Integrasi Manajemen Kinerja dan Hubungan Industrial sebagai Strategi Peningkatan Produktivitas di PT Astra Internasional Tbk

Abstract

The increasingly dynamic nature of business competition requires companies to enhance productivity through strategic human resource management, while previous studies have tended to examine performance management and industrial relations separately, leaving a gap in understanding regarding the integration of both in improving productivity. This study aims to analyze the integration between a Key Performance Indicators (KPI)-based performance management system and industrial relations as a productivity enhancement strategy at PT Astra International Tbk. A descriptive qualitative method was employed through literature study and case study, utilizing secondary data from sustainability reports and related scientific publications. The findings show that KPI-based performance management aligns individual targets with corporate objectives through periodic performance evaluations and competency development programs, while industrial relations, through management–union partnerships and SPAI, succeed in creating a harmonious work climate as reflected in high employee engagement and low turnover. The synergy of these two aspects forms a High-Performance Work System (HPWS) that drives sustainable productivity. The study concludes that productivity improvement does not rely solely on performance appraisal systems, but also on the quality of industrial relations that ensure employee welfare and trust. The implication is that companies need to strengthen communication and the digitalization of HR management to maintain a balance between performance pressure and employee well-being.