balance score card

1. Transforming “Tudung Group“ through
Strategic Management Approach
Oleh :
Sudhamek A.W.S.
Group CEO
Program S2
Universitas Andalas Padang
3 Juni 2008

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The controlling word in
“Family-managed business”
is not “Family”.
It has to be “Business”.
Source : Managing in a time of great change by Peter F. Drucker - p. 57

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Corporate Culture & Managerial Skill
Source : Cardinal Investor File
3
- Managerial Skill +- Managerial Skill +- Managerial Skill +- Managerial Skill +

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MANAJEMEN FUNGSIONAL :
Manajemen yang efisien dan efektif atas fungsi produksi barang / jasa,
fungsi pemasarannya, dan fungsi-fungsi pendukung itu (SDM dan
Keuangan) agar laba perusahaan dapat diperoleh dengan maksimal.
ERA MANAJEMEN FUNGSIONAL  MANAJEMEN STRATEJIK
Issue: FUNCTIONAL EXCELLENCE

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MANAJEMEN STRATEJIK :
Manajemen kelangsungan hidup perusahaan
di tengah-tengah lingkungannya
Issue: SUSTAINABILITY

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Issues in many organizations
1. Vision and strategy that are not actionable
2. Strategies that are not linked to
departmental, team, and individual goals
3. Strategies that are not linked to resource
allocation
4. Improvement initiatives are not linked to key
issues of business strategy. No significant
improvements.

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Tudung Management System (TMS)v
Pillar 1: Basic Mentality
Pillar 2: Strategic,
Activity Management &
Continuous
Improvement
Pillar 3: House of Tools
Pillar 4: Change Enablers
Tudung Group Management System HandbookTudung Group Management System Handbook
Four Pillars

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Promote with the same language
Our ApproachOur Approach
Determine Corporate Policy and Core Values
Alignment of Policy Management
and Activity Management
Business Process Continuous
Improvement

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3.MakingIt
W
ork
1. Looking
Back &
Check Points
2.Looking
Forward
Strategy Formulation (Corporate)Strategy Formulation (Corporate)
1.1 Business Models1.1 Business Models
2.1 Strategic Intent2.1 Strategic Intent
3.2 CORPORATE BSC3.2 CORPORATE BSC
• % G ro un d crew
trained
• % G ro un d crew
stockh olders
O bjectives M easu rem ent
• M arke t V a lu e
• S ea t R even ue
• P lane Le as e
C o st
• F A A O n Tim e
A rriva l R ating
• C u stom er
R ankin g (M a rket
S urvey)
• O n G rou nd T im e
• O n-Tim e
D eparture
S trateg ic T h em e:
O peratin g E fficien cy
Initiative
• C ycle tim e
o ptim ization
p rog ram
• E S O P
• G ro u nd crew
training
• Q uality
m anage m e nt
• C u stom e r
lo yalty
p rog ram
T arg et
• 30% C A G R
• 20% C A G R
• 5 % C AG R
• # 1
• # 1
• 3 0 M in utes
• 9 0%
• yr. 1 70%
yr. 3 90%
yr. 5 100%
P ro fita b ility
Fin ancial
Le arnin g
M o re
C u sto m ers
G rou n d C rew
A lig nm e nt
L o w est
P rice s
Fe w er P lan es
C usto m er
In te rnal P roc ess
F as t G ro u nd
Tu rn aro u n d
F lig h t
Is o n T im e
• P ro fitability
• M o re C u s to m ers
• Few er plane s
• Flight is o n -tim e
• Low est prices
• Fast gro un d
tu rnaro u nd
• G rou n d c rew
align m ent
• % G ro u nd crew
train ed
• % G ro u nd crew
sto ckh olde rs
O b jec tives M easu rem en t
• M ark et V alu e
• S e at R ev en ue
• P lane L ease
C o st
• F AA O n Tim e
A rriv al R ating
• C u sto m er
R an kin g (M arket
S u rvey)
• O n G rou n d T im e
• O n-Tim e
D ep artu re
S trateg ic T hem e:
O p eratin g E fficienc y
In itiative
• C ycle tim e
o ptim izatio n
p ro g ram
• E S O P
• G ro u nd crew
training
• Q u ality
m an ag em ent
• C u stom er
lo yalty
p ro g ram
T arg et
• 30 % C A G R
• 20 % C A G R
• 5% C AG R
• # 1
• # 1
• 3 0 M in utes
• 9 0%
• yr. 1 70%
yr. 3 90%
yr. 5 100%
P rofitability
Fin ancial
Learnin g
M ore
C usto m ers
G rou n d C rew
A lig nm en t
L ow est
Prices
Few er P lanes
C ustom er
In ternal Pro cess
F ast G ro un d
Tu rn aro u n d
Flig h t
Is on T im e
• P ro fitability
• M o re C u sto m ers
• F ew er p lan es
• F ligh t is o n -tim e
• L ow est p rices
• F ast g round
turn arou n d
• G ro un d crew
align m en t
2.3 Long Term Strategy2.3 Long Term Strategy
3.3 Activity Plan & Budget3.3 Activity Plan & BudgetSTRATEGIC Initiatives
OBJECTIVES DueDate PIC 1 2 3 4 5 6 7 8 9 10 11 12
Measurement Target
Merupakankegiatanstrategis PenjabaranStrategicObjective Ukurankeberha- batas nama/ Gantchartyangdibuat
dalam4perspektif: menjadikegiatanyglebihdetail.silanprogram/ waktu inisial untukmenggambarkan
-Financial padatahuntersebut aktivitasyangdi- akhir orang dimulainyapelaksanaan
-Customer jalankan program/aktivitastersebut
-InternalProcess sampaidenganbataswaktu
-Learning&Growth akhir(duedate)
yangmempengaruhiperusahaan
yangdiprioritaskanpadatahuntsb.
Schedule(Bulan)KeyPerformanceIndicator
2.2 Corporate Role2.2 Corporate Role
1.4 Key Success Factors1.4 Key Success Factors
2.4 Operating Model2.4 Operating Model
1.5 TOWS1.5 TOWS
3.1 Strategy3.1 Strategy
DeploymentDeployment
1.2 Value Net1.2 Value Net1.3 Growth Engine1.3 Growth Engine
9

