Case Document

Year 2020

SHABU HACHI GROUP: MANAGING IN TURBULENT TIMES

Indonesia was facing both a pandemic and an economic crisis. Saving human lives during the coronavirus outbreak was a priority, and the treatment of the nation’s economy — amid spiraling unemployment rates — would have ramifications for the country’s future. In April 2020, the coronavirus epidemic had already spread nationwide and on April 9, 2020, the governor of Jakarta announced that large scale social restrictions (PSBB) were to be held in the capital. These restrictions were later extended until 22 May 2020. These large-scale social restrictions had a massive impact on the F&B industry. No dine-in customers were allowed as citizens were told to stay at home. More than 6800 restaurants were forced to close down and over 200,000 employees in this industry had to be laid off amid the coronavirus. The Hachi Group, a restaurant chain worried that their restaurants would become a potential source of infection. Closing outlets would mean stopping sales and producing no income without knowing when this pandemic would end, therefore while risking the future of the company. On the other hand, remaining open would produce sales but at the risk of the safety of their workers and their customers. Any decision would greatly affect the company.  

Author

TOTO EDRINAL SEBAYANG

TOTO EDRINAL SEBAYANG

Marketing Year 2019

ARTOTEL GROUP: THE ART OF STEALING MARKET SHARE

The owner of Artotel group comes from the family who own the Marriott Surabaya. Wishing to expand to another market, Artotel was established with the idea of making art available to everyone. The hotel was aimed at marrying the concept of a boutique hotel decorated with art works produced by local artists, resulting in a comfortable and memorable place to stay. Artotel has undergone several changes in its strategic direction. Being an entrepreneurial company, it sees expansion to other businesses and types of accommodation as a way to survive in the turbulent environment. Artotel realizes that its main strength is its ability to have a ‘breathing brand DNA’, i. e. a brand that keeps on evolving depending on its market environment. This case will discuss the different methods that Arotel has employed to gain more market share and maintain its brand DNA.

Author

Dr. Adilla Anggraeni, B.Bus., MBA.

Dr. Adilla Anggraeni, B.Bus., MBA.

Indra Kusumawardhana, BA (Hons), M.Sc.

Indra Kusumawardhana, BA (Hons), M.Sc.

TOYS ‘R’ US: THE DEMISE OF THE TOY EMPIRE

The case study tells the story of Toys ‘R’ Us which used to be the most prominent player in toys business. Founded in 1957 by Lazarus, Toys ‘R’ Us had grown tremendously in the industry. Proclaimed as “one of the outstanding companies in all of retailing” by Goldman Sachs in 1985, Toys ‘R’ Us started to see its downfall after Lazarus had stepped down in 1994. Having led by different CEOs since then, Toys ‘R’ Us saw a hope in John Eyler who led Toys ‘R’ Us in 2000. In his 5 years serving as its CEO, Eyler, described as “an innovative and passionate marketer with entrepreneurial leadership and the energy needed for the toy market”, had tried many strategies. However, did he manage to save Toys ‘R’ Us from falling deeper?

Author

Sukma Putra, SE., M.Ed.

Sukma Putra, SE., M.Ed.

Michael Setiawan, S.Pd., M.Hum.

Michael Setiawan, S.Pd., M.Hum.

Stefanny Mathilda, S.Pd., M.M.

Stefanny Mathilda, S.Pd., M.M.

ONLINE BASED APPLICATION VS CONVENTIONAL LOGISTIC COMPANY: A CASE OF JNE AND GO-SEND

2018 is undoubtedly the peak of the digital era and it will keep growing in the decade to come. Living in the digital era means everything must be done simply, quickly and preferably online. That is why e-commerce industry has been growing significantly and in Indonesia it shows 17% growth in e-commerce industry in the last 10 years. The growth of e-commerce creates opportunity and challenge at the same time for other companies to innovate their services to meet the market’s demand and logistic companies are one of them. JNE has been one of the biggest player in logistic industry whose 16 million packages were delivered in 2018 alone, and 60-70% of them are from e-commerce. Mohamad Feriadi, the President Director of JNE, stated that the logistic and distribution industries are expected to keep growing as the consumer’s consumption continues.   However, JNE is not the only one player in this growing market. There have been other companies who entered the market with different approaches and offerings. 2017 marked the start of Go-Send Same Day Delivery who offers delivery service right to the front door in the count of multiple hours on the same day. Up to now, there are approximately 200.000 sellers who have used the Go-Send service through e-commerce platform and this trend keeps increasing each month. Beside Go-Send, there are other players in logistic industry that can be considered as competitor, such as Grab Express, J&T Express, even the new player PAXEL has been jumped to this business. This seems to be a challenge for JNE itself, whether it is able to adapt with the new digital era and to cope with the competition within logistic industry in Indonesia.

