABILITIES AS A STRATEGY TO
IMPROVE COMPANY PERFORMANCE AT PT GUTENINC GROUP BANDUNG
ARIEF ABDILLAH
NIM: 29116507
Date of Passing of Final Test (14/09/2018)
Date of Graduation Ceremony (19/10/2018)
Master of Business Administration, Institut Teknologi Bandung, 2018
Final Project Counselor: Dr. Aurik Gustomo, S.T., M.T
ABSTRACT
Creative Economy is one of the sectors that is expected to be a new national economic power in the
future, along with the increasingly degradation of natural resources every year. West Java is become
the creative economy exporters province number one in Indonesia. As we know Bandung is known
as the city of fashion, currently fashion industry in Bandung is very competitive, the company
involved in this industry not only compete with local companies, but also compete with foreign
brands whose have the same market share that segmenting.
Guten Inc. is a local fashion brand from Bandung which was founded in 2011. Guten Inc. has a
vision to become a well-known brand, and is well-known in both local and international markets.
The success of Guten Inc depends on how employees can provide services and a quality that is in
line with customer expectations and desires. There are several internal problems within Guten Inc,
most of the problems arise regarding organizational capability such as does not have clear structure
organization, doesn’t able to measure employee performance. To stay competitive, Guten Inc must
have the ability to distinguish Guten Inc from their competitors. Therefore, this research is to
identify the capabilities of Guten Inc and identify capabilities that need to be improved by
conducting an Organizational Ability Assessment.
Before perform a capability assessment this research use factor analysis to simplify the elements
that used to perform capability assessment. The current assessment result is a number of scores
obtained from respondents' answers to questions or statements regarding Organizational Capability
that consist of several elements. The desired assessment result is doing by using AHP Method to
determine which capability become the priority of the company. The finding of this research is
there are six organizational capabilities that formed, there are two capabilities that become the
highest score from the result of the assessment. And the last by doing comparison between current
capability assessment and desired capability assessment to know the capability that need to
improve, the result is there are three main capabilities that Guten Inc need to improve.
Keywords: Human Resource Management, Organizational Capability, PT Guteninc Group
i
ANALISIS KAPABILITAS ORGANISASI SEBAGAI STRATEGI UNTUK
MENINGKATKAN KINERJA PERUSAHAAN PADA PT GUTENINC GROUP
BANDUNG
ARIEF ABDILLAH
NIM: 29116507
Tanggal Kelulusan Sidang (14/09//2018)
Tanggal Wisuda (19/10/2018)
Program Master Administrasi Bisnis, Institut Teknologi Bandung, 2018
Pembimbing Tugas Akhir: Dr. Aurik Gustomo, S.T., M.T.
ABSTRAK
Ekonomi Kreatif adalah salah satu sektor yang diharapkan menjadi kekuatan ekonomi nasional
baru di masa depan, seiring dengan semakin menurunnya sumber daya alam setiap tahun. Jawa
Barat menjadi pengekspor ekonomi kreatif provinsi nomor satu di Indonesia. Seperti yang kita
tahu Bandung dikenal sebagai kota mode, saat ini industri fashion di Bandung sangat kompetitif,
perusahaan yang terlibat dalam industri ini tidak hanya bersaing dengan perusahaan lokal, tetapi
juga bersaing dengan merek asing yang memiliki pangsa pasar yang sama.
Guten Inc adalah merek fashion lokal dari Bandung yang didirikan pada 2011. Guten Inc memiliki
visi untuk menjadi merek terkenal, dan terkenal di pasar lokal dan internasional. Keberhasilan
Guten Inc tergantung pada bagaimana karyawan dapat memberikan layanan dan kualitas yang
sesuai dengan harapan dan keinginan pelanggan. Ada beberapa masalah internal dalam Guten Inc,
sebagian besar masalah muncul terkait kemampuan organisasi seperti tidak memiliki struktur
organisasi yang jelas, tidak dapat mengukur kinerja karyawan. Untuk tetap kompetitif, Guten Inc
harus memiliki kemampuan yang dapat membedakan Guten Inc dari pesaing mereka. Oleh karena
itu, penelitian ini adalah untuk mengidentifikasi Organizational Capbility Guten Inc dan
mengidentifikasi kapabilitas yang perlu ditingkatkan dengan melakukan Penilaian Kapabilitas
Organisasi (Organizational Capability Assessment).
Sebelum melakukan capability assessment, penelitian ini menggunakan analisis faktor untuk
menyederhanakan elemen-elemen yang digunakan untuk melakukan capability assessment. Hasil
current capability assessment adalah sejumlah skor yang diperoleh dari jawaban responden atas
pertanyaan atau pernyataan mengenai Kemampuan Organisasi yang terdiri dari beberapa elemen.
Hasil desired capability assessment dilakukan dengan menggunakan Metode AHP untuk
menentukan kapabilitas mana yang menjadi prioritas perusahaan. Temuan dari penelitian ini
adalah terdapat enam kapabilitas organisasi yang terbentuk, ada dua kapabilitas yang menjadi nilai
tertinggi dari hasil current capability assessment. Dan hasil dilakukan dengan cara melakukan
perbandingan antara current capability assessment dan desired capability assessment untuk
mengetahui kapabilitas yang perlu ditingkatkan, dan terdapat tiga kapabilitas utama yang perlu
ditingkatkan oleh Guten Inc.
Keywords: Human Resource Management, Organizational Capability, PT Guteninc Group
ii
PREFACE
First of all, I would like to express my deepest praise and gratitude for the
presence of Allah SWT for all His grace, and the guidance also the blessing to finish my
final project entitled “ANALYZING ORGANIZATIONAL CAPABILITIES AT PT
GUTENINC GROUP BANDUNG”. It is made to fulfil one of requirement to
graduate from Master of Business Administration, Institut Teknologi Bandung.
Second, to my beloved family who always give support in every path in my life. I
realize that many people had given their helps and suggestions for finishing this final
project. And the rest of it, I would like to thank profusely to:
1. Dr. Aurik Gustomo, ST., MBA., as thesis advisor for the time, patience, support,
knowledge, and direction to help me in finishing this final project.
2. Fithri H Megantari as my friends for the patience and support to help me in
finishing this final project.
3. Muhammad Ramadhan as the CEO and owner of PT. Guteninc Group for the
time, knowledge sharing, and unlimited help during the research period.
4. All my respondents, and all people who help me finishing this report.
5. The lecturer and staff of MBA ITB.
6. My entire friends in MBA ITB YP 56 especially class A for the happiness and
amazing experiences.
7. All parties who cannot be mentioned one by one who has assisted me, so the
final project can be running smoothly.
The author realize that this report is still not perfect. To the author expect
criticism and suggestions so that this report could be better. Hopefully this final
project can be useful and provide a positive value for all of us.
Bandung, August 2018
Arief Abdillah
iv
TABLE OF CONTENT
ABSTRACT ....................................................................................................... i
ABSTRAK ......................................................................................................... ii
VALIDATION PAGE .......................................................................................iii
ACKNOWLEDGEMENTS ............................................................................. iv
TABLE OF CONTENTS.................................................................................. v
LIST OF FIGURES .......................................................................................... viii
LIST OF TABLES ............................................................................................ ix
LIST OF APPENDICIES ................................................................................. x
CHAPTER I INTRODUCTION ........................................................................ 1

1.1 Background ...................................................................................................... 1
1.2 Company Profile ............................................................................................. 3
1.2.1 History.................................................................................................... 4
1.2.2 Vision and Mission of Guten Inc ........................................................... 6
1.2.3 Organizational Chart of Guten Inc ......................................................... 6
1.2.4 Product of Guten Inc .............................................................................. 6
1.3 Business Issue ................................................................................................. 7
1.4 Research Objective ....................................................................................... 10
1.5 Research Limitation ...................................................................................... 11
CHAPTER II BUSINESS ISSUE EXPLORATION ..................................... 12

2.1 Conceptual Framework ................................................................................. 12
2.1.1 Business Overview ............................................................................... 12
2.1.2 Preliminary Study ................................................................................ 13
2.1.3 Problem Identification ......................................................................... 13
2.1.4 Business Issue Exploration .................................................................. 13
2.1.5 Organizational Capability Assessment ................................................ 13
2.1.6 Result Analysis .................................................................................... 13
2.1.7 Conclusion and Recommendation ....................................................... 14
2.1.8 Implementation Plan ............................................................................ 14
2.2 Theoretical Background ................................................................................ 14
2.2.1 Human Resources Management (HRM) .............................................. 14
v
2.2.2 Organizational Capability .................................................................... 15
2.2.3 Organizational Capability Elements .................................................... 16
2.2.3.1 Smallwood and Ulrich Model .................................................. 16
2.2.3.2 Akaegbu and Usoro Model ...................................................... 18
2.2.3.3 Boston Consulting Group Model ............................................. 19
2.2.3.4 Gill and Delahaye Model ........................................................ 20
2.2.3.5 Organizational Capability Development Model ...................... 22
2.3 Research Methodology ................................................................................. 24
2.3.1 Research Design ................................................................................... 24
2.3.2 Data Collection .................................................................................... 26
2.3.3 Sample Selection .................................................................................. 26
2.3.4 Questionnaire Design ........................................................................... 26
2.4 Statistical Evaluation .................................................................................... 29
2.4.1 Validity Test......................................................................................... 29
2.4.2 Reliability Test ..................................................................................... 31
2.5 Factor Analysis ............................................................................................ 31
CHAPTER III BUSINESS SOLUTION ......................................................... 33

3.1 Respondent Profile ........................................................................................ 33
3.1.1 Respondent Profile by Gender ............................................................. 33
3.1.2 Respondent Profile by Education Level............................................... 33
3.1.3 Respondent Profile by Position ............................................................ 34
3.1.4 Respondent Profile by Length of Work ............................................... 35
3.2 Factor Analysis ............................................................................................. 35
3.2.1 Measurement of Communalities .......................................................... 35
3.2.2 Determine The Number of Factor ........................................................ 36
3.2.3 Result of Factor Analysis ..................................................................... 38
3.3 Organizational Capability Assessment ......................................................... 40
3.3.1 Current Capability Assessment Result ................................................. 41
3.3.1.1 Speed and Innovation Capability ............................................. 41
3.3.1.2 Leadership and Management Capability ................................. 43
3.3.1.3 Structure and Design Capability .............................................. 45
3.3.1.4 Communication and Role Capability ....................................... 46
3.3.1.5 Measurement and Tools Capability ......................................... 47
vi
3.3.1.6 Administrative Capability ........................................................ 47
3.3.2 Desired Capability Assessment Result ................................................ 48
3.4 Discussion and Recommendation ................................................................. 49
CHAPTER IV CONCLUSION AND IMPLEMENTATION PLAN ........... 56

4.1 Conclusion .................................................................................................... 56
4.2 Implementation Plan ..................................................................................... 57
REFERENCES
APPENDICIES
vii
LIST OF FIGURES
Figure 1.1 Indonesia Creative Economy ................................................................... 1

Figure 1.2 F Creative Economy Export Sector ......................................................... 2
Figure 1.3 Guten Inc Logo ........................................................................................ 3
Figure 1.4 Guten Inc Flagship ................................................................................... 4
Figure 1.5 Milestone History of Guten Inc ............................................................... 5
Figure 1.6 Organizational Chart Guten Inc ............................................................... 6
Figure 1.7 Guten Inc Product .................................................................................... 7
Figure 1.8 Guten Inc Sales ........................................................................................ 9
Figure 2.1 Conceptual Framework ............................................................................ 12
Figure 2.2 Synthesis Model ...................................................................................... 22
Figure 2.3 Organizational Capability Model Development ..................................... 23
Figure 2.4 Research Design ...................................................................................... 25
Figure 3.1 Frequency Distribution Chart Based on Gender ...................................... 33
Figure 3.2 Frequency Distribution Chart Based on Education Level........................ 34
Figure 3.3 Frequency Distribution Chart Based on Position .................................... 34
Figure 3.4 Frequency Distribution Chart Based on Length of Work ........................ 35
Figure 3.5 Continuum Line ....................................................................................... 40
Figure 3.6 Continuum Line of Speed and Innovation Capability ............................. 43
Figure 3.7 Continuum Line of Leadership and Management Capability.................. 44
Figure 3.8 Continuum Line of Structure and Design Capability .............................. 45
Figure 3.9 Continuum Line of Communication and Role Capability ....................... 46
Figure 3.10 Continuum Line of Measurement and Tools Capability ....................... 47
Figure 3.11 Continuum Line of Administrative Capability ...................................... 48
Figure 3.12 Analytical Hierarchy Process Structure ................................................. 49
Figure 3.13 Current and Desired Capability of Guten Inc ........................................ 50
viii
LIST OF TABLES
Table 1.1 Competitor Analysis .................................................................................... 8

