Factors Affecting the Success of the Building Permit Licensing Service in Denpasar City, Bali Province

Abstract

This study aims to identify the success factors involved in improving the building permit, or Izin Mendirikan Bangunan (IMB), licensing service in Denpasar City, Bali Province. These permits play an important role in providing legal assurance when owning or altering a building. However, in reality most of the buildings in Denpasar do not have such permits. There are various obstacles to their acceptance, such as society’s perception that applying for one is expensive, troublesome and takes too much time. Therefore, it is necessary to conduct research on two related stakeholders, namely the community and the employees who work in the licensing service. Investigation was made by distributing a questionnaire survey to both the community and the officials. After conducting validity and reliability tests, the collected data were analyzed using factor analysis to determine the success factors. The study found that the factors influencing the IMB service in Denpasar City are: (1) transparency, (2) employees’ ability, (3) convenience, (4) time, (5) employees’ performance, and (6) employees’ responsibility. Amongst these, transparency was shown to be the dominant success factor for improving IMB services, as indicated by the highest eigenvalue value (15,085) and variance (47.142%). The discriminant analysis results show that there is no difference in perception between the service employees and the community.

Keywords

• Building permit
• Community
• Employees
• Service