Industrial System Design

INDUSTRIAL SYSTEM DESIGN
ANDALAN AIR PURIFIER The Living Air Purifier

is new way of breathing naturally purified air. Improve
your indoor air quality and feel the difference.
Module : 4
Sub Module : A
Module 3 Lecturer: Maria Anityasari, S.T., M.E., Ph.D.

Module 3 Assistant : Ratri Wulandari
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MODULE 4
ORGANIZATION AND RESOURCE PLANNING
On the 4th module will explain about organization and resource planning on Andalan,
Inc. consist of organizational structure planning, job analysis, resource planning in a year and
compensation scheme planning to resource
4.1
Organizational Structure
This sub module will explain about the organizational structure in Andalan, Inc. The
organizational structure of a company is designed based on its Visions, Missions, and

Strategies. The organizational structure of Andalan, Inc. defines the structure of human
resources needed to run the company effectively with the available resource in order to
achieve the Visions and Missions of the company. The companys organizational structure is
designed based on the needs of the company in the first year where the company stands as a
newly built company that is still adapting in the market and will later on need reconciliation.
As the aims of most companies, the utilization of human resource inAndalan,Inc. relies on the
optimization of resources with spending the least resource possible in order to minimize the
cost.
4.1.1
Organizational Structure Planning According to Vision-Mission & Operational Need

Any operating organization should have its own structure in order to operate efficiently.
For an organization, the organizational structure is a hierarchy of people and its functions. The
organizational structure of an organization tells the character of an organization and the values
it believes in.
There are several steps to construct the organization structure as follow:
1. Identify the condition of business.
2. Make the ideal organizational structure that fit with the business characteristics for
several years ahead.
3. Determine the growth of organizational structure by choosing departments needed
in first year and so on, in ideal organizational structure.
4. Give reasons of organizational structure growth choosing.
In Modul 1 already mentioned about vision and mission of Andalan Company. Recall from
Modul 1, here is the vision and mission:
Vision:
To be an excellent domestic company in air purifier production in all of industrial level
Mission:
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1. We committed to help people increase the air quality especially in public area.
2. We committed to increase customers satisfaction by continue improve the product
quality based on customer needs.
3. We committed to become partner of government especially in Green Product.
4. We promise not to imitate the product competitor.
Based on EFE Matrix result, Andalan position is in cell 2: support a turnaround
oriented strategy, so the suitable strategy is WO strategy. WO strategies overcome weaknesses
to pursue opportunities. So company must match internal weaknesses with external
opportunities and list the resulting Weaknesses-Opportunities strategies. WO strategies also
called diversification strategy that attempt to minimize the weakness to maximize the
opportunities by utilize other strength that available. There are several strategies that can be
implemented inside the company based on WO Strategy such as:
a. Increase service level of the product by giving long warranty to catch the high
demand of market. This strategy is overcoming weakness of company that the
product didn't have customer loyalty yet by using opportunity the demand of green
product is increasing in the market.
b. Acquire market competitor by using green building campaign as momentum. This
strategy is overcoming weakness of company that didn't have subsidiary yet by
using opportunity that the green building campaign sounding more intensive now.
c. Giving special price for public facilities as branding media. This strategy is
overcoming weakness of company that bad in advertisement or branding by using
opportunity that the public facilities need more air purifier
d. Joint venture with another company to developing green technology. This strategy
is overcoming weakness of company that low cooperative with other company by
using opportunity that green technology is continuous developing.
e. Partnering with government to open new market. This strategy is overcoming
weakness of company that low number distributor especially in the area that far
from city by using opportunity that many institution that can be partnering with
company (e.g government)
f. Improve penetration the green air purifier market in Indonesia. This strategy is
overcoming weakness of company that doesn't have specific target market by
using opportunity that in Indonesia, green air purifier product is rare.
All the strategies can be chosen by Andalan, Inc. to stand up in Indonesian Market.
An organization structure is the manner in which subunits in organizations are interrelated and grouped An organizational structure specifies how subordinates report to their
superiors. This enhances coordination in the activities of the members of the group. There are
various organization structures which include line, functional, product and matrix
organizational structures. A major advantage of an effective organizational structure is that it

reduces conflict between employees regarding who is to carry out certain jobs in the
organization. It is very important to choose the most fit organization structure, so Andalan
Company can operate their business efficiently. There are also other advantages that will be
achieved by choosing the right organization structure as follows:
Facilitates Specialization
Organizational structure facilitates division of work since each boss has specialized
knowledge on his field of work. He has better and accurate knowledge to guide his
subordinates. The supervisor's task is to ensure that his department performs its best,
regardless of whether other units are performing as well. The supervisor should also
help his subordinates perform to their best in that area of specialization.

Control Over Resources
Organizational structures simplify control over resources because these resources can
be rationed and allotted to the various units. These resources should be used to their
most productive uses at that level. Since resources are very scarce, they should be
utilized effectively by eliminating unnecessary wastage. This can only be done if an
organizational structure is clearly defined and there is control of employees through an
effective organizational structure.

Easier Communication
Organizational structures clearly state who reports to whom. A subordinate cannot
report directly to the manager before communicating with his immediate supervisor.
This simplifies the work of executive employees so that they are not overwhelmed by
the activities of the firm. Flow of information is controlled so that employees do not
take advantage of insider information that may expose confidential information critical
for the firm's survival.

Better Employee Performance
Organizational structures clearly show various jobs to be performed by employees and
which supervisor will manage them. The supervisor trains them out of his own
experience or from the rules of the organization and helps they become better
performers. Supervisors punish and reward where necessary and this helps the
employees learn from their own experiences and also from their supervisors. In a way,
these supervisors are role models to their subordinates.
As mentioned before there are several types of organizational structure. According to the
Lamar University article titled Organizational Structure on its website, types of
organizational structure in management can include flat structures as well as functional,
product and geographical-structured organizations.
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1. Flat Organizational Structure

