Indonesia Conference Directory

The problems of decrease in tea quality and tea productivity agroindustry have become a quite complex system problems. The dynamic system approach provides an analytical framework in order to understand the linkage of managerial policies of tea agroindustry. This research was conducted to design dynamic system model for tea agroindustry performance. It applied dynamic system model by using tool powersym studio 2005. Moreover, it started from observation, interviews, and document collection, which then be made a causal loop diagram to the simulation model creation and validation. The simulation is done in the period of 2019-2025. Furthermore, performance dynamic model of tea agroindustry consists of production process linkage, finance, and human resources. The system produces three scenarios (aggressive, moderate, and pessimistic) based on managements response to strategic planning in 2011-2016. The result of this research is the model can be used to provide insight for management to monitor dynamic behavior of tea agroindustry in order to get the best policy in the coming year. In addition, this research implication towards the improvement of tea agroindustry performance generally is a mechanical area of picking experiment as much as 20% from tea agroindustry wide area, training improvement and tea quality evaluation, and product diversification.