Indonesia

Shipyard Industry
Analysis
By: Vina Kusuma A 041811333059
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Quick Review of the Industry

� 117 Shipyard companies

� Operate around 27,000 commercial vessels
— 21 percent of which are older than 25
years.
� Most of the firms base their businesses in
Surabaya (21) and Batam (15)
Data is based on Indonesian Shipbuilding Association
(Iperindo) 2019.
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� Many commercial ports can only cater to

fairly small vessels on domestic runs, and
only few have container facilities.
� International Maritime Bureau (IMB) ranks
Indonesia as one of the worst affected
countries for piracy
� Ship repair time is slow (S’PORE 2 weeks,
INA 6 weeks)
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� Indonesia’s shipyard industry is still

importing 65 to 70 percent of its raw
materials.
� Components in Indonesia cost at least 15
percent higher due to import duties of 5 to
12 percent.
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Porter’s 5 Forces
Analysis on the
Industry
Wheeooow it’s A LOT ((no;;;))
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Porter’s 5 Forces Analysis
Threat of New Entrants
Level: High
Reason:
Because the growth room for the
industry is very large as
Indonesia’s territory consists of
archipelago.
The current companies is still
considered low if we compare it
to the demand.
Competitive Rivalry
Level: Low
Reason:
The World Bank’s global survey
on competitiveness actually
shows Indonesia dropping two
ranks in terms of cross-border
cargo trade and lagging behind
other ASEAN nations (2014)
Monopoly by PELINDO I, II, III, IV
each of which operate in different
regions
Poor services on Indonesia’s ports
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Porter’s Five Forces Analysis

Threat of Bargaining Bargaining

Substitutes Power of Power of
Level: Medium Suppliers Customer
Reason: Level: High Level: High
This Industry can be Reason: Reason:
replaced with airship There are not many Foreign ships usually
industry (in terms of company to support chose Singapore
transportation and this Industry and because they have
shipping) but it’s not most of them are better infrastructure
quite high because being imported. and more efficient
Indonesia consists of Because suppliers than Indonesia’s
many island that can are scarce, they have
only be accessed by more bargaining
ship power.
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Suggestions

� Improving infrastructure on Indonesia’s ports

� More surveillance on Indonesia’s seas to
prevent piracy
� Renewal of commercial vessels to boost the
industry
� Improving the amount of companies that
support shipyard industry so that the spare
parts don’t have to be imported
� More financial supports to the industry by
prolonging the duration of investment loans.
� Create more larger ports other than on
Jakarta, Surabaya, and Batam.
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 2.
PT. Dok &
Perkapalan Kodja
Bahari
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Facts
� PT Dok & Shipping Kodja Bahari (Persero) was
established in 1990, as a result of the merging
of 4 (four) integrated shipyard industries.
� They have 8 docks located in 8 different cities.
� Have more than 1700 employees and has
certificate ISO 9001: 2008 from Lloyd’s Register
Quality Assurance, SMK3 from Kementerian
Tenaga Kerja dan Transmigrasi RI, and OHSAS
from Sucofindo International Certification
Services.
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Vision and Mission

Vision 2 Mengembangkan
perusahaan agar unggul
Menjadi perusahaan perkapalan dan
dalam persaingan di pasar
sarana lepas pantai yang terkemuka
ASEAN di sektor
di pasar domestik dan bersaing di
pembangunan kapal baru,
pasar regional serta memberikan
pemeliharaan dan perbaikan
manfaat kepada stakeholder
kapal sampai dengan
Mission 400.000 DWT dan sarana
lepas pantai, baik fabrikasi
1. Mendominasi pangsa pasar
maupun pemeliharaan dan
domestik di sektor pemeliharaan
perbaikan untuk sarana
dan perbaikan kapal dan
pendukung operasional kapal
pembangunan kapal baru sampai
sampai dengan 350.000
dengan 400.000 Dead Weight
DWT (SBM, SPM, dll) melalui
Tonnage (DWT), melalui
keunggulan Quality Cost
keunggulan Quality Cost Delivery
Delivery and Services &
and Services (QQCDS)
Safety Health
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Mission pt.2

⒊ Mendorong kemampuan
penguasaan teknologi dan
kemandirian dalam mendukung 4 Melaksanakan restruksi
peningkatan kemampuan secara bertahap guna
industri pelayaran nasional dan mewujudkan perusahaan
sistem transportasi laut nasional yang sehat.
melalui pengembangan sarana
dan fasilitas produksi serta
kualitas Sumber Daya Manusia
(SDM).
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Analysis on PT. DKB Vision and Mission

1. The scope of vision is too broad, the

definition of “terkemuka” is too vague and
can not be measured
2. Too many repetition on the mission, it’s not
compact enough
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Corporate Value

Q – Quality
C – Cost
D – Delivery
S – Service
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SWOT Analysis

Strength Weakness
- Located in 8 different - The publication is low
cities - The informations about
- Established from 4 PT. DKB are very
integrated shipyard scarce
companies
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SWOT Analysis

Opportunity
- Opening more docks
on different cities
- Going public to receive
more capital
Threat
- The other companies
who offer same
services and products
 3.
PT. Pelabuhan
Indonesia(PELINDO)
III
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Facts

� Established on 1 December 1992, now has

43 public port on 7 province in Indonesia.
� As a holding company, the company is in
charge of 11 subsidiaries and affiliated
companies engaged in various sectors
related to port services
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Vision and Mission

Vision
Menjadi Smart Operator
Pelabuhan Berskala Dunia
Mission
Misi perseroan dalam kurun 3. Menciptakan solusi bisnis
waktu 5 (lima) tahun mendatang yang cerdas melalui integritas
adalah: dan kerja sama dengan mitra
1. Menciptakan nilai tambah strategis;
yang berkelanjutan untuk 4. Membangun dan
peningkatan kepuasan memperluas jaringan bisnis
stakeholder; domestik dan internasional.
2. Memberikan kenyamanan
dan kemudahan bagi pengguna
jasa layanan bisnis di pelabuhan
melalui digitalisasi dengan
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SWOT Analysis

Strength Weakness
- Location of the ports - Loading docks still take
- Diversification of a long time
products and services
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SWOT Analysis

Opportunity Threat
- Strengthen the ports - New companies
and upgrading its entering the industry
infrastructure - Better infrastructure
- Opening ports on on other ports
Sumatera, Sulawesi,
and Papua
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Thanks!
Any questions?