Table 2.1 Questionnaire Design .................................................................................. 26
Table 2.2 Validity Testing ........................................................................................... 30
Table 2.3 Reliable Test ................................................................................................ 31
Table 3.1 Respondent Gender ..................................................................................... 33
Table 3.2 Respondent Education ................................................................................. 33
Table 3.3 Respondent Position .................................................................................... 34
Table 3.4 Respondent Length of Work ....................................................................... 35
Table 3.5 Communalities Organizational Capability .................................................. 36
Table 3.6 Total Variance Explained ............................................................................ 36
Table 3.7 Rotated Component Matrix ......................................................................... 38
Table 3.8 Result of Factor Analysis ............................................................................ 38
Table 3.9 Respondents Response Score ...................................................................... 40
Table 3.10 Respondent Response of Speed and Innovation Capability ...................... 41
Table 3.11 Respondent Response of Leadership and Management Capability ..... 43
Table 3.12 Respondent Response of Structure and Design Capability ................. 45
Table 3.13 Respondent Response of Communication and Role Capability .......... 46
Table 3.14 Respondent Response of Measurement and Tools Capability ............ 47
Table 3.15 Respondent Response of Administrative Capability .......................... 48
Table 3.16 AHP Calculation Result .................................................................... 49
Table 3.17 The Result of Current and Desired Capability ................................... 51
Table 3.18 Leadership and Management Capability Recommendation ................ 51
Table 3.19 Communication and Role Capability Recommendation ..................... 53
Table 3.20 Structure and Design Capability Recommendation ............................ 54
Table 4.1 Implementation Plan Schedule ............................................................ 57
ix
LIST OF APPENDICIES
Appendix 1. Questionnaire
Appendix 2. Desired Capability Questionnaire
Appendix 3. Validity and Reliability Test
Appendix 4. AHP Calculation for Desired Capability
x
CHAPTER I
INTRODUCTION
1.1 Background
Now days the Creative Industry is not a new thing for the people of Indonesia. The
products that exist in the creative industry are not limited to one particular type of product, the
scope is very wide and varied. Simatupang (2007) defines the creative industry as an industry
that focuses on the creation and exploitation of intellectual property works such as art, film,
games, fashion design and advertising. The creative industry can contribute to the economy of
the country which can be called the Creative Economy. The term Creative Economy was first
introduced by a character named John Howkins, author of "Creative Economy, How People
Make Money from Ideas". Howkins defines the Creative Economy as an economic activity in
which its input and output are Ideas. Or in one short sentence, the essence of creativity is the
idea.
In Indonesia Creative Economy (Ekraf) is one of the sectors that is expected to be a new
national economic power in the future, along with the increasingly degradation of natural
resources every year. Through the Creative Economy Agency (Bekraf), the Government of
Indonesia seeks to pay more attention to this sector, in order to maximize the potential and
opportunities of the Creative Economy in Indonesia. As the body that handles creative
economy in Indonesia, the Creative Economy Agency (Bekraf) is required to increase the
competitiveness of the national creative economy. Bekraf is also required to be a driver of the
Indonesian economy in the future. Head of Bekraf Triawan Munaf revealed, currently there are
several sectors of creative economy that is growing rapidly and has a high potential to be
developed. “There are three sectors, first fashion, culinary, and crafts (Wardhani, 2010).
Figure 1.1 Indonesia Creative Economy

Source: Badan Pusan Statistik
1
Figure 1.1 describe according to data center statistics Indonesia, fashion industry which
become contributor of creative economy second GDP after culinary industry and fashion
industry become biggest export contributor in Indonesia creative economy. The GDP of
creative economy created in 2015 is 852 trillion rupiah. The Creative Economy grew by 4.38
percent and its growth rate will continue to increase (http // bekraf.go.id).
Figure 1.2 Creative Economy Export Sector

Source: Badan Ekonomi Kreatif
As can be seen in Figure 1.2 in the national export balance Creative Economy is included
in the category of non-oil and gas exports. In 2014-2015 non-oil / non-gas exports have
declined, although in that year exports in the Creative Economy has strengthened. As can be
seen in figure 2, West Java is the first province of product exporters in the Indonesia creative
industry. Bandung is one of the big city in West Java, and Bandung known as the city of
fashion, it becomes the allure of travelers to visit Bandung. Bandung was chosen to be one of
the Destination Branding by the Ministry of Tourism of the Republic of Indonesia
(KEMENPAR) in introducing Wonderful Indonesia on an international level. This selection is
given based on tourism potential owned by Bandung, where Bandung is very superior in
fashion tourism (Miftah, 2017).
Currently, fashion industry in Bandung is very competitive, the company involved in this
industry not only compete with local companies, but also compete with foreign brands whose
have the same market share that segmenting such as H&M, Pull & Bear, Bershka, and Zara
(Linchia, 2018). It makes the businessmen involved in its industry need to improve and
evaluate the performance of their company to remain competitive. When the environment is
dynamic or unpredictable, firms are especially challenged to revise their routines (March,
1991). Helfat (1997) suggests that organizational capabilities allow firms to create new
products and processes and respond to changing market circumstances.
2
Guten Inc is a local fashion brand from Bandung that was established in 2011. Guten Inc
now has five stores spread across Indonesia, while its headquarters are in Bandung. Guten Inc
aimed to become reputable, and well-known brand in both local and international market.
Guten Inc objectives is provide the best fashion necessity to suit their consumer lifestyle by
merge both local talent in the industry and an impeccable design originated from their studio
which relevant to current trend by deeply concerning to offer an outstanding quality and
comfortable product. There are several problems within internal Guten Inc, majority of the
problem arise regarding organizational capability such as Guten Inc doesn’t have clear a
structure organization that able to describe the function of coordination. The internal problem
within Guten Inc become an obstacle to achieve company objective.
Saint-Amant and Renard in Stojković, Kovač, Mitić (2014) define organizational
capabilities as know how to act, potentials of action which results from the combination and
the coordination of resources, knowledge and competencies of organization through the value
flow, to fulfil strategic objectives. Ulrich and Norm (2004) stated that organizational
capabilities are a type of key intangible assets to gain competitive advantage. The same author
claim that organizational capabilities emerge when a company delivers on the combined
competencies and abilities of its individuals. Kelchner (2016) sees organizational capability as
the company’s ability to manage resources, such as employees, effectively to gain an advantage
over competitors.
Due to the lack of company awareness and knowledge about the importance of
organizational capabilities, this research aims to identified and evaluate organizational
capabilities through organizational capabilities assessment and formulate recommendation for
Guten Inc to improve their capability.
1.2 Company Profile
Guten Inc is a local fashion brand from Indonesia that was established in 2011. GUTEN
comes from the German language that has a good meaning, solid, sharp, and qualified. Guten
Inc. defines its name as a new fashion brand that is widely praised for its concept and design
that ensures the convenience and happiness of consumers by representing themselves. Guten
Inc now has four stores spread across Indonesia. while its headquarters are in Bandung located
on Jl. Cihampelas No.53. Logo of Guten Inc can be seen on Figure 1.3.
Figure 1.3 Guten Inc Logo

Source: www.guteninc.com
3
Guten Inc aimed to provide the best fashion necessity to suit their consumer lifestyle.
Guten Inc objectives is to merge both local talent in the industry and an impeccable design
originated from their studio which relevant to current trend by deeply concerning to offer
an outstanding quality and comfortable product.
Guten Inc initially is just selling leather shoes for men. As time goes by the increasing
number of sales year after year, Guten Inc is currently expanding their business by
producing clothes, socks, belts, wallets, bag, shirts, pants, jacket, eyeglasses and watches.
Guten Inc. is currently also expanding their segmentation by producing women's shoes and
clothing
1.2.1 History
Initially, the company was founded by four young people who initially interested
in the fashion world in particular shoes and want to try to open a small firm. The first
product offered by Guten Inc. is a men's product in the form of leather-based shoes. This
product is first marketed directly (by word of mouth) and through social media. At the
beginning of his time, Guten Inc only produce approximately 10 pieces of leather-based
men's shoes with the target marketing is young people.
As time goes by this leather-based leather product began to attract many people.
This makes Guten Inc encouraged to increase the number of production and multiply the
type of goods sold such as ready to wear parka clothing, leather jacket, T-Shirt, belt,
sandals and wallets.
Products sold by Guten Inc are semi-handmade products that are produced in
Bandung by relying on SME workers from Cibaduyut shoe centers. Established since
2011, Guten Inc consistently produces authentic leather-based boots (100 percent
genuine leather) can be seen on figure 1.4. Their first edition of footwear products are
Puntondas, Navy BlueJane, Derby Roterm and Losari Chukka.
Figure 1.4 Guten Inc Flagship

Source : www.Guteninc.com
4
In 2013 the founders of Guten Inc decided to vacuum for a year due to internal
management problems within the company. In 2014 Guten Inc. was revived by its
founders this time with a mature and fixed concept of marketing and sales focus through
online media. In the same year Guten.inc introduces its official website
www.Guteninc.com which contains information on all products such as product
description, price, size, product image, product availability, and product purchases can
also be made through the website.
Guten Inc routine for advertising in various online media, especially in social
media Instagram by installing ads in social media that has a large number of followers
and enthusiasts such as @Dagelan and @Infia_fact account and endorse to some
Instagram users who have a number of followers and many enthusiasts and both domestic
and abroad there are also some artists that have a large number of followers, with this
strategy Guten Inc shoes product sales quite rapidly developed not only in Indonesia
alone product sales also to foreign countries such as, Malaysia, Singapore , and Australia.
By looking at the large number of final sales by 2015, Guten Inc's management
decided to open the warehouse and offline store for the first time in order to store products
and to sell products directly. Until now Guten Inc has 5 Warehouse and offline store is
located on Jl. Cihampelas No.53. As time goes by, Guten Inc grows rapidly and has other
stores that are on Jl. Haji Bau No.40, Makassar, Jl. Rawa Belong No.80 (front of Tarsisius
2), West Jakarta and Jl. Tebet Raya No.57, Tebet Timur, Tebet, South Jakarta, and the
new store that located one of the centers of city in Makassar Jl. Boulevard. The milestone
history of Guten Inc can be seen in Figure1.5
Figure 1.5 Milestone History of Guten Inc
5
1.2.2 Vision and Mission of Guten Inc
Guten Inc is one of the startups local brand of Indonesian fashion. This fashion
company has not had a written vision. However, based on the results of interviews to
the CEO of this company the vision to be achieved by this company is as follows:
• Vision
To be one stop shopping company from Indonesia which is reputable and famous
both in Indonesia and internationally.
• Mission
Continually create products at affordable prices with world quality " by merge both
local talent in the industry and an impeccable design originated from our studio
which is relevant to current trend by deeply concerning to offer an outstanding
quality and comfortable product
1.2.3 Organizational Chart of Guten Inc
The picture below illustrates the current organizational structure of Guten Inc.
Guten Inc. is led by two CEOs. Under the supervision of the CEO there are three main
divisions: CMO (Chief Marketing Officer), COO (Chief Operation Officer), and CFO
(Chief Financial Officer). Of the three main divisions, there are several parts that play
a role in the running of the company. The number of permanent employees Guten Inc
currently amounts to 29 people.
CEO
CMO COO CFO
Sales Analyst Logistic Inventory & Budgeting/ Payroll

Advertiser Distribution R&D Accounting
Marketing Logistic Manager Bunker Officer
Manager
Figure1.6 Organizational Chart Guten Inc

Source: Internal Guten Inc
1.2.4 Product of Guten Inc

At the beginning of its establishment, Guten Inc. produces only produce genuine
leather men's shoes. As goes time this business has successfully increase their
revenue, Guten Inc has been selling a wide range of products for both men and
6
women. Guten Inc. is known as a company that produces quality materials that make
this company has a strong brand image in the eyes of its customers.
Guten Inc leather shoes products are relatively cheap compared to other leather shoes
by their competitors who are at the same level. The products offered by Guten.inc
have western style concept especially on leather shoes that become company flagship.
In addition, Guten Inc also provide a special warranty for shoes products.
Figure 1.7 Guten Inc Product

Source: Guteninc Instagram
1.3 Business Issue

Guten Inc is a local fashion brand from Bandung that was established in 2011. Guten Inc
now has five stores spread across Indonesia, while its headquarters are in Bandung. Guten Inc
aimed to become reputable, and well-known brand in both local and international market. And
Guten Inc objectives is provide the best fashion necessity to suit their consumer lifestyle by
merge both local talent in the industry and an impeccable design originated from their studio
7
which relevant to current trend by deeply concerning to offer an outstanding quality and
comfortable product. The table of competitor analysis that comparing Guten Inc with their
competitor in order to identified Guten Inc strength and weakness can be seen in Table 1.1
Table 1.1 Competitor Analysis
Among the three companies in the table above, Amble footwear is the first company
establish followed by Brodo and Guten Inc. Based on a survey conducted by the authors of
each company's website, Guten Inc is a company that produces various types of products
offered to consumers while amble is not too have various types of products offered to
consumers. Based on the price of the three startups above, Brodo is a brand that sells its
products with the most expensive price and Guten Inc is a brand that sells its products below
the price of its competitors (Brodo and Amble). Among the three startups above, Brodo had
the most offline store located in Jakarta, Bekasi, Bandung, Makassar, and Surabaya, Guten Inc
has five offline stores located in Bandung, Jakarta and Makassar, and Amble has only one
offline store located in Bandung. The three startups above distribute their products through
online and offline media, Amble has nine distribution channels (Instagram, Facebook,
Goodsdept (3), Offline store, Line, Tokopedia, Website), Guten Inc has 11 distribution
channels (Instagram, Facebook, five Offline Store, Line, Tokopedia, Website, Shopee) and
Brodo has 15 distributions channels (Instagram, Facebook, seven Offline Store, Tokopedia
Line, Website, Blibli, Shopee, Bukalapak). Based on survey by visiting all those startup social
media, Brodo is a startup that has the most followers in social media followed by Guten and
Amble. In summary based on competitor analysis, Guten Inc competitive advantage is first
Guten Inc offer an affordable price and second Guten Inc has more variety of product than their
competitor, but that’s all not enough if Guten Inc wants to achieve company objective. As can
be seen on Table 1.1 Brodo is the company that still dominate the market shares.
If have a look from customer perspective of Guten Inc, according to some consumers
who were randomly selected to interview about products from Guten Inc. From the results of
the interviews, the majority of consumers who have been interviewed said that they use
8
products from Guten Inc. because the price offered is quite affordable but 3 out of 5 informants
interviewed said that they are not satisfied with Guten Inc products, the reason is majority
because there is a defect in the product they have received. The phenomenon is in accordance
with customer service data that has been obtained in 2017. According to data collection among
2017, there were 600 customers who reported complaints about product services from Guten
Inc. Based to the results of Interview with CS officer Guten Inc, it is found that many customers
requesting exchange of Guten Inc product because customers get defect products. This is one
of the reasons that caused Guten Inc still cannot compete with its main competitor and Guten
Inc still cannot achieve the sales target. CEO of Guten Inc stated that target sales of Guten Inc
in every month must reach one billion rupiah. Figure 7 is about number of sales of Guten Inc
in every month.
Sales Chart
1800 1639
1600
1400
1200 1022
930 977
1000
765 738 863 845 779 874
800 615
600 518
395
400
200
0
Sales (IDR) Target
Figure 1.7. Guten Inc Sales
As can be seen in Figure 1.7 from April 2017 until April 2018 Guten Inc only reach their target
on December 2017 is around 1,6 billion and January 2018 is around 1 billion. The
external issues that have been discussed before, caused by several problems that exist within
Guten Inc internal management. From conduct an interview with internal management Guten
Inc, this below are several internal problems within Guten Inc:
• During Guten Inc established in 2011, Guten Inc doesn’t have Human Resource division.
The absence of HR division causes Guten Inc does not have a clear system like the
organizational structure and job description of employees. This is due to the lack of
awareness of the top management of the company. The absence of structure organization
9
and job description causes employees to be less confident in their work, and there are
even some employees performs two different jobs and this problem sometimes make lack
of collaboration among the employee within the company.
• As like mentioned before that Guten Inc does not have a clear organizational structure
and job description. This problem makes difficult for companies to measure the
performance of their employees so that the company does not provide rewards and
training to its employees. The absence of an evaluation of employee performance
indirectly can affects the company's performance.
• Guten Inc does not currently have a clear hire and recruitment system. Guten Inc usually
performs recruitment only on the basis of recommendations, no standards and systems
are the basis of hire and recruitment processes. The impact of this situation is many
employees lack of integrity. According to interview with CEO, there are quite a lot of
workers are fired because of cheating. This can affect the performance of the company
because the existing employees who working on Guten Inc are not filtered properly
before working in the company.
Bangun (2010) proved in their research that organizational capability plays a role as a
predictor of the performance of companies. Therefore, it can be suggested that companies must
pay attention to and attempt to ensure that the capabilities of the organization are found in the
organization, especially the organizational capability elements with the most powerful and
positive influence on the desired organizational performance. The importance of organizational
capabilities at the company is to create an intangible value such as competitive advantage and
can improving company performance (Ulrich and Smallwood, 2004). Helfat (1997) points out
that an organizational capability refers to an organizational ability to perform a coordinated
task, utilizing organizational resources, for achieving a particular result.
Therefore, this research will seek to identify the organizational capabilities of Guten Inc
by conduct a capability assessment in Guten Inc to help company improve their performance
and achieve company objective.
1.4 Objective Research
The objective of this research is:
1. To identify company’s capabilities by assessing capabilities
2. To determine desired capability of PT. Guteninc Group.
3. To determine what capability need to improve.
10
1.5 Limitation Research
Determination of problem limitation in this research aims to simplify the scope of research
problems and so that the problems under research can be more focused. This research only
focuses on organizational capability that related to human resource management and This
research only produces the recommendation and implementation.
11
CHAPTER II
BUSINESS ISSUE EXPLORATION
2.1 Conceptual Framework
The conceptual framework used to give broader view about the process of strategy
formulation in this research that consist of several stages and interconnected with each other.
The framework can be seen on Figure 2.1.
Business Overview
Employee Interview Preliminary Study Customer Prespective
Problem Identification
Interview with Top

