PROPOSED STRATEGY FOR THE DEVELOPMENT OF TURBOMACHINERY EQUIPMENT SERVICE BUSINESS IN INDONESIA (CASE STUDY: PT TAKA TURBOMACHINERY INDONESIA)

• Main Author: Annisa Mandasari, Sitti
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/49371
• Institution: Institut Teknologi Bandung

The Republic of Indonesia is currently committed to objectify electricity supply with the amount of 35.000 Megawatt (MW) and it is predicted to finish in 2029. During the preparation, the government alongside PT Perusahaan Listrik Negara (PLN) and Independent Power Producer (IPP) are planned to build 109 generators, consists of 35 projects by PLN and 74 projects by IPP. By all means, this matter can be a good chance not only for the power plant business but also for the other businesses that directly relates to it. One of the businesses that will gain benefits from this situation is the turbomachinery equipment service business. PT Taka Turbomachinery Indonesia is one of the companies in Indonesia focusing on heavy rotating equipment, repair, and manufacture for domestic Stream-electric Power Plant or Pembangkit Listrik Tenaga Uap (PLTU) and Hydroelectric Power Plant or Pembangkit Listrik Tenaga Air (PLTA), and Geothermal Power Plant or Pembangkit Listrik Tenaga Panas Bumi (PLTP) spare parts, such as steam turbine, gas turbine, compressor, pump, and generator. Not only domestically, the company also plans to expand the business internationally to other countries in South East Asia like Vietnam, Malaysia, and the others. By increasing the company’s sales revenue and expanding the market share, PT Taka Turbomachinery Indonesia might be able to achieve the goal. However, in the sales, it is found that the current operational management strategy can no longer sustain profitable and it makes the sales revenue drops for the last two years. The purpose of this research is to find and identify the strategy of the turbomachinery equipment service business to keep on growing in Indonesia. The conceptual framework used in this strategy begins with analysing the external environment by using PESTLE, Porter’s Five Forces, and competitor analysis. After external analysis, internal analysis is done by analysing the resources and the value chain. Later on, all of the results will be summarized with a SWOT analysis. The results reveal that the company does not have a coherent business strategy. Thus, it evokes several problems in some internal parts of the company, such as an ineffective marketing strategy and improper resource allocation. The applied strategy in this research is differentiation strategy. This differentiation strategy expansion will be the key to support the company’s development in the turbomachinery equipment service market in Indonesia. Meanwhile, the outcome is expected to extend PT Taka Turbomachinery Indonesia’s market share, product development, and service development later in the future.