Articles

Business Strategy Proposal for Solar Energy EPC Company

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Catur Elang Energi (CEE), as one of the business diversifications of PT. Catur Elang Perkasa was established in 2020 to support Indonesian government to increase the new and renewable energy contribution in Indonesia by providing EPC (Engineering, Procurement, Construction) service for roof top solar power plant. In 2022, revenue generated from their operations is not good enough to achieve the target given by management. This research conducted to know the external and internal factor and propose strategy to improve CEE performance. This study further analyzes how the company runs its business from an external and internal perspective. This study uses external analysis such as PESTEL analysis, Porter’s five forces, and competitor analysis. Moreover, there are also internal analysis such as Segmenting, Targeting Positioning (STP) analysis, Marketing Mix. Then a further analysis was conducted by using a SWOT analysis to determine the strengths, weaknesses, opportunities, and threats of Catur Elang Energi business. Business Model Canvas used to define and communicate Catur Elang Energi business and TOWS Matrix will help Catur Elang’s develop its business and sales. the recommendation given include product development for solar energy related product, promotional campaign, developing agent network, and partnership with financial institution. Strategy implementation in the form of Gantt chart also made based on recommendation that can be implemented by PT. Catur Elang Perkasa.

Proposed Business Strategy for International Freight Forwarding Company (Case: PT Jahermosa)

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PT Jahermosa is an international freight forwarding company established in 2012. This company has experience handling several types of goods with various services and modes of transportation. The services provided include export-import goods delivery using sea, air, and land modes. Due to COVID-19, the company’s sales performance has decreased from 2019 to 2021. However, according to data from the Central Bureau of Statistics, Indonesia’s total exports and imports from 2020 to 2021 have experienced a drastic increase. This gap indicates an increase in the market for goods delivery services to and from Indonesia but did not accompany PT Jahermosa’s ability to absorb the market. Therefore, this study aims to provide strategic business proposals for PT Jahermosa in the freight forwarding industry to improve the company’s sales performance.

This research is qualitative research using primary data and secondary data. Primary data was obtained through interviews with several customers and management participants. While secondary data is obtained through company financial reports, websites, journals, and articles. First, an analysis was carried out on the external and internal conditions of PT Jahermosa’s freight forwarding business. External analysis was conducted using the PESTEL Framework, Porter’s Five Forces Model, Customer Analysis, and Competitor Analysis. Meanwhile, internal analysis was carried out using the Resource Based View Model, VRIO Analysis, Porter Value Chain Analysis. After that, the internal and external analysis will be put into the Business Model Canvas. Then, SWOT analysis is used to evaluate the strengths, weaknesses, opportunities, and threats to assess the condition of PT Jahermosa using the data from external and internal analysis. Evaluation of these four factors forms the basis for formulating strategic alternatives using the TOWS Matrix. Finally, root cause analysis is carried out to find the real cause of the problems encountered using Problem Tree Analysis. Based on the results of this research, the strategy is formulated using the Diamond Strategy Model by considering four factors: vehicles, arenas, differentiators, speed, and economic logic. Value proposition canvas is used to support the proposed strategy.

The limitation of this research is that financial reports need to be explained in detail to keep company documents secret. In addition, this research only covers PT Jahermosa as a freight forwarding and logistics service company. Further investigation can be made based on this research in the supply chain management, human resource management, and marketing strategy.

Proposed Business Strategy to Increase Profitability in Food & Beverage Industry (Case Study: Pt Ganesha Abaditama)

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Indonesia’s retail industry is one of the most promising due to its large population and rising purchasing power from middle-class individuals and millennials with increased spending habits. Food and beverages are part of Indonesia’s retail industry. Ganesha, a manufacturer, and supplier of packaged spices has seen sales decline in the last two years. Outperforming supermarket competitors to increase sales requires a new business strategy to gain competitive advantages. This study uses the AFI framework to design a new business strategy. Porter’s Five Forces, customer, and consumer analysis are used for external business analysis. Resource-based view analysis, core competencies gap analysis, and VRIO analysis are used to analyze the internal business environment. Interviews, questionnaires, and observation provided primary data. Websites, books, articles, and journals provided secondary data. The two data sets are combined for the SWOT analysis, and the TWOS matrix is used to develop strategies. Results show that underpricing rivals and increasing product value will increase market share. Innovating the supply chain, production, and technology helps lower selling prices. Innovating existing products, packaging, and variations helps add product value. However, product innovation requires more market research to determine consumer interest.

