Transformation of SOE Ministry Annual Report 2020 slide image

Transformation of SOE Ministry Annual Report 2020

7374 STW 10 123 20 MINISTRY OF STATE-OWNED ENTERPRISES ANNUAL REPORT 2020 SOE ROADMAP & TRANSFORMATION Business Model Technology Leadership Economic and Social Values for Talent Development G Boosting Investments The COVID-19 pandemic has impacted 89% of SOEs, which requires the Ministry of SOE to make adjustments on roadmap and projections for the 2020-2024 period to accommodate structural changes due to the shifts in priorities and business models impacted by the pandemic. SOEs are facing a difficult situation due to the COVID-19 pandemic. To respond, SOES and the Ministry of SOE have adjusted the roadmap and projections for 2020-2024 to accommodate structural changes due to the shifts in priorities and business models affected by the pandemic. Reprioritization of the roadmap addresses: 4. Stress-testing financial and cash flow as well as restructuring SOEs affected by the COVID-19 to maintain the viability of strategic SOES 5. 6. 1. Protection of human resource by facilitating transition to a new-normal work model 2. Stabilizing supply-chain by reviewing supply-chain strategies of vital industries such as pharmaceuticals, healthcare, food, and logistics Integrating COVID-19 response center by establishing the COVID-19 Task Force to accelerate assistance delivery Maintaining customer engagement and accelerating the launch and expansion of digital channels to retain communication and customer engagement Realizing new opportunities by using the crisis to deepen and improve relationships with customers, suppliers and other stakeholders which will increase competitiveness post-pandemic The adjustment of SOE roadmap is divided into three main stages which are matched with the estimated flow of pandemic response as shown in the graph below. Each strategic initiative is outlined in 5 (five) SOE priorities. NC 3. The SOE Roadmap 2020-2024 has three main stages to maintain the continuity of SOES portfolio in creating long-term added value Innovation & Transformation 03 SOE ROADMAP & TRANSFORMATION Survival & Viability Up to Q2-2021 A1 Protecting strategic SOEs and SOES affected by COVID-19 A2 Forming Clustering based on supply-chain linkages and industry similarities to enhance synergies A3 Improving SOES' GCG foundation along with operational restructuring to achieve operational excellence Restructuring & Realignment Up to Q2-2022 B1 Improving portfolio by restructuring the corporation that aims to carry out consolidation and simplification B2 Preparing the foundation for innovating new business model Up to 2024 C1 Creating opportunities for private sector participation and refocusing the specialization of SOEs with commercial and social objectives RESILIENCE AMIDST UNCERTAINTY 35
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