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Balanced Scorecard (BSC) for Public Transport Performance

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Balanced Scorecard (BSC) for Public Transport Performance Faculty of Economic Sciences, Communication and IT Balanced Scorecard (BSC) For Public Transport Performance Measurement Based on Service Dominant Logic (S-D logic) Framework (Case study: Jakarta public transport authority and Värmlandstraffik AB) Submitted by : Dodi Tresna Yudiatna Supervisor: Bo Enquist Samuel Petros Sebhatu Service Science Program Karlstad University Spring 2010 ACKNOWLEDGEMENT This thesis is written to fulfil the requirement for the Master Degree Programme in Transport System and Engineering (MSTT) in Civil Engineering and Environment Department, Faculty of Engineering of Gadjah Mada University and Master of Service Science Program in Karlstad University. The researcher would like to express the great gratitude to those who contributed in this thesis, as mentioned in the following: 1. My God for all the blessing, simplicity, grace and mercy 2. My parents, my wife, my son and my sisters for giving me strength, support and spirit to finish my study 3. Ministry of Transport for giving me the opportunity and support to study at Gadjah Mada University and Karlstad University 4. Prof. Dr. Ir. Siti Malkhamah, M.Sc as the Director of Master Programme in Transport System and Engineering, Gadjah Mada University, and as the thesis counsellor for all the guidance, support and assistance in completing my thesis 5. Associate Professor Lars Haglund, Associate Professor Bo Enquist, Samuel Petros Sebhatu, Phd, as the lecture and advisor at Karlstad University for all the guidance, support and assistance during the researcher studied in Karlstad University. 6. Prof. Dr. Ir. Ing Ahmad Munawar, M.Sc and Prof. Dr. Ir. Sigit Priyanto, M.Sc as the thesis examiner. For the comment and correction to my final thesis 7. Lectures, staff and colleagues in Master Programme of Transport System and Engineering, Gadjah Mada University and Service Science Programme at Karlstad University Researcher realizes that this thesis still needs to be improved. Therefore any suggestion for the improvement is highly appreciate as an input to refine for the further research. Yogyakarta, November 2010 Dodi Tresna Yudiatna i LIST OF CONTENT ACKNOWLEDGEMENT ...................................................................................... i LIST OF CONTENT ............................................................................................. ii LIST OF TABLE ................................................................................................. iv LIST OF FIGURES ............................................................................................... v LIST OF APPENDICES...................................................................................... vii ABSTRACT ....................................................................................................... viii CHAPTER I. INTRODUCTION .......................................................................... 1 A. Background .............................................................................................. 1 B. Aim and Research Question..................................................................... 4 C. Purpose of Research ................................................................................. 4 D. Research Limitation.................................................................................. 5 E. Thesis Structure .........................................................................................6 CHAPTER II. THEORETICAL FRAMEWORK ................................................. 7 A. Performance Measurement .................................................................... 7 B. Balanced Scorecard (BSC) ..................................................................... 8 1. Strategy Map.................................................................................... 13 2. Balance Scorecard for Public Sector ................................................16 C. Public Transport ....................................................................................18 D. Service Quality ......................................................................................21 E. Service Dominant Logic (S-D Logic) ..................................................25 CHAPTER III. RESEARCH METHODOLOGY................................................ 32 A. Research Design ....................................................................................32 1. Qualitative Research Approach..................................................... 33 2. Case Studies Research .................................................................. 35 B. Data Collection..................................................................................... 37 C. Reliability and Validity .........................................................................39 ii CHAPTER IV. DATA COLLECTION ................................................................ 41 A. Jakarta Transportation Strategy ........................................................... 41 B. Jakarta Public Transport Performance...................................................55 1. Fiduciary Perspective........................................................................55 2. Customer (Resident) Perspective......................................................64 3. Internal Process Perspective .............................................................73 4. Learning and Growth Perspective.....................................................87 C. Value Creation with Public Transport User ..........................................92 D. Varmland (Sweden) Public Transport ...................................................94 CHAPTER V RESULT AND DISCUSSION ................................................... 101 A. Strategy Map....................................................................................... 101 1. Fiduciary Perspective .................................................................... 107 2. Customer (Resident) Perspective....................................................108 3. Internal Process Perspective ...........................................................109 4. Learning and growth Perspective ...................................................110 B. Balanced Score Card as The Service Dominant Logic........................113 C. Evaluation of Jakarta Public Transport ...............................................116 D. Comparison Public Transport System .................................................123 E. S-D Logic and BSC in Jakarta Public Transport.................................127 CHAPTER V. CONCLUSION AND SUGGESTION ....................................... 132 A. Conclusion ......................................................................................... 132 B. Suggestion ......................................................................................... 137 REFERENCES ................................................................................................... 141 APPENDICES ....................................................................................................146 iii LIST OF TABLE Table 1 Levels of planning and control in public transport ......................... 19 Table 2 The items of service quality............................................................. 23 Table 3 Ten foundational premises............................................................... 27 Table 4 Jakarta MRT feature ........................................................................... 50 Table 5 Number of Transjakarta Passenger.................................................. 59 Table 6 Transjakarta Revenue Based on Number of Passenger ................... 60 Table 7 Public Transport and Price Policy Perfomance ............................... 64 Table 8 Performance of Dishub, Transjakarta and Non-Transjakarta .......... 65 Table 9 The most attribute should be improved ........................................... 66 Table 10 The service quality of Transjakarta ................................................. 68 Table 11 Passenger Expectation from Transjakarta Service........................... 70 Table 12 Traffic Accident............................................................................... 71 Table 13 Data Fluctuation in Headway Busway............................................. 79 Table 14 Mass media issues in Transjakarta Busway..................................... 80 Table 15 Number of Transjakarta Acident Cases........................................... 85 Table 16 Customer Involved in Value Creation ............................................. 93 Table 17 Vision, Mission and Objective of Dishub Jakarta ......................... 101 Table 18 Jakarta and Värmland public Transport......................................... 127 iv LIST OF FIGURE Figure 1 Balance Scorecard with four perspectives ........................................ 10 Figure 2 Principles of a strategy- focused organization .................................. 13 Figure 3 Strategy Maps..................................................................................... 18 Figure 4 Transport Relationship Model ........................................................... 20 Figure 5 Factors Decision of Travel ................................................................ 20 Figure 6 Gap Analysis Model .......................................................................... 22 Figure 7 Synthesized model of service quality................................................. 24 Figure 8 Research Flowchart................................................................................33
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