Bank of Sumsel Babel fulfilled tranches 1 syndication credit of Semen Baturaja

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PALEMBANG – PT. Semen Baturaja (Persero) Tbk had been signed a signing addition of the syndicated credit agreement along with the development Bank of Southern Sumatra and Bangka Belitung (Sumsel Babel Bank) on Tuesday (09/02) at Head Office Sumsel Babel Bank, Palembang.

This partnership is a synergy between the two companies that residence in South Sumatra, In order to increase participation for infrastructure and economic development in south Sumatra.

Semen Baturaja receives additional credit support of Rp 80 billion from Sumsel Babel Bank. Therefore, the present day, Semen Baturaja has received syndication credit of Rp 1.3 trillion obtained from several Banks that had participated in the syndication credit in 2020.

“The Sumsel Babel bank has committed to adding a portion of the syndicated credit facility to SMBR. With the result that, Sumsel Babel bank credits reached Rp 150 billion.” Jobi triananda hasjim said.

The signing by Director of PT Semen Baturaja (Persero) Tbk, Jobi Triananda Hasjim, with the President Director of Sumsel Babel Bank, Achmad Syamsudin, has already done in accordance with the valid health protocol.

This event was attanded by the finance director of PT Semen Baturaja (Persero) Tbk, M.Jamil, Chief commissioner of Sumsel Babel Bank, Eddy Junaidi, Independent commissioners of Sumsel Babel Bank, Noversa, and Head of the Syndication & Corporate Solutions Division of BNI Bank, Rommel TP Sitompul.

This year (2021) will rate as a turning point to boost the national economy. One of factor is the increasing in government expenditure of Rp 417,4 Trillion in the field of infrastructure or increase by 48% over the previous year.

Achmad Syamsudin said “ Sumsel Babel Bank reacted favorably to these Repackaging in hopes of helping Semen Baturaja to increase its production capacity. That will indirectly help the economy in South Sumatera”.

Semen Baturaja is also optimistic that this year will be more strategic projects capable of raising the volume of cement sales. As of early 2021, Semen Baturaja became involved in the project in South Sumatera region such as, contribution to the construction of Palembang-Betung, Prabumulih-Muara Enim, and Muara Enim- Lahat- Lubuk Linggau causeway and other strategic projects.

Not only that, in Lampung and Jambi, Semen Baturaja has started construction of the Way Sekampung and the Margatiga dam, Kerinci and Lebong- Bengkulu (natural) gaspowered electric generator, and others. There are still many government infrastructure projects that could be opportunities for Semen Baturaja to contribute to increasing sales and improving the national economy.

“This year an expected to domestic cement consumption will rise about 7-8 % because of the rise in infrastructure budget. We saw many strategic projects opportunities in the market share. Semen Baturaja is ready to increase production capacity and meet cement demands in Indonesia especially in South Sumatera, Lampung, Jambi, to Bangka Belitung.” Jobi says.

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To Spur Long-Term Performance Growth, Semen Baturaja Establishes a Synergy with the Semen Indonesia Group (SIG) through the Collaboration with the Establishment of the Indonesia Cement Research Institute (ICRI)

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BATURAJA – PT Semen Baturaja (Persero) Tbk established the Indonesia Cement Research Institute (ICRI) together with Semen Indonesia Group (SIG) on Thursday (26/11) virtually.

The synergy between BUMNs through the formation of ICRI between Semen Baturaja and SIG was formalized through the signing of a Memorandum of Understanding on Research Collaboration in the Cement Sector.

This virtual event was attended by the Director of Production & Development at SMBR Daconi, Director of Engineering & Projects at SIG Tri Abdisatrijo, Director of Human Resources & Legal SIG Tina T Kemala Intan and SIG Production Director Benny Wendry.

The Indonesia Cement Research Institute (ICRI) was formed as a long-term investment in the business world. This research need is expected to provide a broad contribution impact.

The formation of ICRI is also a form of the company’s strategy in accordance with the 5 (five) priorities of the Ministry of BUMN and the 2020-2024 SMBR strategic initiative.

“Starting today, Semen Baturaja and SIG will go hand in hand in strategic research activities to create innovative, high-tech and environmentally friendly products, as well as to improve operational efficiency and cost leadership of the Cement Cluster.” Said Daconi

The results that will be achieved through ICRI are expected to bring the Cement cluster in Indonesia to be able to create new innovations and technologies as well as to improve operating efficiency and cost leadership of the cluster which will assist the company in achieving its target.

