THE CREDIT MARKETING SYSTEM OF HONDA MOTORBIKE

AT PT. FEDERAL INTERNATIONAL FINANCE BENGKULU

FINAL REPORT

BY

SEPTY FERAWATY
NPM A0B102068

UNIVERSITAS BENGKULU
FACULTY OF TEACHER TRAINING AND EDUCATION
ENGLISH DIPLOMA III PROGRAM
2007
THE CREDIT MARKETING SYSTEM OF HONDA MOTORBIKE
AT PT. FEDERAL INTERNATIONAL FINANCE BENGKULU

FINAL REPORT

Presented as a partial requirement for completing of

English Diploma III Program

BY

SEPTY FERAWATY
AOB102068

UNIVERSITAS BENGKULU
FACULTY OF TEACHER TRAINING AND EDUCATION
ENGLISH DIPLOMA III PROGRAM
2007
ii
 MOTTO AND DEDICATION

MOTTO:
™ Mereka menggunakan keterampilan & imajinasi yang konstruktif
untuk melihat seberapa banyak bukan seberapa kecil, yang dapat
mereka berikan untuk satu dolar, pasti akan sukses (Hendry Ford)
™ You will lose a success if you never remember it because successful in
your mind (Septy)
™ Have to optimist that no matter what happens (Septy)
™ English is unique (Septy)
™ Barang siapa pergi menuntut ilmu maka ia dihitung dalam sabilillah
hingga ia kembali ketempatnya
( Riwayat AL-Tarmizi).

This Final Report is dedicated to:

• My beloved mother; Hawaliah, S.Sos, thanks for all of love and
your pray
• My beloved father; Firdaus kopa (Alm) in paradise, I never forget
you
• My Beloved family; Abang AAN, Topan, Elva, thank support
and I loving you very much
• My other family; wodang Lesie and her husband, Ingah Juwita
and her husband, dang Azwan and his wife, dongah Indra,
Destri and ibu Johariah (my stepmother) thanks motivation,
and support
• My nephew and niece; Dila, Nisa, Riska, Aisyah, Fahri,
• All of members Digris and DTFC, specially to Astriani: always
have fun, peace and love
• My lovely son; Arya Adha Pratama; you are star of my heart
and my forever inspiration
• My husband; Yaimin, S.Pd thanks for material and morality, I
can’t give you anything. My love only for you,
• Mba’ Desi, Ayuk Gadis, Ayuk Mheri, Mba’ Ii, Ayuk Evlin,
Ayuk Yenni, thanks for your critics and ideas
• Brother Edward Ridwan, thank for your kindness
• All Lecturers of Digris and my Almamater.

v
 ACKNOWLEDGMENT

Assalamualaikum Wr. Wb.

Alhamdulillah thanks to Allah SWT for giving the writer mercy and blessing

to finish this final report, which was written to fulfill one of the requirements for “ahli

madya” degree in English language study program. The entitled is: “The Credit

Marketing System of Honda Motorbike at PT. Federal International Finance

Bengkulu “.

This paper was made and submitted to DIII English Study Program of

University Bengkulu as a partial requirement for DIII degree.

Many people who had been assisting the writer in completing this Final

Report. The writer therefore would like to deliver her greatest gratitude to the

following noble individuals:

1. Mr. Imranuddin D, M.A., as advicer who gives her motivation and advice.

2. Mr. Dedi Sofyan, M.Hum., as head of English DIII Program that have guide

and thanks for help.

3. All lecturers, who taught her in English DIII Program.

4. Bapak Andri Widiyanto, as Branch Manager and all staff PT. Federal

International Finance (FIF) Cabang Bengkulu. Thanks for input and

information.

5. Mrs. Hilda Puspita, M.A., as examiner who gives her comments, ideas,

suggestion and critics.

The writer realizes that this Final Report is still far from being perfect;
vi
therefore any suggestion and constructive critics are always welcome for a better

further improvement.
The writer hope this Final Report can be useful for all and next generation.

Wassalamualaikum Wr. Wb.