Business Issue Exploration Literature Review
Management
Perform OC Assessment
Result Analysis
Conclusion and
Recommendation
Implementation Plan
Figure 2.1 Conceptual Framework
2.1.1 Business Overview

Is an activity to observe the industry of the object to be studied. In this research the
object is PT. Guteninc Group engaged in the field of fashion. Companies engaged in the
fashion categorized within creative industry, because the production of products utilizing
creative ideas. Observations started from viewing the development of Indonesian creative
industry and continued on the development of the existing fashion industry in Indonesia.
12
2.1.2 Preliminary Study
Preliminary study is a study undertaken to sharpen the direction of the main study.
In this research the preliminary study was conducted by doing an interview with several
workers of Guten Inc and doing interview with several customers. In the end the researcher
can determine the object of the research
2.1.3 Problem Identification
Problem identification is the stage to identify the problems faced by the object of
research, which is PT Guteninc Group and this stage will be useful to facilitate researcher
in determining the research steps.
2.1.4 Business Issue Exploration
Business issue exploration is the stage where researcher to be more focus to learn
about the issue that company faced by doing study literature dan focus group discussion.
Study literature is a tools of collecting data by studying theories that exist in the literature
either in the form of books, research journals, and previous thesis used as the foundation of
theoretical thinking related to research as well as supporting the results of research. While
Top management interview in this step is to gaining data from the object of the research
which is PT Guteninc Group. In this research, organizational capability is become a
theoretical foundation.
2.1.5 Organizational Capabilities Assessment
Organizational capabilities assessment is a tool to measure intangible asset, identify
company’s capabilities and for improve company performance by using 11 question generic
capabilities (Talent, Speed, Shared mind-set, Accountability, Collaboration, Learning,
Leadership, Customer connectivity, Strategic unity, Innovation, Efficiency) that will collect
to company employee. Before performing capabilities assessment, there are several things
to do. First is to determine the model that be used in order to create the content of assessment
capabilities audit in this research the content that be used is based from several model. After
that is to simply the model that be used by using factor analysis. For performing desired
capabilities assessment, this research using AHP tools to rank the priority the capability that
company consider important for improving performance management.
2.1.6 Result Analysis
After assessing the capabilities audit the next thing to do is to analyze the results of
the capabilities audit. The results of the analysis will provide the company's current
capability and gap between current and desired capability.
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2.1.7 Conclusion and Recommendation
Based on the results of research conducted using questionnaires and interviews, after
that, make the conclusions and suggestions. The conclusion will answer the purpose of the
research that has been established at the beginning. The conclusion is taken by considering
the results obtained from the research supported by the theory as the basis for thinking.
Suggestions are given to PT Guteninc Group and for further research.
2.1.8 Implementation Plan
Implementation plan is an activity to make some plan that can be applied by
company to improve company performance. Implementation plan is a tool to support
strategic plan. An implementation plan breaks each strategy into identifiable steps, assigns
each step to one or more people and suggests when each step will be completed.
2.2 Theoretical Background
2.2.1 Human Resource Management
Human resource is become most important thing in organizations. According to
Khan, Awang, Zulkifli (2013) there are many researchers are agreed that human resource
management is become potentially one of the significant sources of sustainable competitive
advantage. The organizations should understand and know how to manage or improve their
human resources in order to achieve their goal. According to Snell & Bohlander (2010:4)
Human Resource Management is the process of managing human talent to achieve an
organization’s objective.
HR Departments responsibilities are employment and recruiting (interviewing
recruiting, testing, temporary labor coordination), training and development (orientation,
performance management skills training, productivity enhancement), compensation (wage
and salary administration, job descriptions, executive compensation, incentive pay, job
evaluation), benefits (insurance, vacation leave administration, retirement plans, profit
sharing, stock plans), employee services (employee assistance programs, relocation
services, outplacement services), employee and community relations, and person (attitude
surveys, labor relations, publications, labor law compliance, discipline), personnel records
(information systems, records), health and safety (safety inspection, drug testing, health,
wellness), and strategic planning (international human resources, forecasting, planning,
mergers, and acquisitions). (Raymond A. Noe et al, 2010).
14
2.2.2 Organizational Capabilities
According to Barney (1991) Hunt the notion of organizational capabilities has been
developed within the resource-based view of the firm (As cited in Ticha 2010).
Organizational capabilities are defined as an organization’s capacity to deploy its assets,
tangible or intangible, to perform a task or activity to improve the performance (Maritan
2001)
Saint-Amant and Renard as cited in Stojković, Kovač, Mitić (2014) define
organizational capabilities as know how to act, potentials of action which results from the
combination and the coordination of resources, knowledge and competencies of
organization through the value flow, to fulfil strategic objectives. Ulrich and Smallwood
(2004) stated that organizational capabilities are a type of key intangible assets. The same
author claim that organizational capabilities emerge when a company delivers on the
combined competencies and abilities of its individuals. Kelchner (2016) sees organizational
capability as the company’s ability to manage resources, such as employees, effectively to
gain an advantage over competitors. According SABPP (2016) the concept of
“Organizational Capabilities” is integrated with areas of employee engagement, career
management, performance management, skills development, productivity and talent
management.
Ticha (2010) define that organizational capabilities can play the following roles in
an organization by Strengthening competitive advantage through building strategy on
understanding of the strengths and weaknesses of the workforce, Establishing the human
resources Development function as a strategic partner. In this way, organizational capability
acts as a linchpin between strategy and human resources, therefore, HR become a proactive
source of competitive advantage rather than reactive in focusing on the performance gaps
by driving organizational outcomes, such as stakeholder satisfaction and customer
satisfaction, Improving person-organization fit from selection process, more favorable
employee attitudes, and reinforcement of the appropriate organizational design,
Communicating valued behaviors, raising competency levels and reinforcing positive
values. In view of why organizational capabilities are important, it links the entire company
business plan to the capabilities required to achieve business success. These organizational
capabilities are integrated in the company’s ability to deliver on combined competencies
and abilities of its employees (SABPP 2016).
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2.2.3 Organizational Capability Elements
Organizational capabilities are a result of the combined influence of multiple inputs.
It is not the sum of those influences, but the synergy that arises from the way those inputs
are combined and applied (Stojković, Kovač, Mitić, 2014). There were many researchers
stated about organizational capabilities model such like Akaegbu and Usoro (2017) stated
that, there are five elements of organizational capabilities for organizational success, the
five capabilities are leadership, collaboration, adaptability, creativity, and innovation. And
there are another model that will explain below.
2.2.3.1 Smallwood and Ulrich Model
Beside that Smallwood and Ulrich (2004) have identified 11 capabilities that well
managed companies tend to have. The 11 capabilities are:
• Talent: this capability looks at the organizational ability to attract, motivate
and retain competent and committed people. It looks at the competence that is
acquired through leadership decision making for business needs of today and
future. Leadership competence is required to “buy (acquire new talent), build
(develop existing talent), borrow (access thought leaders through alliances or
partnerships), bounce (remove poor performers), and bind (keep the best
talent).”
• Speed: applies to the organization’s capability and ability to recognize
opportunities and react with agility to make important changes rapidly. Speed
can be tracked from idea inception to actual commercialization.
• Shared mindset and Brand Identity: “We are good at ensuring that
employees and customers have positive and consistent images of and
experiences with our organization”. This capability is the alignment between
internal and external mind-sets, mainly the employees and customers. The
alignment can be tracked with questioning the employees in the line of “What
are the top three things we want to be known for in the future by our best
customers?”. The shared mind-set and brand identity requires a response from
customers and their feedback to the area.
• Accountability: Performance accountability becomes an organizational
capability when integrated in obtaining high employee performance. The
organizational capability is further stretched to the level that failure to perform
or achieve goals would be unacceptable to the company.
16
• Collaboration: Shared services or pooling of services or technologies become
a collaborative organizational capability, as the company becomes good at
working across boundaries. This ensures a higher level of efficiency and
leverage.
• Learning: “We are good at generating and generalizing ideas with impact.
Organizations generate new ideas through benchmarking (that is, by looking
at what other companies are doing), experimentation, competence acquisition
(hiring or developing people with new skills and ideas), and continuous
improvement. Such ideas are generalized when they move across a boundary
of time (from one leader to the next), space (from one geographic location to
another), or division (from one structural entity to another). For individuals,
learning means letting go of old practices and adopting new ones.”
• Leadership: Do companies track their leadership brand? How can this be
done? It is found that companies who have a reputation to consistently produce
effective leaders have a clear and defined leadership brand. This practice
creates a common understanding of what leaders should “know, be and do”.
By monitoring the pool of future leaders, you can track the organization’s
leadership brand.
• Customer Connectivity: This area focuses on building enduring relationships
of trust with targeted customers. Companies use dedicated account teams or
databases that track preferences to build customer connectivity.
• Strategic Unity: Companies should always ensure that they are articulating
and sharing a strategic view point effectively. The three levels that create
strategic unity is intellectual, behavioral and procedural. Monitoring this unity
at an intellectual level is to maintain that employees are communicated the
strategy from top to bottom. The unity is further monitored in terms of
behavioral and processes by linking it to the time employees spend on strategy
and the continual investment in procedures that are essential to the strategy.
• Innovation: “We are good at doing something new in both content and
process. Innovation— whether in products, administrative processes, business
strategies, channel strategies, geographic reach, brand identity, or customer
service—focuses on the future rather than on past successes”.
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• Efficiency: This capability is focuses on the company’s ability to manage
costs well. If leaders do not manage costs with efficiency, then the opportunity
to grow the top line may be lost. “Efficiency may be the easiest capability to
track. Inventories, direct and indirect labor, capital employed, and costs of
goods sold can all be viewed on balance sheets and income statements.”
2.2.3.2 Akaegbu and Usoro
Akaegbu and Usoro (2017) stated that company can improve their performance
by paying attention their capabilities. In their research they determine that there are five
elements of capabilities to organizational success. The capability as following:
• Leadership is the capability to inspire and motivate people to fulfil a mission.
At the top of the organization, it includes directing others while at lower levels,
it is accomplished through influencing others. Your company’s leadership
performance has a lot to do with how much the organization can accomplish in
a given amount of time.
• Collaboration is the ability to work productively with others. At the low end of
performance, collaboration provides the ability to effectively break down
complex tasks and distribute the parts across a group of people or organizations.
At higher levels of performance, collaboration creates organizational synergy,
producing a performance boost where the whole is greater than the sum of its
parts. Some organizations might require a higher degree of collaboration than
others but every organization needs to collaborate at some level.
• Adaptability it is the organization’s ability to give up the existing skills,
processes and technologies that have led to its past success and create new skills
and approaches that ensure success tomorrow. Organizations need to be
adaptable just to survive and highly adaptable if they expect to thrive.
• Creativity describes the organization’s ability to think differently and allow
different thinking to influence day to day and strategic decisions. At the low end
of the performance curve, organizations can be trapped in tradition and best
practices, unable to solve persistent problems. At the high end, they are often
challenged to prioritize among numerous new ideas.
• Innovation it is the ability to translate a good concept into a compelling value
proposition that others are willing to support and invest in. In the same way that
national culture influences individuals’ behavioral dispositions, so also
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organizational culture can activate one’s innovative skills. When innovation
ability is high, companies go beyond innovative products to design innovative
processes, organizational structures, management practices and employment
engagement approaches.
2.2.3.3 Boston Consulting Group Model
Another model developed by Boston Consulting Group (2012). BCS developed
a framework of 20 discrete organizational capabilities into six category that lead to
sustained performance. The framework’s six categories address structural capabilities
such as the organization structure, layers and span control, project management and
business analytics, as well as behavioral capabilities, including leadership performance,
employee performance management, and the company change-management capabilities.
These are the 20 vital topics according BCS that company should adequately capture as
organizational performance.
• Structural design
1. Organization structure: Reporting lines, including profit and loss
accountabilities
2. Role of the center: The corporate center's role with regard to involvement
and leadership
3. Layers and spans of control: The number of people reporting directly to
manager
4. Organizational cost-efficiency: The level of cost-efficiency enables by
organization
5. Shared services, offshoring, and outsourcing: Internal service provider:
cross-country relocation; subcontracting to other companies
• Roles and Collaboration
6. Role clarity: Understanding the roles of responsibilities in the organization
7. Cross-functional collaboration mechanism: Lateral coordination effort
between functions or units
8. Informal/virtual networks: Informal channels for reinforcing culture and
communicating key information
• Process and tools
9. Process excellence/optimization: Processes optimized for high quality,
short processing times, or low cost
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10. Project management: For example, roles, process, and tools
11. Business analytics and information management: Skills, technologies,
applications, and practices to drive business planning
• Leadership
12. Leadership performance: Capable and effective individual leaders and
leadership teams
13. Leadership pipeline: Preparing for the next-generation leadership team
14. Middle-management effectiveness: Middle managers empowers to carry
strategy into the organization
• People and engagement
15. Recruitment and retention: Providing the necessary talent to meet strategic
and growth goals
16. Employee performance management: Systems and processes aligned to
ensure that goal is achieved
17. Employee motivation: The willingness to exert discretionary effort
• Culture and change
18. Change management capabilities: The organization's ability to manage
change effort
19. Adaptability and flexibility: A flexible structure that allows adapting to
external challenges
20. Culture: To set of shared values in an organization
2.2.3.4 Gill and Delahaye Model

