PT SOLUSI BANGUN INDONESIA CORPORATE SOCIAL RESPONSIBILITY: FROM CONTROVERSY TO COMMUNITY INVOLVEMENT

The PT Solusi Bangun Indonesia Tbk (SBI) case study provides an in-depth analysis of the company’s journey through its corporate social responsibility (CSR) initiatives amidst its evolution and its challenges. PT SBI, a significant player in the Indonesian cement industry with a production capacity reaching 14.86 million tons of cement per year, has undergone several transformations, including name changes and acquisitions, most notably being acquired by Holcim in 2006 and later by Semen Indonesia in 2018, leading to its rebranding as PT Solusi Bangun Indonesia Tbk.
The study highlights the concerns and resistance from the local community and environmental activists regarding the continuation and execution of CSR programs following the transition from PT Holcim Indonesia Tbk to SBI. Despite initial suspicions and the perception of insufficient local job creation, SBI has strived to maintain its commitment to sustainable development, aiming to increase economic development, create livelihoods, and manage environmental resources responsibly.

SBI’s approach to CSR encompasses five distinct policies: SBI Cerdas (focusing on education and training), SBI Sehat (centred on public health initiatives), SBI Mandiri (aiming to support the growth of micro, small, and medium enterprises (MSMEs)), SBI Peduli (supporting infrastructure and social welfare), and SBI Lestari (dedicated to environmental conservation). Each policy reflects the company’s efforts to foster a harmonious relationship with society and address the community’s long-term needs.

However, the case study also illuminates the challenges faced by SBI in implementing its CSR initiatives, including the alignment of CSR funds, the impact of negative perceptions fueled by mass and social media, and the difficulties in engaging with a broad spectrum of stakeholders. These challenges underscore the complexities of executing effective CSR programs that address immediate concerns and contribute to the long-term welfare and sustainability of the community.

The case concludes by questioning whether SBI can maintain its reputation as an environmentally conscious and sustainable company while overcoming these obstacles, emphasising the need for more than just charitable activities to fulfil corporate social responsibilities effectively.