Quarter III SMBR performance (July – September) has shown positive results with the achievement of a net profit of Rp. 25 billion. It is hoped that with a positive start to the market and with the implementation of the efficiency program, it is hoped that the 2020 performance will also record positive results. With the synergy carried out with GIS, it is hoped that it will be able to spur the company’s performance going forward.

“Hopefully in the future, ICRI will become the best cement and building material research center in Indonesia. Of course, this is inseparable from the support and cooperation of all parties so that the goal of this synergy is achieved, ”he concluded.

Through ICRI today, SIG and Semen Baturaja will go hand in hand in strategic research activities to create innovative, high-tech and environmentally friendly products. Hopefully this synergy can run well and make a big contribution to national development. {}

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Semen Baturaja to Push for Small and Medium-sized Enterprises’ Productivity amidst Covid-19 Pandemic

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PALEMBANG – The Company of Semen Baturaja (SMBR), through the State-owned Business Enterprises’ Creative Workshop of Baturaja, is pushing for proprietors of small and medium businesses during the ongoing Covid-19 pandemic in order to help revive their productivity.

Small and Medium-sized enterprises has an important role within Indonesia’s economic cycle. During the middle of pandemic, a lot of business owners’ struggled as their revenue got affected negatively.

“We (Semen Baturaja) are doing our best to stimulate the Small and Medium-sized Enterprises and also rekindling their spirit to help improve the economy”, as stated by the Vice President Corporate Secretary of SMBR, Basthony Santri.

Since 1991, SMBR has had committed to distribute partnership fund that could be used to fund many business proprietors. Until recently, there are already more than 2000 listed small and medium enterprises which have become the company’s development partners.

Semen Baturaja not only merely helps funding business; the company also routinely organized various management, creativity, and promotional training programs while actively socializing about how small and medium businesses should be capable of self-adjusting and become more responsive in looking up business opportunities during the Covid-19 pandemic.

“Through the Baturaja Creative Workshop, we are helping business owners to learn on how to make face masks; a commodity that is urgently demanded by society as of right now”, he added.

SMBR has also involved its development partners to produce non-medical cloth face masks which are donated to several Covid-19 Task Forces in their respective region, such as: Palembang city, Baturaja city, and the province of South Sumatra.

Other than that, other form of support that the company has provided to small and medium business owners is the organizing of various training programs through video conference in accordance to the Covid-19 standard health protocol. The training subject that was being taught is also appropriately fitting with the current situation, such as “Branding Amidst the Pandemic”, “Content Marketing Strategy”, “Copy Writing”, and “Financial Digital Reporting”.

SMBR through its Creative Workshop has also collaborated with the Indonesia’s Gapura Digital Google Team in holding a Focus Group Discussion (FGD) class for small and medium business owners that are listed as the company’s development partners. The class was held to help small and medium business owners in reporting any possible hindrances they encountered during the middle of Covid-19 pandemic while also providing ideas and advices to resolve problems faced by their fellow business companions with the help of a facilitator.

During this year (2020), SMBR also worked with the OKU GO Indonesia as one of its development partners in marketing its business products. OKU GO Indonesia is an application created by the young generations of South Sumatra that provides local bike transportation and food and beverage delivery service online. Due to Covid-19 pandemic that demands people to maintain Physical Distancing, the products of small and medium businesses that are also the development partners of Baturaja’s Creative House have been made easier to market and extend its sales territory.

Many efforts have been comprehensively done by SMBR in terms of funding, production, and product marketing to help push small and medium businesses’ productivity in order to guarantee the program’s success. “Our hope within this program is to resurrect the small and medium businesses and the economy of Indonesia” he noted lastly.

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Semen Baturaja Begins Selling its Cement Products in Pontianak

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PALEMBANG – The Company of Semen Baturaja (SMBR) has recently started prime shipping its cement products to Pontianak. The product was transported from Boom Baru port on Palembang, to Pontianak on Wednesday, 10 June 2020. The Director of SMBR Marketing, Dede Pasarade, explained that the delivering of the product to Pontianak is a continuity from the market trial that has been done since 2019 then. A total of 750 tons of cement was transported in the prime shipping. Dede also explained that during this month of July, there will be two shipping with a capacity total of 2750 ton. “Should the prime shipping went well, SMBR is ready for a long-term contract with local distributor,” he said.

The primes shipping was done by collaborating with the Tanjung Priok harbor officials, which is a subsidiary company of Pelindo II, whose role is a loading and unloading services company that is appointed by SMBR for its handling service. Dede mentioned that SMBR’s expansion into the cement market in Pontianak was one of the company’s strategic steps to improve the utilization of their existing plants. Furthermore, he added, the company perceived that the cement market in Kalimantan (Pontianak in particular) to be still very prospective for development, regardless of the national cement industry oversupply. “We are confident that our company will be able to attain 5% of the market’s segment in Pontianak for the entirety of 2020”, he said.