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TUDUNG Group Strategic Intent
Vision – Mission – Values Elaboration
Vision 2012
Mission
Core Values :
Long Term Key Strategies
• Human Values
• Business Ethics
• Unity Through Harmony
• Speed and Leading Change
• Working Smart in Learning
Culture
We are a transformation making company that creates value to society based on
interdependent co-arising
Corporate Philosophy
“Success is born through honesty,
persistence and commitment in the
light of constant prayer”
Founders’ Spirit
To be an “10 - 10 Value Creating
Company”

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No Components
1 Human Values PP
EE
AA
CC
EE
FF
UU
LL
2 Business Ethics
3 Unity Through
Harmony
4 Speed & Leading
Change
DD
YY
NN
AA
MM
II
CC
5 Working Smart in
a Learning
Culture
Core Values
NO Components
1 Honesty
2 Constant Prayer
3 Persistence
4 Commitment
Corporate PhilosophyFounders’ Spirit Mission
Components
Interdependent
co-arising
Employees + CustomersEmployees + CustomersEmployeesEmployeesFounders + EmployeesFounders + Employees
TUDUNG Group Strategic Intent
Vision – Mission – Values Elaboration

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No Core Values
1 Human Values
2 Business Ethics
3 Unity Through Harmony
4 Speed & Leading Change
5 Working Smart in a
Learning Culture
Values
Attributes ofAttributes of UniqueUnique Value PropositionsValue Propositions
(UVP)(UVP) to Customersto Customers
““SinceritySincerity””:Love, Peace of Mind, Right Conduct &:Love, Peace of Mind, Right Conduct &
Non ViolenceNon Violence
““TrustworthyTrustworthy ““ ::Compliance, No kick-back, SecureCompliance, No kick-back, Secure
& Safe Products, Environment-friendly (see Work& Safe Products, Environment-friendly (see Work
Ethics handbook), Fair – Open Competition etc.Ethics handbook), Fair – Open Competition etc.
“Win-Win”:
a) Saling Mengerti (driven by same platform – Mission – Vision - Values)
b) Saling Percaya  Inclusiveness Mind-set by 1st embaracing (empathy),
2nd Receiving and 3rd Transforming
c) Saling Memberi  Mutual sharing & giving  The Law of
Interdependent Co-Rising
““Trend SetterTrend Setter””: Timely, Response, Proactive,: Timely, Response, Proactive,
Creative & Innovative,Creative & Innovative,
““InspirationInspiration””:Knowledgable, Resourceful,:Knowledgable, Resourceful,
Inspiring, Contributive,Inspiring, Contributive,
In the Eyes of Employees In the Eyes of Customers
PP
EE
AA
CC
EE
FF
UU
LL
DD
YY
NN
AA
MM
II
CC
TUDUNG Group Strategic Intent
Vision – Mission – Values Elaboration