Proposed Business Strategy to Gain a Competitive Advantage for Construction Consultant Company

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 PT Hirfi Studio is a construction consulting company that has experienced a decrease in profitability. To address this issue and improve the company’s performance, the management team needs to create a clear business strategy. This will involve setting goals and objectives, analyzing the internal and external environment of the company, and identifying the resources and capabilities needed to achieve these goals. The business strategy should also consider the company’s target market and competition, and outline actions that will give it a competitive advantage. To resolve its profitability issues, PT Hirfi Studio has decided to adopt an integrated cost leadership strategy, which involves using corporate, business, and functional strategies together to lower costs and improve efficiency while still providing high-quality products and services to customers. To implement this strategy successfully, PT Hirfi Studio will need to align its strategies with its overall goals and objectives. Through this integrated approach, the company aims to achieve long-term success, improve profitability, and gain a competitive advantage.

Proposed Business Strategy for PERUMDA BPR Bank Sumedang to Face Digital Banking Transformation

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The existence of the COVID-19 pandemic has created uncertainty, which can threaten a bank’s ability and capacity to achieve its objectives. The development of digital technology during the COVID-19 period brought a shift in the behavior of people who tend to spend a lot of time using cellphones in cyberspace, including accessing all banking products, whether making transactions, saving or borrowing. This condition is a challenge for BPR in Indonesia including Perumda BPR Bank Sumedang to follow the wave of change towards digitalization that is happening in the banking industry.  Furthermore, the challenges that are being faced by Bank Sumedang due to the disruption of financial technology is the decline in credit customers every year.

The decline was very significant within a period of 4 years, while the biggest profit of Bank Sumedang was obtained from interest on customer loans. The methodology used is descriptive research using primary data (in-depth interviews and surveys) and secondary data via internet resources. This research is descriptive to explore the problems that exist in Sumedang Bank by analyzing the internal and external factors of the company.  Furthermore, the tools that will be used in chapter four are SWOT, EFAS, IFAS, SFAS and TOWS Matrix. Based on the result that has been formulated, the author will use WO strategy because it has the highest score by Capitalizing on Opportunities to Reduce Weaknesses.

Business Strategy to Increase Sales Performance: Case Study of a Mineral Water Product in Indonesia

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Currently, people in Indonesia are starting to become aware of consuming proper drinking water so the demand for proper drinking water increases every year. This is an opportunity for Club mineral water to meet market demand. Club’s drinking water brand has started to gain public attention, as shown by the Club’s brand being included in the category of five bottled drinking water based on consumer choice according to Indonesia’s Top Brand data. Even so, the Club has the lowest market share percentage when compared to its four competitors. Furthermore, looking at the internal sales performance of the Indofood CBP’s group, sales of the beverage division were smaller than other divisions. This shows that the Club needs to analyze its strategy to improve its sales performance so the company can become a leader in its market. This study further analyzes how the company runs its business from an external and internal perspective. This study uses external analysis such as PESTEL analysis, Porter’s five forces, consumer analysis, and competitor analysis. Moreover, there are also internal analyses such as analysis of the company’s core competencies, resource-based analysis, and VRIO. Then a further analysis was conducted by using a SWOT analysis to determine the strengths, weaknesses, opportunities, and threats to the Club’s mineral water products. This study uses qualitative and quantitative methods using a survey of Club mineral water customers. The researcher also analyzed the position of the Club’s mineral water compared to its business competitors in terms of sales, followers on Instagram social media, frequencies of Instagram posting, and how competitors use digital media. After that, the TOWS matrix will help the Club’s mineral water develop its business and sales. The recommendations given include that the company should know its core competencies to develop, makes product innovations that are different from its competitors, improve the way product promotions are delivered, and optimizes digital media as a sales tool. Strategy implementation in the form of a Gantt chart is made based on these recommendations so that PT ICBP Club could implement it properly.

Corporate Renewable Energy Procurement Prioritization Using Analytic Hierarchy Process (AHP) by Energy Service Company Perspective in Response to COP26

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To be able to participate in the COP26 commitment to work together to make clean and sustainable solutions, making clean power is the most affordable and reliable option for Indonesia to meet its power needs efficiently by 2030. The purpose of this research is to create a prioritization of prospective renewable energy projects from the point of view of a service company as an oil and gas company’s contractor. These include Indonesia’s prospective projects, which are geothermal or carbon capture and utilization, and decarbonization or reduction emission from existing services. This research also decides criteria that important for service company in providing renewable energy. A literature study, interviews with key decisionmakers in the company, questionnaires to company experts, and a questionnaire to practitioners in the industry were done to determine the criteria and prioritization technique. Four criteria of governance, marketing and sales, financial and project management were found to support the prioritization process using the Analytical Hierarchy Process (AHP). Among the nine sub-criteria, the sub-criteria with the highest global weights are profitability, cashflow, and service quality assurance.