This model was developed by Gill and Delahaye (2004) and is based on Three
domains of organizational capability. The three domains are:
• Strategic Intent Domain
The Strategic Intent is the first domain of the model. the sphere of influence
defining the capabilities of people employed, operational processes and future
direction. This is the following characteristic of the strategic intent domain:
1. Explicit direction: Future direction of organizations is made explicit through
the mission statement and/or by the description of the deliverables of
strategic plans.
2. Qualities of workforce: This focuses on the workforce’s qualities through the
knowledge audit report, or indirectly, in job descriptions.
20
3. Inform organizational process: This includes management processes such as
organizational structures and hierarchies, technical systems and the values
and norms of the organization.
4. Inform future direction: information-sharing across the boundaries triggers
the development of the future expertise that the individuals may need to
develop giving the organization the optimum flexibility and the direction for
innovation.
• Organizational Structure Domain
The second domain reflects the Organizational Structures. This domain
represents the traditional HR strategies and processes. There are two
characteristics of the organizational structure’s domain:
5. Meaningful job roles: Alignment of job roles with the strategic intent is
needed to anticipate changes. This allows both the organization and
individuals to be more flexible in how they respond to the movements in the
domains.
6. Guided performance management: guided performance management
explicitly describes how jobs and organizational processes support the
strategic intent, and it can be used as a vehicle for the organizational change
and learning.
• Individual Knowledge Domain
The third domain of this model is the Individual Knowledge Domain. Every
individual who is part of the organization has their own unique knowledge, skills
and abilities (KSA) that they bring to the organization. These KSA reflect the
whole person, of which their work roles are but only one facet. The characteristic
of the individual knowledge domain are as follows:
7. Clearly defined core knowledge, skills and ability: This definition helps the
organization to reach the optimum workforce to support future plans, to
create stability and to provide for the career development.
8. Current and future knowledge network: Knowledge networks need to support
both the current job contexts and the future potential innovations. The
attention to supporting both provides the organization with the added
flexibility in responding to changes in the defined core capabilities.
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2.2.3.5 Capability Model Development
In this research, researchers used several elements of organizational capabilities
as described in some of the models discussed earlier. Furthermore, these elements will
be used as reference for conducting organizational capability assessment and to be a
guide to designing a questionnaire. Before determining the model that would be use in
this research, first things to do is doing synthesis model that can be seen in Figure2.2.
BSC Model
Structural Design
Roles and Collaboration
Process and Tolls
Leadership
People and engagement
Ulrich & Smalwood Gill & Delahaye
Talent Explicit Direction

Speed Qalities of Workforce
Shared mind-set Inform Organizational
Accountability Synthesis Process
Collaboration of Model Inform Future Direction
Learning Meaningful Job Roles
Leadership Guided Performace
Costumer Connectivity Management
Strategic unity Clearly define core KSA
Innovation Knowledge Network
Efficiency
Akaegbu & Usoro
Leadership
Adaptability
Creativity
Innovation
Collaboration
Figure 2.2 Synthesis Model
This research will be use four model that will be combine to perform
organizational capability assessment. Ulrich and Smallwood (2004) identify that there
are 11 elements of capability that company tend to have. In another side In BCG Model
there are defined organizational capability into six broad dimensions, each dimension has
their own characteristic and the total characteristic in this model is 20. Another model is
come from Gill and Delahaye (2004) they divide organizational capability into three
domains, and each domain has their characteristic with 9 total of characteristic. And last
model is from Akaegbu and Usoro (2017) they determine that there are five elements of
capabilities to organizational success.
22
Elements of organizational capabilities used in this research are from the result
of synthesis model based on figure 2.2. In this research majority element that would be
used is from the 11 elements described by Smallwood and Ulrich (2004) consisting of
Talent, Speed, Shared mind-set, Accountability, Collaboration, Learning, Leadership,
Customer connectivity, Strategic unity, Innovation, and Efficiency. The model is used
because the all elements that contained in this model already represent element that
contained in other models, beside that this model is more applicable to perform an
assessment and this model have been used by companies such as Intercontinental Hotel
Group and Boston Scientific to perform capabilities assessment. There are total 14
element that used in this research, those elements can be seen on Figure 2.2.
Figure 2.3 Organizational Capability Model Development

There are three other elements that are added to perform capabilities assessment in this
research, those are elements is Roles Clarity from BCG Model, Inform Organizational
process from the model of Gill and Delahaye (2004), and last is from Akegbu and Usoro
(2017) namely creativity element. Creativity element is added because the object in this
study is a company engaged in the creative industry where there is utilization of creativity
in the process of producing a goods, because of these views researchers include the
element of creativity in conducting organizational capability assessment.
23
2.3 Research Methodology
The assessment of capabilities is a tools that enhance company ability to execute the
strategy by identify company capabilities that most essential to company, and the uncover the
gaps between actual and the desired capability, and devise plan for improving the capabilities
(Ulrich and Smallwood, 2004). The structured question regarding the organizational
capabilities was designed, which means that this research is included in descriptive research.
According to Darmawan (2013), descriptive research aimed at describing an object or activity
that the researcher's attention. Descriptive research is designed to obtain data describing the
characteristics of the topics of interest in the study.
Descriptive research designs are usually structured and specifically designed to measure
the characteristics described in the research question. This study uses quantitative analysis,
according to Priadana & Muis (2009) where quantitative analysis is an attempt to facilitate the
communication of a collection of information on phenomena (phenomena) or events accurately
by means of numbers, to be reasonably acceptable to comply with the principle of feasibility
2.3.1 Research Design
By analyzing the data that be collected within PT Guteninc Group and studying
research journal, articles, and other academic references regarding organizational
capabilities, the assessment of organizational capabilities will be conduct. The result of
assessment is used for identified the current level of capability in PT Guteninc Group. Figure
2.3 is the research methodology process in this final project. The observations started from
viewing the development of Indonesian creative industry and continued on the development
of the existing fashion industry in Indonesia.
Th problem was obtained by doing preliminary study, and the preliminary study
conducted by doing interview with customer and employee. After that the next step is to
doing literature review by exploring organizational capability model, there are four model
that would be used in this research and then in this research will combine the several
elements that exist in that model. The organizational capability development model used to
be a base of designing questionnaire, the organizational capability development model
consist of 14 elements which from Ulrich and Smallwood Model (11 elements), Akaegu and
Usoro Model (1 elements), Boston Consulting Group (1 elements), Gill and Delahaye (1
elements).
24
Business Overview
Chapter 1
Problem
Identification
Exploring OC Model
Chapter 2
Create Content of
Assessment
Determination Factor
(Factor Analysis)
Current Capability Gap Current and Desired Capability

(Descriptive Aanalysis) Chapter 3
Desired Capability (AHP)
Proposed Solution
Conclusion
Chapter 4
Implementation Plan
Figure 2.4 Research Design
After explored and creating content of assessment referring to Organizational

Capability Development Model, the next step is to perform assessment by spread
questionnaire in PT Guteninc Group. This research use factor analysis before measure the
result of assessment. Exploratory factor analysis is a technique to reduce data from the
original variable or the initial variable to a new variable or a factor that is smaller than the
initial variable. After the new factor formed the next step is to measure Organizational
Capability Assessment by spread questionnaire in Guten Inc, this step divided by two which
is measured the current capability assessment and measured desired capability assessment.
The current capability assessment is a number of average scores from respondent answer to
question or statements regarding organizational capability and the desired capability
assessment is measured by using AHP Method to determine which capability become the
priority of the company. To see the gaps between current and desired capability can be done
by compared by looking the current capability assessment score that have a low score and
the result of desired capability that become the priority of the company.
25
2.3.2 Data Collection
Data collection is a very important part of every research activity. This step
objective is to obtain accurate, detailed and reliable data and can be accounted for, then
the data collection techniques used must be precise. In this study, data collection is
collected by using primary data and secondary data , furthermore will be explaining as
follow:
• Primary data in this study comes from the questionnaire distributed to respondents,
respondents referred to in this study there are all employees of PT. Guteninc Group.
• Secondary data in this study are as several studies, journals, articles, and theories
associated with this research. In addition, secondary data in this study also
obtained from records or historical data from the company that became the
object of research.
2.3.3 Sample Selection
According to Sugiyono (2011) A representative sample can be obtained if the
sampling technique is also appropriate. Based on data obtained from internal management
of PT Guteninc Group, currently the company has as many as 38 active employees.
Therefore, the sample technique used in this study used the census technique. The census
technique is a thorough sampling technique for all individuals as members of the population,
this is often done because of the relatively small population. The sample that used in this
research is the employee that work in Guten Inc headquarter which means that the sample
of this research are Guten Inc employee that works in Guteninc Bandung. Thus, the number
of samples in this study is 30 respondents.
2.3.4 Questionnaire Design
In this research to organizational capability assessment obtained by spread
questionnaire to the object of the research. Therefore, in this research the question will
be design by referring organizational capability model development. The questionnaire
design in this research can be seen in Table 2.1.
Table 2.1 Questionnaire Design
Elements Definition Key Word Statement Number
Talent Ability to attract, Attract, 1. I think this company is 1
develop and retain Develop, and able to recruit the best
competent and Retain talent talent.
committed people people 2. I think this company is 2
able to develop its
employee talent.
3. I think this company is 3
able to retain talents
26
who are loyal and
competent.
Speed Ability to recognize Recognize 1. I think this company is 4
opportunities and react opportunity and quick to see
with agility to make React with opportunities and take
important changes agility advantage of
rapidly opportunities to make
changes.
able to process
information quickly
and use information to
make changes.
Shared Ability to ensuring that Positive image 1. I think this company 6
mindset employees and has a good image that
customers have is reflected in the
positive and consistent experience of
images of and employees and
experiences with our consumers.
organization
Accountability Ability to track Performance 1. I think this company is 7
employee performance tracking able to measure the
and company company's
performance. performance
appropriately.
able to measure the
performance of its
employees
appropriately.
Collaboration Ability to collaborate Collaborate 1. I think this company is 9

across boundaries to able to collaborate
gain both efficiency between
and leverage division/units to gain
efficiency and profit.
able to collaborate
with suppliers,
vendors and other
companies for
efficiency and profit.
Learning Ability to generating Generating and 1. I think this company 11
new ideas with impact generalizing can learn from
and generalizing those idea competitors or doing
ideas across experiment to produce
boundaries new ideas.
2. I think this company 12
can learn from
previous successes
and failures to
continue to generate
new ideas.
27
Leadership Ability to track Leadership 1. I think this company is 13
leadership brand by pipeline and able to identify
monitoring the pool of leadership role potential leaders.
future leaders. This 2. I think the leaders in 14
practice creates this company have
common understood their role
understanding of what as leaders.
leader should “know,
be, and do”.
Customer Ability to build Customer 1. I think this company is 15
connectivity enduring relationship feedback able to specifically
of trust with targeted identify consumer
customers needs.
Strategic unity Ability to articulating Discuss 1. I think this company is 16
and sharing strategic strategy able to communicate
view effectively by the strategy plan to all
sharing an intellectual employees.
among employee
within the company.
Innovation Ability to innovate in Innovate 1. I think this company is 17
product, strategy, able to innovate in
channel, service, and developing products.
administration 2. I think this company is 18
able to innovate in
developing business
strategies.
able to innovate in
developing.
distribution channels
able to innovate in
developing services.
capable of developing
administrative
systems.
Efficiency Ability to reduce cost Managing 1. I think this company 22
by managing process, process, people, has a good strategy to
people, and project and project to manage the
reduce cost production process to
reduce production
costs
able to utilize human
resources well in
order to reduce the
company's costs
able to manage the
work plan (project)
well in order to
28
reduce the cost of the
company
Creativity Ability to think Creative 1. I think this company 25
differently and allow has talents that can
different thinking create new ideas that
influence day to day can be used to
and strategic decision improve company
performance.
Roles Clarity Understanding of the Job description 1. I think the company is 26

role’s responsibilities able to give an
in the organization overview to each
employee about the
duties &
responsibilities.
Inform This includes Organization 1. I think this company's 27
organizational management processes structure, SOP, organizational
process such as organizational and Regulation. structure is able to
structures, technical describe the functions
systems and norms of of coordination,
the organization authority, and control
between positions.
2. I think this company's 28
SOP is able to support
the achievement of
efficiency and
effectiveness in work
3. I think the norms or 29
rules in this company
have been able to
reflect fairness
4. I think the norms or 30
rules in this company
have been able to
support employees to
work
2.4 Statistical Evaluation

