THE ROLE OF LOGISTICS HOLDING COMPANY in SUSTAINING

THE ROLE OF LOGISTICS HOLDING COMPANY in SUSTAINING
NATIONAL COMPETITIVENESS
Strategic Perspective of Logistic Holding Company Establishment
EDDI SANTOSA – Advisor PT POS Indonesia
Jakarta March 2016
1
THE ROLE OF LOGISTICS HOLDING COMPANY in SUSTAINING
NATIONAL COMPETITIVENESS
Strategic Perspective of Logistic Holding Company Establishment
PART 1 - GENERAL AND GLOBAL ISSUES IN LOGISTICS
Jakarta- 17TH March 2016
2
National Logistic and Port Development:
Beyond Port, Beyond Logistics
a Port City that should induce further regional economic development and
leveraging our National competitiveness significantly
3
Linking Goods Movement to Economic Prosperity
• A changing geography of maritime and inland
distribution
– Global changes:
• New geography of production.
• Imbalanced trade flows.
– Regional gains:
• Consumption and distribution.
– Local pains:
• Congestion.
• Stressed capacities.
• The challenge of the coast
– Port regionalization.
– Modal shift: readjustment of freight flows.
– Efficiency in distribution derived from the hinterland.
4
Gateways and Hinterland Effect - Our paradox
Outside Java
Java
IEZ
IEZ?
Corridor
Inefficient Inland Freight Distribution
Relatively Efficient Inland Freight Distribution
IEZ: INDUSTRIAL ESTATE ZONE
Reason: Accessibility of the hinterland is weak so that activities
must be located as close as possible to gateways
Caution: Weak land acquisition law & poor regional land use
planning will generate significant land speculation around Port
Reason: Create a discontinuous development along corridor will
reduce land speculation tendency around Port
Caution: Poor Land use planning framework & enforcement will
create land speculation along corridor (road base transport),
create ribbon development and reduce accessibility as well
5
To move from EXCELLENCE to VALUE CREATION
• requires POSITIONING
• POSITIONING in a SUPPLY CHAIN network
• a SUPPLY CHAIN has TWO DIMENSIONS:
– A GLOBAL dimension
– A DOMESTIC component
and BOTH DIMENSIONS need to be ALIGNED
PHYSICAL CHAIN
- High friction
- Capital Intensive
- Logistics is
a core
competency
SHIPPING
GLOBAL & DOMESTIC
PORT
INDUSTRIAL
PARKS
DISTRIBUTION
& HANDLING
6
Following a “Value Capture” Strategy
Port
Authority
Maritime Services
Port Services
Inland Services
Vertical Integration
Maritime Shipping
Port Terminal
Operations
Port Holding
Horizontal Integration / Vertical
Inland Modes and
Terminals
Distribution
Centers
Commodity Chain (Channels)
“Maritime shipping has a profit margin of only about 2%. Single operator controls the berth-to-gate operations.
Maritime shipping lines moving inland to capture value. Port terminal operations. Rail and trucking operations.
Distribution centers. Logistics. The creation of “channels”.
7
Opportunity for synergy and Regional Economic Growth
• Business no longer works in silos
• Customers want more control over the entire
supply chain
• Opportunity to complement and synergize
capabilities
• Contribute to regional economic growth
8
The Balance of Cost is Changing
9
Supply Chain of the Futures
•
•
•
•
Pressure to reduce cost
Demands for increased efficiency
Reduction in lead times
Higher level of product variety and
proliferation
• Peak oil
• Less transport intensive supply chain
10
Geography Transportation: Indonesia vs USA
11
General Transformation
Land & Sea
based Economy
PORT
regional
network
Ports are
dispersed within
eastern Indonesia
but not well
connected
Port Services
MAIN
PORT
Land based Economy
HINTERLAND
CITY
The dynamics of
Port tends to be
Poor and embryonic
city development
enclosed and
inland road & rail
have no strong
relatively isolated
network
relations with Port
from the dynamics
services &
of city
development
development
Lack of proper, integrated & comprehensive Regional Planning Framework.
Lack of integrated & comprehensive supply chain planning strategy
PORT
regional
network
Ports are well
connected, and
each have their
specific role &
clear
development road
map
MAIN
PORT
Port induce further
development of a
City and become a
true Port city.