Proposed Business Strategy to Increase User Download and User Registered for “ABC” Application: A New PT XYZ Digital Touchpoint for MSME’s Customer

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Micro Small Medium Enterprises (MSMEs) have become one of Indonesia’s most significant contributions to economic growth. Based on data from the Ministry of Cooperatives and SMEs in March 2021, Micro Small Medium Enterprises (MSMEs) had contributed 61,07% of Indonesia’s Gross Domestic Bruto (GDP) or Rp 8.573,89 Billion. Per March 2021, the total of Micro Small Medium Enterprises (MSMEs) in Indonesia has reached 64,2 Million business entities and contributed more than 117 million Human Resources all over Indonesia. With these significant contributions to the Indonesian economy and to make MSME survive in the challenge of the digital era Indonesia Government made a program in 2021 called “MSME’s Go Digital, Go Global”, targeting 30 million MSMEs to go digital in 2024. PT XYZ as one of the digital companies in Indonesia launched a new Digital TouchPoint (DTP) named “ABC” as one of the ways to speed up internet penetration and make it accessible for every MSMEs, grabbing MSME’s market in Indonesia, and participating on succession Indonesian government program.  As a new application, PT XYZ is facing a problem: the user download and user registration of “ABC” are still low; hence, PT XYZ needs new business strategies to increase user download and user registered. Several steps have been taken to propose new business strategies for PT XYZ. For gathering data and conducting a comprehensive external and internal analysis, questionnaires and in-depth interviews were done. VRIO Framework analysis and Internal Factor Evaluation (IFE) were used for internal factors analysis, and Porter’s Five-Forces and External Factor Evaluation (EFE) were used for external factors analysis. Diamond Strategy Formulation was used to formulate the proposed strategies to increase user download and user registered for “ABC”. The proposed strategies are divided into two kinds there is the short-term strategy which will be implemented and executed for one to three years, and the long-term strategy.

Increasing Order Fulfilment of Spare Parts in WIS and AS/RS Warehouse in PT. KTK Using Operational Excellence to Enhance Competitive Advantages

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The research is focused on the inventory storing process and used both generic and thematic framework to gain a better understanding from both perspective between business environment and the operational environment that currently occurred in PT. KTK. Competitor analysis, 7Ps marketing mix, and SWOT analysis are used to gain an understanding of the internal and external situation of PT. KTK and to compare PT. KTK with its competitors. On the operational sides, operational excellence is used to gain a better understanding and formulate a potential solution to improve the existing order fulfillment of PT. KTK. DMADV methodology from Six Sigma is used to gain a better understanding, measure the related metric, analyze the problem, providing a solution design, and implementing the solution in the existing warehouse process in PT.KTK. To align the operational strategy with PT. KTK business strategy, Porter’s Generic Strategy is used to gain and decide the best strategy for them. And the result, PT. KTK should focus on cost leadership by improving the effectiveness and efficiencies of their warehouse process enhance competitive advantages. Lastly, after the implementation is conducted and the result is observed, the solution can improve the order fulfillment of PT. KTK warehouse by 52.5%.

Proposed Business Strategy for PT Aneka Tambang TBK for Market Development in Order to Increase Export of Ferronickel

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PT Aneka Tambang (ANTAM) Tbk is part of the SOE’s Holding Mining Industry which vertically integrated, export-oriented, diversified mining and metals company. ANTAM has two big commodities which are gold sectors and nickel sectors. Nickel based products consist of Nickel Ore, Ferronickel, Bauxite, and Alumina. Ferronickel is a high-grade product of nickel downstream which contains 20% – 25% of nickel and mostly consumed by stainless steel companies. ANTAM is the only company in Indonesia that can produce Ferronickel. In the nickel market, many companies produce the substitute product of Ferronickel which is Nickel Pig Iron (NPI). Ferronickel and NPI are serving the same market while NPI itself contain lower of nickel and cheaper than Ferronickel. Government of Indonesia supported the development of downstream industries in Indonesia. The growth of battery industries is escalating resulted high demand for it. Technology is currently improving the process to transform Ferronickel and NPI into Nickel Mattes (Ni Mattes) which used to be an intermediate component to produce electric vehicles (EV). Based on the demand of global market, there are many demands for Ferronickel supplies in the worldwide. However, the capacity exports of Ferronickel in ANTAM are still far behind. This study analyzes business problems using several tools to identify the external environment and internal environment of ANTAM. SWOT analysis is used to capture the strength, weakness, opportunity, and threat that affects the business of the company. The Root Cause Analysis is used to define problems that happened in ANTAM and needed to be solved. Data and information were obtained from various sources such as interviews with the internal of ANTAM, observation, and study from the literature. The study found that ANTAM has lower export sales caused by the limited market scope, lack of promotion, and no product development. To overcome the problems that faced by ANTAM, the author proposes a business strategy for ANTAM for market development to increase export of Ferronickel by using the Strategy Diamond Framework and Ansoff Matrix as the strategy that will be implemented in ANTAM. The stages in this strategy were concerned more with the issues and provide solutions to increase the export of Ferronickel. Therefore, ANTAM should focus on market development to reach the widen market and fulfill the demand of Ferronickel in the global market.