It was a gloomy Tuesday morning and the date was March 22nd, 2016. There were rumors for the past few days that there would be a demonstration protesting against the very existence of online taxi such as Go-Jek, Uber and Grab, rumors that happened to be true. There was some sweeping against online taxi in some areas of Jakarta done by several taxi companies, the very-legal taxi company that were being hit quite hard to the point of extinction by these online transportation companies. The sweeping went quite violent as these demonstrators harass personal vehicles in search for Grab and Go-Jek drivers. It was a sad day for Indonesian transportation industry as demonstrations went brutal and temporarily slipped towards anarchy in some parts of Jakarta. Specific for Nadim Makarim’s Go-Jek company, the demonstration really showed the bitterness that his company brings towards this legal taxi drivers. Few years has been passed since the establishment of Go-Jek company and he is still wondering whether he is doing the right thing? And whether he can keep doing this right?
The case demonstrates the importance of a Value Proposition for a Non-Profit Organization in shaping the organization in order to prevent them from escalating into a crisis and improve performance. The main purpose of the case is to foster a thoughtful organizational transformation through the development of an organization value proposition.
While many cases shown the importance of a value proposition from profit organization. This case illustrates that the concept of value proposition can be used to derive a purposeful organizational change and increase performances.
The target asset for this research is PT.ODG Indonesia (Company), a foreign investment company that was established in 1991, owned majority by a foreign investor of O’Donnell Griffin Australia (80%) (major electrical contractor in Australia) and its Indonesian partner, PT. Anugrah Daya Pratama (20%) in its business of construction service in mechanical, electrical, and fire protection. Since it was established and operating until 2009, the company has experienced several merger and acquisition in the corporation level of the foreign shareholder, which latest control and owned by Tyco Corporation, a Top 500 fortune U.S Company.
In 2007, the company was approached by Tyco Corporation and was asked to signed on a non-disclosure agreements in a lead for selling the business through a bidding over several companies including, Glendale, which were financially ran by a private equity investor of Aurous Capital, and ODG Australia themselves in hoping to fully owned the company, and other companies as well. Over several months, Glendale has reached in becoming its top bidder and working over various transactions in determining their SPA agreements with Tyco, but was later withdrawn in buying the company. Under a new management of Tyco, the company are able to maintain good work relationship to at a point of 2009, where Tyco has decided to sell ODG once more with a new other option of a Management Buyout (MBO). Therefore, once again, Tyco held a bidding to several companies, including PT.ODG Indonesia where their relationship lead to difficulties to one another as ODG position themselves as a buyer and an employee that they also have to manage documents for other potential buyers.
It was end of November 2010 when Raymon Setiadi restlessly starring at the ceiling of the boardroom in his office. In couple hours he would has an important meeting with three colleagues discussed about AITINDO performance, their startup company. It would be a serious discussion since the profit of company was not good enough although it has been running for 5 years. Moreover, his greatest concern was the condition of company that still has no specific core business. He felt they were not strong enough in business competition especially facing the rapid development in digital world and the change in consumer behavior. The company must establish the right business model and refine some key elements to successfully achieve the target and ensure the company's sustainability. Raymond rushed took his laptop and walked into the boardroom while still thinking about what to do to ensure company's sustainability. Another question was still remaining; what business model is appropriate in line with the development of digital technology?
March 2005, it had never been easy for Emirsyah Satar as he appointed as the CEO of Garuda Indonesia when the company’s total debt reached up to US$845 million with a negative cash flow, with only 60% load factor level, and on time performance (OTP) away below the standard of 85%. In order to achieve the Quantum Leap 2011-2015, the transformation is highly needed. The things are more complicated when several Indonesia NGOs, such as Kontras and Jaringan Komunitas Aktivis HAM (Network of Human Rights Activists) forced Garuda Indonesia to unravel the case of Munir, Indonesian human right activist who was killed in the Garuda plane during the flight from Jakarta to Amsterdam. At that time, the fate of Garuda Indonesia as Indonesia’s Flag Carries was still unclear, and the road to be a reputable airline seemed long and endless, will Emir able to gain the trust back from the customer and develop the service of Garuda Indonesia by offering new experience to the customers?
The raising of middle class in Indonesia who is remarked by more active, simple, concern about health and appearance brings opportunity for Martha Tilaar Group to serve this class with different new beauty service concept.
“The urban people lifestlye spend most of their times at work or mall. This lifestyle brings the opportunity to introduce new quality concept of spa treatment offered more to mass market”, said-Wulan Tilaar
Martha Tilaar Spa Express (MTSE) fulfills the needs of such middle class customer by offering a number of relaxation of spa treatment. Eventhough Express means shorter time than regular time spa treatment, but Martha Tilaar Express is supported by professional and skillful therapist and used the high quality spa treatment product. By opening the Martha Tilaar Spa Express in malls, it is easier for customers or spa lovers to enjoy the service.
In mid-2014, Feriadi contemplated the way back to his home while accompanied by the sound of radio newscaster’s in his car. The news mostly discussed about some of the structural weaknesses in the economy of Indonesia, such as the rise of the e-commerce and the leadership system that have less influence on employee performance. With the rocketing competition from similar businesses, he thought harder on how to increase the growth of their company while not unsettling the current value of JNE.
On August 17, 2009, William Tanuwijaya and Leontinus Alpha Edison two close friend that worked together to achieve their dream, officially launched the first online platform shop called Tokopedia. Tokopedia held an icon of green owl with big eyes, the owl was the symbol of wisdom and had a great vision into every direction. It means that Tokopedia had holistic point of view for their business start from the company itself, the buyers and the sellers.
At that time, Internet was forecasted to be the new era of commerce since its inception in the beginning of 2000. Internet development in Indonesia continues to increase in 2013 (Exhibit 1), there were 74.6 million Internet users in Indonesia (the highest in Southeast Asia), a rising up 22 percent from a year earlier. This figure is expected to exceed 100 million in 2015 (Marketeers, 2014). ebay, Amazon, Alibaba were the e-commerce company that already stable worldwide while in Indonesia the online shop was a new things. The current Internet-based commercial transaction (e-commerce) is an essential element in the business life. With the number of internet users that is about 30% of the total population of Indonesia, Indonesian e-commerce market has a high potential in the future.
Eight years later, Tokopedia was known as the biggest e-commerce platform in Indonesia with thousands of tenants or retails and Tokopedia announced funding of US$100 million from SoftBank and Seqouia Capital (techinasia.com, 2014). The two founders, William and Leon were known as the former electronic entrepreneurs that went beyond their time. This case study explores or explains the factors that made Tokopedia big as we know today . This case study focuses on five entrepreneurial mindset such as creativitiy, collaboration, direction, coordination and delegation that the two founders did along with the growth of Tokopedia.
This study investigates the potential ramifications of the implementation of a ‘local content requirement’ (LCR) law for electronic products in Indonesia. The law has been deemed “protectionist policy” by some and possibly in violation of WTO trade agreements. The Government of Indonesia (GOI), however, has maintained that its implementation is necessary to prevent the country simply becoming a market for these products. Indonesia hopes to have a greater stake in the manufacture or research and design of these products.