The Role of Innovation Management Model to Improve Service Quality for Telecommunications Industry in Indonesia

Abstract

Telecommunications industry in Indonesia has rapidly increased.An intense competition of telecommunication operators has often neglecting quality of services which must be provided but instead focussing on offering cheap telecommunications costs.Every year average revenue per unit (ARPU) tends to decline, which result innovations, increase service quality, and prevent the customers switch to another operator.This research was using Soft Systems Methodology (SSM) approach based on philosophy of Critical Systems Thinking (CST), and Strategic Assumption Surface Engineering and Testing (SAST).Data flow diagram (DFD) were used as tools for designing management model innovation for telecommunication companies in Indonesia.The result obtained an incentives to innovators which is an important factor for Analytical Hierarchy Process (AHP).The further innovation model for telecommunication in Indonesia is producing innovations which ultimately improve customer service quality.

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