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Social security is an essential instrument for protecting people from falling into poverty due to economic shocks in the event of sickness, work-accident, old age, and death of income producers. Indonesia introduced Law no. 40 Year 2004 on National Social Security System to implement mandatory social security programs for all. Despite the compulsory participation for all, the national social security system's coverage continues to be low and mostly relies on government aids. This study explores and analyzes key factors that need to be considered during the policy options formulation process to ensure the intended policy can support the national social security system's implementation. The findings show the need to build an integrated ecosystem model that is critical for social security implementation by considering the combined use of decision-making approaches and five consideration factors during the policy options formulation. An integrated ecosystem model contributes better policy options formulation that can support the effective implementation of the national social security programs while minimizing implementation risks.

Manuscript type: Original Papers Research Aims: To explore the behavioral process of international students on how they can change their decision to remain or return home based on their interactions with other agents during their studies. Design/methodology/approach: This paper uses an agent-based methodology approach to simulate the behavior of students based on their interactions while studying abroad. A combination of four parameters with three different scenarios and 40 repetitions in every scenario are conducted to verify the model; 81 simulations are determined to simulate this model. Research Findings: The number of natives interacting with students is proven as one single important parameter that influences the number of remaining students and their probability density. Theoretical Contribution/Originality: Utilisation of agent-based simulation to predict behavior of students Practitioner/Policy Implication: Supporting good quality of life condition for students environmentally and socially Research limitation/Implications: Interaction with fellow students, natives, recruiters abroad and in home country are the only interactions considered in this model. More elaborate and complicated model is needed.

With the proliferation of key account management (KAM) for the past three decades, starting late 1970s and early 1980s, academics attention on business-to-business (B2B) sales and marketing has shifted to KAM. Plenty of company efforts to adopt KAM are failing. On the contrary, some scholars highlighted that research on KAM implementation remains lacking. This paper intends to investigate all research on KAM implementation using the framework of organisational change elements of content, context, and process (CCP). All KAM implementation research is classified based on CCP to investigate the sufficiency number of research on securing the success of KAM implementation. Through a systematic literature review, this paper found a research gap in the process element of implementing KAM. This paper then proposes to conduct further study of using Kotter eight-step change process as the framework to process the implementation of KAM.

Batik industry constitute of one of 14 classified creative industries in Indonesia. As part of creative industry, batik design and the batik product is possible continuously develop. In this research, we focus on Batik Industrial Cluster in central Java, Solo. This research aim is to model value co-creation process and value orchestration platform as a hierarchical service by using service science perspective. We argue value orchestration management strategies to promote Solo as batik industrial clusters to world favourite tourist destination. To achieve it, we first examine and express the situation from batik industrial cluster in Solo by using qualitative approach. Then, we analyze a process model of value co-creation consisting of four phases, i.e., co-experience, co-definition, co-elevation and co-development. The model describes interactive relationship among stakeholders in Batik industrial cluster by involving value co-creation process to supporting such collaboration. Finally, we apply three management strategies of value orchestration platform for orchestrating value co-creation process, i.e., involvement, curation and empowerment strategies.

Milk production is inherently complex and risky business. Risks and complexities are involved in every production stage and process performed by each actors involved along the milk supply chain. It implies that the success of improving the performance of supply chain will in some degree depend on those actors’ ability to cope with risks and its emerging complexities. This paper proposes a concept for analyzing the risks existing in the milk supply chain. To conceptualize, the use of agent-based methodology is offered in order to capture the risk complexities in the particular chain. A basic agent-based model that can describe the actors’ behavior toward risk and the likely consequences for the entire chain completes the concept.

Land conversion is one complex problem which includes actors and factors with different social levels. In the process of land use change, every small change in decision-making methods used by individuals may significantly affect the outcomes. Agent-based modeling and simulation (ABMS) is a common approach to analyze and simulate the process of land use change as the result of individual decisions. This paper firstly describes the general problem of agricultural land conversion (ALC) in Jambi Province, Indonesia, in particular in connection to the smallholders’ role. It is then followed by the brief explanation on factors influencing the smallholders’ behaviors. Then, conceptual framework of ABMS in analyzing land conversion as one kind of the land use change/cover (LUCC) processes is presented enriched with agent topologies and the decision-making processes on the agricultural land conversion problem. Finally the proposed model is illustrated through a preliminary case study in Jambi Province, and some scenario on the effect of interaction between farmers and government is described. The framework is still a general approach to analyze simple LUCC problem using ABMS approach.

