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Milind Gadre
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Decision Sciences, Operations Research & Management

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Operating Cost Optimization By Implementing Energy Management (Case Study In PT. Vinysea) Budi Sulistyo, Arif; Gadre, Milind
The Indonesian Journal of Business Administration Vol 6, No 2 (2017)
Publisher : The Indonesian Journal of Business Administration

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Abstract. PT.VINYSEA as major producer of Liquid Caustic Soda (LCS), Vinyl Chloride Monomer (VCM) and Polyvinyl Chloride (PVC) in Indonesia is affected by increment of energy cost, such as electricity and fuel price. It also leads manufacturing cost of the main products LCS, VCM and PVC are high to begin with, and tends to increase within the last 4 months, about 19%, 4% and 3% respectively. 3 research questions rise to overcome the situation. Methodology of research is conclusive positivism, since reaching decision making by applying quantitative methods of data collection and data analysis. 5C analysis technique is used to analyze business situation and identify the factors involving the view point of Competitor, Customers, Collaborators, Climate and internal Company. Assessment of 5C was conducted using fishbone diagram analysis to find out the root causes. As a solution of question no (1) Raw materials and energy sectors have big contribution by 60% and 20% respectively, (2) several actions plan to implement (i) optimization of 5 Chlor Alkali Plants’ operation load arrangement using new correlation chart, (ii) changing periodical membrane replacement at electrolysis by shorten the existing schedule, from 4 to 2 years (iii) implementation of Energy Management System. By implementing these activities. PT. VINYSEA will potentially gain cost saving 3% energy cost. Furthermore solution no (3) building own Power Plant shall be considered for long term planning. It has potential reduction about 4% operating cost. Top management shall give fully support for the implementation of recommendations, such as commitment, funding and organizationKeyword: energy, energy management, Liquid Caustic Soda, Chlor Alkali, membrane
Trans-Sourcing Strategy For Service Project Deployment at PT. Indosat Mansur, Labib; Gadre, Milind
The Indonesian Journal of Business Administration Vol 1, No 7 (2012)
Publisher : The Indonesian Journal of Business Administration

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Nowadays, every cellular operator facing tough competition and already jump in on “price war” competitions. Every operator competes to offer very cheap pricing structure with a lot of feature and benefit to grab their customers. In other hand, the trend of network element equipment and service’s pricing are decreasing from the supplier that lead to lower investment cost. But the decreasing of investment cost which gained by cellular operator still can’t compensate the profit resulting from the decreasing of very cheap pricing of its products. These phenomena indicated clearly from their financial statement report especially on Revenue Growth and the ARPU (Average Revenue per User). In order to create new market and also to cater the existing customer growth, every year Indosat have to expand the network to broader its coverage and to enlarge its network capacity. One of the big contributions of the investment cost is the services cost. Every operator, include Indosat, continuously innovates to get an over of par value between the investment cost and the revenue. Therefore, one of the alternative solutions is coming from the optimization of the investment services cost.   Keywords: decreasing revenue, high investment cost, optimization investment services cost.
Co-Authors Arif Budi Sulistyo Labib Mansur