CITY
The dynamics of
city development
including road and
transit infrastructure
area well integrated
with Port services &
development
HINTERLAND
Significant development
of inland road & rail
network
12
THE ROLE OF LOGISTICS HOLDING COMPANY in SUSTAINING
NATIONAL COMPETITIVENESS
Strategic Perspective of Logistic Holding Company Establishment
PART 2 - BUMN’S ISSUES IN LOGISTICS
Jakarta 17TH March 2016
13
State Owned Enterprise Synergy as Engine Growth Propeller
for Trade Enhancement to gain better logistics performance
Consignee/Importer;
Shipper/Exporter:
Gov’t Project, Bulog,
Pertamina, Antam,
PTBA, Pusri, PTPN
Port Operator:
Pelindo
KEY ISSUES
Airport Operator:
Angkasa Pura
Rail / Land Trans.
Operator:
PT KA, BGR, Posindo,
Berdikari
HIGH COST
UNDERUTILIZED
ASSET
Toll Road Operator:
Jasa Marga
VAPORIZING
INCOME
OUT OF STOCKS
Contractors:
HK, PP, WIKA, WK,
Adhi, NK
Industrial
Estate:
KBN, JIEP, SIER
Trading House:
PPI, Sarinah
ICT Provider:
Telkom, Indosat
Carrier:
Djakarta Lloyd,
Pelni, Garuda, MNA,
ASDP
Banks & Insurance:
Mandiri, BNI, BRI’
Jasindo
Investment:
Danareksa, Bahana
W/house Optr:
BGR, Posindo,
VTP, Berdikari
Container Depot
Optr:
KBN, BGR, Berdikari
Forwarder
BGR, Posindo
14
Outsourcing - Industry Trends
Findings of a Survey : Why company's Outsource
Avoid Capital Expenditures
Cut Costs
Increase Flexibility (service/financial)
Focus on Core Business
Improve Service
Lack of Scale
Acquire Talent
Avoid Labor Problems
Source: A.T. Kearney
3/12/2016
15
State Owned Enterprise Synergy as Engine Growth Propeller
for Trade Enhancement to gain better logistics performance
Consignee/Importer;
Shipper/Exporter:
Gov’t Project, Bulog,
Pertamina, Antam,
PTBA, Pusri, PTPN
Port Operator:
Pelindo
Trading House:
PPI, Sarinah
ICT Provider:
Telkom, Indosat
Airport Operator:
Angkasa Pura
Rail / Land Trans.
Operator:
PT KA, BGR, Posindo,
Berdikari
Carrier:
Djakarta Lloyd,
Pelni, Garuda, MNA,
ASDP
Avoid Capital Expenditures
Cut Costs
Increase Flexibility (service/financial)
Focus on Core Business
Improve Service
Lack of Scale
Toll Road Operator:
Jasa Marga
Acquire Talent
Avoid Labor Problems
Contractors:
HK, PP, WIKA, WK,
Adhi, NK
Industrial
Estate:
KBN, JIEP, SIER
Source: A.T. Kearney
W/house Optr:
BGR, Posindo,
VTP, Berdikari
Banks & Insurance:
Mandiri, BNI, BRI’
Jasindo
Investment:
Danareksa, Bahana
Container Depot
Optr:
KBN, BGR, Berdikari
Forwarder
BGR, Posindo
16
THE LOGISTIC PROVIDER BUSINESS MODEL
http://www.bumn.go.id/posindonesia/berita/62/Wujudkan.Seamless.Logistik.Pos.Indonesia.Jalin.Kerja.Sama.Dengan.13.BUMN
Consignee/Importer;(
Shipper/Exporter:((
Gov’t%Project,%Bulog,%
Pertamina,%Antam,%
PTBA,%Pusri,%PTPN%
Port(Operator:(
Pelindo%
Trading(House:(
PPI,%Sarinah%
ICT(Provider:(
Telkom,%Indosat%
Airport(Operator:(
Angkasa%Pura%
Carrier:(
Djakarta(Lloyd,%
Pelni,%Garuda,%MNA,%
ASDP%
Avoid Capital Expenditures
Rail(/(Land(Trans.(
Operator:(
PT%KA,%BGR,%Posindo,%
Berdikari%
Cut Costs