2.4.1 Validity Test
The validity testing is used to test how well the research instrument measure concept. The
validity test in this research used to find the item on the questionnaire represent what will
be studied or not. To find out each question in the questionnaire is valid or not, it will be
done an assessment of r-hitung which in SPSS is obtained through a table corrected item-
total correlation then it will be compared with r-table with a 5% error rate. In testing the
validity of the authors distributed 30 questionnaires to 30 respondents. The r-table value for
n = 30 respondents with a significance level of 5% (𝜕 = 0.05) is 0.361. The questionnaire
29
was considered valid if the Pearson correlation coefficient was greater than the Pearson
correlation table. The result of validity test can be seen on table 2.2.
Table 2.2 Validity Testing
Statement r-hitung r-table Remarks
Q1 0,760 0,361 Valid
Q2 0,682 0,361 Valid
Q3 0,562 0,361 Valid
Q4 0,677 0,361 Valid
Q5 0,743 0,361 Valid
Q6 0,785 0,361 Valid
Q7 0,645 0,361 Valid
Q8 0,742 0,361 Valid
Q9 0,850 0,361 Valid
Q10 0,672 0,361 Valid
Q11 0,832 0,361 Valid
Q12 0,590 0,361 Valid
Q13 0,521 0,361 Valid
Q14 0,599 0,361 Valid
Q15 0,649 0,361 Valid
Q16 0,849 0,361 Valid
Q17 0,837 0,361 Valid
Q18 0,685 0,361 Valid
Q19 0,850 0,361 Valid
Q20 0,780 0,361 Valid
Q21 0,549 0,361 Valid
Q22 0,563 0,361 Valid
Q23 0,832 0,361 Valid
Q24 0,838 0,361 Valid
Q25 0,607 0,361 Valid
Q26 0,557 0,361 Valid
Q27 0,610 0,361 Valid
Q28 0,713 0,361 Valid
Q29 0,618 0,361 Valid
Q30 0,930 0,361 Valid
Table 2.2 shows the result of validity test of all the statements regarding organizational
capability. All the statements is valid because the result of validity test which is r-hitung is
bigger when compared with the value of r-table which is 0.361. It can be concluding that
all the statements regarding organizational capability can be used in subsequent research.
2.4.2 Reliability Test

Reliability testing is to find out how far the measurement results remain consistent,
if the measurement is done twice or more with the same symptoms using the same
30
measuring tools (Siregar, 2013: 55). Reliability testing is carried out on questions that have
been through validity test and then analyzed using alpha Cronbach technique. According to
Triton (2005). According to Sekaran (2006: 182) questionnaire variables are considered
reliable if the Cronbach Alpha reliability coefficient value (α) counts closer to 1.0 the better
if it is acceptable in the range of 0.70 and more than 0.80 is good.
Table 2.3 Reliability Test
Cronbach's Alpha N of Items
0,963 30
Based on the results of the reliability test in Table 2.3 above, it can be seen that the value of
Cronbach’s alpha is 0.963 (greater than 0.7) so it can be concluded that the statement items in
this study are reliable.
2.4.3 Factor Analysis
Factor analysis can be used to identify the structure of relationships between variables
or respondents. By looking at the correlations between variables, so that they can know the
underlying latent dimensions. (Simamora, 2005) According to Hair et al (2010) in Wardanhi
(2015) there are two approaches in factor analysis, namely Exploratory Factor Analysis (EFA)
and Confirmatory Factor Analysis (CFA). Confirmatory Factor Analysis is used to confirm or
confirm the theory in the sense of confirming the variables that are in theory. Theory is needed
to determine the relationship between theory and factor with reality (Hair, 2010). Exploratory
Factor Analysis (EFA) examines and provides research with information about how many
factors are needed to represent data without theory. With EFA, all measured variables are
associated with each factor with an estimated loading factor. Simple structures can be generated
when each measurable variable produces high loading in just one factor and has a low loading
on other factors. A distinctive feature of EFA is that the factors come from statistical results,
not from theory. EFA is done without knowing how many factors are formed or the factors
formed are not determined in advance. In EFA, theory is not needed to obtain factors (Hair et
al, 2010).
This study uses EFA as a factor analysis approach before perform a capability assessment. This
study does not use the CFA factor analysis approach because CFA is a proof of a theory that is
the basis of research, while in this study uses several elements from three different research
models based on the development of models from Ulrich and Smallwood. Exploratory factor
analysis is a technique to reduce data from the original variable or the initial variable to a new
31
variable or a factor that is smaller than the initial variable. That is why research uses the EFA
factor analysis approach to form factors and reduce data before carrying out organizational
capability assessment.
32
CHAPTER III
BUSINESS SOLUTION
3.1 Respondent Profile
This section describes the respondent’s general description at PT Guteninc Group which
30 people, with a questionnaire spread. In this research, the primary data collected aims to find
out the identity of respondents. Respondent profile in this research is needed to know the
background of respondents who later can be used as input for research results. The respondent
profile in this research is divided into four group which is respondent profile by Gender, by
Last Education, by Division, and by Length of Work.
3.1.1 Respondent Profile by Gender
Table 3.1 Respondent Gender
Gender Frequency Percentage

Male 17 57
Female 13 43
Total 30 100
Gender
43%
57%
Male Female
Figure 3.1 Frequency Distribution Chart Based on Respondent Gender

Based on Table 3.1, can be seen from 30 respondents, the majority of the respondents
are male with total 17 people; 57%. While, the rest of it are female with total 13 people;
40%.
3.1.2 Respondent Profile by Education Level
Table 3.2 Respondent Education
Education Frequency Percentage

SMA/SMK 13 43
Diploma 2 7
Sarjana 15 50
Total 30 100
33
Education
43%
50%
7%
SMA/SMK Diploma Sarjana
Figure 3.2 Frequency Distribution Chart based on Respondents Education Level

Table and Figure 3.2 shows that on the characteristics of respondents based on
educational level, respondents with bachelor last education as many as 15 people with
a percentage value of 50%, respondents with high school last education as many as 13
people with a percentage value of 43%, and respondents with Diploma education as
many as 2 people with a percentage value of 7%.
3.1.3 Respondent Profile by Position
Table 3.3 Respondent Position
Position Frequency Percentage

Marketing 10 33
Operation 16 53
Finance 2 7
CEO 2 7
Total 30 100
Position
7%
7%
33%
53%
Marketing Operation Finance CEO
Figure 3.3 Frequency Distribution Chart based on Respondents Position
34
Table and Figure 3.3 shows that on the characteristics of respondents based on
respondent position, respondents in operational department as many as 16 people with
a percentage value of 53%, respondents in marketing department as many as 10 people
with a percentage value of 33%, and respondents in finance department and CEO of
the company as many as 2 people in each position with a percentage value of 7% of
each position.
3.1.4 Respondent Profile by Length of Work
Table 3.4 Respondent Position
Length of
Work Frequency Percentage
< 1 Years 0 0
> 1 Years 30 100
Total 30 100
Lenght of Work
0%
100%
< 1 Years > 1 Years
Figure 3.4 Frequency Distribution Chart based on Respondents Length of Work

Table and Figure 3.3 shows that on the characteristics of respondents based on length
of work, in this research all the respondents already work for more than one year.
3.2 Factor Analysis
3.2.1 Measurement of Communalities
Communalities are the amount of variance of a variable. Communalities
indicate the effective contribution of each variable to the factors that are formed.
Communalities requirements are greater than 0.5. If there is a variable with the
extraction value in the communalities table <0.5, then the variable does not meet the
community standard and must be removed from the test for further testing without
including the variables that do not meet these requirements.
35
Table 3.5 Communalities Organizational Capability
Communalities Communalities
Initial Extraction Initial Extraction

Talent_1 1,000 0,839 StrategicU_1 1,000 0,857
Talent_3 1,000 0,915 Innovation_1 1,000 0,931
Talent_2 1,000 0,751 Innovation_2 1,000 0,811
Speed_1 1,000 0,878 Innovation_3 1,000 0,960
Speed_2 1,000 0,852 Innovation_4 1,000 0,758
SharedM_1 1,000 0,740 Innovation_5 1,000 0,837
Accountability_1 1,000 0,675 Efficien_1 1,000 0,742
Accountability_2 1,000 0,851 Efficien_2 1,000 0,960
Collaboration_1 1,000 0,960 Efficien_3 1,000 0,865
Collaboration_2 1,000 0,844 Crative_1 1,000 0,780
Learn_1 1,000 0,960 Roles_1 1,000 0,720
Learn_2 1,000 0,742 Organization_1 1,000 0,780
Leader_1 1,000 0,906 Organization_2 1,000 0,881
Leader_2 1,000 0,753 Organization_3 1,000 0,868
Customer.Co_1 1,000 0,695 Organization_4 1,000 0,929
Table 3.5 shows that 30 variables that have been tested have fulfilled the requirements
of communality, because the value of the extraction owned by each variable shows values>
0.5. For Talent_1 items, the value is 0.839, which means that 83.9% of the variance in t he
Talent_1 item can be explained by the factors that are formed later. The Talent_2 item
shows a value of 0.751, which means that 75.1% of the variance in the Talent_2 item can
be explained by the factors formed later. This is the same as for other items, provided that
the larger the item's communalities, the more closely related the factors that are formed.
3.2.2 Determine the Number of Factor
In this study the procedure is used to determine the number of factors seen based
on eigenvalues. In this approach, only factors with eigenvalues are greater than one
that is maintained, if smaller than one, the factors are not included in the model. An
eigenvalue shows the magnitude of the contribution of a factor to the variant of all
original variables (Supranto 2010: 314). Based on table 3.6 there are 30 items included
in the factor analysis. Table 3.6 shows that from a total of 30 components that have
eigenvalues above 1 there are six components. This means that out of a total of 30
variables in the study will form six new factors.
36
Table 3.6 Total Variance Explained
Extraction Sums of Squared Rotation Sums of Squared
Initial Eigenvalues Loadings Loadings
% of Cumulative % of Cumulative % of Cumulative

Component Total Variance % Total Variance % Total Variance %
1 15,413 51,376 51,376 15,413 51,376 51,376 10,328 34,427 34,427