Many small companies use a flat organizational structure, where very few levels of
management separate executives from analysts, secretaries and lower-level employees.
Flat organizations work best when a company has less than 20 employees, especially
if the company employs one or two employees per department. One advantage of
using a flat organizational structure for management is that decisions can be made
relatively quickly. The flat organizational lacks the typical bureaucracy of taller
organizational structures--those with many levels of management.
2. Functional Organizational Structure
A functional organizational structure is centered on job functions, such as marketing,
research and development and finance. Small companies should use a functional
organization when they want to arrange their organizational structure by department.
For example, a small company may have a director, two managers and two analysts in
the marketing department. The director would likely report to the Chief Executive
Officer (CEO) and both managers would report to the director. In addition, each
manager may have an analyst reporting to them. A functional organizational structure
works well when small companies are heavily project-focused. Directors can assign
certain projects to managers, who can then divvy up tasks with their analysts. The
department can then more effectively meet their project deadlines.
3. Product Organizational Structure
A product organizational structure has managers reporting to the president or head of
the company by product type. Product organizational structures are primarily used by
retail companies that have stores in various cities. However, stores in each city may
still need a local human resources or marketing department to carry out functions
locally. For example, a small department store company may have a vice president of
sporting goods, housewares and general merchandise at the corporate office. One
manager may report to each vice president. However, each manager may oversee the
work of one or more field marketing employees who travel and handle local marketing
stores in several states. These field marketing employees may work for the sporting
goods manager one week in League City, Texas, then do merchandising for the
housewares manager another week in the Sugarland, Texas, market.
4. Geographical Organizational Structure
The Small Business Administration is responsible for defining small businesses in
different industries. For example, in manufacturing, the SBA usually considers a
company with 500 or fewer employees a small business. Point is, small businesses are
still large enough to use a geographical organizational structure. A geographical
organizational structure is when companies decentralize the functional areas. For
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example, unlike the product organizational structure, there may be a local marketing,
finance, accounting and research development person based in each region. For
example, a small consumer products food company may be large enough to place a
marketing research manager and analyst in each of six different regions. This can be
important because consumers in various areas have different tastes. Hence, a
geographical structure will enable the company to better serve the local market.
Andalan Company will use 3 organizational structure, they are for zero phase (0 year),
introduction phase and for maturity phase. In zero phase, the company doesnt produce their
product yet and Andalan Company will use mixed organizational structure between flat and
functional. There are several advantages that will be achieved by Andalan Company by
implement this structure during 0 year as follows:
Cost Savings
Since flat organizational structures feature fewer layers of management, flat organizations can
incur smaller expenses on salaries. It is very important to consider the expense that will spend
by Company since in zero year there will many cost occurred because of Company have to
build their plant, buy machines and equipment, etc.
Adaptability
Employees and work groups in flat organizations tend to be more adaptable in changing or
unique circumstances, due to their smaller hierarchies and lack of bureaucracy.
Collaboration
Employees and work groups in flat organizations tend to be more adaptable in changing or
unique circumstances, due to their smaller hierarchies and lack of bureaucracy.
Innovation and Creativity
Ideas come from a wider range of sources in a flat organizational structure than in companies
with many layers of management. By giving everyone in a company an equal voice in
submitting new ideas and feedback on operational processes, products, services, business
models and company policies, companies can discover new ideas that may lead to competitive
success.
Here is the organizational structure of Andalan Company in zero phase.
Figure 4.1 Organizational Structure of Andalan Company in 0 year
Flat organizational structures feature less layers of management. In flat organizational

structures, employees are empowered and expected to take responsibility for a range of
traditionally managerial decisions in their daily routines. Table 4.1 shows the job position and
job description of zero phase operation.
Table 4.1 Job Position and Job Description of Zero Phase Operation
Job Position
General
Manager
R&D
HRD
Marketing
Finance
Job Description
Oversees all aspects of operations within a company.
New product research, new product development, existing
product updates, quality checks, innovation.
Deals with the people in the organization, helping them
develop their skills and enhancing their sense of job
satisfaction
Maximise profits through the development of sales strategies
that match customer requirements.
Manages accounting, administration, business
records,transactions, bills, etc. , help a business become more
profitable.
For introduction phase, still the Company will implement flat and functional
organizational structures but by adding 2 departments, PPIC and Production department. Here
is the organizational structure of introduction phase:
Figure 4.2 Organizational Structure of Andalan Company in Introduction Phase
Table 4.2 shows the job position and job description in introduction phase.
Table 4.2 Job Position and Job Description of Introduction Phase Operation
Job Position
General
Manager
R&D
HRD
Marketing
Finance
PPIC
Production
Job Description
Oversees all aspects of operations within a company.
satisfaction
profitable.
Responsible in inventory planning, materials handling and
preparation of production schedule in accordance with sales
forecast or market demand.
Planning, coordination and control of manufacturing processes.
After the company gets the stable condition, then the organizational structure will be
changed mixed organizational structure of fuctional and geographical organization structure,
because based on the vision Andalan Company want to be an excellent domestic company in
air purifier production in all of industrial level, so Andalan will build Company branches not
only in Java Island but also in other potential regions in Indonesia to enlarge the market.
Thats why Andalan choose to implement geographical structure because consumers in
various areas have different tastes. Hence, a geographical structure will enable the company to
better serve the local market. Here is the organizational structure in maturity phase:
Figure 4.3 Organizational Structure of Andalan Company in Maturity Phase
Actually it is not only for Java but for every region there will be marketing, logistics, finance
and HR department. Table 4.3 shows job position and job description of maturity phase.
Table 4.3 Job Position and Job Description of Maturity Phase Operation
Job Position
President
R&D
HR & Legal
Marketing
Finance
PPIC
Production
Information
Technology
Vice President
Logistics
HR
4.2
Job Description
Focuses on the core functions of the organization to enable it
to achieve its long-term vision.
satisfaction.
Viewing, interpreting and deciphering legal documents.
profitable.
Responsible in inventory planning, materials handling and
preparation of production schedule in accordance with sales
forecast or market demand.
Planning, coordination and control of manufacturing
processes.
Maintains information technology strategies by managing
staff; researching and implementing technological strategic
solutions
Oversees all aspects of operations within the region.
Responsible for co-ordinating the storage, transportation and
delivery of goods.
satisfaction.
Job Analysis
In this sub chapter will discuss about job analysis which is must have done for internal
stakeholder in company. Hence the input of this sub chapter is the organization structure and
level of position that already made in previous chapter.
The job analysis section can fall into job description, job specification and job
qualification. Generally the output of this section is specification and detailed of the job
description form each level of description. Job analysis may be viewed as the hub of virtually
all human resource management activities necessary for the successful functioning of
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organizations (Gael, 1988a; Mirabile, 1990; Oswald, 2003; Siddique, 2004). In addition Job
analysis sits at the heart of all human resource practices, making it a critically important
management activity in every organization. Since At the heart of almost every human
resources management program or activity is the need for accurate and thorough job
information. Job analysis is thus a prerequisite activity for the effective management of
human resources. Attached the steps how to analyze the job analysis.
1. Type of Job identification
2. Job coverage identification
3. Duty and responsibility
4. Job specify determination
Before making the job analysis in each level of position , it will explain about scoring
each of those based on PDCA
Table 4.4 General Manager's PDCA phase 0
Activity
Plan
Do
Check
Action
Explanation
Identifying the vision and
mission of the company, and
decide the policies that will be
implement
Implement the pilot project in
small scale
Analyzing the impact of policies
Do the measurement regarding
the idea.
Total
Score
5
2
3
2
12
Table 4.5 R&D's PDCA Manager phase 0
Activity
Plan
Do
Explanation
Contribute idea by giving the
research topic
Do the experiment and
Implement the research policies
Score
3
4
Table 4.5 R&D's PDCA Manager phase 0 (cont)
Activity
Check
Explanation
Evaluate the research and give
the feedback about the research
align with the policies
Total
Score
2
Table 4.6 HRD's PDCA Manager phase 0
Activity
Plan
Explanation
Designing the organization
11
Score
5
Do
Action
structure for a year