Dede further explained that other than the focus on cement sales in South Sumatra market, SMBR will also continue to try expanding its market in the future despite the oversupply condition of the national cement industry and the negative inclination of its growth due to the impact of Covid-19 pandemic. “With the addition of SMBR cement product in Pontianak, we wanted to prove that SMBR is capable of expanding its territory outside of Sumatra,” he said again. Other than Pontianak, SMBR has also prepared several new potential market places outside of Sumatra that are ready to be worked on to reach the company’s target in 2020. “Even right now, we are already looking into possibility in cement exporting and clinker bricks,” he lastly added.

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Semen Baturaja Shows Consideration over Covid-19 Pandemic, Distributes Medical Equipments Through Task Force for Handling Covid-19 Disaster of OKU Region

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BATURAJA – The Coronavirus (Covid-19) pandemic has spread in more than 282 cities in Indonesia. This number keeps on increasing, despite the lowering curve on positive cases and the increase of cases of recovering from Covid-19. As per 26 April 2020, it has been listed that there are 129 positive cases of Covid-19 in the province of South Sumatra spread in different regions of the province.

In the attempt to prevent the Covid-19 infection, PT Semen Baturaja (SMBR) has distributed a number of relief supports in the form of medical equipment to the Task Force for Handling Covid-19 Disaster of Ogan, Komering, Ulu (OKU) Region on Monday, 27 April. The relief support was directly given by the Vice President Operation I of Semen Baturaja, Eko David Irawan, to the Head of OKU region, Kuryana Aziz, on the latter’s house.

Semen Baturaja, who has been appointed as the coordinator of the Task Force for Covid-19 Disaster of OKU, has distributed relief in the form of 100 pieces of medical protective equipment, 2500 pieces of medical face masks, 10.000 pieces of handscoon, 100 liter of hand sanitizer, and 1000 pieces of cloth face masks, “We, alongside all of the State-Owned Business Enterprises in South Sumatra, are working together with each other and gave our full support especially to the government in their many efforts to prevent the spread of Coronavirus, mainly in the OKU region,” said Eko David Irawan.

Other than the company’s CSR, the medical equipment donations also came from the Semen Baturaja Employee Union and Bayt al-Mal of Semen Baturaja Employee. “It is a form of consideration from the employees of Semen Baturaja who have donated in order to help preventing the spread of Covid-19,” he added. Going further, Eko David hoped that the donated relief support to be immediately distributed, especially for medical workers or people of OKU region.

Previously, Semen Baturaja along with other 46 State-Owned Business Enterprises had provided relief support to help manage Covid-19 in the form of medical equipments to the government of South Sumatra province. Other than the donation, Semen Baturaja has also directly contributed to the preventive measure against Covid-19 through disinfectant spraying on several public areas in OKU region back then on 26 March. “We even deployed teams from Semen Baturaja to help doing tracing and spraying disinfectant on the houses of both people and patients under Covid-19 surveillance in OKU region,” as Eko David mentioned.

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SMBR Ensure the Company’s Operation Will Not be Hindered Amidst the Coronavirus Pandemic

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Applying the Various Preventive Measures in Accordance with the Protocol Standard set by the Central Government

PALEMBANG – The current spreading of Coronaviruse Disease 2019 (Covid-19) has worsened. As of 5 April 2020, a number of 2273 positive infection case has been listed in Indonesia. Currently, there are at least 44 patients under surveillance that are undergoing treatment with 16 of them declared infected in South Sumatra. The government continues to warn its people to always be cautious with Covid-19 transmission by reducing group activities and maintaining cleanliness and health. In the attempt to hasten the handling of Covid-19, the government has also set up a large-scale social distancing measure.