2 4,445 14,816 66,191 4,445 14,816 66,191 4,336 14,453 48,880
3 1,491 4,969 71,160 1,491 4,969 71,160 3,354 11,179 60,058
4 1,378 4,593 75,753 1,378 4,593 75,753 3,057 10,191 70,249
5 1,204 4,015 79,768 1,204 4,015 79,768 2,381 7,938 78,187
6 1,108 3,693 83,461 1,108 3,693 83,461 1,582 5,274 83,461
7 ,844 2,812 86,274
8 ,786 2,619 88,892
9 ,755 2,517 91,410
10 ,447 1,491 92,901
11 ,416 1,387 94,288
12 ,398 1,325 95,613
13 ,285 ,951 96,565
14 ,215 ,716 97,281
15 ,176 ,588 97,868
16 ,161 ,538 98,406
17 ,138 ,458 98,865
18 ,092 ,308 99,173
19 ,080 ,268 99,441
20 ,047 ,156 99,596
21 ,039 ,131 99,727
22 ,031 ,102 99,829
23 ,019 ,063 99,892
24 ,016 ,054 99,946
25 ,008 ,028 99,973
26 ,005 ,016 99,989
27 ,003 ,011 100,000
28 ,000 ,000 100,000
29 ,000 ,000 100,000
30 ,000 ,000 100,000
Extraction Method: Principal Component Analysis.
37
3.2.3 Result of Factor Analysis
After determining the number of factors that will be formed, the next thing is to
determine the relationship of each factor (component) with the individual variables. In
table 3.7 shows the results of loading factors after factor rotation with the varimax
method.
Table 3.7 Rotated Component Matrixa
Component
1 2 3 4 5 6
Speed_1 0,906
Innovation_3 0,904
Collaboration_1 0,904
Innovation_1 0,862
Efficien_1 0,847
Efficien_2 0,837
Learn_1 0,837
Crative_1 0,836
Talent_1 0,803
Innovation_2 0,785
StrategicU_1 0,755
SharedM_1 0,685
Organization_4 0,647 0,464
Speed_2 0,622 0,471
Innovation_4 0,525 0,448
Leader_1 0,848
Talent_3 0,847
Organization_3 0,847
Accountability_2 0,576 0,551
Efficien_3 0,430 0,499
Roles_1 0,737
Talent_2 0,412 0,676
Learn_2 0,663
Collaboration_2 0,819
Leader_2 0,418 0,649
Customer.Co_1 0,625
Accountability_1 0,462 0,512
Innovation_5 0,403 0,748
Extraction Method: Principal Component Analysis.
Rotation Method: Varimax with Kaiser Normalization.
a. Rotation converged in 23 iterations.
In Table 3.7 shows the results of the rotation of the factors which show a clearer
and more obvious distribution of items. Through rotation, the factor matrix is converted
into a simpler matrix, so that it is easily interpreted (Supranto, 2010: 325). The strength
of the correlation was determined by the value of loading ≥ 0.40. In Table 3.7 the factor
loading value has been sorted from the largest value to the smallest value. The value
38
of the loading factor in each variable that is formed has entered the formed factor, if
there are > 1 variable in one factor, the largest factor loading value will be taken as an
example which can be seen in Table 3.7, the Speed_2 variable shows the results in the
two components , component one with factor loading value of 0.622 and component
four with factor loading value of 0.471 then Speed_2 variable can be concluded that
the item included into the first factor because the value of loading factor on the first
factor is greater than the value of the fourth factor, as well as other variables .
So it can be concluded that there are 6 new factors formed from the results of factor
analysis, in Component 1 namely Process and Culture consists of 15 variables (Speed_1,
Innovation_3, Collaboration_1, Innovation_1, Efficien_1, Efficien_2, Learn_1,
Creative_1, Talent_1, Innovation_2, StrategicU_1, SharedM_1, Organization_4,
Speed_2, Innovation_4) Component 2 namely Leadership and Management consists of
5 variables (Leader_1, Talent_3, Organization_3, Accountability_2, Efficien_3),
Component 3 namely Structure and Design consists of 4 variables (Roles_1, Talent_2,
Organization_2, Learn_2), Component 4 namely Communication and Role consists of
3 variables (Collaboration_2, Organization_1, Leader_2), Component 5 namely
Measurement and Tools consists of 2 variables (CustomerCo_1, Accountability_1), and
Component 6 namely Innovation consists of 1 variable (Innovation_5). The result and
the name of the new factor that formed can be seen in Table 3.8.
Table 3.8 Result of Factor Analysis
Speed and Leadership and Structure and Communication Measurement and Administrative
Innovation Mangement Design and Role Tools Capability
Speed_1
Innovation_3
Collaboration_1
Innovation_1
Efficien_1
Efficien_2 Leader_1
Roles_1
Learn_1 Talent_3 Collaboration_2
Talent_2 Customer.Co_1
Crative_1 Organization_3 Organization_1 Innovation_5
Organization_2 Accountability_1
Talent_1 Accountability_2 Leader_2
Learn_2
Innovation_2 Efficien_3
StrategicU_1
SharedM_1
Organization_4
Speed_2
Innovation_4
39
3.3 Organizational Capability Assessment
In this session will be discussing about respondent response overview about
organizational capability, it’s aims to get an overview of the responses of respondents about
company’s capability. Through the overview of the data will be identify Guten Inc capability
and for the data questionnaire to be more easily interpreted then done categorization of the
average score of respondent. It is useful to provide a comprehensive overview about
Organizational Capability that consist of 6 variable which are Process and Culture, Leadership
and Management, Structure and Design, Communication and Role, Measurement and Tools,
and Innovation.
Responses to each statement categorized into 4 categories, using Likert Scale: Very
Good, Good, Not Good, and Not Very Good. Those 4 categories are used as basis in the
calculation of assessment, i.e. with a maximum value of 4, minimum 1 so the interval will be
(the maximum minus the minimum) divided 4, so the interval becomes 0.75. Based on that, it
gets the assessment criteria or the range of values in each variable through the average
calculation. The range of values used can be seen in Table 3.9. After that then inserted into
continuum line which can be seen in Figure
Table 3.9 Respondent Response Score
Rannge Value Variabel
3,26 - 4 Very Good
2,6 - 3,25 Good
1,76 - 2,5 Not Good
1 - 1,75 Not Very Good
Not Very Good Not Good Good Very Good
1 1,75 2,5 3,25 4
Figure 3.5 Continuum Line

In this research data from each variable is collected through questionnaires that are outlined in
the form of indicators. The questionnaire consisted of 30 items of statements regarding
organizational capabilities with 15 items statements details of Process and Culture variable, 5
item statements of Leadership and Management variable, 4 item statements of Structure and
Design variable, 3 item statements of Communication and Role variable, 2 item statements of
Measurement and Tools variable, and 1 item statements of innovation variable.
40
3.3.1 Capability Assessment Result (Current)
3.3.1.1 Speed and Innovation Capability
To be able to know the description of the Speed and Innovation capability, can
be seen through Table 3.10 in the form of calculation of respondent response. The
table contains the result of processing the perception of 30 respondents.
Table 3.10 Respondent Response Regarding Speed and Innovation Capability
Scale of The Questionnaire
Total ∑ Average
No SS S TS STS Category
Score n Score
4 3 2 1
1 15 14 0 1 104 30 3,47 Very Good
2 19 10 0 1 108 30 3,60 Very Good
3 19 10 0 1 108 30 3,60 Very Good
4 19 10 1 0 109 30 3,63 Very Good
5 21 8 1 0 111 30 3,70 Very Good
6 20 9 1 0 110 30 3,67 Very Good
7 20 9 1 0 110 30 3,67 Very Good
8 22 7 1 0 112 30 3,73 Very Good
9 20 8 1 1 108 30 3,60 Very Good
10 0 19 9 2 78 30 2,60 Good
11 13 13 3 1 99 30 3,30 Very Good
12 10 19 0 1 99 30 3,30 Very Good
13 6 14 9 1 86 30 2,87 Good
14 18 10 1 1 106 30 3,53 Very Good
15 11 13 5 1 95 30 3,17 Good
Average Score of Speed and Innovation Capability 3,43 Very Good
Based on Table 3.10 can be seen about the responses of respondent to the Speed
and Innovation Capability in each item, the result as follows:
• The result of data processing regarding statement 1 in Speed and Innovation
Capability which is “I think this company is quick to see opportunities and take
advantage of opportunities to make changes” with value of 3,47 which means this
item included in Very Good category.
Capability which is “I think this company is able to innovate in developing.
distribution channels” with value of 3,60 which means this item included in Very
Good category.
Capability which is “I think this company is able to collaborate between
division/units to gain efficiency and profit” with value of 3,60 which means this
41
Capability which is “I think this company is able to innovate in developing
products” with value of 3,63 which means this item included in Very Good
category.
Capability which is “I think this company has a good strategy to manage the
production process to reduce production costs” with value of 3,70 which means
this item included in Very Good category.
Capability which is “I think this company is able to utilize human resources well
in order to reduce the company's costs” with value of 3,67 which means this item
included in Very Good category.
Capability which is “I think this company can learn from competitors or doing
experiment to produce new ideas” with value of 3,67 which means this item
Capability which is “I think this company has talents that can create new ideas that
can be used to improve company performance” with value of 3,73 which means
this item included in Very Good category.
Capability which is “I think this company is able to recruit the best talent” with
value of 3,60 which means this item included in Very Good category.
business strategies” with value of 2,60 which means this item included in Good
category.
Capability which is “I think this company is able to communicate the strategy plan
to all employees” with value of 3,30 which means this item included in Very Good
category.
Capability which is “I think this company has a good image that is reflected in the
42
experience of employees and consumers” with value of 3,30 which means this item
Capability which is “I think the norms or rules in this company have been able to
support employees to work” with value of 2,87 which means this item included in
Good category.
Capability which is “I think this company is able to process information quickly
and use information to make changes” with value of 3,53 which means this item
services” with value of 3,17 which means this item included in Good category.
Based on respondents' responses about Speed and Innovation capability measured
in Table 3.9 with the mean method, then the results of the calculation of the variable
speed and innovation capability are obtained with a value of 3.43 in which the value is
in a Very Good category.
3,47
1 1,75 2,5 3,25 4
Figure 3.6 Continuum Line of Speed and Innovation Capability

3.3.1.2 Leadership and Management Capability
To be able to know the description of the Leadership and Management
capability, can be seen through Table 3.11 in the form of calculation of respondent
response. The table contains the result of processing the perception of 30 respondents .
Table 3.11 Respondent Response of Leadership and Management Capability
Total ∑ Average
Score n Score
4 3 2 1
1 0 5 15 10 56 30 1,87 Not Good
2 0 5 15 10 56 30 1,87 Not Good
3 19 10 0 1 108 30 3,60 Very Good
4 1 5 14 10 58 30 1,93 Not Good
5 1 5 19 5 63 30 2,10 Not Good
Average Score of Leadership and Management Capability 2,27 Not Good
43
• The result of data processing regarding statement 1 in Leadership and Management
Capability which is “I think this company is able to identify potential leaders”
with value of 1,87 which means this item included in Not Good category.
Capability which is “I think this company is able to retain talents who are loyal
and competent” with value of 1,87 which means this item included in Not Good
category.
Capability which is “I think the norms or rules in this company have been able
to reflect fairness” with value of 3,60 which means this item included in Very
Good category.
Capability which is “I think this company is able to measure the performance of
its employees appropriately” with value of 1,93 which means this item included
in Not Good category.
Capability which is “I think this company is able to manage the work plan
(project) well in order to reduce the cost of the company” with value of 2,10
which means this item included in Not Good category.
Based on respondents' responses about Leadership and Management capability
measured in Table 3.10 with the mean method, then the results of the calculation of the
variable speed and innovation capability are obtained with a value of 2,27 in which the
value is included in a Not Good category.
2,27
1 1,75 2,5 3,25 4
Figure 3.7 Continuum Line of Leadership and Management Capability

3.3.1.3 Structure and Design Capability
response. The table contains the result of processing the perception of 30 respondents.
44
Table 3.12 Respondent Response of Structure and Design Capability
Total ∑ Average
Score n Score
4 3 2 1
1 2 1 16 11 55 30 1,83 Not Good
2 0 3 20 7 57 30 1,90 Not Good
3 0 3 17 10 54 30 1,80 Not Good
4 16 12 1 1 104 30 3,47 Very Good
Average Score of Structure and Design Capability 2,25 Not Good
• The result of data processing regarding statement 1 in Structure and Design

Capability which is “I think the company is able to give an overview to each
employee about the duties & responsibilities” with value of 1,83 which means
this item included in Not Good category.
Capability which is “I think this company's SOP is able to support the
achievement of efficiency and effectiveness in work” with value of 1,90 which
means this item included in Not Good category.
Capability which is “I think this company is able to develop its employee talent”
with value of 1,80 which means this item included in Not Good category.
Capability which is “I think this company can learn from previous successes and
failures to continue to generate new ideas” with value of 3,47 which means this
Based on respondents' responses about Leadership and Management capability
2,25
1 1,75 2,5 3,25 4
Figure 3.8 Continuum Line of Structure and Design Capability
45
3.3.1.4 Communication and Roles Capability
Table 3.13 Respondent Response of Communication and Role Capability
Total ∑ Average
Score n Score
4 3 2 1
1 9 14 5 2 91 30 3,03 Good
2 2 4 9 15 54 30 1,80 Not Good
3 0 13 10 7 67 30 2,23 Not Good
Average Score of Communication and Roles Capability 2,36 Not Good
• The result of data processing regarding statement 1 in Communication and Roles

Capability which is “I think this company is able to collaborate with suppliers,
vendors and other companies for efficiency and profit” with value of 3,03 which
means this item included in Good category.
Capability which is “I think this company's organizational structure is able to
describe the functions of coordination, authority, and control between
positions” with value of 1,80 which means this item included in Not Good
category.
Capability which is “I think the leaders in this company have understood their
role as leaders” with value of 2,23 which means this item included in Not Good
category.
Based on respondents' responses about Communication and Roles capability
2,36
1 1,75 2,5 3,25 4
Figure 3.9 Continuum Line of Communication and Role Capability
46
3.3.1.5 Measurement and Tools Capability
Table 3.14 Respondent Response of Measurement and Tools Capability
Total ∑ Average
Score n Score
4 3 2 1
1 11 14 5 0 97 30 3,23 Good
2 1 5 14 10 58 30 1,93 Not Good
Average Score of Measurement and Tools Capability 2,58 Good
• The result of data processing regarding statement 1 Measurement and Tools

Capability which is “I think this company is able to specifically identify
consumer needs” with value of 3,23 which means this item included in Good
category.
• The result of data processing regarding statement 2 Measurement and Tools
Capability which is “I think this company is able to measure the company's
performance appropriately” with value of 1,93 which means this item included in
Not Good category.
value is included in a Good category
2,58
1 1,75 2,5 3,25 4
Figure 3.10 Continuum Line of Measurement and Tools Capability
3.3.1.6 Administrative Capability

47
Table 3.15 Respondent Response Regarding Administrative Capability
Total ∑ Average
Score n Score
4 3 2 1
1 0 6 16 8 59 30 1,97 Not Good
Average Score of Administrative Capability 1,97 Not Good
• The result of data processing regarding statement in Administrative Capability

which is “I think this company is capable of developing administrative systems”
value of 1,97 which means this item included in Not Good category.
value is included in a Not Good category
1,97
1 1,75 2,5 3,25 4
Figure 3.11 Continuum Line of Administrative Capability
3.3.2 Capability Assessment Result (Desired)

Capability assessment result desired in this study will be used to compare the
current result of capability assessment and the capability that desired by PT. Guteninc
Group. In this research the desired capability of company will be measured by using
AHP method. AHP (Analytical Hierarchy Process) is one method in a decision-making
system that uses several variables with a multilevel analysis process. According to Saaty
(1993) Analysis is done by giving priority values to each variable, then doing pairwise
comparisons of the variables and alternatives that exist. In this study the variables that will
be ranked are 6 variables namely Speed and Innovation, Leadership and Management,
Structure and Design, Communion and Role, Measurement and Tools, and Administrative
Capability that can be seen in Table 3.12. These six variables are ranked in order to see
what capability is become the priority of PT. Guteninc Group top management to
improve the company's performance.
48
Priority
Capability of
Guten INC
Speed and Leadership and Structure and Communication Measurement Administrative

Innocation Management Design and Role and Tools Capability
Figure 3.12 Analytical Hierarchy Process Structure