Author

Sukma Putra, SE., M.Ed.

Sukma Putra, SE., M.Ed.

Aryo Bismo , SE, MM.

Aryo Bismo , SE, MM.

Marketing Year 2018

GOTTA CATCH ‘EM ALL: ARE NIANTIC AND POKEMON GO STAYING AHEAD OF THE GAME?

Pokemon Go was launched by Niantic in 2016 and became an overnight success. In just two years, the game has managed to attract approximately 5 million active users globally (businessofapps.com, 2018), raking a total revenue of 268 million USD by August 2017. This case study depicts the game development; starting from the deal that the CEO made with Nintendo and Pokemon Inc which was considered the best deal in the history of the game. Despite its success however, Niantic was still trying hard to figure out how to stay in and ahead of the game, given the competitiveness of the industry and the shifting in gamers’ behaviours. In addition to that, Niantic also needs to start devising strategy to stay ahead of the game, given that other game developers start vying for its position in the market.  Going further, it is believed that Pokemon Go may no longer have the mass appeal which created the hype in the beginning. However, the community features that Niantic developed may allow them some development time to attract casual players. There were also some technical and non-technical related issues that happened during the early stage of the game development, leading to the question of how Niantic can bring forward its most successful game to this date.

Author

Dr. Adilla Anggraeni, B.Bus., MBA.

Dr. Adilla Anggraeni, B.Bus., MBA.

HARRIS HOTELS: CONNECTING THE DOTS BETWEEN HARRIS DAY AND CSR

HARRIS Day was a program that combined CSR and marketing programs. The program took various themes and activities which aimed to order to raise community awareness on HARRIS Hotel existence as local hotel with International Network. HARRIS Day was fully supported by Mark Steinmeyer, the founder of Tauzia Hotels. Although HARRIS Days has been implemented for 10 years, Marc was still looking for ways  to formulate HARRIS Day program that meets CSR and marketing objectives. It must be able to encourage HARRIS stakeholders to accept the program properly and willing to execute it successfully. It was not easy to carry out activities involving many people and simultaneously held in some areas. The biggest challenge was to determine the theme and concept of HARRIS Fun Bike because it had to accommodate many things such as brand development and budget allocation. The most important thing was the committee because it consists of internal stakeholders who also had high workloads. Moreover, it also took time to select the venue for HARRIS Fun Bike. The venue will be rotated every year. Every mid-year THM and all HARRIS Hotels chain started looking for sponsors and decide the theme and concept. GM Cluster in each city who was pointed by THM must be able to lead the preparation and responsible for the success of the events. GM Cluster must establish the operational team in their area. THM corp. team (Brand, Marketing, Event, and CSR) and operational teams in each cities coordinate each other to work together to carry out the event simultaneously. To boost the excitement of events outside Jakarta, senior managers from THM Jakarta were sent to each cluster to attend the HARRIS Fun Bike. The evaluation obtained from each chief operating officer after the event was completed would be an input for the next event preparation.

Author

Yunita Kartika Sari, MM.

Yunita Kartika Sari, MM.

Dr. Anita Maharani, S.E., M.M.

Dr. Anita Maharani, S.E., M.M.

PT. PUCO: STRUGGLING ON BECOMING INDONESIAN VALVE MANUFACTURE

PUCO is ambitious to be the only one Indonesian valve control systems, they aimed to convince their customer to use their product. But in order to convince, they know that they need to struggle to get certification “American Petroleum Institute (API)”, that is not easy to get. Baskoro thought that all efforts that he has been taking is enough to get API’s auditors impression, but unexpectedly PUCO didn’t pass the certification, and receive reports from API around mid-April 2018, one month after certification process. From the reports, Baskoro was in terrible disappointed, since one of the findings mentioning PT. PUCO need to evaluate and improve their documentation also their quality control.  

Author

Dr. Anita Maharani, S.E., M.M.

Dr. Anita Maharani, S.E., M.M.

