As the capital of Indonesia, Jakarta hosts approximately 66% of the total containerized export-import business in Indonesia; making the depot business very competitive with constant price war and each player tried to find its distinctive offerings while providing superior service for the customers. At the same time, depot business development growth in Indonesia is tightly linked to the growth of shipping business while the latter depends on the growth of international trade in Indonesia.

Thus, in this situation, our group tried to review the depot business for DKM, one of the oldest depots in Jakarta. We tried to analyze issues such as: a steep drop in the operating margin; difficulty in maintaining cost saving; the company's plan to maintain its growth sustainability and profitability; the efficiency of each of its areas of operation; the company's low employee satisfaction as well as customer satisfaction.

In order to provide the company sound strategies to cope in the competitive industry, our group also analyzed the company's current strategies of company-wide culture of CARE (Cepat, Akurat, Ramah dan Efisien); its plan to move to Marunda area and relocate some of its operation area; its plan to build a stronger sales and marketing force and its plan to formulize cost saving strategy in Belawan office, to just name a few.

Our group used various techniques to tackle the above tasks. We used the Porter Analysis, reviewed DKM's financial figures and meet its customers as well as its competitors and also the depot network group. In our endeavors to understand the performance of DKM, we came up with some tools to understand which performance parameters were important for the industry to be able to compete with the rest of the depot players. To provide sound recommendation and action plan for the company, we did internal and external factor evaluations and combined our other analysis together while at the same time kept throwing ideas to our GFP client, DKM key managers.

By understanding the financial performance of DKM, we could provide the company with some insights on what areas of savings the company could strive for. Our action plan indicated that while there are areas that the company should work on to increase its performance in the coming year; a strong efforts to do aggressive sales to all of DKM's customers and its potential ones as well as vigorous implementation of the new company culture of CARE could well take DKM into a brighter future.





Research Location : PT. Dwipa Kharisma Mitra