Improve the human resource
skill
I Analyze the culture of the
company measure the indicator
related to work performance
Total
3
2
10
Table 4.7 Marketing's PDCA Manager phase 0
Activity
Plan
Do
Check
Explanation
Identifying the market segment
Design how the way for
promoting the product by soft
brand launching
Analyzing market behavior
Total
Score
3
4
2
9
Table 4.8 Finance's Manager phase 0
Activity
Plan
Check
Explanation
Estimate the initial investment
Ensure the cost estimation for
whole activities recorded
Total
Score
4
4
8
Table 4.9 General Manager's PDCA phase 1
Activity
Plan
Do
Check
Action
Explanation
Make policies regarding the
project, design the short term
strategy
medium scale and implement in
short term
in short term period
Do the measurement and
feedback regarding the project
idea
Total
Score
5
Explanation
Plan the supplier and material
determination, SOP of
purchasing
Agreement among the supplier,
Make schedule of purchasing,
Execute the purchasing,
Evaluate whether the SOP of
supply chain and warehouse are
Score
5
3
3
14
Table 4.10 PPICs PDCA phase 1
Activity
Plan
Do
Check
12
obeyed
Total
11
Table 4.11 Human Resourcess PDCA phase 1
Activity
Plan
Do
Check
Action
Explanation
Set the work of functional and
divisional among the department
Implement the Training to the
worker
Monitoring the framework
specification
Recruitment process
Total
Score
3
4
4
3
14
Table 4.12 Production's PDCA Manager phase 1
Activity
Plan
Do
Check
Act
Explanation
Set the production process
design the manufacturing system
and capacity planning
Production schedule, execute
production process
Ensure the process production
align with strategy
Standardized the operation time
output rate
Total
Score
4
4
2
2
12
Table 4.13 Contracting's PDCA Manager phase 1
Activity
Plan
Do
Check
Act
Explanation
Positioning and targeting the
another company
Agreement among the
corporation
Agreement target evaluation
Adapt the competitor behavior
Total
Score
3
5
2
1
11
Table 4.14 Finance's PDCA phase 1
Activity
Do
Check
Explanation
Record all the transaction
regarding the business process
Balancing and adjust the costing
Total
13
Score
4
4
8
Activity
Plan
Do
Check
Explanation
Identifying the market
segmenting, positioning and
targeting
Do the promotion in point of
strategic event by doing soft and
brand launching effectively and
efficiently
Analyzing market behavior
Total
Score
4
2
10
Table 4.16 President's PDCA phase 2
Activity
Plan
Do
Check
Action
Explanation
strategy in a central area
short term
idea
Total
Score
5
3
3
14
Table 4.17 Region Vise President's PDCA phase 2
Activity
Plan
Do
Check
Action
Explanation
strategy in each region
short term and represent to the
president
idea
Total
Score
5
3
3
14
Table 4.18 Human Resource Manager's PDCA phase 2
Activity
Do
Action
Explanation
worker
Do Recruitment process
14
Score
4
3
Total
Table 4.19 Finance's PDCA phase 2
Activity
Plan
Check
Explanation
Estimate the initial investment
Ensure the cost estimation for
whole activities recorded
Total
Score
4
4
8
Table 4.20 R&D's PDCA Manager phase 2
Activity
Plan
Do
Check
Explanation
Plan the schedule for research
Do the experiment, Implement
the research policies, and find
the project regarding the
research management.
Evaluate the research
Total
Score
3
4
4
11
Activity
Plan
Do
Check
Explanation
targeting in specific region.
Do the promotion in the best
way of each region.
Analyzing market behavior in
each region
Total
Score
4
Explanation
Planning the method to forecast
the demand in accurately.
Do the distribution, warehousing
and planning for the production
obeyed
Total
Score
5
4
2
10
Table 4.22 PPICs PDCA phase 1
Activity
Plan
Do
Check
4
2
11
Table 4.23 Production's PDCA Manager phase 2
Activity
Plan
Explanation
Set the enlargement for the production
process design the manufacturing system
and capacity planning
Score
4
Table 4.23 Production's PDCA Manager phase 2 (cont)
Activity
Explanation
Score
15
Do
Act
Enlarge the capacity of Production

