Transformation of SOE Ministry Annual Report 2020
MINISTRY OF STATE-OWNED ENTERPRISES
ANNUAL REPORT 2020
02
TRANSFORMATION
OF SOE MINISTRY
THE TRANSFORMATION OF SOE MINISTRY
證
$
SOEs are essential to the national economy. Together with
other entities, private firms, MSMEs, and cooperatives,
SOES embody economic democracy.
SOES are both value creators and agents of development,
the two roles that significantly affect the national
economic growth. Given their roles, SOES focus not only on
the bottom lines and on generating state revenues. SOES
are also the pioneers in various strategic development
projects and providers of essential public services for the
Indonesian people, as mandated by Law No. 19 of 2003
on SOES.
To start the transformation journey, the SOE Ministry has
developed an SOE roadmap and identified five priorities
in 2020. The activities to implement the transformation
include re-organization and recruitment of leaders from
among professionals hence the Ministry can guide SOES
as corporations instead of bureaucrats. Other activities
include creating clusters and holding companies to
optimize portfolio management and development, and to
eventually foster the world-class SOES.
The Dual Role of SOES in Indonesia's Development
Value Creator
Agent of Development
SOEs Indonesia as the Value Creator
Business
Growth
Business
Risks
Public
Interests
Pioneer Agent
of Industry
• Contribution of SOES to the
Indonesian Economics amounted
to Rp3,295 trillion during the last
10 years
• SOES Total Assets continued to
grow to reach Rp8,311.9 trillion
in 2020
• Expansion to Regional & Global
market
*Consist of taxes, Dividend, and other Non-Tax Revenue
Ensuring the SOES Business
Growth Strategies to remain
upholding to good risk
management
Ensuring the SOEs to become
the foremost in fostering the
prosperity of society, and ready
to become the pioneer agent
Long Term Sustainability
SOES Indonesia as the Agent of
Development
• One Price Fuels (Pertamina)
• Infrastructure of Electricity for
the Villages (PLN)
•Infrastructure Development
(Trans Java, Trans Sumatra)
To align those roles with the 2019-2024 vision of the
current administration led by Joko Widodo and Ma'ruf
Amin (sustainable infrastructure development, people
development, large-scale investments, bureaucracy
reform, and targeted state budget spending), the Ministry
of SOE believe that transformation across SOEs is a
necessary strategic policy to take in order to create SOES
that are accountable, professional, and competitive.
The transformation aims not only to optimize the
substantial business creation capacity of SOEs to
drive revenues, but more importantly to anticipate
the changing business landscape globally driven by
information technology and digitalization that have
become the game changers in industries.
Central to the fundamental transformation processes
in business and operations is people transformation.
All employees in the SOE Ministry and under the SOES
are united by the same spirit, "SOE for Indonesia", and
strong core values of "AKHLAK" (Trustworthy, Competent,
Harmonious, Loyal, Adaptive, and Collaboration). The
adoption of the slogan and values aim to ensure the
transformation can create a new culture in SOES, a culture
that upholds corporate accountability, professionalism,
performance, productivity, and national and international
competitiveness, as well as one that minimizes political
intervention.
RESILIENCE AMIDST UNCERTAINTY
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