THE IMPLEMENTATION OF INDONESIA’S THREE PRINCIPLES OF HIGHER EDUCATION STANDARD TOWARDS INCREASING COMPETITIVENESS OF LOCAL UNIVERSITIES FOR ASEAN ECONOMIC COMMUNITY

This research examined the effectiveness of the implementation of Indonesia’s three principles of Higher Education known as Tri Dharma Perguruan Tinggi comprising education and teaching, research and community service provided by the universities. More specifically, this research investigated the influences of leadership, strategic planning and human resources on the effectiveness of the implementation Tri Dharma Perguruan Tinggi as the standard setting in measuring Indonesian universities’ performances. It is underlined that strong leadership, well-strategic planning and qualified human resources are essential for universities in providing quality education and teaching, research and community services. A sample consisting of 570 lecturers working and holding managerial position at universities in the Province of Sumatera Utara, Indonesia, were selected. Results of data analyses using partial least square (PLS) suggested that leadership, strategic planning and
human resources influence the effective implementation of Tri Dharma Perguruan Tinggi. Meanwhile, the effective human resources serves as the pivotal driver that is needed for creating universities’ competitiveness. Accordingly, an effective leadership determines the outcome of strategic planning required for achieving excellence competitiveness of the universities.