Dynamic System Model for Performance Measurement of Tea Agroindustry

Abstract

Abstract The problems of decrease in tea quality and tea productivity agroindustry have become a quite complex system problems. The dynamic system approach provides an analytical framework in order to understand the linkage of managerial policies of tea agroindustry. It applied dynamic system model by using tool powersym studio 2005. The simulation is done in the period of 2019-2025. Furthermore, performance dynamic model of tea agroindustry consists of production process linkage, finance, and human resources. The system produces three scenarios (aggressive, moderate, and pessimistic) based on management's response to strategic planning in 2011-2016. The result of this research is the model can be used to provide insight for management to monitor dynamic behavior of tea agroindustry. The simulation of dynamic behavior of scenarios recommended aggressive scenario as the best recommendation. The best scenario is the aggresive scenario. The measures were 10% rejuvenation increase, 10% production cost decrease, minimum tea selling price on export quality, increase in HR investment cost as much as 20%.