The development in the business world for the past years has been marked by the constant changes that can never be predicted. These changes will fundamentally lead to a condition where the competition will become fiercer and all players in business will be challenged to meet this competition for the sake of its survival.
A measure that PT PAL INDONESIA (Persero) has taken to meet these challenges is to make a transformation from product supplier to a solution provider.
As a solution provider, the product on sale will be a solution package developed from creative ideas to solve the customers’ problem. And at the same time, we no longer concern on our competency in terms of quality, cost and delivery as these factors are no longer a restriction.
The development for merchant ships will be focused on the international market, mainly Western Europe with a special attention for the niche market, with a product that has special added function with branding such as “Star-50” (50.000 DWT)
On the other hand, the growth of the merchant ships will be maintained with a “mixed product” enhanced strategy such as Bulker, Container and Tanker, both Chemical Tanker or Gas Tanker. The domestic market for merchant ships will be focused on the development for national shipping industry or pioneering shipping for passengers and cargo. The marketing for naval ships/ fast patrol boat and special ships will be focused on domestic market with clients such as the central government offices: National Defence Department, The National Police Force, The Marine Department, Finance Department/ Custom and Excise Directorate General, various Regional Autonomy authorities and private enterprises.
Maintenance and Repair division for ships or structure will include services for ships in the depot level with docking capacity of up to 600,000 DWT per year, annual/ special survey for merchant and naval vessels, electronics and weaponry as well as submarine overhaul. The market will be the domestic one, with clients such as The Navy, private enterprises and government authorities.
The development for General Engineering products will be geared towards maintaining and developing corporate position as the supplier for international “sourcing” for world’s large power generation industry, whereas modular and EPC products will be focused on the domestic market. To support this development, a cooperation has been fostered with Mitsubishi Heavy Industry in the field of boiler engineering for power generation, Wartsila for diesel engine assembly and AMEC Process & Energy for the engineering of gas and steam turbine.
The global competition is very dynamic and full of changes. PT PAL INDONESIA (Persero) meets this challenge with implementing fundamental transformation to create a robust and sustainable foundation. The strategies implemented by PT PAL INDONESIA (Persero) to face the rapid change and improve competitiveness are as follows:
Implementing front-end back-end mechanism to develop business
Project financing to optimize production facilities
Improving productivity with Full Block Outfitting System
Optimizing production facilities
PIM (Productivity and Measurement) Centre
Welding Centre
Quality policies as well as policies leading to the practices of Good Corporate Governance
PT PAL INDONESIA (Persero) always strives to improve its capacity to win the tight race in the global competition.
Initiatives conducted to meet the challenges for global competition is as follows:
Highlight the competitive edge for the products that have received wide acclaim, for instance the merchant ships under 50,000 DWT Market segmentation.
Fulfill the market opportunities for such products Niche market strategy.
Face the challenges directly Meet the competition.
This initiatives which is combined with flexibility and eventually resulted in an innovative product called Star 50. This product will be developed to show competitive edge and become the pioneer branding product for other products under its class.
This product has been a successful innovation on shipbuilding that adds the ship capacity with Box Shaped Bulk Carrier (BSBC) technology.
Apart from production capacity, the production process is always improved to be able to meet the production deadline for the customers. The implementation of Full Block Outfitting is one measure to achieve this goal.
This shows the determination of the company to improve the corporate operational efficiency. The efficiency result is demonstrated by the improving production process with the implementation of Full Block Outfitting System, by means of constructing blocks that are fully equipped with system piping, fitting and instantly assembled, with the weight of up to 300 ton for each block. In turns this process will accelerate the shipbuilding, saving a considerable time and production cost. This efficiency improvement measure will definitely improve competitiveness. At the end of the day, the production completion timeframe trend will be improved every year.