BANANA ESTATE BUSINESS STRATEGY FOR POST MINING AT PT BERAU COAL
PT Berau Coal is one of Coal Mining Company that has obligation for post mining activities where a part of the requirement is social, cultural and economic development according to the law of Indonesia No.3/2020. One of the post mining project is Banana estate where has been started since 2018....
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| Format: | Theses |
| Language: | Indonesia |
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| Online Access: | https://digilib.itb.ac.id/gdl/view/53434 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | PT Berau Coal is one of Coal Mining Company that has obligation for post mining activities where a part
of the requirement is social, cultural and economic development according to the law of Indonesia
No.3/2020. One of the post mining project is Banana estate where has been started since 2018.
The business result shows the problem, where the revenue in 2019 is Rp. 1,074,008 but the cost is
517,969,354. As well as 2020 where the revenue is Rp. 16,556,567 but the cost is 397,200,480. This
condition has made EBIT (Earning Before Interest and Taxes) in 2019 is minus Rp. 521,045,346 as well as
in 2020 is minus Rp. 380,643,913. Given that banana estate is the new project, but without komprehensive
plan and clear financial objective, the result is not to be expected due to unfeasible investment.
The objective of this research is to identify operational problem that cause losses to Banana Estate, capture
business situation that affecting banana estate and provide the strategy for banana estate turning to positive
cash flow and feasible for the business.
In this research, based on defined issue, exploration to the issue conducted which include internal analysis
and external analysis. By using fishbone diagram, internal analysis describe the root cause internally related
to business issue. External analysis conducted on macro environment by using PESTEL and micro
environment by using Porter’s five forces analysis. Business issue exploration continued with reviewing
Strength, Weakness, Opportunity and Threat (SWOT) of Banan Estate. SWOT result used as the basis to
rising business solution.
From the research, it was found that the opportunity of banana plantation is potential to develop but some
root cause of the problem has been identified such as: (1) High employee wages, (2) Inadequate planning,
(3) Inadequate evaluation, (4) Inadequate dump storage.
From all those problem, the strategies proposed as the solution are: (1) Reduce cost by correct the workload
and working day that related to the number of worker need, conduct Community internship program to
reducing employee cost and provide vocational education for the community, (2) Increase production
capacity based on feasibility of the projection investment return. (3) Reduce loss by temporary dump.
Some critical factors that should take into account along with the strategy such as: (1) Operating standard
should be fixed in SOP, (2) Regarding to Community Internship Program, learning material and curriculum
should be prepared as the objective the community can build their own plantation. The development of
banana estate at the community area should consider appropriate operational budget calculation if applied
at the community (3) Government support in community internship and banana estate business. (4)
Expanding width of banana estate need financial support from the management (5) Market expansion
planning should be prepared to anticipate the increase of production. |
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