The assessment criteria are doing by creating questionnaire by compared all the six
capability, the criteria 1 is Speed and Innovation, Criteria 2 is Leadership and
Management, Criteria 3 is Structure and Design, Criteria 4 is Communication and Role,
Criteria 5 is Measurement and Tools, and Criteria 6 is Administrative Capability. and the
after that the questionnaire will be filled by the CEO of Guten Inc. After that the result of
questionnaire would be calculate with AHP method using Microsoft excel, the
questionnaire and the calculation can be seen on Appendix. The result of the calculation
using AHP method can be seen in Table 3.16.
Table 3.16 AHP Calculation Result
Criteria 2 Leadership and Management Capability 29,6%
Criteria 1 Speed and Innovation Capability 21,7%
Criteria 4 Communication and Role Capability 21,5%
Criteria 5 Measurement and Tools 11,1%
Criteria 3 Structure and Design Capability 9,2%
Criteria 6 Administrative Capability 6,8%
By looking at the results of the calculation using the AHP method, it can be concluded that
Leadership and Management Capability is the top priority (29.6%) of PT. Guteninc Group
to improve company performance, Speed and Innovation Capability is the second priority
(21.7%) of PT. Guteninc Group to improve company performance. Communication and
Role Capability is the third priority (21.5%) of PT. Guteninc Group To improve company
performance. Measurement and Tools becomes the fourth priority with the acquisition of
11.1%, structure and Design capability being the fifth priority with 9.2% acquisition and
Administrative capability being prioritized for farming with a gain of 6.8%.
3.4 Discussion and Recommendation
In accordance with the previous chapter, after the questionnaire data obtained has been
processed, the next things to do is to determine the capability that need for improvement, so
that later will be given a recommendation for improvement. There are two things that can be
seen, first is the Current result of Organizational Capability and the second is Desired result of
Organizational Capability.
49
Current
4
3,43
3,5
3 2,58
2,25 2,27 2,36
2,5
1,97
2
1,5
1
0,5
0
AC S&D L&M C&R M&T S&I
Desired
35,0%
30,0%
25,0%
20,0%
15,0%
10,0%
5,0%
0,0%
L&M S&I C&R M&T S&D AC
Figure 3.13 Current and Desired Capability of Guteninc

If take a look at Figure 3.13 in the Current Chart, Capability that has the lowest value is
Administrative capability followed by Structure and Design, Leadership and Management, and
Communication and Role, the result of the fourth calculation of current capability assessment
is included in the Not Good category. While the Speed and Innovation capability has the
highest value followed by Measurement and Tools capability where both capabilities included
in Very Good and Good category. So it can be concluded that Organizational Capability of PT.
Guteninc Group is a Speed and Innovation capability and Measurement and Tools capability.
If take a look at Figure 3.14 on the Desired chart, the ranking of Desired capability of
PT. Guteninc Group, the first is Leadership and Management Capability, followed by Speed
and Innovation capability, Communication and Role capability, Measurement and Tools
capability, Structure and Design capability, and the last is Administrative Capability.
After reviewing the results of current capability assessment and desired capability
assessment, the next thing to do is to determine the capability that needs to be improved by the
50
company. This is done by comparing current capability assessment and desired capability
assessment.
Table 3.17 The Result of Current and Desired Capability
Capability Score
Leadership and Management 0.51
Communication and Role 0.35
Structure and Design 0.16
Measurement and Tools 0.16
Administrative Capability 0.14
Speed and Innovation 0.12
Table 3.17 explain the result of comparing the current capability and desired capability
is done by the maximum value of current capability assessment which is 4 minus the result of
current capability each variable and then multiply by the result of desired capability
assessment. From the results of these comparisons, it can be concluded that Leadership and
Management capability is the first variable that needs to be improved because this variable is
the company's first priority and this variable has poor assessment results. The second capability
that needs to be improved is Communication and Role, from the results of the desired
assessment result, this variable is the third most important priority to improve the company's
performance and the current assessment results of this variable are in a bad category. And the
third Capability that needs to be improved is the Structure and Design capability, although it
becomes the fifth priority in desired capability assessment, but this variable is in a bad category
on current capability assessment. Below is a recommendation for improving the capability that
have the low score:
1. Leadership and Management capability in this research is consisting from five item, but
based on result of current capability assessment, there are four item that have the low
score, that four items is identify potential leader, retaining best talent, Measure employee
performance, and managing project to reduce cost. The recommendation to improve this
capability can be seen in Table 3.18.
Table 3.18 Leadership and Management Capability Recommendation
Capability Item Recommendation
Identify potential
Conduct Performance Appraisal
Leadership and Retaining best talent
(Talent Mapping)
Management Measuring employee performance
Managing project to reduce cost Developing Project Team
51
• The first recommendation in this capability is conduct performance appraisal.
Performance appraisal is a systematic evaluation of the performance of
employees. The objective of the performance appraisal is to provide a feedback
to employee regarding their performance, to maintain and assess the potential
present in a person for further growth and development, to review and retain the
employee that have the best performance or the low performance, and this tools
also can be used to determine compensation packages, rewards, and salaries
raises. According to Pulakos (2003) as cited in Reshma and Kumudha (2016),
performance appraisal was introduced to reward and promote effective
performance in organizations, as well as identifying ineffective performers for
developmental programs or other personnel actions which will be essential to
effective to human resource management. Eichel and Bender (1984) explained
that performance evaluations were designed primarily as tools for the
organization to use in controlling employees. Based on that result PT. Guteninc
Group doesn’t have system that can identify and measure their employee
performance. The impact of this situation is the company cannot retain their best
talent because they don’t give a reward to the best performance and the employee
become less motivated and it will result low levels of productivity
• The Second recommendation is to develop project management team. Project
success is measured against the overall objectives of the project whereas project
management success is measured against the traditional gauges of performance
such as completing project within time, cost, and meeting scope and quality
(Cooke-Davies, 2002). Projects are managed using teams in a work environment.
Thamain (2004) debates that the working environment within the project team
has a significant impact on project success, and therefore prabhakar (2008)
suggests that the project manager has a significant leadership role in blending the
team. In the book Harvard Business Essentials (2004) the success of project work
is naturally affected by the people who participate. Based on the result of
assessment Guten Inc have low score in managing project to achieve efficiency
and effectiveness. Thus the recommendation in this research is to developing
project management team.
2. Communication and Role capability in this research is consisting from 3 items, there are
two items that have the low score in current capability assessment, the item is regarding
52
organizational structure and leader knowledge about their roles and duties. The
recommendation to improve this capability can be seen in table 3.19.
Table 3.19 Communication and Role Capability Recommendation
Communication Organizational structure Design Organizational Structure
and Role Leader awareness about their role Leadership Development
• According to Walton as cites in Tran and Tian (2013), he identified structure as

the basis for organizing, to include hierarchical levels and spans of responsibility,
roles and positions, and mechanisms for integration and problem solving. In
another, Thompson also said that “structure is the internal differentiation and
patterning of relationships”. He referred to structure as how the organization sets
limit and boundaries for efficient performance by its members, by delimiting
responsibilities, control over resources, and other matters. Corkindale (2011)
stated that poor organizational design and structure results in a bewildering
morass of contradictions: confusion within roles, a lack of co-ordination among
functions, failure to share ideas, and slow decision-making bring managers
unnecessary complexity, stress, and conflict and the same author stated that an
outdated structure can result in unnecessary ambiguity and confusion and often a
lack of accountability. In PT. Guteninc Group there is no clear structure
organization, this happen because the leader doesn’t aware about the importance
of the organizational structure. The impact of this situation is the employee
doesn’t know the functions of co-ordination. The lack knowledge about the
function of coordination would be affecting the way the employee communicates
within the company. The recommendation for improvement for this item is to
design a clear organizational structure.
• According to House in Ali (2011), leadership is the ability of an individual to
influence, motivate, and enable others to contribute toward the effectiveness and
success of the organizations. Ulrich (1999) believed that effective leaders know
how to “connect their attributes with results” to improve performance.
Performance improvement, and specifically performance improvement at the
organizational level, is typically inferred, implied and assumed to be an outcome
of leadership and managerial leadership development (Sogunro, 1997). Based on
the result of assessment the item of leadership awareness about their role resulting
a low score. The new leadership challenge is to perceive and actualize emerging
53
opportunities. Real power or influence comes from the ability to recognize and
adaptively respond to the patterns of change. According to Chris Agrgyris in
Sharma (2005), The task of a leader is to recognize these emerging patterns and
position herself/himself, personally and organizationally, as part of a larger
generative force that will reshape the current landscape in order to achieve the
sustainable results desired. The challenge for leaders is to develop ‘knowledge
for action’. Thus the recommendation to improve this item is conduct leadership
development program.
3. Structure and Design in this research is consisting from 4 items, and there are three items
that included in Not Good category in current capability assessment, those 3 items are
about the capability company to give overview to employee about duties and
responsibilities, capability of company’s SOP to gain efficiency and effectiveness, and
capability to develop talents. The recommendation to improve this capability can be
seen in Table 3.20.
Table 3.20 Structure and Design Capability Recommendation
Capability to give overview of
Conduct Job Analysis
employee duties
Structure and Capability of company's SOP to
Design achieve efficiency and Creating SOP
effectiveness
Capability to develop talent Conduct Employee Training
• Base on obseravation in PT Guten Inc there is no clear job description, thats why
in the item of capability to give overview of employee duties resulting low score
in the capability assessment result. According to Adams in Nyasha (2013), he
defines job analysis as a process to identify and determine in detail the particular
job duties and requirements and the relative importance of these duties for a given
job. Cross (2004) stated that, once job analysis has been done, managers would
be able to write job descriptions and job specifications. Job descriptions specify
the tasks, responsibilities and duties and job specifications specify knowledge,
skills and abilities. Locke in Nyasha (2013) propounds that, job analysis plays a
vital role in making fair, transparent and defensible remuneration decisions. It
allows managers to gain understanding of the content of the organization’s job
roles.
54
• The item capability of company’s SOP to achieve efficiency and effectiveness is
resulting low score. In PT Guteninc Group there is no clearly written SOP. The
recommendation dor improvement in this item is to Create and Documenting
SOP. According to Akyar (2012), Standard Operating Procedures (SOP) is a
process document that describes in detail the way that an operator should perform
a given operation. SOPs support employees with the information necessitated to
perform their jobs regularly and help guarantee consistency in the quality of
performance. According to Steiner (2014) SOPs presents important concepts,
techniques and requirements contained in these documents in an easy to use mode
by staff in their daily activities. Thus, the SOP helps integrate business operations
linking the upper echelons of managers and planners with the work of other
workers.
• In PT Guteninc Group there is no system or tools to identifie the needs of training
of its employee, thats why the resul of assessment regarding capability to develop
talent resulting low score. The recommendation for improvement is to conduct
employee training. According to Zahra (2014), training is considered to be a vital
activity in order to have well qualified, flexible and well-prepared workforce to
achieve the higher standards of performance. Uma (2013) stated that training is
the process of enhancing the skills, capabilities and knowledge of employees for
doing particular job.
In general, can be concluded that due to the lack of awareness and knowledge of top
management about the important of Human Resource Management, PT. Guteninc Group
actually need Human Resource Management implementation in the company. Human
Resource Department is the organizational function that deals with the people and issues
related people such as recruiting and retain employees, compensation and benefits, training and
development, and organizational development and culture. According to Khan, Awang,
Zulkifli (2013) that human resource management is become potentially one of the significant
sources of sustainable competitive advantage. So, with The Human Resource management it
would help PT. Guteninc Group to solve several problems within the internal management as
mention before and could creating a sustainable competitive advantage, thus it will be differing
PT. Guteninc Group with their competitor.
55
CHAPTER IV
IMPLEMENTATION PLAN
4.1 Conclusion
From the research that has be done for organizational capability assessment in PT. Guteninc
Group can be concluded as:
1. Organizational capability development model in this research consist from 14 elements;
Talent, Speed, Shared-Mindset, Accountability, Collaboration, Learning, Leadership,
Customer connectivity, Strategic unity, Innovation, Efficiency, Creativity, Roles
Clarity, Inform organizational process.
2. There are six new factor formed from the result of factor analysis, those factor namely
Structure and Design, Leadership and Design, Structure and Design, Communication
and Roles, Measurement and Tools and the last factor is namely Administrative
Capability.
3. The Speed and Innovation capability and Measurement and Tools capability have the
high score in current capability assessment which means that this capability is the
strength capability in PT Guteninc group.
4. Leadership and Management capability, Speed and Innovation capability, and
Communication and Role capability become the capability that have the highest score
in desired capability assessment. Which means this capability consider to be a desired
capability of PT Guteninc Group.
5. Leadership and Management capability, Communication and Role capability, and
Structure and Design capability become capability that need to improve by comparing
the score of current capability assessment and desired capability assessment.
4.2 Implementation Plan
Implementation Plan is the process that turns strategies and plans into actions in order to
accomplish strategic objective and goals. An implementation plan breaks each strategy into
identifiable steps, so can be said that implementation plan is important to ensure the solution
can be implemented successfully.
1. Socialization
Based on previous chapter, can be known that there are several capabilities that need to
improve and this research propose several recommendations for improvement. The first
thing to do to implement the solution in this research is by socialization. Socialization
is conducted by communicated the recommendation which is proposed in previous
chapter.
56
2. Forming Team
After socialize the recommendation, the next thing to do is to form a team. Forming
team is an activity to create a team. The team duties are to formulating the solution and
recommendations that had been given. The team could be from internal
managementand external by hiring Human Resource expertise or hiring people that
have HR background.
3. Formulation
The next step is the activity of formulating the recommendations that have been
presented previously. In this activity the company will formulate various things such
as; Designing organizational structure, conduct job analysis, formulating performance
appraisal system, identify training need analysis, creating and documenting company
SOP, conduct leadership development program, evaluating project management team.
4. Implementation
In this stage the solution that has been formulated by the team will then be implemented
in the company. At this stage all elements in the company will work with the application
of the formulation of the solutions that have been prepared by the team. Implementation
of work must also be in line with the work plan that has been prepared.
5. Evaluation and Monitoring
This activity is the leader's responsibility to monitor everything about all the things that
formulated by the team. The evaluation and monitoring used to ensure whether the work
plan goes according to company objective or not.
4.3 Implementation Schedule Plan
Table 4.1 Timeline of Implementation Plan

