Multiple Managers, Competing Strategies and Business Unit Performance: A Case Study of PINDAD Company, Indonesia

Abstract

The existence of PT PINDAD (PERSERO) is very important in an effort to realize the independence of the industry, especially for the growth of high-tech industry that is strategic. However, the phenomenon that occurred since the monetary crisis to date that the business performance of PT PINDAD (PERSERO) tends to be unstable and the contribution of dividends to the state is still low. This is thought to still have weaknesses in the competitive strategy implemented and not fully utilize multi roles manager on business unit well. This paper presents a study of multiple managers, competing strategies and business unit performance at PINDAD Company, Indonesia. This work needs to be done as an effort to improve the performance and sustainability of PT PINDAD (PERSERO) business in the future. Explanatory survey research method has been used, where the subject of this research is middle manager and research object covering all the characteristics related to multi role manager, competitive strategy, and business unit performance at PT PINDAD (PERSERO). Hypothesis analysis and test using Regression and Correlation Analysis. The results revealed that multi-manager managers dominated by change agent strategies, competitive strategies dominated by cost leadership strategies have been well implemented, and business unit performance showed excellent performance. The performance of PT PINDAD (PERSERO) business unit is influenced by Multi roles managers (as strategic partners, administrative experts, superior employee drivers, agents of change) and competitive strategies (Cost Leadership, Differentiation, Focus and Speed). Multi roles managers have a higher impact than the implementation of competitive strategies on performance (financial, customers, internal business processes, learning and growth of the company) PT PINDAD (PERSERO) business unit.