schedule, execute production process.
Standardized the operation time output rate
Total
4
3
11
Table 4.24 Information Technology's PDCA Manager phase 2
Activity
Plan
Do
Act
Explanation
Identifying type of gadget that
might be implement in the
company to support the business
process.
Procure and selecting the gadget
for the company
Evaluate the gadget and other
related tools in supporting
business process
Total
Score
3
4
3
10
Table 4.25 Marketing's PDCA Regional phase 2
Activity
Plan
Do
Check
Explanation
targeting in specific region.
Do the promotion in the best
way of each region.
Analyzing market behavior in
each region
Total
Score
4
3
2
9
Table 4.26 PPICs PDCA Regional phase 2
Activity
Plan
Do
Check
Explanation
Planning the method to forecast
the demand in accurately in
specific region
Do the distribution, warehousing
and planning for the production
in scale of regional
obeyed
Total
Score
4
10
Table 4.27 Finance's PDCA Regional phase 2
Activity
Plan
Check
Explanation
Estimate the initial investment in specific
region of the company
Ensure the cost estimation for whole
activities recorded
16
Score
4
4
Table 4.27 Finance's PDCA Regional phase 2 (cont)
Activity
Explanation
Total
Score
8
Table 4.28 Human Resource Manager's PDCA Regional phase 2
Activity
Do
Action
Explanation
worker in scale of regional
Do Recruitment process in scale
of regional
Total
Score
4
3
7
Here show the detail job analysis each level of position in Andalan Air Purifier Inc.
Table 4.29 Job Analysis of General Manager Phase 0
Job Description
Position : Director/CEO
Group of function : Division : Departement : Brief explanation
1. The CEO is responsible for developing and effectively implementing the vision for the
company ensuring the appropriate program design and support mechanisms are in
place by bringing the green concept to business core.
Experience and Knowledge Requirement
1. Ideally educated to a graduate level or equivalent with a professional qualification
2. Ability to develop and communicate the vision of the organization at all levels
internally and externally
3. Experience of working at, and leading organizations at a senior level
Responsibility
1.
The CEO is responsible for ensuring that the Board of Directors has all the information
necessary to properly
Table 4.30 Job Analysis of General Manager Phase 1
Job Description
Position : Director/CEO
place by bringing the green concept to business core.
2. This position requires a high level of understanding and sensitivity of political, labour
relations and public policy issues relating to forest practices in Andalan Air Purifier
Inc.
3. The CEO has a wide range of responsibilities and accountabilities that contribute to
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the overall achievement of Andalan air Purifier Inc. sector marketing objectives.
Responsibility
1.
The CEO is responsible for developing and effectively implementing the vision for the
company ensuring the appropriate program design and support mechanisms are in place.
2.
The CEO is responsible for establishing and maintaining positive and productive
relationships with the media, industry and industry representatives to build the sustainable
manufacturing for the environment, recipients, government organizations and communities,
including national and international stakeholders.
3.
The CEO develops and maintains an effective and innovative organizational structure based
on achieving performance objectives that reflect the gree industry and market requirements.
Table 4.31 Job Analysis of President Phase 2
Job Description
Position : President
place.
2. This position requires a high level of understanding and sensitivity of political, labour
relations and public policy issues relating to forest practices in Andalan Air Purifier
Inc.
3. The CEO has a wide range of responsibilities and accountabilities that contribute to
the overall achievement of Andalan air Purifier Inc. sector marketing objectives and
contributing in green product manufacturing system.
Responsibility
1.
The CEO is responsible for developing and effectively implementing the vision for the
company ensuring the appropriate program green design and support mechanisms are in
place.
2.
The CEO is responsible for establishing and maintaining positive and productive
relationships with the media, sustainable industry and industry representatives, recipients,
government organizations and communities, including national and international
stakeholders.
3.
The CEO develops and maintains an effective and innovative organizational structure based
on achieving performance objectives that reflect the green industry and sustainable industry
required by the market.
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Table 4.32 Job Region Vise President Phase 2
Job Description
Position : Region Vise President
1. Responsible for total branch performance in accordance with company policy and
procedures. Create and execute the branch business plan. Ensure store profitability and
manage and develop branch personnel.
1. Ability to Train Business Owners according to Andalan Air Purifier standards
2. Good written and verbal communications
3. Ability to Analyze and think strategically
4. Attention to Detail
Responsibility
1. Responsible for overall performance of assigned group
2. Assist in monitoring overall customer satisfaction in region.
3. Assist in the developing of new operations procedures and policies.
4. Conduct and attend regional meetings for assigned regions.
Role
1. Plan, implement, and manages areas of responsibility to facilitate continuous improvement
and personal growth while supporting company goals, missions, and vision. Bring green
concept of marketing atmosphere
Table 4.33 Job Analysis of Marketing Manager Phase 0
Job Description
Position : Marketing Manager
Group of function : Division : Marketing
Departement : Sales and Marketing
Brief explanation
1. The Market Research Analyst is principally responsible for interpreting data,
formulating reports and making recommendations based upon the research findings
(sustainable product). To accomplish this task, the Market Research Analyst works with
the client (either internal or external) to understand the important of waste and green
production, define and document the overarching business object in less paper. The
Market Research Analyst applies qualitative and quantitative techniques to interpret the
data and produce substantiated recommendations. Market Research Analysts frequently
present the findings and recommendations to the client.
1. A minimum of 3 to 5 years within the custom Market Research industry
2. 1 to 3 years of industry/sector experience
3. Strong analytic and critical thinking skills
4. Exceptional written, oral, and presentation communication abilities
5. Expertise with Excel, PowerPoint, and SPSS/SAS
6. Bachelors or advanced degree in business, mathematics, or the sciences
19
Responsibility
1. Communicating with clients to understand and document the business objectives
2. Formulating analysis plans and acquiring client sign-off
3. Designing or assisting in the development of questionnaires and moderator guides
to ensure the necessary data is captured
4. Conducting in-depth data analyses using traditional and advanced methods
5. Authoring reports containing actionable recommendations
6. Making presentationsanswering questions and instilling confidence
Role
Direct marketing campaigns to monitoring competitor activity and developing marketing
Strategies.
Table 4.34 Job Analysis of Marketing Manager Phase 1
Job Description
Position : Supervisor General Trading
Group of function : Division : Marketing
Departement : General Trading
Brief explanation
1. The supervisor of general trading will be at the heart of driving all trading activity
across the company. In a key role at The Future Laboratory you will be expected to be
involved at all levels, from drafting email direct marketing campaigns to monitoring
competitor activity and of the green product in the market such as trend developing
marketing.
strategies.
1. 1 to 3 years of management business experience
2. Strong analytic and critical thinking skills
3. Proven knowledge and application of a wide range of marketing techniques and
concepts
4. Effective and efficient time management and organizational skills
Responsibility
1. Work with the Managing Director to create a PR strategy, and lead and deliver PR
objectives.
2. Direct and coordinate counter and outside sales (if applicable) efforts. Assist in account
development.
3. Direct sales program to develop new markets. Make joint calls with salesmen as needed.
4. Conducting in-depth data analyses using traditional and advanced methods
5. Authoring reports containing actionable recommendations
6. Create, implement and be accountable for the companys marketing strategy, working closely
with the Managing Director and the sales team.
Role
direct marketing campaigns to monitoring competitor activity and developing marketing
Strategies.
Table 4.35 Job Analysis of Human Resource Manager Phase 0
Job Description
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Position : HRD Manager

Group of function : Division : Human Resource
Departement : Human Resource
Brief explanation
1. Reporting to the Managing Director of the Company, under the guidance of the Head of
HR to provide Human Resources support at both strategic and operational levels to the
Devonshire Hotels & Restaurants through interpreting business needs, and together with
the Head of HR developing focused and pragmatic HR solutions which are aligned to the
business objectives.

1. At least 5 years experience of delivering pragmatic operational HR advice to managers
and staff in an organization comparable to Lifeline Project
2. At least 3 year experience of leading and managing staff and teams to deliver results.
3. Experience of developing and implementing HR policies, procedures & and
achievement of
Improved organization outcomes.
4. Educated to degree level or equivalent experience
5. Post-graduate qualification in human resources management
Responsibility
1. To audit present systems and processes
2. To work alongside the MD and senior managers to improve the quality and retention of
recruits and ensure that probationary periods are managed effectively.
Role
This role is a member of the companys Senior Management Team.
Table 4.36 Job Analysis of Human Resources Manager Phase 1
Job Description
Group of function : Division : Corporate Human Capital
Brief explanation
Coordinate the basic function as counselor for personal to each worker
Responsibility
1. To provide the Managing Director of the Hotels with professional HR advice and
guidance
2. To improve present systems and processes working with the Head of HR and the HR
team
Role
21
Table 4.37 Job Analysis of Human Resource Manager Phase 2
Job Description
Group of function : Division : Human Resource
Brief explanation
Reporting to the Managing Director of the Company, to provide Human Resources
support at both strategic and operational levels to the Andalan Air Purifier through
interpreting business needs, and together with the Head of HR developing focused and
pragmatic HR solutions which are aligned to the business objectives.
1. At least 5 years experience of delivering pragmatic operational HR advice to managers
and staff in an organization comparable to Lifeline Project
2. At least 3 year experience of leading and managing staff and teams to deliver results.
3. Experience of developing and implementing HR policies, procedures & and
achievement of
Improved organization outcomes.
Responsibility
1. To provide the Managing Director of the Company with professional HR advice and
guidance
2. To audit present systems and processes
3. To improve present systems and processes working with the Head of HR and the HR
team
4. To work alongside the MD and senior managers to improve the quality and retention of
recruits and ensure that probationary periods are managed effectively.
Table 4.38 Job Analysis of Finance Phase 0,1 and 2
Job Description
Position : Finance & Accounting Manager
Group of function : Division : Finance
Departement : Finance
Brief explanation
The Financial Accountant is responsible for managing a small accountancy team,
providing accounting and system support to the Finance team. Reports to the Financial
Operations Controller.
1. A minimum of 4 years' accounting experience
2. Qualified Accountant with a recognized accountancy body
3. Ability to investigate a problem or situation beyond routine questioning
Responsibility
1. Leads a team of Senior Finance Assistants and a Finance Assistant, managing
performance and developing skills.
2. Manages the accounting and systems support for the whole finance function, planning,
22
controlling and prioritizing activities.