Bengkulu, October 2007

Writer

vii
 ABSTRACT

Ferawaty, Septy. 2007. The Credit Marketing System of Honda Motorbike at

PT. Federal International Finance Bengkulu

The aim of this paper was to find out the credit marketing system used by P.T.
Federal International Finance (FIF) Bengkulu. The data were collected by a series of
observations and interview at P.T. FIF Bengkulu. It was found out that P.T. FIF
Bengkulu applied leasing system. P.T. FIF Bengkulu provides accessibility to the
costumers who have the intention to purchase the product (in this case, the Honda
motorbike) but did not have sufficient fund for that purpose. Once the costumers have
a down payment to P.T. FIF Bengkulu, they can purchase the product under one
significant condition that they should be able to complete the payment based on the
agreed period of time.

viii
 ABSTRAK

Ferawaty, Septy. 2007. Sistem Pemasaran Kredit Sepeda Motor Honda pada
PT. Federal International Finance Bengkulu

Tujuan dari penulisan ini adalah untuk menemukan sistem pemasaran kredit yang
digunakan oleh PT. Federal Internasional Finance Bengkulu. Data laporan akhir ini
dikumpulkan dengan satu rangkaian pengamatan dan wawancara pada PT. Federal
Internasional Finance Bengkulu. Dapat disimpulkan bahwa PT. FIF Bengkulu
menerapkan sistem pembiayaan. P.T. FIF Bengkulu memberikan kemudahan kepada
para calon konsumen yang ingin memiliki produk yang mereka tawarkan (dalam hal
ini, sepeda motor Honda) tetapi tidak memiliki cukup dana. Para calon konsumen
tersebut hanya diharuskan membayar sejumlah uang muka kepada P.T. FIF dan
kemudian mereka bisa memiliki produk yang mereka inginkan. Akan tetapi, mereka
harus tetap melunasi sisa pembayaran secara kredit dalam jangka waktu yang telah
disepakati bersama antara mereka dan pihak P.T. FIF Bengkulu.

ix
 LIST OF CONTENTS

CHAPTER I INTRODUCTION
1.1. Background ................................................................................................. 1
1.2. The Formulation of Problem ....................................................................... 3
1.3. The Objectives of The Final Report ............................................................ 3
1.4. Significances of The Final Report .............................................................. 3

CHAPTER II LITERATURE REVIEW

2.1. Definitions of System .................................................................................. 4
2.2. Credit-Marketing System ............................................................................ 5
2.3. Procedures in Credit-Marketing System ..................................................... 7
2.4. The Principles of Credit –Surveying Activities .......................................... 9
2.5. Related Activities in Credit-Marketing System .......................................... 10
2.6. Networks Activities that Build the System ................................................. 11

CHAPTER III DISCUSSION

3.1. The Brief History of PT. FIF ....................................................................... 13
3.2. The Structure of Organization and Its Duties ............................................. 14
3.3. The Marketing Activities ............................................................................ 20
3.4. The Procedures that Create the Marketing System on PT. FIF ................... 21
3.5. Field Finding .............................................................................................. 23

CHAPTER IV CONCLUSION AND SUGGESTION

4.1. Conclusions ................................................................................................. 26
4.2. Suggestions ................................................................................................. 27

References
Appendices
x
LIST OF APPENDICES
1. Surat Pernyataan Kesediaan tempat magang
2. Surat Keterangan telah magang
3. Daftar Awards
4. Misi dan Visi FIF
5. Undangan khusus
6. Surat Peringatan Pertama
7. Surat Pemberitahuan
8. Lembar Aplikasi Kredit
LIST OF FIGURE
Figure 1. Struktur Organisasi PT. Federal Internationan Finance (FIF) Cabang
Bengkulu
 1

CHAPTER I

INTRODUCTION

1.1 Background

Marketing is the main core of every business, unexceptionally for leasing

companies which provide their customers with accessibilities in marketing

operations. A good company should always be well-equipped with a good

marketing system along with a good report system where all financial activities

that take place in the company can be well-documented.

Compared to the conditions of a few decades ago, most customers

nowadays prefer to purchase products through leasing companies. This is partly

because leasing company does not only offer accessibilities in term not only in

when they sell the products, but also offer maintenance services to the customers

who purchase their products. This is important in order to maintain their

customer’s loyalty to them.

