Articles

Proposed Business Strategy for Implementation of Green Port at Merak Ferry Port to Achieve Sustainability

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Climate change is a challenge for the global world, requiring immediate action to reduce its impact on the environment. Indonesia is a party to the Paris Agreement, where Indonesia is committed to reducing reduce greenhouse gas emissions by 31.89% by 2030. As a state-owned company, PT. ASDP Indonesia Ferry (Persero), which operates in the port and ferry sector, is one of the transportation industry entities in Indonesia that plays a role in supporting this commitment. Merak Ferry Port, the largest port managed by PT. ASDP Indonesia Ferry (Persero) requires the implementation of environmentally friendly port practices to be in line with sustainability goals. This research aims to develop a business strategy for implementing a green port at the Merak Ferry Port to achieve sustainability.  Identify best practices from globally successful green port initiatives, evaluate the status of Merak Ferry Port in terms of sustainability initiatives, and propose actionable strategies to transition towards sustainable port operations. The research methodology includes qualitative analysis by collecting primary data through stakeholder interviews and collecting secondary data from case studies and related documents. Analytical tools such as Benchmarking, PESTEL, VRIO, and Value Chain analysis are used to assess internal and external factors influencing port sustainability. These findings indicate that there is a great opportunity for the Merak Ferry Port to improve environmental performance through the application of renewable energy, energy-saving technology and a comprehensive waste management system. The proposed strategy emphasizes the integration of environmental, economic and social dimensions of sustainability by utilizing the Triple Bottom Line approach. The green port implementation strategy implementation plan outlines specific actions, timelines, and resource allocation to ensure successful implementation of environmentally friendly port practices. This study contributes to knowledge about sustainable port management and provides business solutions for PT. ASDP Indonesia Ferry (Persero) to increase operational efficiency and concern for the environment. The results of this research underscore the importance of aligning business strategy with a commitment to national and international sustainability to achieve long-term viability and competitiveness in the port and ferry industry.

CSR Program Social Return on Investment Analysis Case Study: PT PLN Indonesia Power PLTGU Cilegon OMU

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Responsibility and sustainability play a larger role in the activities of global businesses. The practice of Corporate Social Responsibility (CSR) can be used to promote more responsible and sustainable behavior. PT PLN Indonesia Power PLTGU Cilegon OMU is a sub holding of an Indonesian state-owned corporation committed to fostering a responsible and sustainable culture through CSR. The old CSR program in Margasari village, the company’s first ring area, must be replaced because it has come to its exit time. Based on the Social Mapping Document 2022 and interviews, a SWOT analysis is conducted taking into account the current situation of the community. The analysis indicates that a new sewing group named Pujasari could be implemented as the new CSR program in the village of Margasari. Nevertheless, since a CSR program is a social investment, the company must be confident in the program’s future return for the community. This study aims to determine the program’s economic feasibility, Social Return on Investment (SROI) value, variables that may influence SROI achievement, and contribution to the Sustainable Development Goals (SDGs). In calculating SROI, the triple bottom line concept will be used, while the economic feasibility will use capital budgeting method. A sensitivity analysis will be conducted to determine the critical variable for achieving SROI. The study demonstrates that the calculation utilizing the triple bottom line concept (considering economic, social, and environmental benefit) over a 5-year project period yields an NPV of IDR 1,988 mio, an IRR of 109%, with a WACC of 13.349%. The program’s SROI is 20.39, indicating that for every IDR 1 invested by the company in this program, IDR 20.39 in social benefit will be generated. Analysis of sensitivity reveals that WACC, the selling price of rags, working productivity, and price of rag primary materials are, in order, the most sensitive variables affecting the project’s SROI value. In addition, the program demonstrates contribution to SDGs 1, 5, 8, 12, and 13.