Developing Nation Through Human Resource at PT. Krakatau Steel (Persero) Tbk.
by
Ilham Bashirudin
Steel
Steel is an alloy consist of mostly iron and has carbon with range 0.2% to 2.1% from its weight based of it grades. Carbon is material that generously used for iron, but there are many others alloy that used such as manganese, chromium, vanadium and tungsten1. According to Professor Joseph S. Spoerl in A Brief History of Iron and Steel Production, Steel has a carbon content ranging from 0.2 to 1.5 percent, enough carbon to make it harder than wrought iron, but not so much as to make it as brittle as cast iron. Its hardness combined with its flexibility and tensile strength make steel far more useful than either type of iron: it is more durable and holds a sharp edge better than the softer wrought iron, but it resists shock and tension better than the more brittle cast iron2.
Steel has a very broad and very influential advantages or uses (pick one) in people’s lives. Steel used in the field of construction until in daily life in the household. Iron and steel are used widely in the construction of roads, railways, other infrastructures, appliances, and buildings. Most large modern structures, such as stadiums and skyscrapers, bridges, and airports, are supported by a steel skeleton. Even those with a concrete structure will employ steel for reinforcing. In addition, it sees widespread use in major appliances and cars. Despite growth in usage of aluminium, it is still the main material for car bodies. Steel is used in a variety of other construction materials, such as bolts, nails, and screws. Other common applications include shipbuilding, pipeline transport, mining, offshore construction, aerospace, white goods (e.g. washing machines), heavy equipment such as bulldozers, office furniture, steel wool, tools, and armour in the form of personal vests or vehicle armour (better known as rolled homogeneous armour in this role) 3.
Steel Company in Indonesia
PT. Krakatau Steel (Persero) Tbk is Indonesian steel manufacturer pioneer, established in Cilegon, Banten region, 31 August 1970 as a result of Indonesian Government Regulation No. 35 in the year 1970 regarding is equity establishment, with many subsidiaries that support its energy, natural resources, and processing for advantage product, it’s become the largest integrated steel company in South East Asia with capacity 2,5 million tons per year.
PT. Krakatau Steel (Persero) Tbk becomes public company at 10 November 2010 with release 20% of its stock in stock exchange. it has a vision “An integrated steel company with competitive excellence for continuous growth towards a leading global enterprise” 4, the meaning of “a leading global enterprise” is included in Fortune 500, it is a list that released by Fortune magazine that ranks the top 500 U.S. closely held and public corporations as ranked by their gross revenue after adjustments made by Fortune to exclude the impact of excise taxes companies collect. The list includes publicly and privately-held companies for which revenues are publicly available5. With the change of the status (from private company become public company) and the vision that state “a global enterprise”, PT. Krakatau Steel (Persero) Tbk has consequences that it should compete with other enterprises in the world. To compete well with others, it has to optimize in every line, especially in production.
Human Resource Krakatau Steel Support in National Development
As we know, the key factors that lead to success in manufacturing company are Man, Material and Machine. The connection among these three factors is close and they cannot be separated each other. It is because production cannot be run without material, material cannot be processed without machine and machine cannot be operated without man that has competence to operate. The function to manage man in organization called human resource (HR).
Generally, management of human resource, consist of planning function (determination of what will done), organizing (design and assignment of work groups), personnel preparation (attraction, selection, development, compensation and performance appraisal), direction (motivation, leadership, integrity and conflict management), and supervising. Drs. Malayu S.P. Hasibuan expand it further into 11 points, planning, organizing, directing, controlling, attracting, developing, compensation, integration, maintenance, discipline and firing6.
Success in building qualified human resources in accordance with the key to the success of a production mentioned above (human factors), it can be seen from the success to perform the function of human resource management. From organizing, planning, attracting, developing and controling employee through integration, discipline, maintenance and dismission. All the functions must run in balance, because with all function run optimally, it will gain high productivity in organization and support the objective of profit organization to gainrevenue .
As public company, PT.Krakatau Steel (Persero) Tbk has responsibility to share their profit to their stake holder. Since, the majority of stock owned by government (80% of its stock), so it has to give its profit to the government. The profit that given to the government is used as development fund to achieve the objective of the nation and people’s welfare. As we mentioned above, that steel has a very broad and very influential uses in people’s lives, therefore, with the increasing production of PT. Krakatau Steel (Persero) Tbk through its human resource function, it will trigger enhancement of productivity. The result is the products which have competitive price and quality, and also gain bigger profit. With bigger profit, it can give more dividend as development fund to the government as a result the development in Indonesia can touch all aspect and people welfare can be reached.consequently , human resource in PT. Krakatau Steel (Persero) Tbk. has a vital role in the company, not only to increase the productivity but also in national development.
Source:
2. A Brief History of Iron and Steel Production by Professor Joseph S. Spoerl Saint Anselm College
6. Malayu S.P. Hasibuan, Manajemen Sumber Daya Manusia, PT Bumi Aksara, Jakarta, 2000, page 25
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