There are a number of methods applicable to improve the total-quality-

performance of the company. Some of them are as follows: improving the quality

of service to the customers, improving the quality of the company human

resources, as well as improving all relevant infrastructures required in order to

improve the quality of the company in general.

1
 2

All the methods above are applicable in improving a company’s quality.

However, this final report would mainly deal with the marketing system for this is

the only main core of any company’s business. There are two main reasons for

this. First, marketing system is very important for it shows the regulation and

system where a customer can purchase a product from a company. It is from this

stage a customer can straightly decide to purchase the product or not, mainly after

considering the level of accessibility provided by the company through its

marketing system. The second is that every company has its own marketing

system. Therefore, it is not an uncommon fact to find that even two companies of

the same kind might have two different marketing strategies.

This final report dealt with what is the marketing system applied by PT

FIF Bengkulu and how the system is conducted. It is important to analyze this for

PT. FIF Bengkulu has long been regarded as one of the most notable leasing

companies not only in local-scale but also in nation-scale. Compared to other

similar companies which apply leasing system, PT. FIF focuses their products

marketing specifically on Honda motorbikes. It is from this specialization that PT

FIF can manage to improve their profit every year. However, this is not the only

main reason to explain why PT. FIF can do such achievement. It has been a well-

known fact that PT FIF also has an excellent marketing system that also plays a

very significant role to the development of PT FIF itself. It is based on these

underlying reasons that this final report dealt with the credit marketing system of

Honda Motorbike at PT FIF Bengkulu.

 3

1.2 The Formulation of Problem

This final report would try to answer the following problem:

“What is the credit marketing system applied by PT. FIF Bengkulu?”

1.3 The Objectives of the Final Report

This final report is aimed at describing the credit marketing system applied by

PT.FIF Bengkulu.

1.4 Significances of the Final Report

The findings of this final report may hopefully be useful as information

particularly for teachers and students as relevant reading materials to broaden,

as well as to enrich information about the marketing system applied by PT. FIF

Bengkulu. In a general scope it hoped that the outcome of this final report

would improve the knowledge of any individual who puts a great interest on

learning marketing system.

 4

CHAPTER II

LITERATURE REVIEW

2.1 Definitions of System

System and procedure are two inter-related elements that should become

one of the top priorities in any companies. It is because the company will never be

able to achieve its objectives without a good system along with a good procedure.

Therefore, it is necessary to discuss a little bit about system and procedure in this

sub-chapter.

Cole in Baridwan (1991:3) states that system is the guideline for inter-

connected procedures well-arranged into a good scheme as the guideline to

conduct any kinds of activities. He further states that procedure is the steps in

doing any activities. From this point, it can be inferred that procedure is a part of

a system. It is the real step where the system will be conducted.

Similar to Cole, Mulyadi (2001) adds that system is a network of

procedures made based on one particular pattern and conducted to achieve the

missions of the company itself. In line with this, Narko (1994) states that system

is a unit of interactions of certain elements arranged to obtain particular purposes.

From the two definitions above, it is clear that system can not be replaced

from procedure for they are two of the kind. System is basically the guideline

4
 5

while procedure is the method to execute and achieve the purpose of the

guideline.

2.2 Credit-Marketing System

Credit-marketing system is a system which arranges the customer to be

able to possess a merchandise without necessarily have to pay the price of the

merchandise all at once on a transaction. In credit-marketing system, the

customers only have to pay the down payment of the merchandise on the

transaction. This first payment will then be followed by a regular amount of

money that should be paid by the customers to complete the down payment. The

length of time of the regular payment depends on the deal between the customers

and the sellers. Normally this depends on the amount of the down payment, the

bigger the down payment the less the regular payment that should be paid by the

customers.

In credit-marketing system, the sellers would normally protect their

merchandises just in case the customers tempted to commit crime by not doing

their obligations to pay the regular payment. There are two methods commonly

practiced by the sellers nowadays. They can either ask their customers to provide

an assurance in any kind of form, or they can take their merchandise back

whenever their customers do not fulfill their obligation of paying regular payment

to them. There are, however, other methods as proposed by Dukat (1992), that the
 6

sellers could arrange a credit-payment contract which includes one or the whole

of the following terms:

1. Contract-Selling Under Terms:

On this kind of transaction, the right of the products still belongs to the sellers

until the whole regular payments have been completed by the customers. In

other word, the customers keep paying the regular payment until he can legally

own the products he has down paid.