Increase Flexibility (service/financial)
Focus on Core Business
Improve Service
Lack of Scale
Toll(Road((Operator:(
Jasa%Marga%
Acquire Talent
Avoid Labor Problems
Contractors:(
HK,%PP,%WIKA,%WK,%
Adhi,%NK%
Source: A.T. Kearney
Industrial(
Estate:(
KBN,%JIEP,%SIER%
W/house(Optr:(
BGR,%Posindo,%
VTP,%Berdikari%
Banks(&(Insurance:(
Mandiri,%BNI,%BRI’%
Jasindo%
Investment:(
Danareksa,%Bahana%
Container(Depot((
Optr:(
KBN,%BGR,%Berdikari%
3rdparty
consolidation
Forwarder(
BGR,%Posindo%
Assign
third
party
http://economy.okezone.com/read/2016/02/11/320/1309840/tekan-biaya-logistik-pt-pos-jalin-sinergi-dengan-10-bumn
Consignee/Importer;(
Shipper/Exporter:((
Gov’t%Project,%Bulog,%
Pertamina,%Antam,%
PTBA,%Pusri,%PTPN%
Port(Operator:(
Pelindo%
Trading(House:(
PPI,%Sarinah%
ICT(Provider:(
Telkom,%Indosat%
Airport(Operator:(
Angkasa%Pura%
Carrier:(
Djakarta(Lloyd,%
Pelni,%Garuda,%MNA,%
ASDP%
Avoid Capital Expenditures
Rail(/(Land(Trans.(
Operator:(
PT%KA,%BGR,%Posindo,%
Berdikari%
Cut Costs
Increase Flexibility (service/financial)
Focus on Core Business
Improve Service
Lack of Scale
Toll(Road((Operator:(
Jasa%Marga%
Acquire Talent
Avoid Labor Problems
Contractors:(
HK,%PP,%WIKA,%WK,%
Adhi,%NK%
Source: A.T. Kearney
Industrial(
Estate:(
KBN,%JIEP,%SIER%
W/house(Optr:(
BGR,%Posindo,%
VTP,%Berdikari%
Banks(&(Insurance:(
Mandiri,%BNI,%BRI’%
Jasindo%
Investment:(
Danareksa,%Bahana%
Container(Depot((
Optr:(
KBN,%BGR,%Berdikari%
3rdparty
consolidation
Forwarder(
BGR,%Posindo%
Assign
third
party
http://www.beritasatu.com/ekonomi/345234-12-bumn-ini-akan-bantu-bulog-kelola-11-pangan-strategis.html
Consignee/Importer;(
Shipper/Exporter:((
Gov’t%Project,%Bulog,%
Pertamina,%Antam,%
PTBA,%Pusri,%PTPN%
Port(Operator:(
Pelindo%
Trading(House:(
PPI,%Sarinah%
ICT(Provider:(
Telkom,%Indosat%
Airport(Operator:(
Angkasa%Pura%
Carrier:(
Djakarta(Lloyd,%
Pelni,%Garuda,%MNA,%
ASDP%
Avoid Capital Expenditures
Rail(/(Land(Trans.(
Operator:(
PT%KA,%BGR,%Posindo,%
Berdikari%
Cut Costs
Increase Flexibility (service/financial)
Focus on Core Business
Improve Service
Lack of Scale
Toll(Road((Operator:(
Jasa%Marga%
Acquire Talent
Avoid Labor Problems
Contractors:(
HK,%PP,%WIKA,%WK,%
Adhi,%NK%
Source: A.T. Kearney
Industrial(
Estate:(
KBN,%JIEP,%SIER%
W/house(Optr:(
BGR,%Posindo,%
VTP,%Berdikari%
Banks(&(Insurance:(
Mandiri,%BNI,%BRI’%
Jasindo%
Investment:(
Danareksa,%Bahana%
Container(Depot((
Optr:(
KBN,%BGR,%Berdikari%
Forwarder(
BGR,%Posindo%
User alliance
and
consolidation
Assign
subsidiary
Consignee/Importer;(
Shipper/Exporter:((
Gov’t%Project,%Bulog,%
Pertamina,%Antam,%
PTBA,%Pusri,%PTPN%
Port(Operator:(
Pelindo%
Trading(House:(
PPI,%Sarinah%
ICT(Provider:(
Telkom,%Indosat%
Airport(Operator:(
Angkasa%Pura%
Carrier:(
Djakarta(Lloyd,%
Pelni,%Garuda,%MNA,%
ASDP%
Avoid Capital Expenditures
Rail(/(Land(Trans.(
Operator:(
PT%KA,%BGR,%Posindo,%
Berdikari%
Cut Costs
Increase Flexibility (service/financial)
Focus on Core Business
Improve Service