Role
1. Reports to the Financial Operations Controller
Table 4.39 Job Description of Production Manager Phase 1
Job Description
Position : Head of Production
Group of function : production
Division : Production & QualityControl
Department : production
Brief explanation
1. Organizing the repair and routine maintenance of production equipment.
2. Supervising the work of junior staff.
3. Planning and organizing production schedules
1. Has qualified in education minimum bachelor of engineering/ degree.
2. Minimum 5 years work experience in that field.
3. Pass the interview process when recruitment.
Responsibility
1. Controlling : 3-5 hours / day
2. Inspect the product : 2 hours/day
3. Maintenance : 1 hour/day
Role
1. Give instruction to the labor for completing the job
2. Force the labor to be more productive
3. Give the feedback regarding the work performance
Table 4.40 Job Description of Production Manager Phase 2
Job Description
Position : Head of Production
Group of function : production
Division : Production & QualityControl
Department : production
Brief explanation
1. Organizing the repair and routine maintenance of production equipment.
2. Supervising the work of junior staff.
3. Planning and organizing production schedules
4. Determining quality control standards
5. overseeing production processes
Responsibility
2. Inspect the product : 2 hours/day
3. Maintenance : 1 hour/day
4. adjust the production and coordinate the production schedule with PPIC department
23
Role
1. Give instruction to the labor for completing the job
2. Force the labor to be more productive
3. Give the feedback regarding the work performance
Table 4.41 Job Description of PPIC phase 1
Job Description
Position : Manager
Group of function : Production and Planning
Division : PPIC
Department : PPIC
Brief explanation
1. Do the controlling in purchasing in order to get the raw material effectively and
efficiently in term of.
2. Control the identification of the product and the traceability of the product.
Responsibility
Role
1. Give instruction to the labor purchasing for completing the job
2. Scheduling the purchasing and warehousing
Table 4.42 Job Description of PPIC phase 2
Job Description
Position : Manager
Group of function : Production and Planning
Division : PPIC
Department : PPIC
Brief explanation
1. Do the controlling in purchasing in order to get the raw material effectively and
efficiently by respecting the chemical ingredients in raw material.
3. Plan and do the research that useful for better production process in green concept.
Responsibility
2. make the master plan for requirement production planning
Role
1. Give instruction to the labor purchasing for completing the job
2. Scheduling the purchasing and warehousing
24
Table 4.43 Job Description of Information Technology Manager phase 2
Job Description
Position : Manager
Group of function : Division : Department : Information Technology
Brief explanation
The job of Information Technology Support Specialist is done for the purpose/s of advising
staff regarding the procurement of District approved technology equipment, supplies and
materials; answering user inquiries regarding computer software or hardware operation
or other advanced technology regard the environmental issues; collaboration with
Information Technology administration and staff.
1. Has qualified in education minimum bachelor of information technology degree/
diploma.
Responsibility
1. installing computer hardware
2. repairing District approved computers,
3. Operation systems, application software, and related equipment; maintaining current
knowledge of technology and industry trends; preparing documentation.
4. Repairing District approved computers, peripherals, network equipment, application and
operating software requiring specialized computer and electronics troubleshooting skills; and
transporting various items.
Role
1. Advises staff regarding the procurement of District approved technology equipment,
supplies and materials for the purpose of maintaining District standards.
Table 4.44 Job Description of Research and Development phase 0
Job Description
Position : Manager
Group of function : Division : Department : R&D
Brief explanation
Responsible for developing, optimizing and improving green products concepts,

performances and technologies within our PU foam portfolio;
A profound knowledge of Chemistry and /or Chemical Engineering;

A Master's degree in a scientific discipline from an accredited college/university
and 5+ years of experience in research and development.
Responsibility
1. Give the report of the result from the research project.
2. Give the analysis of the conclusion regarding the experiment.
Role
1. give the detailed information about research
25
Job Description
Position : Manager
Brief explanation
Responsible for developing, optimizing and improving green products concept,

performances and technologies within our PU foam portfolio;
Executing necessary physical and chemical tests and analyses;
Working with project management structures;
Maintaining and building close contacts with customers, suppliers and markets in order
to translate trends and opportunities into product or technology development;
Close collaboration with sales, purchasing, operations and marketing.

Proven experience as a project manager with good supervisory and teamwork
skills in a fast paced and challenging environment;
Experience with project management tools.
Responsibility
Role
1. give the detailed information about research
Job Description
Position : Manager
Brief explanation
Responsible for developing, optimising and improving products, performances and

technologies within our PU foam portfolio;
Executing necessary physical and chemical tests and analyses;
Working with project management structures;
Maintaining and building close contacts with customers, suppliers and markets in
order to translate trends and opportunities into product or technology
development;
Close collaboration with sales, purchasing, operations and marketing.

26

Proven experience as a project manager with good supervisory and teamwork
skills in a fast paced and challenging environment;
Experience with project management tools.
Responsibility
3. Make the policies in best way in experiment to grab optimizing result.
Role
1. Give the detailed information about research
2. Give the alternative research project to the manager regarding the decision making in
information gathering.
Table 4.46 Job Description of Staff of R&D phase 0,1,2
Job Description
Position : staff
Group of function : Division : Research & Development
Department : R&D
Brief explanation
1. Continuing the plan of manager of R&D by Maintaining and building close contacts
with customers, suppliers and markets in order to translate trends and opportunities into
product or technology development. Close collaboration with sales, purchasing, operations
and marketing.
Responsibility
1. Execute the plan of the plan that already settled by manager
2. Be involved and contribute at team meetings
Table 4.47 Job Description of Staff of HRD phase 0, 1, 2
Job Description
Position : staff
Group of function : Division : Department : Human Resources Development
Brief explanation
1. Execute the reporting to the Managing Director of the Company, under the guidance of
the Head of HR to provide Human Resources support at both strategic and operational
levels to the Andalan Air Purifier through interpreting business needs, and together with
the Head of HR developing focused and pragmatic HR solutions which are aligned to the
business objectives.
27
Responsibility
1. Always adhere to all company policies and procedures of recruitment
2. Set the training based on the planning of from the HRD manager
3. Create, update, and maintain job descriptions
Table 4.48 Job Description of Staff of Marketing phase 0, 1, 2
Job Description
Position : staff
Brief explanation
1. To deliver the strategic plan from the marketing manager by friendly, efficient customer
service and to create a warm and welcoming atmosphere for all of our customers, with the
key aim of retaining of green aspect of the product and attracting new customers.
Responsibility
1. Deliver excellent customer service, at all times
2. Be involved and contribute at team meetings
3. Keep up to date with current promotions and new products
Table 4.49 Job Description of Staff of Finance phase 0,1,2
Job Description
Position : staff
Group of function : Division : Department : Finance
Brief explanation
1. The Finance manager Assistant is responsible for cash reconciliation for the Company
Responsibility
1. Prepare and file related monthly journal entries
2. Research outages and make journal entry corrections
Table 4.50 Job Description of Staff of PPIC phase 0,1,2
Job Description
Position : staff
Brief explanation
28
1. The purchasing staff is responsible for day to day operation of all aspect purchasing
within the company and the supplier
Responsibility
1. Assist with other functions or projects as determined by PPIC manager for
Purchasing and inventory control managing.
Table 4.51 Job Description of Staff of Production phase 0,1,2
Job Description
Position : staff
Group of function : Division : Department :Production
Brief explanation
1. Do the production controlling in order to get the process effectively and efficiently in
terms of green aspect.
2. Keep the administration of the stock finished good.
4. Do the preventive maintenance to the machines and do the monitoring.
Responsibility
1. Perform one or several functions on a production line such as assembly or fabrication of parts
and products, testing finished products, transporting materials and equipment to other areas or
cleaning production areas.
Table 4.52 Job Description of Staff of Information & Technology phase 0,1,2
Job Description
Position : staff
Brief explanation
1. The Network Technician is responsible for providing network hardware support to
company, manager, and staff.
Responsibility
1. Work with helpdesk personnel as needed in the troubleshooting and repair of network issues.
2. Maintain a current inventory of network hardware and other components as required
29
by the Company.3. Coordinate MACs (moves, adds, and changes) of company network
hardware/systems.
4.3
Determination of the Human Resources Needed