2. Hypothec:

On this kind of transaction, the customers do not necessarily have to complete

the price of the products they would like to purchase all at once on the first

transaction. Instead, the customers are only asked to give the down payment,

which depends on the deal between the customers and the sellers. Furthermore,

the customers can temporarily purchase the products as soon as they have paid

the down payment. However, if by any chance the customers could not

complete the rest regular payment, the sellers would straightly take back the

products from the customers. In other word, the sellers give their products in

terms of hypothec, which means that the customers are allowed to purchase the

products as long as they manage to pay the down payment and the regular

payment to the sellers. In short, on this kind of transaction the customers

pawning the products they have not yet completely paid to the sellers.
 7

3. The Leasing System:

The leasing system is basically similar to the previous method. However, on this

kind of transaction, it is not necessary for the customers who want to purchase

certain products but cannot complete the price of the products all at once on the

first payment, to get the products straightly from the sellers. Instead, the

customers could purchase the products from the leasing company who has

already bought the products from the sellers. Under this system, the customers

only have to pay the down payment to the leasing company to be able to

purchase the products they want. Then, if the customers could not complete

their regular payment to the leasing company, the leasing company could take

away the products regardless the amount of money that the customers have

paid.

4. Buy-Renting Agreement:

On this kind of transaction, products can be bought through a renting procedure.

It means that the customers can rent a certain product for a particular period of

time. However, if the customers get interested to posses the product, they can

pay a certain amount of down payment as well as the regular payments for a

certain period of time.

2.3 Procedures in Credit-Marketing System

It is necessary to have a well-arranged procedure in providing a credit-

marketing system to the customers. This procedure can be oral, but it is important
 8

to prepare the written form just in case the transaction will go the legal matters.

According to Jusup (1987), there are four elements that should be taken into

account in determining a procedure for credit-marketing system:

1. The length of time

The length of time provided will influence the level or volume of the company’s

selling which, in the long run, will affect any kinds of cost related to the credit

itself.

2. The standard of the credit

This should also be taken onto consideration when a company would like to

arrange a procedure for the credit-marketing system. If the company set a high

standard, their products will be limited to strong-financed customers only. But

the risk of not having the profit is very small. On the other hand, if the company

set a lower standard, their products will reach both the strong-financed

customers and the weak-financed customers. But the risk of getting the loss is

very big. Therefore, the company should be very careful to set its standard of

the credit marketing system.

3. The quality of the procedure

A weak procedure will normally invite customers to do something unpredictable

that can cause loss to the company, such as not completing the regular

payments.
 9

4. The procedure of acquisition

The company should not only have a good credit system but also a good

procedure for acquisition to the customers who could no longer fulfill their

commitments to do the regular payments of the products they have bought.

2.4 The Principles of Credit-Surveying Activities

According to Ningsih (2003) there are five principles of the credit-surveying

activities that should be well-applied in order to prevent unnecessary factors that

can cause terrible loss to the company. The five principles are commonly called

the 5 C’s. They are:

1. Character

It is necessary to know in detail everything about the character of the future

customers. In this case, the company should know not only the financial

background of the customers but also their former track records.

2. Capacity

This is an evaluation of financial capacity of the customers that can be

applied to fulfill their obligation to the company.

3. Capital

This means the amount of customer’s fund available to obtain the products at

the time of the transaction.

 10

4. Collateral

This means the kind of objects provided by the customers as an assurance

object just in case they could no longer fulfill their obligations to the

company.

5. Conditions

This explains any kinds of legal conditions that should be added into the

contract that depends on the agreement between the company and the

customer.

2.5 Related Activities in Credit-Marketing System

According to Mulyadi (1993), there is not only one activity, which is the

selling activity, in credit-marketing system. There are a number of inter-related

activities that get connected in a good credit marketing system. They are:

1. The credit activities

These are the activities of surveying, evaluating and authorizing the license of

credit to a customer.

2. The selling activities

This is a series of activities of accepting application forms from the future

customers, selecting those application forms, providing the letter of delivery

order, as well as providing the back order letter that explains the customers that

the company could not fulfill their orders.