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Activity Plan
2008
Devising Activity Plan 2008
Detail in
13

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LANGKAH
CORPORATE LEVEL
(Tudung Corporate)
BUSINESS LEVEL
(SBU / BU)
OPERATION
LEVEL
(Division)
PROCESS
LEVEL
(Dept / branches )
SUB PROCESS
(Section / Staff)
P
D
A
C
Rencana
Aktivitas
Industry Forces
Mission / Vision
Business
Portfolio
Pelaksanaan
Pemeriksaan /
Review perbaikan
Tindakan mengintegrasi
dan Standarisasi
Pelaksanaan Rencana Taktis dan
Pemeriksaan Rutin
JK
PJG
5 Th
JK
PDK
1 Th
Perumusan
President
Direction & CLA
Industry Forces
Mission / Vision
5 Year Policy
IKSF/CKSF
1 Year Policy
Process Formulation
rencana berikutnya
Opr.Formulation
rencana berikutnya
Strategic Formulation
rencana berikutnya
Strategic Direction
rencana berikutnya
Pelaksanaan Rencana Strategis
Establish Control: KPI Perspectives:
1. Customer 2. Financial 3. Internal Process 4. Learning & Growth
Activity Plan
Membandingkan Sasaran dengan hasil dan melakukan perbaikan
Review Periodik Intern Company
Review Periodik Business Unit / Holding
Review Periodik Intern Divisi
Internal Review Departemen / Cabang
1 Year Policy
Key
Performance
Indicator
Activity Plan
Pengembangan
Goal &
Strategy
PlanningPlanning, Alignment & Review, Alignment & Review
From Corporate to OperationFrom Corporate to Operation

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Take appropriate action
and follow up
Determine goals
& targets
Determine methods
of reaching goals
Engage in education
and training
Implement work
Check/study the effects of
implementation
PLANPLAN
DODO
CHECKCHECK
ACTACT
Deming’s improvement cycle ( PDCA) AA SS
DDCC
AA SS
DDCC
AA
PP
DD
CC
AA
PP
DD
CC
AA SS
DDCC
Pemeliharaan
Pemeliharaan
Pemeliharaan
Perbaikan/
peningkatan
Perbaikan/
peningkatan
Sources : Stamatis D. H ,Total Quality
Services , 1996
Kemajuan
PDCA Policy
Management is PDCA (Plan, Do, Check, Act)

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16
Small GroupSmall Group
ActivitiesActivities
““Group Oriented Kaizen”Group Oriented Kaizen”
SuggestionSuggestion
SystemSystem
““Individual Oriented Kaizen”Individual Oriented Kaizen”
Task ForceTask Force
““Management Oriented Kaizen”Management Oriented Kaizen”
SCOPESCOPE
CROSS FUNCTIONALFUNCTIONAL
HIGHER
IMPACT
(Quality, Cost,
Volume)
IMPACTIMPACT
LOWER
IMPACT
(Quality, Cost,
Volume)
Jenis Continuous Improvement
Management System – Systematic Activity Management
Task Force
Suggestion SystemSuggestion System
Small Group Activities

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Conclusion
Objective of Each Phase
Establish a business
direction that enables
the organization to tie
the efforts & resources
to the right path.
Build a measurement
system that describes
the strategy and
translate the strategy
into action
Create synergies
among processes
and to allocate
resources properly
in creating value
propositions and
achieving company
objectives.
Improve the
process outputs
continuously in
order to increase
customer
satisfaction & profit
Phase 4.
Monitoring and
improvement
system
Phase 3.
Business
Process
Alignment
Phase 1.
Strategic
Business
Direction
Phase 2.
Translate the
Strategy into
Action
Objectives
:

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ConclusionConclusion
Values Strategy Process
Vision Strategy Process
Vision Values Process
Vision Values Strategy
Vision Values Strategy Process
Vision Values Strategy Process
System
Control
System
Control
System
Control
System
Control
System
Control
Structure ConfuseConfuse
FrustrationFrustration
Wrong StartWrong Start
IneffectiveIneffective
Wrong WayWrong Way
CrowdedCrowded
Structure
Structure
Structure
Structure
NOT AVAILABLE / NOT CLEAR
Vision Values Strategy Process
System
Control
Structure ResultResult
Alignment between Superstructure and Infrastructure is the keyAlignment between Superstructure and Infrastructure is the key
Source : “Astra Management System”
Superstructure Infrastructure

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TERIMA KASIHTERIMA KASIH