The Effects of Process Quality Management and Information Technology to Product Quality Performance with Management Accounting System as Intervening (A Case Study of Manufacture Companies Listed on Indonesia Stock Exchange)

Abstract

Phenomenon that occurs at this time related to the product is that the quality of the resulting product is not in accordance with established standards and have not been performed well, with the sense that the products produced are still many defects, reworked, waste products, and many complaints or even the claims of customers. Results of previous studies showed different results, namely that the Process Quality Management (PQM) does not affect the Products Quality Performance (PQP), due to the lack of involvement of Management Accounting Systems (MAS) in the link between PQM and PQP. In addition, research related to MAS which addresses the relationship between Information Technology (IT) and PQM to product quality is still lack. This research is going to empirically examine the effects of PQM and IT to PQP with MAS as intervening variable using path analysis. This research was conducted at the manufacture companies listed in Indonesia Stock Exchange in 2013 with the analysis unit employees who work associated with the production process.The results found that IT can directly affect PQP and also be affected indirectly, from IT to MAS (as intervening) and then to the PQP. From the path analysis can also be concluded that the presence of significant coefficients mediation, means that there is an influence of mediation. Test results concluded that the PQM and IT with MAS as intervening variable in overall/simultaneous significant gives effect on PQP manufacturing companies. However, it turns out to be partially IT variables with no significant effect on PQP. Nevertheless, the company's management should remain consistently to use and improve the IT, considering the results of previous trials that IT, both directly and through a MAS as an intervening variable effect on PQP, so the products can be well accepted by customers and exceeding customer expectations.

Keywords: Information Technology, Management Accounting System, Process Quality Management, Products Quality Performance