This sub module is compiled to make sure that the company has the appropriate
amount of employee and appropriate allocation of human resource, considering the foreseen
expansion and implementation of the company in order for Andalan, Inc. to run effective and
efficiently. The following is the approach used to determine the amount of human resources
needed in the company in a time frame of one year:
There are three phase for Andalan Inc. to determine number of human resources, such
as zero phases (initial phase), introduction phase, and maturity phase. At the zero phases,
Andalan Inc. will not produce product so thats why there is no direct worker.
Table 4.40 show human resources needed for andalan Inc. especially indirect worker.
Table 4.53 List indirect worker needed for zero phase
N
o
Department
Role
1 General Manager
Manager
2 R&D
Staff
Manager
3 HRD
Staff
4 Marketing
Manager
Staff
Manager
5 Finance
Staff
6 Security
7 Office Boy
Total
Number
1
1
1
1
1
1
1
1
1
2
2
13
There are 13 human resources needed by Andalan, Inc. in zero phase. This are consist of
GM, Department (RD, HR, Marketing, Finance) and additional such as security and OB.
At the introduction phase, determination of the human resource needed in Andalan Inc.
is divided into direct worker and indirect worker. Direct worker will be needed for the shop
floor and only focus in produce the product and indirect worker will focus in how well the
company run especially in managerial aspect.
Below is the direct worker needed for Andalan, Inc.
Table 4.54 List direct worker needed in each department for introduction phase
time
Department Name
Shift Work Unit
30
Number of Worker
1
2
3
4
5
6
7
8
9
10
11
Injection blow molding

Injection molding
Air cooling 1
Air cooling 2
Assembly fan
Assembly body with container and wheels
Assembly all component
Inspection 1
Inspection 2
Inspection 3
Packaging
2
2
2
2
2
2
2
2
2
2
2
6
4
2
6
6
6
8
4
4
2
4
52
3
2
1
3
3
3
4
2
2
1
2
Total Worker
Table 4.41 show us the number of direct worker that needed in Andalan Inc. Andalan
Inc. will need 52 worker to fulfil the demand in a year at introduction phase. After that,
Andalan, Inc. also determine the number of indirect worker based on previous subchapter
organizational structure planning. Below is the number of indirect worker of Andalan, Inc.
Table 4.55 List indirect worker needed in each department for introduction phase
N
o
1
General Manager
R&D
HRD
Marketing
Finance
PPIC
Production
11
12
Security
Office Boy
Department
Role
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Total
Numbe
r
1
1
2
1
2
1
2
1
2
1
2
1
2
2
3
24
Table 4.2 show us the number of indirect worker needed for Andalan, Inc. Andalan
Inc. need 24 worker to run their managerial process. Andalan add more department such as
production and PPIC because at introduction phase they start to make their product and sell it
to the market. So it necessary
31
At the maturity phase, determination of the human resource needed in Andalan Inc. are
divided into direct worker and indirect worker. Direct worker will be needed for the shop
floor and only focus in produce the product and indirect worker will focus in how well the
company runs especially in managerial aspect.
Below is the direct worker needed for Andalan, Inc.
Table 4.56 List direct worker needed in each department for maturity phase
Work
No.
Station Name
Role
Shift
Unit
1 Injection blow molding
Worker
3
3
2 Injection molding
Worker
3
2
3 Air cooling 1
Worker
3
1
4 Air cooling 2
Worker
3
3
5 Assembly fan
Worker
3
3
6
7
8
9
10
11
Assembly body with container and

wheels
Assembly all component
Inspection 1 and 2
Inspection 3
Inspection 4
Packaging
Worker
Worker
Worker
Worker
Worker
Worker
3
3
3
3
3
3
Number of
Worker
9
6
3
9
9
9
3
4
2
2
1
2
12
6
6
3
6
78
Total
Table 4.43 show us the number of direct worker that needed in Andalan Inc. Andalan
Inc. will need 78 worker to fulfill the demand in a year at maturity phase. This is happen
because Andalan must add one shift to fulfill the demand of that year. After that, Andalan, Inc.
also determines the number of indirect worker based on previous subchapter organizational
structure planning. Below is the number of indirect worker of Andalan, Inc.
Table 4.57 List indirect worker needed in each department for maturity phase
N
o
1
2
President
Assistant
R&D
HR & Legal
Marketing
Finance
PPIC
Production
Department
Role
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
32
Number
1
1
1
2
1
2
1
2
1
2
1
2
1
2
Information Technology
10
Java Region
11
Sumatra Region
12
Kalimantan Region
13
Sulawesi Region
14
Papua Region
15
16
Security
Office Boy
Manager
Staff
Vice President
Staff Marketing
Staff Logistics
Staff Finance
Staff HR
Vice President
Staff Marketing
Staff Logistics
Staff Finance
Staff HR
Vice President
Staff Marketing
Staff Logistics
Staff Finance
Staff HR
Vice President
Staff Marketing
Staff Logistics
Staff Finance
Staff HR
Vice President
Staff Marketing
Staff Logistics
Staff Finance
Staff HR
Total
1
2
1
2
2
2
2
1
2
2
2
2
1
2
2
2
2
1
2
2
2
2
1
2
2
2
2
7
9
84
Table 4.44 show us the number of indirect worker needed for Andalan, Inc. Andalan
Inc. need 8 worker to run their managerial process. Andalan add more department such as
information technology and expand their market by add new 5 regional office. Information
technology is needed by company because with 5 regional office, Andalan need fast and
reliable information transfer and this department will be do this role. Beside that each region
will have VP, marketing, logistic, finance and HR without production and PPIC because each
region just focus on marketing their product by bringing their product closer to the consumer.
The main office at Probolinggo will be main production center for the whole country.
After all human resources determination is done by Andalan Inc. Andalan will make
recapitulation of human resources needed in eleven years based on the previous data. Here is
the recapitulation of human resources
Table 4.581 Recapitulation of worker needed in ten years
33
N
o.
President (General
Manager)
Assistant
R&D
HR & Legal
Marketing
Finance
PPIC
Production
Information
Technology
1
0
20
15
20
16
20
17
20
18
20
19
20
20
20
21
20
22
20
23
20
24
20
25
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Manager
Staff
Vice
President
Staff
Marketing
Staff
Logistics
Staff
Finance
Staff HR
Vice
President
Staff
Marketing
Staff
Logistics
Staff
Finance
Staff HR
0
1
1
1
1
1
1
1
1
0
0
0
0
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
0
1
2
1
2
1
2
1
2
1
2
1
2
0
0
1
1
2
1
2
1
2
1
2
1
2
1
2
1
2
1
1
2
1
2
1
2
1
2
1
2
1
2
1
2
Department Name
Java Region
11 Sumatra Region
Role
Table 4.582 Recapitulation of worker needed in ten years (cont)

