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?
In general this case study describes the major drivers and activities of PT Indofood Sukses Makmur to become a sustainable organization. This case also dwells on Indofood business environment scanning process in order to map out the real problems that have to be attacked. The objectives of Indofood sustainability strategy was to reduce the company’s negative impact on the social and natural environments. This case study also describes other benefits that Indofood received from their sustainability initiatives such as the company’s competitive advantage.
The case discusses the local and global environment changes which forced Indofood to make adjustments to their business strategy. It also portrays Indofood’s competitive environment that was affected by the local and global situation changing. This case also covers Indofood’s social sustainability (labor conditions and community development) as well as the environmental sustainability management initiatives as the biggest instant noodle producer in Indonesia.
Back in 2012, patient with kidney failure in Indonesia reach more than 150.000 people that needs dialysis treatment, but however, this treatment only to serve for 100.000 people, and few patients only that afforded to pay the treatments cost. While there were many issues related with insufficient financial capacity for patients with kidney failure, and there is one foundation that aimed to help solving this problem. Although it was not the only one exist, YGDI (Yayasan Ginjal Diatrans Indonesia) through Dr. Bimanesh and team, struggling to find the best solution in order to bring the aim to reality. The struggle is getting more complicated, when YGDI pushed to create money, to finance themselves to run their daily operational. They can use GAKIN or JAMSOSTEK (later known as BPJS) only for the purpose of patient’s treatment. This issue makes YGDI think hard, with limited resources, how can they survive as a foundation, and concurrently still deliver good service to their patients?
Nurhayati felt reluctant to let the outsource company manage the Beauty Advisor. She was to worry the outsource company could not maintain the quality of their service. But, this step should be taken, since Paragon will have to focus on their main business, the business of make-up. That’s why, she decided to keep the recruiting, training and determining the pay under her company, instead of letting it to the outsource company. Nurhayati will be focus more on developing product quality and quantity, as well as building more warehouse for the upcoming years, she hopes that by such strategic move it would made her company compete in the market, and however, any kinds of strategy would affect them financially.
The purpose of outsourcing Beauty Adviser Staff of Wardah rather than run and managed by itself is to create cost efficiency in the Corporation in order to keep it stays competitive in the market. This purpose has been asserted by Nurhayati as the top management. Since February 2017 the Corporation has outsourced its Beauty Adviser Staff to other party. Then, it is expected that Corporation can enjoy the cost efficiency and it can be more focus on the core-business. However, since the outsourcing of Beauty Adviser Staff just started several months ago, it is not appropriate period to evaluate whether the purpose of the Corporation is achieved or not. To be able to evaluate the Company purpose from financial perspective, at least need one year period considering other related cost. The cost of outsource Beauty Adviser Staff must be smaller than the cost when the staff run and managed by itself. How efficient it is, still needs time to see.