This document provides an analysis report on Tiga Pilar Sejahtera Corporation (TPC) and recommendations to improve its performance. It discusses: 1. TPC's business units and their profiles, as well as issues like declining profits and underutilized assets. 2. An analysis of TPC using a Balanced Scorecard and SWOT framework called BSWOT. 3. Five strategy recommendations: 1) Synergize the business units, 2) Stabilize profits, 3) Centralize distribution, 4) Win the market, and 5) Increase profits. Specific actions are proposed for each business unit.

2. Analysis Report PPM Regional Business Case CompetitionTIGA PILAR CORPORATION: A Journey to Greatness
Written by :
BBS 1 Group
Haris Suhendra, Pramita Wardani, William Andrew

3. Case Framework
Situation
•Company Profile (Corporate Profile, & BU’s Profile).
•Corporate Performance
•Good Corporate Governance
Indonesia’s Economic Landscape
Problem
Analysis
Recommen- dation
1
2
3
TPC
TPS Food
TPS Agro
TPS Trading
TPS Venture
Combinations of
Balanced Scorecard + SWOT
Strategy Recommendation
4
Problem Identification

4. Macro EconomicIndicator
Data
Population
240 million
GDP growth (%)
6,5 %
GDP per capita (US $)
3600
Exchange rate per US$
8500
Poverty Rate
14,6%
Macro Economic Indicator
Data
Net Capital Inflow(Million)
22.64
Economic Growth
7%
Indonesia’s Income Per capita projection 2030 (US$)
10,000
Economic Growth (ASEAN)
6,9%
TheFourthClusterDrivingGrowth:foodandbeveragesindustry.Textiles,textileproducts,andfootwearindustry,electronicsandelectroniccomponentsindustry,andtransportationequipmentsandautomotivecomponentsindustry.
Indonesia’s Economic Landscape

5. Situations of TPC
•TPC is one of Indonesia’s most respected food producers
•TPC has a huge amount of assets
•TPC use Acquisition Strategy to expand their business
•TPC has become a holding company in 2010
•TPS Academy as the source of company’s knowledge

6. Problem Identification
Negative
Net Profit Growth
TPS Venture average net profit growth : -68.77%.
Struggling to Synergize
TPC has been the holding company to the four BU’s.
Distribution Channel Duplication
Overlapping function between TPC and TPS Trading.
Small
Market Shares
TPS Food instant noodle market share : < 4%
Underutilized assets
TPS Agro land property utilization : 14,89%

7. How do we analyze it

8. Balanced Scorecard
SWOT
We call it BSWOT…
Framework Analysis
Source : http://www.tvk.se/templ/page____107.aspx

9. 2. Stabilize
Strategy to stabilize the profit
3. Centralize
Strategy to centralize the distribution
5. Profit
Strategy to increase the profit
Strategy to synergize the company
1. Synergize
4. Win
Strategy to win the market
Recommendations
We Called PANCANAKA Strategy…

10. 1. Strategy to synergize the company
Recommendation (1)
Source : Alignment (Robert S. Kaplan and David P. Norton)

11. Business Group under TPC
TPC
TPS Food
TPS Agro
TPS Trading
TPS Venture
TPC
FoodBusiness Unit
TPS Food
TPS Agro
TPS Trading
EnergyBusiness Unit
TPS Venture
1. Strategy to synergize the company
Recommendation (1)

12. 1. Reduce Cost of Goods Sold2. Focus on Energy Business3. Finding Strategic Partnership
2. Strategy to stabilizethe profit
Recommendation (2)
We will give more attention to the TPS Venture.

13. 3. Strategy to Centralize the Distribution
Regional Distribution Center
RDC
Warehouse Provincial Coverage Area
Warehouse Regency Coverage Area
Warehouse
Provincial Coverage Area
Warehouse Regency Coverage Area
Warehouse Regency Coverage Area
Warehouse Regency Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Sub- District Coverage Area
Warehouse Provincial Coverage Area
Warehouse Provincial Coverage Area
Recommendation (3)
Regional Distribution Center (RDC)
-Zoning System -

14. HahaMie could be more focused on children’smarket segment
For Bihunkuwe invent new variant products such as BihunHealthy Diet or BihunHigh Calcium.
4. Strategy to win the market
Recommendation (4)
TPS Food area :
Utilizing Palm plantations by maximizing the palm lands
Expand the cassava, sago and spirulinabusinesses from downstream to mainstream
Increase net sales growth yearly by reduce operating expensesUse 360-degree Communication Strategy
TPS Agro area :

15. Reduce operational costs
Boost up sales (aggressive marketing)
5. Strategy to increase the profit
Recommendation (5)
TPS Food area :
Reduce costs by decreasing COGS
Boost up sales (aggressive marketing)
Innovative products
Increase net sales growth by reducing operational expenses
TPS Agro area :

16. “SangkanParaningDumadi”

17. Thank You