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Planting operational excellence to build sustainable and resilient PTPN
Indonesia is a country in a period of fruitful growth, and the nation’s successful agricultural industry is the fertile heart of that journey. Agriculture, specifically plantation, accounts for almost a third of total employment across the country and contributed almost 7 percent of Indonesia’s GDP as of 2021.
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State-owned enterprises (SOE)s minister Erick Thohir visited state-owned sugar company named Industri Gula Glenmore (IGG), owned by state-owned plantation company PTPN XII in Banyuwangi, East Java, on Saturday, September 18 2021. He was accompanied by PTPN III president director Muhammad Abdul Ghani. (State-owned enterprises (SOEs) Ministry/Public relation teams)
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ndonesia is a country in a period of fruitful growth, and the nation’s successful agriculture industry is the fertile heart of that journey. Agriculture, specifically plantations, accounts for almost a third of total employment across the country and contributed almost 7 percent of Indonesia’s GDP as of 2021.
The industry’s roots stretch deep into rural communities, providing vital employment in a nation of around 275 million people, where four out of every 10 citizens live in rural areas. Empowering the economy in these rural areas plays a critical role in an equitable economic future and is a key benefit of the country’s diverse agriculture sector.
These fundamental industry dynamics mean agricultural firms like state-owned plantation company PT Perkebunan Nusantara (PTPN) are critical to the future of the nation. Not only is it a vital source of employment in rural, and often less affluent, communities, PTPN is also pivotal to feeding a growing population and energizing economic growth.
PTPN’s strong legacy of success provides a powerful platform, but the organization now faces a critical transformation as it sets out a vision to ensure a sustainable, profitable and low-carbon future.
“A company can only deliver positive results through the lens of shareholder growth by paying attention to that core commitment to essential value creation. Those organizations that focus only on results and ignore their purpose are likely to see their efforts fail,” said Mohammad Abdul Ghani, president director of state-owned plantation holding company PTPN III, in his recent discussion with Boston Consulting Group (BCG). A strong and stable operational backbone is a vital element of that journey.
Operational excellence at PTPN
