MANAGEMENT SYSTEM

Semen Gresik Management System (SMSG)

In line with its strategy and business target to become a World Class Company in the midst of the dynamically changing business climate and an increasingly competitive industry, it is necessary for all lines of the Company to be agile in responding to and handling business opportunities in work to improve the Company’s competitiveness.

The changing business climate is influenced by various factors, including changes in policy by the ownership, the Company’s business orientation, competition conditions, and increasing demands by the stakeholders. Therefore, the Company requires an effective and efficient procedure to ensure:
• Satisfying the needs and hopes of stakeholders.
• Rapid response by the Company to the dynamically changing business strategies.
• Rapid strategic decision making.
• Ease of knowledge transfer.
• Creation of a High Assurance Organization.

In creating this effective and efficient governance, the Company has applied an integrated management system referring to the principles of good corporate governance, the Semen Indonesia Management System, which covers:
• Quality Management System (ISO 9001),
• Environmental Management System (ISO 14001),
• HSE Management System (SMK3-OHSAS 18001),
• Testing Laboratory Management System (ISO/IEC 17025),
• Risk Management System (ISO 31000), dan
• Other Management Systems, and
• Improvement programs through the application of Innovation Management

The application of the Semen Gresik Management System (SMSG) is expected to provide added value for shareholders in particular, and stakeholders and the public in general.

SMSG Management
The Semen Gresik Management System (SMSG) was built based on the Company’s business processes, integrated with the Quality Management System ISO 9001 in the expectation of building a comprehensive and flexible Management System able to respond to dynamic changes in strategy and company organization, while remaining orientated toward stakeholder expectations.

Through this management, the Company formed the P2M-SMSI (Improving and Refining Quality in SMSI) Team assigned the following duties and responsibilities:

  • Review, refine and improve the Management System with reference to Quality Management System ISO 9004;
  • Integrate existing systems, including Process Integration, Documentation and Implementation;
  • Refine and Improve the Automated Document System through document control software;
  • Evaluate the effectiveness of the Management System application and close out findings resulting from the Internal Audit and External Audit.

In the Semen Gresik Management System implementation, integrated audits are also conducted to
ensure application of the management system consistently and with consequence. To ensure continual improvements, the Company also determines policies for Innovation Management System (IMS) application consisting of Innovation, Quality Control Groups, the 5R Program (brief, clean, tidy, maintained, diligent), Suggestion System, and Total Productive Maintenance. The Total Productive Maintenance program has now been upgraded with the application of Reliability Centered Maintenance (RCM) and the Quality Control Project to achieve international-class operational management in accordance with the Company’s vision.

The role of the Semen Gresik Management System (SMSG) in the corporate transformation process to become a Holding Company has been:
• Adjusting the Management System certification.
• Adjusting the SMSG documentation system.
• Mapping and compiling all the Company’s business processes in the Holding Company and Operating
Company.
• Standardizing the Management System in Semen Indonesia.

Performance in the Semen Indonesia Management System (SMSG) in 2015 has resulted in the following:

  • Receiving awards “Indonesia Most Trusted Company” as Trusted Company Based Investors and Analysts’ Assessment Survey from SWA magazine. The awards are given to companies that have implemented good corporate governance (GCG) principles, transparency and risk management.
  • Receiving awards “Sustainability Report Award” for the openness and accountability of Semen Gresik in issuing sustainability reports
  • Receiving awards “Most Valuable Brand and IHCS 2015”
  • Second “Annual Report Award 2014” by the SOE Ministry
  • Best Corporate Transformasion Award 2015