The role funding based non cash loan in the form of supply chain financing on elevated road project performance (case study join operation project PT.X)

Abstract

Indonesia infrastructure road development in recent years has experienced a very significant increase, but in its implementation the issue of land acquisition and limited funding are the main problem in realizing this development. Elevated Road Project is one of the way to minimize the effect land acquisition, and also Joint operation (JO) and applying Non Cash Loan (NCL) at the form Supply Chain Financing (SCF) in project can have good performance effect that can be see positif Project Cash Flow (PCF). Supply Chain Financing (SCF) is a financial instrument issued by financial institutions with various terms and conditions applicable to a supply chain that occurs between buyers and sellers, which aims to optimize the management of working capital and company liquidity. However, the selection of the SCF financing scheme also has a weakness where there is a cost of money that must be spent in the process. The purpose of this study was to determine the NCF SCF Cost Structure and evaluate the implementation of the use of SCF facilities on the elevated road project performance with a JO project case study at PT.X. Research methodology using survey and project cases study, while for the conducted to determine cost structure using statistical descriptive analysis. This study produce cost structure table which is majority for material, equipment, and sub contractor can be implemented using NCL SCF, also implementation procurement procedure using SCF until invoicing.