UNAIR NEWS – Management Expert, Tanri Abeng, MBA gave a public lecture UNAIR on Friday, April 5. The public lecture raised the theme of BUMN State Economic Institutions, and Politics Economics Inclusive of People’s Owned Enterprises (BUMR).
On that occasion, Tanri Abeng conveyed his experience of becoming Minister of State Owned Enterprises (BUMN) during Kabinet Pembangunan VII dan Kabinet Reformasi Pembangunan. Tanri Abeng said Indonesian politicians have never issued a policy for the economy inclusively.
According to him, the current economic growth is not enough by only utilized the benefits of a demographic dividend. This can not be treated properly if there is no inclusive political policy.
“In new order era, soeharto focused on market economy. It was proven with investment in 1996, Indonesia became Asian tiger.” added Tanri Abeng.
He said an investment of 10 billion was opened to open a bank in 1998. This is quite risky because every new institution will require new directors. At that time, the country was not ready to tackle banking problems.
“The conglomerate group was too expansive at the time with every opportunity they entered. Thus, all conglomerates owned banks but they don’t pay attention to effective management approaches, “he said.
Furthermore, BUMN was reborn after cooperating with IMF on 15 January 1998. At that time, IMF gave a loan of 43 billion to overcome Indonesia’s economic crisis. With the existence of loans, Indonesia survived in the crisis era.
Moreover, he made BUMN out of the bureaucracy into a corporation to facilitate management and future economic development.
Thoughts on BUMN and BUMR
On the occasion, he gave several thoughts on the right economic policy for SOEs. There was a development trilogy for BUMN. The trilogy were equity, growth and stability.
One of the policies that saved BUMN on the loss of Garuda Indonesia in 1998 which reached 16 billion. He replace the CEO with a new one to save the company. This step was taken with management principles to build a stable economy.
Another strategy was restructuring before provitization and privatization. It was a way of management applied to defend BUMN from crisis era.
“The market psychology that I did for BUMN restructuring was by cooperating with 40 entrepreneurs in America,” he said.
In addition, he also initiated People’s Owned Enterprises (BUMR). UMKM Macro and Micro can collaborate to become a business entity and produce benefits. With BUMR, there will be employment opportunities that accommodate a lot of university graduates.
“For example, cocoa plantation in Indonesia should become BUMR development because the biggest cocoa production made in Indonesia, as well as, it belongs to the people that must be developed.” he explained.
In the end, he said that we dont need to worry in facing economic crisis. We just need to overcome with a good management. (*)
Author: Aditya Novrian
Editor: Binti Q. Masruroh