This thesis investigates the consequences of the free-trade agreement among the 10 Southeast Asian countries that form the ASEAN Free Trade Area, with a focus on Indonesia. Since 1 January 2010, when Indonesia implemented its zerotariff import duties, it has been flooded by cheap goods from China, Singapore, Vietnam and Cambodia. The prevailing question is how Indonesia's small and medium enterprises (SMEs) should deal with the new situation.
This thesis discusses the case of Indonesian SME garment manufacturers (ISGMs). Each day, ISGMs record an abundant amount of data that represent their daily transactions. However, these data cannot be used directly in making managerial decisions; ISGM managers need support in accessing qualified information for their decision making. ISGMs usually do not have their own financial experts (who can provide adequate context for the qualified information), and most ISGM managers lack the financial expertise to fulfil this role.
If an ISGM manager has access to qualified information and has adequate knowledge of information technology and business systems, then they can make the right decision at the right time. To support managers in accessing the qualified information, the author has developed the computer program LIA (Leading to Information Access). LIA is able to achieve two business targets: better productivity and better quality. It aims to provide ISGM managers with expert interpretations of the results of financial statement analyses and key performance indicators.
The research investigated what kind of computer-based systems would be most suitable for ISGMs. This thesis proposes a computer-based accounting information system for providing the qualified information, and a knowledge-intensive system for interpreting the results of this information. The thesis finds that LIA is able to (1) provide qualified information for ISGMs, (2) guide ISGM managers in interpreting qualified information, (3) provide a second opinion for both financial and garment experts, and (4) provide an easier way to learn how to interpret qualified information (to an acceptable degree). LIA might not replace ISGM managers as decision makers, but it could help them make better decisions.
© 2013 Agus Gunawan