 11

3. The storage activities

This is a series of activities of keeping the products in the storage or barn so that

they will be ready whenever there is a transaction.

4. The delivery activities

This is a series of activities of delivering the products to the customers based on

the results of initial survey and evaluation.

5. The debt-collecting activities

This is a series activity of collecting the regular payment fund from the

customers who do not conduct their obligation at the scheduled time.

6. The administrative activities

This is a series of activities of documenting the whole transaction process. This

is very important just in case there are problems regarding to the customers who

may not do their obligations.

2.6 Networks Activities that Build the System

According to Mulyadi (1993), there are 7 networks activities that build the

system. They are:

1. Marketing Order Activities

This is the activity of taking marketing order from the customers as well as

giving other valuable information that still has relationship with the ordered

products to them.
 12

2. Credit Assessment Activities

This is the activity of requesting order clearance of the product that has been

ordered by the customers though credit payment procedure.

3. Delivery Activities

This is the activity of delivery the products to the customers based on the

information that has been offered to them either through mass media

advertisements or through direct selling marketing.

4. Debt Collecting Activities

This is the activity of collecting debt to the customers who cannot fulfill their

regular obligations, which is the regular payment of the products.

5. Claim Record Activities

This is the activity of recording claim to the administrative record so that

there will be a good management system that can be used even after the

transaction with the customers.

6. Marketing Distribution Activities

This is the activity of spreading the information about the products of the

company to the customers either through mass media advertisement or

through direct selling activities or though other innovative activities.

7. Marketing Base Price Recording Activities

This is the activity of recording periodically the total marketing base price of

the products that has been sold within a certain period of time.
 13

CHAPTER III

DISCUSSION

3.1 The Brief History of PT FIF

PT Federal International Finance was first found in Jakarta in May 1st

1989 under the legal name of PT. Mitrapusaka Artha Finance. In June 26th 1989,

PT Mitrapusaka Artha Finance was legalized by the public notary Rukmasanti

Hardjasatya. This was then preceded by the Minister of Law and Justice under the

certificate No. C2-6728.HT.01.01/27 Juli 1989 and then was announced in Berita

Negara Republik Indonesia (the State News of the Republic) No. 37/12

September 1989. In October 21st 1991, still based on the official document of the

same public notary, PT. Mitrapusaka Artha Finance was turned into a new legal

name of PT. Federal International Finance and was then authorized by the

Minister of Law and Justice under the certificate No. C2-6464.HT.01.04/1991.

In order to accommodate the demand of the customers in Bengkulu, PT.

Federal International Finance actually found its branch office in Bengkulu in

September 1997. On its first years, PT. FIF Bengkulu only had 12 staff. There is

one strong underlying reason to this small number of staff. It is because PT. FIF

Bengkulu was merely wanted to find whether or not the company could attract the

people in Bengkulu to be their loyal customers.

13
 14

In December 1998, PT. Federal International Finance added its staff from

12 into 145 as well as made new branch offices well-spread in almost every part

of the Bengkulu Province such as Manna, Curup, Muko-Muko and Lubuk

Linggau.

Today, FIF is Indonesia’s leading motorcycle financing company, with

215 retail outlets and 92 branch offices in 250 cities and towns nationwide,

covering every province from Aceh to Papua. Serving over two million

customers, FIF controls an impressive 67.4% of the Honda motorcycle credit

sales market, with an established business network comprising over 700

authorized Honda dealers.

3.2 The Structure of Organization and Its Duties

The structure of organization of PT. Federal International Finance is as

follows:

1. Branch Manager

The branch manager is responsible of doing the following tasks: conducting

policies as directed by the headquarter office, supervising and coordinating

the whole activities at the branch office, improving the market share of

Honda in his region.

2. Marketing Manager

The marketing manager is responsible for the following tasks: conducting

advertising of the company’s products to the people in his region,

 15

improving the number of marketing of the products in his region,

monitoring the sustainability of the price in his market share, designing all

kinds of advertising facilities, and keeping a good relationship with the

whole customers and dealers.