Stakeholder interest and participation is crucial in the success of city tourism. However, further study is needed to elaborate how value co-creation can be enhanced among stakeholders. The objective of this paper is to develop a simulation model that can describe value co-creation processes in city tourism. For doing so, this study uses Surakarta City as a case study because it is one of the famous tourist cities in Central Java, Indonesia. The study was conducted using a soft system dynamics methodology (SSDM). Data were collected using qualitative and quantitative approaches. The research findings were derived through simulation, which shows the best scenario for improving collaboration among stakeholders. By using the concept of a value co-creation process from a service science perspective, it is believed that the simulation model from this study can provide guidance for the city's tourism sector in order to increase its performance. This guidance is especially relevant for the local government of Surakarta.

The Indonesian government nowadays faces multidimensional and multifaceted problems that require a more proper framework of policy making. Group model building (GMB), in parallel with system dynamics, becomes a successful methodology in policy making though some weaknesses exist. We have proposed an integrative GMB process by adapting the framework of value co-creation and orchestration platform to overcome those problems. Three management strategies of value co-creation as the main findings are revoked: involvement, curation, and empowerment. Those keywords are inputted to improve the GMB process and applied to the wicked problems found in the Indonesian context that needs more integrative solution to see how the GMB platform may be implemented in the real-world problem. Although it is still an ongoing process, we can see that by adapting the value co-creation platform as part of the GMB process, it is advantageous in defining what activities should be done by each actor (e.g., facilitator, modeler, stakeholders) in order to have a better policy recommendation in the part of policy making and policy development process.

At the beginning of 2008, the amount of cluster industry batik in Solo start to grew, with so many innovations, big market (co1nsumers), low cost and high progit margin. The condition is so much different compare to the late 1980. Thus, with agent-based simulation for industrial cluster, the aims of the research are to understand what mechanism can describe the formation of cluster industry batik in Solo, and propose strategies to stimulate formation of cluster industry. There are three agents modeled in the simulation; consumer, produce, and supplier. Each agent has their own attributes and decision role. As result, the simulation can describe that industrial cluster is formed as bottom-up interaction between agents with interdependency decision-making. In the long term, only producer agent that agglomerate with other industry can survive and the average wealth of each agent will increase along with the density cluster of certain industrial cluster. Several policies can be implemented to stimulate the industrial cluster formation are creating join-showroom, build waste-water treatment for several industries, renovate the facilities (access) to the cluster industries.

The purpose of the present research is to identify, analyze and simulate dynamics of interaction and conflicts among agents using drama theory, and to apply it in Citarum river basin problem. To accomplish the purpose, we first model the process in terms of drama theory that is combined with emotional state model (PAD). One of the reasons why we adopt drama theory is that it primarily focuses on dilemma or paradox arising from rational goal seeking behavior. It also provides us with rigorous analytical and computational tools of conflict analysis.Then, we propose a simulation model to describe both of dilemma of conflict, i.e., persuasion and rejection dilemma among the agents, and the dilemma of collaboration (trust dilemma) among the agents. Finally, we conduct agent-based simulation by using SOARS (Spot Oriented Agent Role Simulator ) to obtain some fruitful suggestions for encouraging their collaboration.

This paper aims to get a better understanding of the dynamic process in the competitive signaling interaction, by studying the process from hypergame perspective. Competitive signaling interaction in this paper is about under what condition a company should believe its competitor’s announcement in the interaction between a company who sends a price increase signal and who can choose between telling the truth and bluffing, and a company who receive the signal which has to decide whether or not to believe the sender. First, the concept of competitive signaling as a hypergame situation is identified. Then, the adaptive learning model of hypergame is described. Based on the model, this research proposed a new learning procedure to support a receiving firm, who faces the uncertainty of sender’s motive, to learn the objective situation. Finally, by examining the simulation results, this research point out that a receiving firm which is supported with the learning procedure could learns the sender’s motive, makes a better decision, and takes an action appropriate with it.

This paper presents a simulation approach to adaptation process of two interacting parties (or groups), each of which adopts learning behavior in hypergame situation. That is, we try to clarify which learning behavior facilitates the adaptation process to converge on equilibria of the traditional game situation (TGS), and facilitates each agent to learn the equilibria correctly. First, we define the hypergame situation, in which each agent is assumed to have only internal model of the situation. Then, we develop adaptation process model of the groups, and a simulation of the process. In the model, the genetic algorithm has role to improve population of perceptions according to the past experiences. Finally, we point out that by examining the simulation results, action choice and perception evaluation based on subjective Nash equilibria are critical to the performance of the adaptation process, in the situations with one or more TGS Nash equilibria.