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BUILD SAKANA PHARMA-s COMPETITIVE ADVANTAGE THROUGH ORGANIZATIONAL TRANSFORMATION
A.I.SAID, B.YUWONO

Sekolah Tinggi PPM Manajemen, Jakarta, Indonesia
andiilhamsaid[at]gmail.com
,ant.budi.yuwono[at]gmail.com


Abstract

Introduction Sakana Pharma is an Indonesian pharmaceutical manufacturer that have main revenue from contract manufacturer to fulfill drug needs in Indonesian Universal Health Coverage (UHC) market. UHC market is the biggest pharmaceuticals market in Indonesia. From BCG matrix mapping, the main revenue of Sakana Pharma is in the market which growth is slowing down due to 20 % price erosion per year since Indonesian UHC was started. This become the main reason for Sakana Pharma to transform the core business to secure it-s position in the future. According to Burke (2002), 70 percent of organizational transformation are fails. One effort to ensure the success of transformation is measure the readiness of individuals and organizations to change (Cinite et al., 2007, Noer 1997; Zamor, 1998). Therefore it is necessary to analyze the Sakana Pharma-s transformation readiness then arrange transformation design. Methodology This research was started with determining transformation direction which appropriate with Sakana Pharma-s needs, then continued with transformation readiness audit and arrange transformation design. The transformation direction is set based on BCG matrix strategic direction then continued with transformation readiness assessment using “Transformasi Organisasi Indonesia” model to identify the readiness of 9 transformation elements in a company (PPM, 2017). After identifying the readiness of each element, we can make a transformation design to cover the elements that are not ready. Transformation design are consist of type of transformation, new vision, transformation strategy and transformation road map. FINDINGS/RESULTS From BCG matrix mapping, the main revenue of Sakana Pharma is in cash cow zone. Sakana Pharma need to transform it-s business into market that has high growth. Based on external and internal analysis, Sakana Pharma must focus more on exports. To make sure Sakana Pharma ready for globalization, we assess some elements to check Sakana Pharma transformation readiness. Based on audit result, some elements still have a readiness value below the minimum value. The root cause are lack of sense of urgency and business direction has not been firmly established CONCLUSIONS Based on this result, It is important for Sakana Pharma to define new vision, share new vision to increase sense of urgency. After that Sakana Pharma must create blue print transformation that consist of type of transformation, transformation strategy and transformation road map.

Keywords: Transformation, Transformation direction, Transformation readiness, Transformation audit, Transformation design

Topic: Strategic Management

Link: https://ifory.id/abstract/7GbvTECHuLx3

Conference: The 3rd Asia Pacific Management Research Conference (APMRC 2019)

Plain Format | Corresponding Author (Budi Yuwono)

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