PT Semen Baturaja (SMBR) is one of the State-Owned Business Enterprises operating on South Sumatra which has had taken several measures to prevent the spread of Covid-19 as per the protocol standard set by the Central Government, such as:

  1. Organizing socialization to educate about the transmission and prevention of Covid-19 to employees of SMBR that were being directly taught by the Boards of Direction and Management and the Management of Siloam Sriwijaya Hospital who collaborated with SMBR.
  2. Organizing another Covid-19 handling socialization to employees of SMBR and external party through various contents in social media, banner, poster, and flyer scattered around the work area of SMBR.
  3. Publishing the SOP of vigilance in treating Covid-19 infection for employees of SMBR and their family.
  4. Mandating the body temperature measuring and sterilization within the sterilization chamber for employees and guests entering the area inside the office and plant of SMBR.
  5. Providing necessities that help to maintain cleanliness and health in company’s environment such as hand sanitizer for every employee while also placing it in public area, distributing face mask, and forming Hotline Centre along with unit rooms for medical purpose in each site for employees who need treatment.
  6. Sterilization of work area by periodic disinfectant spraying.
  7. Applying the Work From Home (WFH) policy for employees whose age are over 50 years old and mothers with pregnancy. Those who are included in the WFH category are perceived to be more vulnerable to Covid-19 compared.
  8. Applying the Physical Distancing policy on all work activities by restricting activities that require the gathering of mass of people, such as ceremony, morning exercise, and meetings, to only include up to ten people at maximum.
  9. Optimizing the usage of Video Conference as a mean of communication and coordination meeting between site in order to minimize the need of work trip,
  10. Limiting the number of external party or guest visiting SMBR.
  11. The accepting and distributing of document or letter work will be required to be in the form of softcopy and sent through email.

SMBR is also part of and playing an active role within the Task Force of Covid-19 Handling both in the province of South Sumatra and the Ministry of State-Owned Business Enterprise. SMBR also supports the government in managing the spreading of Covid-19 to prevent it from proliferating any further.

As an example, SMBR together with the Regional Government of OKU have done disinfectant spraying on many public areas in OKU region starting from 26 March then. “Other than that, we are also currently have coordinated with the other State-Owned Business Enterprises in supplying the numerous necessities like protective equipment for medical workers, face masks and hand sanitizers for people who need it,” as stated.

The steps and policies that have been utilized by the company under the preventive measure of Covid-19 were done with the aim to ensure the well being of every employee, and protecting them from the risk of COvid-19 infection while also allow them to still work safely and comfortably. “We are predicting that there would be a 20% decrease in cement sale throughout Semester I-2020 due to Covid-19,” as noted.

It’s noticeable on February where the sales number of SMBR has been reconciliated by 14% in conjunction with the 12% reconciliation of the cement demand in South Sumatra. Even so, companies remain confident that there would be growth in sales during the entirety of 2020 through reinforcement in the growth of property and infrastructure sectors that has become the main sector of cement manufacturing.

In the attempt to alleviate the decrease of demand for cement that is being exacerbated by Covid-19 pandemic, SMBR has prepared several strategies to push for its productivity in 2020, such as: the diversification of underlying cement product, doing cost efficiency in several product lineups, and also by applying marketing strategies focusing on the sale of cement in SMBR-based markets.

SMBR is also hoping for a growth on cement demand within the retail sector in relation with the potential stimulus or incentive from housing provided by government, in following what had once been stated by the minister of Ministry of Public Works and Public Housing of Republic of Indonesia, Basuki Hadimuljono. In addition, it is also hoped that the first phase of village fund distribution on May could further push the sales number of SMBR cement.

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Cement Demand Declines, SMBR Revenue & Market Share Increased

PALEMBANG – PT Semen Baturaja (Persero) Tbk (SMBR) still continues to make positive performance at the beginning of 2019. It can be seen from the revenue performance up to February 2019 which reached Rp266.54 billion or grew 2% from the same period in the previous year. The President Director of SMBR, Jobi Triananda Hasjim stated that the largest portion of the increase in SMBR’s income was supported by the retail segment which had grown by 14% in February.

Jobi added, in February 2019 the demand in the SMBR marketing area dropped by 14.3%. But SMBR is still able to increase its market share by 2% in the marketing area of ​​SMBR. “Of course, the highest portion is 61% for the South Sumatra region as the main market,” continued Jobi.

Jobi also revealed that SMBR will continue to work on developing the market and the company’s performance earlier this year. “One of them is by boosting the retail sector which is projected to grow significantly as a domino effect with the completion of various infrastructure projects.” Close Jobi.

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Beginning of 2019, Semen Baturaja Implement SAP-Based ERP

Digitizing Business Processes Working together with PT Telkom Indonesia.

Baturaja – On the second day of 2019, PT Semen Baturaja (Persero) Tbk (SMBR) began implementing a leading Enterprise Resource Planning (ERP) system based on System Application and Product In Data Processing (SAP).

This was stated by the President Director of SMBR, Jobi Triananda Hasjim in Baturaja, Wednesday, January 2, 2019. Jobi said that the system used by the State-Owned Enterprises (BUMN) he led was also widely applied by leading companies in the world.

“So it’s not excessive if I say SMBR is ready to face the industrial revolution 4.0 and towards world-class companies,” he said.

