Heavy Equipment Workforce Planning: An Analytic Hierarchy Process Approach for Local Worker Composition Regulation Compliance – A Coal Company Case Study

The Newcastle Coal Price surge, currently at $457.80 in September 2022, drives coal companies, like one in East Kutai, to ramp up production by acquiring equipment and operators. However, compliance with Kutai East Region Regulation No 1 of 2022, requiring an 80% local workforce, complicates operator recruitment. This study aids management in selecting operator compositions in line with stakeholder expectations and regulations. Employing Problem Tree Analysis, Value-Focused Thinking, and Stakeholder Analysis, key challenges and alternative strategies were identified. Analyzing five options via the Analytic Hierarchy Process, the optimal choice, 100% skilled non-local operators, conflicts with regulation, necessitating negotiation for a suitable compromise. The fourth option, with adjusted operator compositions over time, emerges as the most viable solution. Implementation planning, utilizing the 5W+1H method, is crucial for addressing stakeholder concerns, ensuring compliance, reducing unemployment, and enhancing welfare. This research offers a framework for fulfilling operator qualifications while meeting stakeholder interests through strategic planning and negotiation.