Applied Management Control Systems for Agile Wedding Project Management: Case Study of LZ Service

Abstract:

Indonesia's economy has been growing rapidly for the past few years, which benefited the overall growth of wedding industry. Market size of wedding industry in Indonesia grows significantly year by year. And it is estimated to be worth up to $ 7 billion (Tempo, 2017). LZ Service is a specialized wedding service enterprise which is initiated in makeup service line and wedding documentation service line that based in Bandung has been running since late of 2016. Armed with the experience of collaborating with a former senior fashion designer, LZ Service finally started its own production in making wedding attire in 2017. Unlike common retail fashion designer, LZ Service adopted custom made rent to order as their unique business process. LZ Service as a wedding enterprise that has been running for 5 years is still categorized as a small enterprise. It can be seen from the current organizational structure which is relatively simple and can be seen also from labor basis. The revenue for over last 2 years are almost stagnant even its value proposition has tied as the strength of LZ Service. Even though LZ Service succeeded in reducing production cost in fabric purchasing by creating their own motif fabric, it was still unsuccessful to generate net profit. LZ Service was unable to absorb as many projects as possible at one time due to limited human resources. LZ Service has more part-time worker than full time worker. It turned out that it caused sequential problems such as ineffective time management, difficult coordination and inefficient cost controlling