Lack of Scale
Toll(Road((Operator:(
Jasa%Marga%
Acquire Talent
Avoid Labor Problems
Contractors:(
HK,%PP,%WIKA,%WK,%
Adhi,%NK%
Source: A.T. Kearney
Industrial(
Estate:(
KBN,%JIEP,%SIER%
W/house(Optr:(
BGR,%Posindo,%
VTP,%Berdikari%
Banks(&(Insurance:(
Mandiri,%BNI,%BRI’%
Jasindo%
Investment:(
Danareksa,%Bahana%
Container(Depot((
Optr:(
KBN,%BGR,%Berdikari%
Forwarder(
BGR,%Posindo%
CONSOLIDATION
SUBSIDIARY BUMN IN
LOGISTICS & TRADE
AUDIT REPORT BPK 2014 (in Milion Rp)
NO
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
BUMN
POS INDONESIA
PELINDO 1
PELINDO 2
PELINDO 3
PELINDO 4
ANGKASA PURA 1
ANGKASA PURA 2
SANG HYANG SERI
PERTANI
BULOG
PUPUK INDONESIA
PERHUTANI
RNI
DJAKARTA LLYOD
PELNI
DAMRI
ASDP
GARUDA
KERETA API
BGR
VTP
BERDIKARI
SARINAH
TOTAL
REVENUES
4,360,550
2,095,521
8,762,820
5,946,914
2,422,473
4,583,536
4,871,149
436
1,045,761
26,562,712
64,617,200
4,604,886
4,977,708
128,228
3,000,861
1,102,800
1,924,034
48,933,117
10,478,074
772,913
295,836
405,640
307,509
202,200,678
FIXED ASSETS
1,365,847
3,377,360
16,903,133
10,125,597
3,142,031
13,194,665
13,269,418
179,222
421,564
5,205,094
31,458,153
1,456,427
3,734,766
747,989
3,991,729
1,044,218
2,448,424
28,491,345
11,890,493
168,819
25,646
150,803
196,857
152,989,600
THE ROLE OF LOGISTICS HOLDING COMPANY in SUSTAINING
NATIONAL COMPETITIVENESS
Strategic Perspective of Logistic Holding Company Establishment
PART 3 – HOLDING LOGISTICS FORMAT
Jakarta 17TH March 2016
24
HOLDING
BUMN
LOGISTICS
?
•
•
•
•
STRUCTURE?
CAPABILITIES?
COMPETITIVENES?
ECONOMIES OF
SCALE?
• CONTEXT?
• VIRTUAL HOLDING?
SUBSIDIARY BUMN IN
LOGISTICS & TRADE
CONSOLIDATION
JOIN OPERATION
ALLIANCE
BUMN LOGISTICS & TRADE
Comparisson Vision – Mission BUMN Logistic
VISI
PILOG
KALOG
APLOG
IPCLOG
Menjadi
perusahaan
pelayaran yang
berdaya saing
tinggi
Menjadi Perusahaan
Penyedia Jasa
Logistik Terpadu,
Unggul dan
Terpercaya
To become the
most trust-worthy
and wellintegrated
logistics company
in Indonesia
Menjadi
perusahaan
logistik
nasional yang
terpercaya.
Menyediakan jasa
logistik berbasis
kereta api dengan
solusi door to door
service
To provide
integrated
logistics services
in professional
and innovative
manner to meet
customer
satisfaction
Mewujudkan
visi
shareholder
dalam
menurunkan
biaya logistik
nasional.
Menyediakan
jasa angkutan
yang handal dan
efesien untuk
kepuasan
pelanggan
MISI
Mengembangkan
bisnis jasa logistik
dengan
menyelenggarakan
layanan mining
logistics, warehousi
ng, depot container
dan jasa kurir.
dalam sistem
infrastruktur
terpadu
Memberikan
nilai tambah
bagi pelanggan
dengan harga
yang
kompetitif
serta
pelayanan
yang lebih
cepat dan
lebih aman.
POSLOG
Menjadi
perusahaan jasa
logistik terintegrasi,
terluas dan terbaik
di Indonesia
Memberikan solusi
logistik yang efisien
dan terintegrasi
bagi pelanggan
serta mendukung
daya saing logistik
internasional
BULOG
Menjadi Perusahaan
pangan yang unggul dan
terpercaya dalam
mendukung terwujudnya
kedaulatan pangan.
