THE ANALYSIS OF PERFORMANCE MEASUREMENT IN THE OUTSOURCING DECISION OF HOUSEKEEPING SERVICES (A STUDY CASE OF CHEVRON IBU)

Abstract

The outsourcing is significantly plays as popular method to achieve the organization’s goals by focusing on performance improvement. Most of organizations more think about how to increase the productivity on core competencies and let the external services providers to handle the businesses support of organization. However, the decision for outsourcing does not always bring the targets desires and may cause failures in organization outsourcing. This research concern on measuring the performance in the outsourcing process in one of business process in which housekeeping services at Chevron IndoAsia Business Unit (IBU). The researcher will analyze this research from the corporate strategy and process level. Through evaluating the performance of housekeeping services at Chevron IBU will provide analysis whether outsourcing decision is the appropriate way to achieve organization’s successful and also considerations to create better performance in the outsourcing process in the future. The research method used is qualitative method in study case approach. Moreover, the scope of this research is performance measurement in the outsourcing decision in housekeeping services at Chevron IBU. To provide the valid data, the researcher limits the research based on the research area, the amount and characteristics of the participants. In order to present the objectives of data analysis, the researcher uses the McIvor’s theory as references. It consists of several stages, for instances: process importance analysis, process capability analysis, selecting sourcing strategy, and implement and manage outsourcing arrangement. This research is conducted by interviews to the management level, outsourcing staffs, and Chevron employees as participants. In and addition, the researcher analyzes the measurement performance in the outsourcing decision by using a simple numerical measurement. As the result of this research is expected to be reference for Chevron IBU, especially Office Service Group to evaluate, manage, and improve the performance of outsourcing decision in housekeeping services at Chevron IBU.