THE STRUCTURE OF ORGANIZATION OF PT. FIF BENGKULU

Branch Manager
ANDRI WIDIYANTO

Marketing Dept. GA HRD Dept. A/R Dept. Credit Dept. Dept. UMC Finance
Novi H. Heny Desi Erwin Endang P. Remedial Ady Y. Ais
Tulus R.

Office Boy Colector Teller

Idi & Ricki Executor Administration

Customer Service

Surveyor

Hard Copy

Figure 1.

3. Account Officer

An account officer is responsible for the following tasks: writing marketing

reports, analyzing significant features or conditions that may affect the rate

of selling, writing comprehensive reports about the potential competitors

which analyzes the whole points about the company’s competitors in his
 16

region, keeping a good relationship with the whole dealers, designing

marketing and advertising activities, such as road show, motorbike fair, etc.

4. Account Receivable Officer

The main duty of an account receivable officer is mainly to control and take

an action toward any kinds of account receivable of the customers and

checking any kinds of regular payment that has not yet been fulfilled. There

are three kinds of account receivable officer:

a. Administrative and Operative Account Receivable Office:

The tasks of an administrative and operative account receivable officer

are: 1) Controlling the results of the collector officer, 2) Preparing,

distributing, checking and filing the daily lists of the collectors, 3)

Distributing invoice forms to the collectors, 4) Giving feedback

information to the collectors, 5) Preparing and distributing the letter of

notification to the customers, 6) Taking care the whole administrative

activities of the customers.

b. Account Receivable Officer:

The task of an account receivable officer is to carry out the whole

activities as instructed by the administrative and operative account

receivable officer.

c. Collector:

The main duties of a collector are as follows: collecting regular

payment to the customers who do not fulfill their obligations,

 17

preparing report of the collecting activities to the administrative and

operative account receivable officer, and providing accurate

information about the collecting activities he has conducted.

5. Credit Manager

There are seven types of duties that should be carried out by the credit

manager.

a. Credit Operation:

Analyzing the credit application form proposed by the customers,

preparing credit application report, and authorizing the accepted credit

application form.

b. BPKB (The Certificate of Ownership of the Vehicle)

Preparing the whole required elements of the BPKB to be given to the

customers, preparing monthly report of the BPKB, monitoring the data

of BPKB to the dealers, and preparing and delivering the copy of BPKB

forms to the dealers.

c. Insurance:

Preparing the letter of acceptance of the insurance claim from the

customers, serving and conducting customers’ insurance claims.

d. Credit Officer:

Conducting the whole activities that have relationship with the credit

application from the customers.

 18

e. Customer Service:

Giving correct information about the company’s product to the

customers, asking the required documents from the customers so that the

transaction can be preceded, giving the list of credit application form to

the survey officer, be able to explain the regulation of the contract to

customers.

f. Survey Officer:

Preparing the required documents related to the credit selling system,

checking the validity of the documents, making the map of the area in

which the customers live.

g. Hard Copy Officer

Checking the whole required documents prepared by the customers,

arranging filing the documents, and having cross check between the

information on the documents and the lists of the hard copy.

6. Finance Officer

The main duty of the finance officer is to supervise and arrange all kinds of

activities that have relationship with the company’s fund. There are two

kinds of job’s specification on this term:

a. Finance Operation:

1) Controlling every cash flow of the company’s fund, 2) Recording,

analyzing and preparing report about every kind of activities that

 19

involves the company’s fund, 3) Preparing monthly and annually

financial report of the company.

b. Teller

1) Able to serve the customers very well, 2) Reporting the whole regular

payment by the customers, 3) Recording the cash flow of the company.

7. The Remedial Officer

There are two kinds of remedial officer’s main duty:

a. Remedial Offices, Operation and Administrative:

Preparing the list of the customers’ names who have not been fulfilled

their obligation of having regular payment, able to handle the customers’

complaint toward the service given by the company, preparing legal

actions in the name of the company to handle certain cases, keeping a

good relationship with related institution that has great relationship with

the remedial department, such as the military forces or the police

department.

b. Executor

Giving a visit to the customers who have not been conducted their

regular payment maximally within the 60 days of the deadline date,

executing the company’s product from the customers who have been

delayed in doing the regular payment, and keeping the products.

