Case Document

PT. PARAGON TECHNOLOGY INNOVATION: STRATEGIC MANAGEMENT IN MAKING DECISION AND TRUSTING ITS OUTSOURCE COMPANY

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.

Author

Toto Rusmanto, M.Comm, Ph.D.

Toto Rusmanto, M.Comm, Ph.D.

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

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

YAYASAN GINJAL DIATRANS INDONESIA (YGDI) ON THE AFFORDABLE HEMODIALYSIS

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?

Author

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

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

CONWOOD HOUSE IN 7 DAYS: DISRUPTIVE BUSINESS MODEL

The competition in the construction material industry is growing rapidly. More and more innovation is being applied in all area in the industry where incremental improvement is no longer an advantage but an essential to survival. Looking at this landscape, where disruption can happen anytime, Conwood Indonesia decided to disrupt themselves by taking an action to leap frog the competition by diminishing the top two most constraints in the building and construction industry: time and working capital.

Following its successful entry into the segment of premium wood using environmentally friendly materials, Derek, the incoming President Director of Conwood Indonesia, faced with the inevitable truth. The market faced structural problem with overcapacity and the influx by import produces. Situation predicted to continue to worsen with new capacity continue to enter the market from new local producers and from tax free imports. Conwood Team decided to capitalize on the unique strength of its technology, unmet demand for affordable housing and the limitation facing the Indonesia construction market. In July 2016, Conwood started to transform itself from a purely manufacturing company into Innovation driven company.  With limited resources, how can Derek and his team, within 3 months, act quickly to solve the problems with new innovation while concurrently unravel the issues raised from the innovation itself?

Author

Sukma Putra, SE., M.Ed.

Sukma Putra, SE., M.Ed.

Aryo Bismo , SE, MM.

Aryo Bismo , SE, MM.

Handrich Kongdro, SE.,MM

Handrich Kongdro, SE.,MM

Other Year 2017

INDONESIA MENGAJAR: A GIFT TO THE NATION

The case presents an Indonesian NGO named Indonesia Mengajar (IM) and its holistic approach in education issue. IM believe that the society can be independent by and grow stronger, and believe that the education development in one area is determined by the educational local actors, such as teachers, parents, the regency government and the people.

The case shared the best practice of recruiting young people into education sector. However, IM’s teacher recruitment method is still questioned, whether being a teacher is a temporary or a lifetime profession? Lastly, the IM’s achievements and inspiring young educators’ stories were aims to stimulate the readers, how we as citizen can contribute in developing the nations.

Author

AHMAD SEIICHI RAMADHAN, SE., M.M.

AHMAD SEIICHI RAMADHAN, SE., M.M.

Adsina Fibra, S.Sos.,M.Ed

Adsina Fibra, S.Sos.,M.Ed

JALES VEVA JAYA MAHE: A CASE OF INDONESIA FISHERY SUPPLY CHAIN

The case is about Fishery Supply Chain in Indonesia. Being the largest archipelago in the world, Indonesia has a tremendous opportunity in its marine and fishery sector. With the President Joko Widodo’s direction in stressing the importance of Indonesia’s fishery and the breakthrough policies set by his minister of Maritime Affairs and Fisheries, Mrs. Susi Pudjiastuti, Indonesia Fishery industry has entered an interesting era.

Yet, fishery supply chain is not easy. It has its own challenges despite tremendous opportunity to add value for all the stakeholders along the chain. The ministry of Maritime Affairs and Fisheries has set some high level policies that should be a good base for improving the fishery industry in strategic level. To materialize the benefits, it must be followed with a good supply chain analysis and initiatives.

Author

Ir. Elia Oey, M.Eng., M.Sc.

Ir. Elia Oey, M.Eng., M.Sc.

PT. TOYOTA MOTOR MANUFACTURING INDONESIA: MANAGING CSR STAKEHOLDERS ENGAGEMENT

Engaging the community to be involved in company’s social and ecological initiatives has been proven benefited both company and the community. However it is not an easy things to do as what had happened to TMMIN CSR which intended to replant the mangrove forest along the north cost of java. TMMIN had a strong resistance from several groups of local community as they had different and contradict interests.

The decision of Mr Adjie Sapta as the TMMIN CSR general manager to keep approaching the resistance groups to ask their willingness to collaborate with mangrove project was a difficult to work on. However through an intensive communication with those groups and also the assistance of other TMMIN’s stakeholders, the resistance was agree to participate. Through the participation of all community member, TMMIN’ mangrove plantation initiative successfully produce an important outcomes.