Menjalankan usaha
logistik pangan pokok
dengan mengutamakan
layanan kepada
masyarakat
Drive for State Owned Enterprise Synergy
WTO 2020
Economic ASEAN Society, 2015
Land Integration / Liberalization Logistic
ASEAN, 2013
Empower SOE to face, capture, take,
overcome the opportunies an threats
of global, regional and national trade
growth.
FTA ASEAN – China, 2010
CREATE STRATEGIC
SYNERGY
Logistic Network & Supply Chain in Global,
Regional, and Domestic Trading
National Logistic System, 2010
National Economic Corridor
National Connectivity
Maritime Axis




agreeing a future
seizing a future
re-orienting a future
multiple consumers
27
Strategic Issues and Strategic Actions for better
logistic performance
Increasing Capacity
Improve Business
Process and
Standardization
Improve Spatial Planning and
Landuse, More integrated
with City to enable more
efficient hinterland
Improving
Accessibilities
Improving Connectivity,
Intermodal, Transmodal
Investment
Reposition
Change
VALUE
CREATION
Restructure
Synergy
28
Strategic Action Executed in one window: The
Smart Holding Company
Understanding
Regional Context
Increasing Capacity
Investment
Improve Business Process
and Standardiza
i
on
Improve Spa al Planning and
Landuse, More integrated with
City to enable more effic ent
hinterland
Improving Accessibili es
Improving Connec vity,
Intermoda
Reposi on
Change
VALUE
CREATION
Restructure
ESTABLISH
SMART
HOLDING
COMPANY
Synergy
Understanding
29
Business Context
THE ULTIMATE GOALS
NO
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
BUMN
POS INDONESIA
PELINDO 1
PELINDO 2
PELINDO 3
PELINDO 4
ANGKASA PURA 1
ANGKASA PURA 2
SANG HYANG SERI
PERTANI
BULOG
PUPUK INDONESIA
PERHUTANI
RNI
DJAKARTA LLYOD
PELNI
DAMRI
ASDP
GARUDA
KERETA API
BGR
VTP
BERDIKARI
SARINAH
TOTAL
REVENUES
4,360,550
2,095,521
8,762,820
5,946,914
2,422,473
4,583,536
4,871,149
436
1,045,761
26,562,712
64,617,200
4,604,886
4,977,708
128,228
3,000,861
1,102,800
1,924,034
48,933,117
10,478,074
772,913
295,836
405,640
307,509
202,200,678
INCREASE THROUGHPUT
INCREASE LOGISTIC ASSET UTILISATION
FIXED ASSETS
1,365,847
3,377,360
16,903,133
10,125,597
3,142,031
13,194,665
13,269,418
179,222
421,564
5,205,094
31,458,153
1,456,427
3,734,766
747,989
3,991,729
1,044,218
2,448,424
28,491,345
11,890,493
168,819
25,646
150,803
196,857
152,989,600
Establishing the Holding Company: the Challenges
Finding the right solutions means bringing all the building blocks together
….
Planning &
control
Change
Management
model
Culture
Co-ordination
….
Governance
stuctures
Integrated
Logistic
development
Allignment
Strategy
Knowledge
exchange
Communication
Legal
Framework
…..
Holding
management
model
….
Infrastructure
development
Co-operation
31
State Owned Enterprise Synergy as Engine Growth Propeller
for Trade Enhancement to gain better logistics performance
Port Operator:
Pelindo
Consignee/Importer;
Shipper/Exporter:
Gov’t Project, Bulog,
Pertamina, Antam,
PTBA, Pusri, PTPN
Airport Operator:
Angkasa Pura
Rail / Land Trans.
Operator:
PT KA, BGR, Posindo,
Berdikari
Trading House:
PPI, Sarinah
ICT Provider:
Telkom, Indosat
Investment
Reposi on
Change
VALUE
CREATION
Banks & Insurance:
Mandiri, BNI, BRI’
Jasindo
Toll Road Operator:
Jasa Marga
Contractors:
HK, PP, WIKA, WK,
Adhi, NK
Industrial
Estate:
KBN, JIEP, SIER
Carrier:
Djakarta Lloyd,
Pelni, Garuda, MNA,
ASDP
Restructure
W/house Optr:
BGR, Posindo,
VTP, Berdikari
Synergy
Container Depot
Optr:
KBN, BGR, Berdikari
Investment:
Danareksa, Bahana
Forwarder
BGR, Posindo
32
THANK YOU
FGD LOGISTICS KEMENTERIAN BUMN
33