 20

3.3 The Marketing Activities

There are four inter-related activities conducted by PT. Federal International

Finance in its marketing system:

1. The Selling Activities

These activities involve the explanation and the assistance to fill in the

credit application form by the customers, explaining the terms and

conditions of credit contract, and determining the price of the product.

2. The Accounting Activities

These activities involve the activities of recording the whole business deals,

recording daily transactions, and preparing the regular reports either to be

sent to the headquarters or as an archive for the branch office.

3. Debt Collecting Activities

These activities involve the recording of all account receivable made by the

customers and the debt collecting. These activities also involve the

execution of the company’s product from the customers who could not

fulfill their regular payments.

4. Credit Activities

These activities involve every single activity that has relationship with

inputting the data from the customers’ application forms to the company’s

database.
 21

3.4 The Procedures of the Marketing System on PT. Federal International

Finance

There are five procedures applied by PT. FIF in its marketing system. They are:

1. The Selling Order Procedure

In this procedure, the marketing department, in this case the Customer

Service will provide information that related to the company’s product to

the customers and checking the whole required documents from the

customers. Later, the company will issue the Form of Order Acceptance,

which will be used as the ticket for the customers to go to the next stage to

the credit process.

2. The Credit Authorization Procedure

In this stage, there are two departments that will be greatly involved in:

the marketing department and the credit authorization department. The

marketing department will demand that the customers should fulfill all the

required terms and conditions so that the credit departments will not have

much trouble with the customers on the next stage.

3. The Debt Collecting Procedure

This procedure involves the activities of supervising the customers’

loyalty to fulfill their regular payment to the company. If the customers

could no longer fulfill their regular payments, the staff of this department

will straightly give the letter of notification 1, 2, and 3. The first letter of

notification is to the customers who have not able to fulfill their regular
 22

payment for three months. If within another two months after the first

letter of notification the customers still could not fulfill their regular

payments, the company will send the second letter of notification. And if

within one month after the second letter of notification the customers still

could not fulfill their regular payments, the company will send the third

letter as the last notification for the customers. The third letter of

notification will be the last notification for the customers. If the costumes

ignores it, they will be become the responsibility of the execution

department.

4. The Execution Procedure

The staff of the execution department will straightly do the execution to

the company’s products whose owners could no longer fulfill their regular

payments. The staffs of the execution department are usually helped by

the legal military institutions in order to prevent unexpected situations in

which the customers refuse to hand over the company’s property.

However, the customers are still given a chance to fulfill their regular

payment one week after the motorbike was taken by the executors. If they

still could not do this, the motorbike will be legally become the property

of the company. Those used-motorbikes will then be offered to the

secondhand-marketing department to be sold to other customers.

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5. The Re-Selling Procedure

The activities on this procedure are basically the same with the activities

that has already been explained on the selling order procedure, that the

staff of this department will give every detail of information about the

company’s product to the customers. However, in this procedure, it is very

important that the company must explain that the products are the

secondhand products to the customers. Another thing that should be done

before this is that the company must conduct a complete checking

procedure to the condition of the motorbike so that it will not dissatisfied

the customers in the future time.

3.5 Field Findings

There are two key points which will be the main discussion on the field

findings. The first is the marketing system applied by PT. FIF Bengkulu. From

the four marketing systems available, PT FIF did apply the leasing system, but

not, however, in a rigid manner. P.T. FIF applied the principle of flexibility and

humanity to almost every department it has. For example, after the third letter of

notification, P.T. FIF still give a one-month-deadline to the costumers who

could not fulfill their obligation to complete the payments of the products. It

shows that there are strong senses of flexibility applied on P.T. FIF.

As for the humanity, P.T. FIF mostly applied it on its surveyor and

execution department. The surveyor department applied the principle of

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humanity to the costumers who were initially seemed not to be able to complete

the regular payment of the products but showed strong motivation and could

guarantee that they could do the monthly-payment once they had the products.

This kind of costumers were commonly rejected by other leasing companies.

Nevertheless, once they were given trust they would normally, and usually, did

their best to complete the monthly-payment to P.T. FIF.

The execution department somehow had its own method in applying the

sense of humanity. Its staff still shows good manner and good attitude to the

costumers who had the third letter of notification. In other words, the execution

department always have diplomacy and good manner as their first priority when

it comes to deal even with the most stubborn clients. It is significant to mention

here that the two principles above brought intangible advantages to P.T. FIF

such as goodwill and costumers’ satisfaction, which function as the best-

advertisement for the company without any charge at all.