Author

Vidayana, ST., MM

Vidayana, ST., MM

Other Year 2017

PROGRAMMING LANGUAGES AT GOOGLE: FREEDOM OR CONUNDRUM?

Not long after Larry Ellison’s of Oracle bought Sun Microsystems in 2010, Oracle filed a lawsuit against Google, which claimed Google had infringed its copyright by using 11,500 lines of Java code in its Android operating system. Oracle had contested that Google’s use of its proprietary Java code exceeded fair use, and was seeking damages of up to $9bn. When it was developed, Android partly used the programming language Java to build its API (Application Programming Interface). Java was a widely used language, developed by a company called Sun Microsystems in the 1990s.

More importantly, the fair use decision in this case sets a strong precedent in an industry where programs and apps are often as much constructed from various building blocks of code that already exist as they are from whole cloth. If the company that owns the original code language – as Oracle does with Java – can claim ownership over systems which use parts of its code, in varying sizes, that might have a serious dampening effect on developers, few of whom have Google’s deep pockets and batteries of legal artillery to call into battle in their defense. And in this Oracle and Google dispute, nothing less is at stake than the future of programming. Would a programming language continue to be a free and open? Would an API be considered as part of programming language or proprietary of its creator? What factors will affect a company like Google to create their own programming language? Would the programmers "language preference" be taken into account when they got involved in software development projects?

Author

Ir. Tri Asih Budiono, MIT

Ir. Tri Asih Budiono, MIT

PT INDOFOOD SUKSES MAKMUR: INTEGRATING SUSTAINABILITY INTO CORPORATE STRATEGY

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.

Author

Vidayana, ST., MM

Vidayana, ST., MM

BATTLE THE OF OLD VS SHARING ECONOMY: HOW GO-JEK & GRAB DUEL FOR INDONESIA AND CRIPPLED BLUEBIRD

The timeline of this case began in the early of 2017, just after Go-Jek experienced one of its first violent engagement with public transportation such as minibus and angkot drivers. The incident took place all over Jakarta and Tangerang area causing one fatality, in which one of Gojek driver were run down by angkot driver, sparking massive retaliation among Gojek drivers which in retaliation performed violent sweeping activities towards these angkot drivers. Many angkot drivers were reluctant to drive their angkot the very next day to evade these sweeping activities causing the road to have some extra space which otherwise would be normally congested. The case examines the strategic challenges faced by Gojek as one of Indonesia’s startup companies with ‘unicorn’ status. The company can be categorized as disruptor, as it totally disrupts the well-established ‘conventional’ public transportation company by providing solutions in the ever-congested traffic of many Indonesian big cities. As disruptors, Gojek continuously facing new challenges in every ground both internally and externally. Externally, they were facing fierce competitions from many types of public transportation including taxis, minibus and angkot, which few times escalated into physical and violent, as well as un-ready regulations from the Government which many times showed their unpreparedness in embracing the new era of sharing economy. Internally, they were also facing difficulties from their partner-driver with many arising issues such as changing commission rate from time to time as well as the ever-changing structure in the calculation of bonus points. These relationship with Gojek partner-driver were quite challenging to manage as their position was not considered to the staff of the company and yet they were the one that delivers the core product. Hence, one central issue of the case will Gojek sustain their business model by having so much problem and difficulties in the dawn of the new era of sharing economy.

Author

Tengku Mohd. Khairal Abdullah., BBA., MBA., Ph.D.

Tengku Mohd. Khairal Abdullah., BBA., MBA., Ph.D.

Marketing Year 2017

VAN GOGH MUSEUM: A DIGITALLY ENGAGED MUSEUM

In 2014, the Van Gogh Museum (VGM) had hopes to continue its mission to enrich and inspire as many people as possible by giving access to the museum’s entire collection and knowledge on Vincent van Gogh. In order to achieve this mission, the museum had come up with strategies that made use of the ever-growing digital world, through its web strategy and social media. These strategies were aimed to help the museum reach out to as many of its visitors and non-visitors as possible, and develop constant relationship with them by creating dialogue.

However, like any other businesses, threats and challenges were apparent in the way. The reinstated photography ban by the museum might seem to cause certain threat to the way the museum was going. Especially with the trending term of ‘selfie’ in the digital world in that same year, leading to the birth of the ‘Museum Selfie Day’ project, there was high chance the museum’s strategy might suffer.

Author

AHMAD SEIICHI RAMADHAN, SE., M.M.

AHMAD SEIICHI RAMADHAN, SE., M.M.

Diane Natassia, M.M., M.A.

Diane Natassia, M.M., M.A.

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