No.
12
Department
Name
Kalimantan
Region
Role
Vice
President
Staff
Marketin
g
Staff
Logistics
Staff
Finance
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
2025
34
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
Sulawesi
Region
Papua Region
Security
Office Boy
Injection
blow molding
Injection
molding
Air cooling 1
Air cooling 2
Assembly fan
Assembly
body with
container and
wheels
Assembly all
component
Inspection 1
and 2
Inspection 3
Inspection 4
Packaging
Staff HR
Vice
President
Staff
Marketin
g
Staff
Logistics
Staff
Finance
Staff HR
Vice
President
Staff
Marketin
g
Staff
Logistics
Staff
Finance
Staff HR
Worker
Worker
Worker
Worker
Worker
0
2
2
0
2
3
0
2
3
0
2
3
0
2
3
0
2
3
0
2
3
0
2
3
0
2
3
2
7
9
2
7
9
0
0
0
2
6
6
2
6
6
2
6
6
2
6
6
2
6
6
2
6
6
2
6
6
2
6
6
3
9
9
3
9
9
12
12
0
0
0
13
4
2
4
76
4
2
4
76
4
2
4
76
4
2
4
76
4
2
4
76
4
2
4
76
4
2
4
76
4
2
4
76
6
3
6
162
6
3
6
162
Worker
Worker
Worker
Worker
Worker
Worker
Total
Table 4.45 shows Andalan, Inc. human resources needed for eleven years. In the 2015,
company only needs 13 people as their worker. In the 2016-2023, company only needs 76
people. In the 2024-2025, company only needs 162 people. This is based on each phase that
occur at Andalan Inc.
35
4.4
Employee Compensation
This sub module discusses about the waging system for every job position in the
company. Employee compensation relates to every form of payment towards the employees
devotion to the company. The form of payment is divided into 2 ways which are Direct
Payment and Indirect Payment. Direct payment is payments in form of wage, incentives, and
bonuses. While the Indirect Payment is as financial support such as insurance and employee
facilities.
In order to determine the employee compensation, the company has to determine the
salary and the scale of salary payment for each job position. The salary payment scale is
represent in the table 4.52
4.59 salary for each job position
Monthly Payment
Scale
President
Rp
10.000.000,00
Vice President
Rp
7.500.000,00
General Manager
Rp
6.000.000,00
Assistant
Rp
6.000.000,00
Department Manager Rp
4.500.000,00
Staff
Rp
2.000.000,00
Worker
Rp
1.250.000,00
Security
Rp
1.250.000,00
Office boy
Rp
1.250.000,00
No Job position
1
2
3
4
5
6
7
8
9
The salary for each job position is differeces. The amount of salary is based on the
work load, the skill that need to do the job in that position, and other consideration from
Andalan Inc. The determination of salary is also from UMR policy in Problolinggo.
The salary in the table 4.52 can be add based on the UMR level in the next year. The
next step is determine the level of work. The level of work is represent in the table 4.53
Table 4.60 level of task
Level Nature of the task

Define and control the all element in
1
organization
2
3
Do specific job in functional area

Do operational activities
Responsibility level
Define strategic direction and decision
Guarantee the continuance of staf tasks and
evaluate the result of staf task
Do daily jobs which have been give to
them
36
Determining the level of activities or task is to know what is job position level that
have bigger impact to whole company. After know the main salary for each position in the
company, Andalan Inc has to calculate allowance, old age assurance, and K3 assurance to
define the cost to pay its employee. The calculation of total salary cost plus the insentives and
allowance is done in three phase. The first phase is zero phase which means the company
doesnt start the production yet. The company still prepare the plant, office etc. The second
phase is introduction phase. In this phase the company start to produce but in not large
quantity numbers. The third phase is maturity phase. In this phase the company start to
enlarge the market with build some branches in around Indonesia. The calculation of total
salary cost of employee in first phase is represent in the table 4.48
37
4.61 Total employee compensation in first phase
Definition
Position
Department
Number of
employee
Salary (Rp)
Rp 6.000.000,00
Payment
period
K3 Assurance
(Rp)
Old age
assurance (Rp)
Total salary and

allowance (Rp)
Monthly
Rp 104.400,00
Rp 120.000,00
Rp
6.224.400,00
General
Manager
General
Manager
Manager
Manager of
Research and
Development
Research and
Development
Rp 4.500.000,00
Monthly
Rp 78.300,00
Rp 90.000,00
Rp
4.668.300,00
Manager
Marketing
Manager
Marketing
Rp 4.500.000,00
Monthly
Rp 78.300,00
Rp 90.000,00
Rp
4.668.300,00
Finance
Rp 4.500.000,00
Monthly
Rp 78.300,00
Rp 90.000,00
Rp
4.668.300,00
HRD
Rp 4.500.000,00
Monthly
Rp 78.300,00
Rp 90.000,00
Rp
4.668.300,00
Research and
Development
Rp 2.000.000,00
Monthly
Rp 34.800,00
Rp 40.000,00
Rp
2.074.800,00
Manager
Manager
Staff
Finance
Manager
HRD
Manager
Research and
development
staf
Staff
HRD Staff
HRD
Rp 2.000.000,00
Monthly
Rp 34.800,00
Rp 40.000,00
Rp
2.074.800,00
Staff
Marketing
Staff
Marketing
Rp 2.000.000,00
Monthly
Rp 34.800,00
Rp 40.000,00
Rp
2.074.800,00
Staff
Staff
Staff
Finance Staff
Security
Office boy
Finance
1
2
2
Rp 2.000.000,00
Rp 1.250.000,00
Rp 1.250.000,00
Monthly
Monthly
Monthly
Rp 34.800,00
Rp 21.750,00
Rp 21.750,00
Rp 40.000,00
Rp 25.000,00
Rp 25.000,00
TOTAL
Rp 2.074.800,00
Rp 2.593.500,00
Rp 2.593.500,00
Rp 38.383.800,00
38
The calculation of total salary and allowance for each job position is:
(salary + (K3 assurance (%) *salary)+ (old age assurance (%) * salary))* employee number
For general manager:
(Rp 6.000.000 + (1,74%*Rp 6.000.000)+(2%*Rp 6.000.000))*1
(Rp 6.000.000+Rp 104.400+Rp 120.000)*1
Rp 6.224.400
The value of K3 assurance percentage is from BPJS rules. Based on PP No. 84 Tahun
2010, employee of Andalan Inc is categorize to group V which has K3 assurance percentage
1,74% from monthly salary (BPJS, 2014). For oldage assurance the amount of percentage is
2% from monthly salary. There is no direct labors in Andalan Inc in the first phase. The
indirect labors in Andalan Inc are general manager, manager of RnD, manager of marketing,
manager of finance, manager of HRD, staf of each department, security and office boy.
The calculation of total cost for employee salary in the second phase is represent in the
table 4.49 and table 4.50
39
Table. 4.62 the indirect labor compensation in second phase
Definitio
n
Position
Department
Number
of
employee
Rp
6.000.000,00
Salary (Rp)
K3
Assurance
(Rp)
Rp
Monthly
104.400,00
Payment
period
Old age
assurance
(Rp)
Rp
120.000,00
Rp
6.224.400,00
Total salary and