Another key point is about the five principles applied during the survey

activities. As it has already been described on the literature review, PT FIF

theoretically and practically has been successful applied the 5C’s principles

(character, capacity, capital, collateral, and conditions) in determining whether

or not an individual can be its costumer. Surprisingly enough, though P.T. FIF

strongly influences the principle of flexibility and humanity, it never put away

the principles of professionalism. As a result, P.T. FIF not only improved its

annual revenue but also managed to gain prestigious awards. This can be seen
 25

from the fact that not only a very few costumers who could not complete the

regular payment, but PT FIF has been categorized as one of the leading leasing

companies in Indonesia. During 2003 and 2005, PT FIF Indonesia achieved a

number of prestigious awards, such as: Indonesian Costumer Satisfaction

Award, The Best Multi Finance 2004, The Jardine Matheson Group Award, and

many other achievements.

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CHAPTER IV

CONCLUSION AND SUGGESTION

4.1. Conclusion

It can be concluded that P.T. FIF Bengkulu applied leasing system on its

marketing system. This system offered a great accessibility to anybody who has

intention to purchase the products offered by P.T. FIF but did not have

sufficient fund for the purpose. The clients only have to give a down-payment

to P.T. FIF in order to be able to purchase the products. However, the clients

have to be able to complete the rest of the payment within the agreed period of

time. If on any case, however, the clients could not be able to continue their

regular payment, P.T. FIF would give them three times letter of notification,

each of which will be given in a certain period of time. And if they still could

not complete their obligations, P.T. FIF would take away the products from the

clients. All of these procedures have initially been well-explained to the

costumers before they made the agreement with P.T. FIF.

4.2. Suggestions

Basically, PT. FIF Bengkulu as the leading motorcycle financing company

already has a well-designed credit-marketing system that become one of the key

factors to improve its annual benefit. However, the following suggestions are

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hopefully applicable to improve the quality of PT. FIF Bengkulu in the future

time. It is suggested that:

1. PT. Federal International Finance Bengkulu should improve the quality of

service either to the customers or to its staff, such as by having special

trainings aimed to improve the staff working performance.

2. It is also important for the company to provide better facilities to improve

its service to the customers.

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REFERENCES

Baridwan, Zaki. 1991. Sistem Akutansi Penyusun Prosedur dan Metode. Yogyakarta:
BPFE.
Dukat, Erwan. 1992. Akutansi Lanjutan. Yogyakarta: Karya baru.
Hadiwidjaja dan Wirasasmita, Rivai. 1991. Analisis Kredit. Bandung: Pionir Jaya.
Human Resourse Department. 2007. Sejarah singkat dan struktur organisasi PT.FIF
Cab. Bengkulu. Bengkulu: PT.Federal International Finance.
Jusup,Haryono. 1987. Dasar- Dasar Akutansi. Yogyakarta: Liberty.
Kotler, Philip. Armstrong. 1996. Dasar- dasar Pemasaran Jilid 1. Jakarta: PT. Ikrar
Mandiri Abadi
Mulyadi. 1993. Sistem Akutansi. Yogyakarta: STIE YKPN.
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Ningsih, 2003. Pengajuan Dan Pembayaran Pertanggungan Asuransi atas Kredit
Kendaraan Bermotor pada PT. FIF Bengkulu. Bengkulu: Unpublished.
Program Diploma III Bahasa Inggris, UNIB. 2007. Pedoman Penyusunan Laporan
Tugas Akhir. Bengkulu: Unpublished.
Swastha, Basu. 1984. Azas- azas Marketing Edisi Ketiga. Yogyakarta: Liberty
Winardi. 1986. Pengantar Ilmu Pemasaran (Marketing). Bandung: CV. Tarsito
Winardi. 1989. Aspek- Aspek Bauran Pemasaran (Marketing Mix). Bandung: CV.
Mondar Maju
Winardi. 1989. Pengantar Tentang Teori Sistem dan Analisis Sistem. Bandung: CV.
Mondar Maju.
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APPENDICES