Jobi said the SAP-based ERP implementation project at SMBR was called GADING Project, which stands for Great Achievement, Absolute Team Work & Respect, Do your Best, Integration All, Never Give Up, Go Success. SAP-based ERP is implemented in order to make data / information management becomes more integrated and organized.

For this reason, Jobi added that SMBR cooperated with PT Telkom Indonesia as one of the forms of Synergy between State-Owned Enterprises (BUMN) in implementing SAP-based ERP systems at SMBR.

“The kick off of the project itself was held on February 12, 2018, and this project became one of the projects on schedule because it was successfully completed in just 10 (ten) months” he said

According to Jobi, previously SMBR had also implemented an ERP system which was also quite widely used by large companies.

However, Jobi said that after doing more in-depth research, the BUMN he led needed an ERP system that was able to integrate increasingly complex corporate business processes.

“So it needs to be handled with the help of information technology (IT) that is more adequate, integrated and up-to-date,” he said.

Therefore, according to Jobi, the management of SMBR finally decided to find a new solution that could integrate business processes from upstream to downstream. Jobi asserted if management wanted to have an information system that could be used to support operational, tactical and even strategic aspects.

Jobi added that the system must also be able to create convenience, speed and comfort for the business chain in the company’s environment. Both suppliers, customers, work units within the SMBR environment, and other stakeholders.

“For this reason, SAP-based ERP is chosen which is considered capable of accommodating those needs,” he said.

Jobi assessed that SAP-based ERP is a world-class application system that has a “best practice” business process standard that can be adopted. So in the future, SMBR become a company that can compete in global business. Also, SAP based ERP according to Jobi has good governance.

“At the same time meeting the company’s compliance standards,” he said

Currently, several SAP modules that have been implemented include Finance, Controlling, Fund Management, Budget Planning & Consolidation (Planning), Sales & Distribution, Material Management, Production Planning & Quality Management, Plant Maintenance, Human Capital Management (Payroll). {}.

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The Beginning of 2019, Semen Baturaja Revenues Grow 6%

PALEMBANG – PT Semen Baturaja (Persero) Tbk in January 2019 recorded revenue of Rp.150.2 billion or grew by 6% compared to the same period last year of Rp.141.8 billion. although the company’s cement sales volume fell slightly by 1% from the previous year.

President Director of SMBR, Jobi Triananda Hasjim said that the correction of cement sales volume was due to slowing cement demand in early 2019. Based on data from the Indonesian Cement Association (ASI) in January 2019, national cement demand fell by 1.3% compared to the same period in 2018.

Similarly, cement demand in Sumatra also fell by 2.7% from the previous year. This is influenced by conditions of relatively high rainfall and the number of infrastructure development projects that have not started at the beginning of the year.

Meanwhile, regarding the investment plan of SMBR, at a meeting with the Sarolangun District Government which was held on Monday (25/02), the Regent of Sarolangun, Jambi, H Cek Endra issued a location permit for the construction of the Semen Baturaja Factory which was submitted directly to the Director of SMBR, Jobi Triananda Hasjim as regional government support for the acceleration of the red plate cement producer project.

Jobi added that with the issuance of the location construction permit the plant greatly helped the progress of the acceleration of the construction of the plant in Sarolangun District which was one of the strategic projects in Jambi Province.

The construction of the SMBR factory in Sarolangun will have a broad impact on improving the economy of the community, increasing regional income and coupled with an increase in employment and supporting cement requirements for government and private infrastructure projects.

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Sales Volume of SMBR Grows Double Digit

During 2018, SMBR recorded sales volume of 2,178,188 tons or grew by 24% compared to the same period last year of 1,762,137 tons. The Director of SMBR, Jobi Triananda Hasjim said that the growth of SMBR’s sales volume was far above the industry which only grew by around 5% this year. “SMBR’s sales volume growth this year is one of the highest in the industry,” said Jobi, (Monday 7/1).

In December 2018, cement sales volume of SMBR was recorded at 220,737 tons, up 22% compared to December last year, until the last 12 months the sales volume of SMBR was able to grow double digit.

Based on data from the Indonesian Cement Association (ASI), as of November 2018, SMBR’s market share has increased throughout the Company’s marketing areas and is still the leader in market share in South Sumatra and Lampung with 54% and 26% respectively. In other marketing areas, there is also an increase in market share, such as in Jambi which has reached 14%, Bengkulu at 8% and Bangka Belitung at 5%. “The growth in sales volume has exceeded demand growth in all of the Company’s marketing areas,” he explained

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