Alternative Performance Measurement for Road Management Agencies Using Data Envelopment Analysis Method

Abstract: Performance assessment is the most important phase in each organization cycle to determine whether the organiza-tion has been functioning in accordance to the fundamental purpose of the organization existence. This is also true for the National Road Implementation Agencies (BBPJN/BPJN) as the technical supporting units of the Directorate General of Bina Marga - Ministry of Public Works that are responsible for the maintenance and functioning of the national roads in Indonesia. As public institution, currently BBPJNs and BPJNs are accountable for their perfor-mances  and  to  be  assessed  in  accordance  to  government  assessment  mechanism  using  Performance  Report  of   Government Institution - LAKIP. Departing from some weakness on the current mechanism, this paper is to discuss the development a performance assessment model using DEA (Data Envelopment Analysis) approach as a comple-mentary model to the existing performance measurement model. Using DEA approach, relative efficiency amongst road agencies can be compared, which will then can be utilized as the basis for decision by the Directorate General of Bina Marga on BBPJN/BPJN’s future workplan and budgeting.
Keywords: Road services agencies, Performance assessment model, DEA
Author: Biemo W. Soemardi
Journal Code: jptsipilgg130004

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