FAKE NEWS: A LOOK AT COMPLETELY UNTRUE HEADLINES

In a world where democracies are important, news organizations play a crucial role in the development of modern society. In other words, media organizations significantly influence society through their content. The character of the media is interesting in this regard. The media serves as a surveillance for public institutions and society, but media outlets are also business entities with the baggage of potential bias and interests that come with money. As the press has grown into a massive and powerful existence, especially with the emergence of online media, there has been a significant change in reporting news from things that already happened to things that are happening. However, in order to provide 'real-time' news, the essence of journalism, which should strictly rely on the verification of facts, seems to be often neglected. Some of the most important aspects of the media's social responsibilities lie in the areas of ethical journalism, news accuracy, and media bias. The failure to appraise upon those aspects might cause public misinformation and, in the Indonesian context, social conflict. In 2017, in West Kalimantan, Maman Budiman, a 53-year-old man was on March 26 attempting to visit his son in Amawang village in Mempawah regency when he was beaten to death by local people who suspected him of preying on children. Maman, who was a trader in petai beans (bitter beans), had been intending to deliver some rice and other foods to his son, Tedi (26) when he stopped to ask for directions. He was brutally bashed and detained at the village hall. At the time, false information on “massive” child kidnapping was being spread in the country through social media and chat apps which lead people to believe it. As people rely more on social media for news, there is a real risk of fake news hijacking Indonesian democracy. It is crucial that Indonesian schools teach children to practice critical thinking, so they can distinguish between facts and lies because media have a strong influence towards our children these days in order to get the standard perspective of the news and prevent bias on news media.

Author

Dr. Peri Akbar Manaf, B.Sc., MBA.

Dr. Peri Akbar Manaf, B.Sc., MBA.

BUSINESS AND IT’S SUPPLIER: TAKATA AIRBAG RECALL

In 2013, Takata Corporation, an automotive parts industry, bear the consequences of airbag products defects they have sold to the clients. The airbag inflator is broken, so the airbag does not come out, even suddenly the airbag exploded without cause and the first case appeared in the United States. As a company who applied zero fatalities concept, Takata must provide safety to consumers but in reality, there are 22 casualties and more than 100 of people have accidents because of Takata airbag. The National Highway Traffic Safety Administration (NHTSA) is an agency of the Executive Branch of the U.S. government, part of the Department of Transportation with road safety related regulations handles these Airbags case by conducting investigations and focusing safety factors more comprehensively. But the government did not act quickly even though this case has occurred since the early 2000s but until recently, only about 30-40% airbags has been replaced. There are 18 automobile manufacturer who became the clients of Takata and more than 70 million vehicles has been hit the road. How the government regulates consumer protection related to this issue? How the clients’ companies respond to this issue and protect the consumers? How far Takata’s power and influence as a main supplier to many clients in global supply chain? Why ethical issues such as defective product can affect company’s reputation? And why consumer or the general public is an important organizational stakeholder?

Author

Dr. Peri Akbar Manaf, B.Sc., MBA.

Dr. Peri Akbar Manaf, B.Sc., MBA.

PERTAMINA OIL SPILL

The world community faces unprecedented ecological challenges in the 21st century, including climate change, resource scarcity, and threats to biodiversity. A critical task in coming decades for government policymakers, civil society organizations, corporate leaders, and entrepreneurial innovators will be to find ways to meet simultaneously both economic and environmental goals.

 

PERTAMINA has been awarded two platinum awards in the CSR Award (ICA) 2017, and an Appreciation Award presented by Sindo News Media for conducting CSR in the same year. However, PERTAMINA is also linked to controversial cases, such as the devastating oil spill in Balikpapan Bay in 2018 due to a leaked oil pipe. This is not a surprising news, as PERTAMINA allegedly experienced a leak from its oil pipes previously, in the year of 2004 and 2017.

 

The PERTAMINA oil spill case in Balikpapan Bay causes multiple adverse impacts to the environment, the surrounding society, and to the business itself. The ecological damage itself is estimated to be US $8.27 billion. The spill is said to be Indonesia’s worst environmental disaster from the last ten years. How can PERTAMINA manage environmental and business sustainability by reducing ecological damages and promote sustainable development? More importantly, how can the government help impose laws, regulations, and sanctions to help support environmental sustainability?

Author

Dr. Peri Akbar Manaf, B.Sc., MBA.

Dr. Peri Akbar Manaf, B.Sc., MBA.

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