Timeline
No Activities PIC Budget
Sep-18 Okt-18 Nov-18 Des-18
1 Socialization CEO Rp1.000.000
2 Forming Team CEO Rp10.000.000
3 Formulation CEO and Team Rp1.000.000
4 Implementation CEO Rp1.000.000
5 Evaluation and Monitoring CEO and Team Rp1.000.000
Total Rp14.000.000
57
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APPENDIX
Appendix 1 Questionnaire
Yang Terhormat Bapak/Ibu di tempat,

Perkenalkan nama Saya Arief, mahasiswa MBA (Master of Business and Administration)
ITB, sedang melakukan penelitian thesis mengenai Organizational Capability in Guten Inc.
Saya mohon kerjasamanya untuk mengisi kuisoner ini. Bagi 2 (Dua) orang pengisi yang
beruntung akan mendapatkan pulsa/ top up GO-Pay sebesar Rp 100.000,-.
Kuesioner ini bermanfaat untuk mengetahui dan memahami kemampuan organisasi dari
Guten Inc. Mohon untuk mengisi kolom pernyataan dibawah dengan cari melingkari atau
menyilang salah satu nomor yang ada disebelah kanan kolom pernyataan (1= Sangat Tidak
Setuju, 2= Tidak Setuju, 3= Setuju, 4= Sangat Setuju). Tidak ada jawaban benar maupun salah,
silahkan menjawab sesuai dengan yang Bapak/Ibu rasakan selama bekerja di perusahaan
ini.Terimakasih.
1. Usia _______tahun
2. Divisi/Bagian/Seksi:___________
3. Jabatan: _____________
4. Lama Bekerja:______
5. Jenis Kelamin: Pria / Wanita
6. Pendidikan terakhir: SMA/SMK, D3, S1, S2, Lain–Lain, sebutkan _________
7. No Handphone________________
No Pernyataan STS TS S SS
1 Menurut saya prusahaan ini mampu

1 2 3 4
merekrut talenta terbaik.
2 Menurut saya perusahaan ini mampu

1 2 3 4
mengembangkan talenta karyawannya.

mempertahankan karyawan yang loyal dan 1 2 3 4
berkompeten.
4 Menurut saya perusahaan ini jeli dalam

melihat peluang dan memanfaatkan 1 2 3 4
peluang untuk melakukan perubahan.

memproses informasi dengan cepat dan
1 2 3 4
menggunakan informasi untuk membuat
perubahan.
6 Menurut saya perusahaan ini memliki citra

yang baik yang tercermin pada pengalaman 1 2 3 4
karyawan dan komsumen.
1 2 3 4
mengukur kinerja perusahaan dengan tepat.

1 2 3 4
mengukur kinerja karyawan dengan tepat.

berkolaborasi antar divisi untuk 1 2 3 4
mendapatkan efisiensi da keuntungan.
10 Menurt saya perusahaan ini telah

mampuberkolaborasi dengan supplier,
1 2 3 4
vendor, dan perusahaan lain unutk efisiensi
dan keuntungan.
11 Menurut saya perusahaan ini telah mampu

belajar dari pesaingnya ataupun
1 2 3 4
bereksperiment unutk menghasilkan ide
baru.
12 Menurut saya perusahaan ini dapat belajar

dari kesuksesan dan kegagalan terdahulu 1 2 3 4
untuk dapat terus menghasilkan ide baru.
13 Menurut saya perusahaan ini mampu dalam

1 2 3 4
mengidentifikasi calon pempimpin.
14 Menurut saya pempimpin yang ada pada

perusahaan ini telah memahami perannya 1 2 3 4
sebagai pemimpin.
15 Menurut saya perusahaan ini mempu dalam

mengidentifiksai kebutuhan konsumen 1 2 3 4
secara spesifik

mengomunikasikan rencana strategi kepada 1 2 3 4
seluruh karyawan

1 2 3 4
berinovasi dalam mengembangkan produk

berinovasi dalam mengembangkan strategi 1 2 3 4
usaha

berinovasi dalam mengembangkan jalur 1 2 3 4
distribusi

berinovasi dalam mengembangkan 1 2 3 4
pelayanan.
berinovasi dalam mengembangkan kegiatan 1 2 3 4
dan tata usaha (administrasi).
22 Menurut saya perusahaan ini memiliki

strategi yang baik untuk mengelola proses
1 2 3 4
produksi dengan tujuan untuk menurunkan
biaya produksi.

memanfaatkan sumber daya manusia secara
1 2 3 4
baik dengan tujuan untuk menekan biaya
perusahaan.

mengelola rencana pekerjaan (proyek)
1 2 3 4
secara baik dengan tujuan untuk menekan
biaya perusahaan.
25 Menurut saya perusahaan ini memiliki

talenta-talenta yang mampu meciptakan ide
1 2 3 4
baru yang dapat digunakan untuk
meningkatkan kinerja perusahaan.
26 Menurut saya perusahaan mampu memberi

gambaran kepada setiap pegawai tentang 1 2 3 4
tugas & tanggung jawab.
27 Menurut saya struktur organisasi

perusahaan ini mampu menggambarkan
1 2 3 4
fungsi koordinasi, wewenang, dan kendali
antar jabatan.
28 Menurut saya SOP perusahaan ini mampu

mendukung tercapainya efisiensi dan 1 2 3 4
efektifitas dalam bekerja.
29 Menurut saya norma atau aturan dalam

perusahaan ini telah mampu mencerminkan 1 2 3 4
keadilan.
30 Menurut saya norma atau aturan dalam

perusahaan ini telah mampu mendukung 1 2 3 4
pegawai untuk bekerja.
Appendix 2 Desired Capability Questionnaire
KUESIONER PENELITIAN
Identitas Responden
Nama :
Pekerjaan/ Jabatan :
III. Petunjuk Pengisian:
Berilah tanda ceklish (√ ) atau tanda silang (X) pada kolom skala kriteria (A) atau pada kolom
skala kriteria (B)
yang sesuai dengan pendapat anda
Defenisi Kode:
1: Kedua kriteria sama penting
2: kriteria (A) sedikit lebih penting dibanding dengan (B)
3: kriteria (A) lebih penting dibanding dengan (B)
4: kriteria (A) sangat lebih penting dibanding dengan (B)
5: kriteria (A) mutlak lebih penting dibanding dengan (B)
*berlaku sebaliknya
Contoh:
Dalam menetukan kemampuan perusahaan yang dapat meningkatkan performa perusahaan maka
sebarapa pentingkah pertimbangan:
SKALA SKALA
No. Kriteria A Kriteria B
5 4 3 2 1 2 3 4 5
Leadership and
Speed dan Innovation √
Management
Jika anda memberi tanda (√) pada skala 4 dikolom A, maka artinya adalah kriteria A dalam contoh
ini Kemampuan Speed and Innovation sangat lebih penting dibanding dengan kriteria B dalam
contoh ini Leadership dan Management. Akan tetapi jika anda merasa kriteria B (Leadership and
Management) sangat lebih penting dibanding dengan kriteria A (Speed and Innovation) maka
pengisian kolomnya adalah sebagi berikut:
SKALA SKALA
5 4 3 2 1 2 3 4 5
Leadership and
Speed and Innovation √
Management
\
SKALA SKALA
5 4 3 2 1 2 3 4 5
Leadership and
1. Speed and Innovation
Management
Structure and
2. Speed and Innovation
Design
Communication and
3. Speed and Innovation Role
Measurement and
4. Speed and Innovation Tools
Administrative
5. Speed and Innovation Capability
SKALA SKALA
5 4 3 2 1 2 3 4 5
Leadership and Structure and
6.
Management Design
Leadership and Communication and
7. Role
Management
Leadership and Measurement and
8. Tools
Management
Leadership and Administrative
9.
Management Capability
SKALA SKALA
5 4 3 2 1 2 3 4 5
Communication and
10. Structure and Design Role
Measurement and
11. Structure and Design Tools
Administrative
12. Structure and Design Capability
SKALA SKALA
5 4 3 2 1 2 3 4 5
Communication and Measurement and
13. Role Tools
Communication and Administrative
14. Role Capability
SKALA SKALA
5 4 3 2 1 2 3 4 5
Administrative
15. Measurement and Tools
Capability
Appenddix 3 Validity and Realibility Test
Correlations
TOTALL
**
Talent_1 Pears on ,760
Correlation
Talent_2 Pears on ,682 **
Correlation
**
Talent_3 Pears on ,562
Correlation
Speed_1 Pears on ,677 **
Correlation
**
Speed_2 Pears on ,743
Correlation
SharedM_1 Pears on ,785 **
Correlation
Accountability_1 Pears on ,645 **
Correlation
**
Accountability_2 Pears on ,742
Correlation
**
Collaboration_1 Pears on ,850
Correlation
**
Collaboration_2 Pears on ,672
Correlation
**
Learn_1 Pears on ,832
Correlation
Learn_2 Pears on ,590 **
Leader_1
Correlation
Pears on ,521 **
Reliability Statistics
Correlation
Leader_2 Pears on ,599 **
Cronbach'
Correlation
**
s Alpha N of Items
Cus tom er.Co_1 Pears on ,649
Correlation
StrategicU_1 Pears on ,849 **
0,963 30
Correlation
Innovation_1 Pears on ,837 **
Correlation
Innovation_2 Pears on ,685 **
Correlation
**
Innovation_3 Pears on ,850
Correlation
**
Correlation
**
Correlation
Efficien_1 Pears on ,563 **
Correlation
Correlation
Correlation
**
Crative_1 Pears on ,607
Correlation
Roles _1 Pears on ,557 **
Correlation
Organization_1 Pears on ,610 **
Correlation
**
Organization_2 Pears on ,713
Correlation
**
Organization_3 Pears on ,618
Correlation
Organization_4 Pears on ,930 **
Correlation
TOTALL Pears on 1
Correlation
Sig. (2-
tailed)
N 30
*. Correlation is s ignificant at the 0.05
level (2-tailed).
**. Correlation is s ignificant at the 0.01
level (2-tailed).
Appendix 4 AHP Calculation for Desired Capability
Criteria 1 Speed and Innovation Capability
Criteria 2 Leadership and Management Capability
Criteria 3 Structure and Design Capability
Criteria 4 Communication and Role Capability
Criteria 5 Measurement and Tools
Criteria 6 Administrative Capability
PAIRWISE COMPARISON (SURVEY)

.... TIMES BETTER THAN .... SAME .... TIMES LESS BETTER THAN ....
5 4 3 2 1 2 3 4 5
Criteria 1 0.25 Criteria 2
Criteria 1 1 Criteria 3
Criteria 1 Criteria 2 Criteria 3 Criteria 4 Criteria 5 Criteria 6

Criteria 1 1 0,25 2 3 2 2
Criteria 2 4 1 3 1 2 2
Criteria 3 0,5 0,33 1 0,33 0,5 3
Criteria 4 0,33 1 3 1 3 4
Criteria 5 0,5 0,5 2 0,33 1 2
Criteria 6 0,5 0,5 0,33 0,25 0,5 1

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ANALYZING ORGANIZATIONAL CAPABILITIES AS A STRATEGY TO

IMPROVE COMPANY PERFORMANCE AT PT GUTENINC GROUP

Master of Business Administration Program

Keywords: Human Resource Management, Organizational Capability, PT Guteninc Group

Keywords: Human Resource Management, Organizational Capability, PT Guteninc Group

Bandung, August 2018

CHAPTER I INTRODUCTION ........................................................................ 1

CHAPTER II BUSINESS ISSUE EXPLORATION ..................................... 12

CHAPTER III BUSINESS SOLUTION ......................................................... 33

CHAPTER IV CONCLUSION AND IMPLEMENTATION PLAN ........... 56

Figure 1.1 Indonesia Creative Economy ................................................................... 1

Table 1.1 Competitor Analysis .................................................................................... 8

Figure 1.1 Indonesia Creative Economy

Figure 1.2 Creative Economy Export Sector

Figure 1.3 Guten Inc Logo

Figure 1.4 Guten Inc Flagship

Figure 1.5 Milestone History of Guten Inc

CMO COO CFO

Sales Analyst Logistic Inventory & Budgeting/ Payroll

Figure1.6 Organizational Chart Guten Inc

1.2.4 Product of Guten Inc

Figure 1.7 Guten Inc Product

1.3 Business Issue

Sales (IDR) Target

Figure 1.7. Guten Inc Sales

Employee Interview Preliminary Study Customer Prespective

Interview with Top

Figure 2.1 Conceptual Framework

2.1.1 Business Overview

2.2.3.4 Gill and Delahaye Model

Ulrich & Smalwood Gill & Delahaye

Talent Explicit Direction

Akaegbu & Usoro

Figure 2.2 Synthesis Model

Figure 2.3 Organizational Capability Model Development

Current Capability Gap Current and Desired Capability

Figure 2.4 Research Design

After explored and creating content of assessment referring to Organizational

Collaboration Ability to collaborate Collaborate 1. I think this company is 9

Roles Clarity Understanding of the Job description 1. I think the company is 26

2.4 Statistical Evaluation

2.4.2 Reliability Test

Cronbach's Alpha N of Items

Gender Frequency Percentage

Figure 3.1 Frequency Distribution Chart Based on Respondent Gender

Education Frequency Percentage

SMA/SMK Diploma Sarjana

Figure 3.2 Frequency Distribution Chart based on Respondents Education Level

Position Frequency Percentage

Marketing Operation Finance CEO

Figure 3.3 Frequency Distribution Chart based on Respondents Position

< 1 Years > 1 Years

Figure 3.4 Frequency Distribution Chart based on Respondents Length of Work

Initial Extraction Initial Extraction

% of Cumulative % of Cumulative % of Cumulative

1 15,413 51,376 51,376 15,413 51,376 51,376 10,328 34,427 34,427

Extraction Method: Principal Component Analysis.

Not Very Good Not Good Good Very Good

1 1,75 2,5 3,25 4

Figure 3.5 Continuum Line

Not Very Good Not Good Good Very Good

1 1,75 2,5 3,25 4

Figure 3.6 Continuum Line of Speed and Innovation Capability