allowance (Rp)
General
Manager
General
Manager
Manager
Manager of
Research and
Development
Research and
Development
Rp
4.500.000,00
Monthly
Rp
78.300,00
Rp
90.000,00
Rp
4.668.300,00
Manager
Marketing
Manager
Marketing
Rp
4.500.000,00
Monthly
Rp
78.300,00
Rp
90.000,00
Rp
4.668.300,00
Manager
Finance
Manager
Finance
Manager
HRD
Manager
HRD
Manager
PPIC
Manager
PPIC
Manager
Production
Manager
Production
Rp
78.300,00
Rp
Monthly
78.300,00
Rp
Monthly
78.300,00
Rp
Monthly
78.300,00
Rp
90.000,00
Rp
90.000,00
Rp
90.000,00
Rp
90.000,00
Rp
4.668.300,00
Rp
4.668.300,00
Rp
4.668.300,00
Rp
4.668.300,00
Staff
Research and
development
staf
Research and
Development
Rp
34.800,00
Rp
40.000,00
Rp
4.149.600,00
Staff
HRD Staff
HRD
Staff
Marketing
Staff
Marketing
Rp
34.800,00
Rp
Monthly
34.800,00
Rp
40.000,00
Rp
40.000,00
Rp
4.149.600,00
Rp
4.149.600,00
Rp
4.500.000,00
Rp
4.500.000,00
Rp
4.500.000,00
Rp
4.500.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Monthly
Monthly
Monthly
40
Table. 4.62 the indirect labor compensation in second phase (cont)
Definitio
n
Position
Department
Number of
employee
Staff
Finance Staff
Finance
Staff
PPIC Staff
PPIC
Staff
Production
Staff
Production
Staff
Security
Staff
Office boy
Salary (Rp)
Rp
2.000.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Rp
1.250.000,00
Rp
1.250.000,00
Paymen
t period
Monthly
Monthly
Monthly
Monthly
Monthly
K3
Assurance
(Rp)
Rp
34.800,00
Rp
34.800,00
Rp
34.800,00
Rp
21.750,00
Rp
21.750,00
Old age
assurance
(Rp)
Rp
40.000,00
Rp
40.000,00
Rp
40.000,00
Rp
25.000,00
Rp
25.000,00
TOTAL
41
Total salary and

allowance (Rp)
Rp
4.149.600,00
Rp
4.149.600,00
Rp
4.149.600,00
Rp
2.593.500,00
Rp
3.890.250,00
Rp
65.615.550,00
Table 4.63 direct labor compensation in second phase
Definiti
on
Position
Department
Number of
employee
Salary (Rp)
Payment
period
K3
Assurance
(Rp)
Old age
assurance (Rp)
Total salary and

allowance (Rp)
Worker
Injection blow
molding
Worker
Injection
blow
molding
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
7.780.500,00
Worker
Injection
molding
Worker
Injection
molding
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
5.187.000,00
Worker
Air cooling
1Worker
Air cooling
1
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
2.593.500,00
Worker
Air cooling 2
Worker
Air cooling
2
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
7.780.500,00
Worker
Assembly fan
Worker
Assembly
fan
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
7.780.500,00
Worker
Assembly
b&wc Worker
Assembly
body with
container
and wheels
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
7.780.500,00
42
Table 4.56 direct labor compensation in second phase (cont)
Definiti
on
Position
Department
Number of
employee
Salary (Rp)
Payment
period
K3
Assurance
(Rp)
Old age
assurance (Rp)
Total salary and

allowance (Rp)
Worker
Assembly all
component
Worker
Assembly
all
component
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
10.374.000,00
Worker
Inspection 1 &
2 Worker
Inspection 1
and 2
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
5.187.000,00
Worker
Inspection 3
Worker
Inspection 3
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
5.187.000,00
Worker
Inspection 4
Worker
Inspection 4
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
Rp
2.593.500,00
Worker
Packaging
Worker
Packaging
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp 25.000,00
TOTAL
43
Rp
5.187.000,00
Rp
67.431.000,00
For injection worker:
(Rp 1.250.000+ (1,74%*Rp 1.250.000)+(2%*Rp 1.250.000))*6
(Rp 1.250.000+Rp 21.750+Rp 25.000)*6
Rp 7.780.500
2% from monthly salary. The direct labors in Andalan Inc in are injection blow molding
worker, injection molding worker, air cooling 1 worker, air cooling 2 worker, assembly fan
worker, assembly body and water container worker, assembly all component worker,
inspection 1 and 2 worker, inspection 3 worker, inspection 4 worker and packaging. The
indirect labors in Andalan Inc are general manager, manager of RnD, manager of marketing,
manager of finance, manager of HRD, manager of PPIC, manager of production, staf of each
department, security and office boy. The total employee compensation per month for Andalan
Inc in the second phase is Rp 133.046.550.
The calculation of total cost for employee salary in the third phase is represent in the
table 4.50 and table 4.51
44
Table 4.57 indirect labor for third phase
Definitio
n
Position
Department
Number
of
employee
President
President
Vice
President
Vice
President
Assistant
Assistant
Manager
Manager of
Research and
Development
Research and
Developmen
t
Manager
Marketing
Manager
Marketing
Manager
Finance
Manager
Finance
Manager
HRD
Manager
HR & Legal
Manager
PPIC
Manager
PPIC
Manager
Production
Manager
Production
Manager
Information
Technology
Staff
Staff
Information
Technology
Research and Research and
development Developmen
staf
t
HR & Legal
Staff
HR & Legal
K3
Assurance
(Rp)
Rp
Monthly
174.000,00
Rp
Monthly
130.500,00
Rp
Monthly
104.400,00
Old age
assurance
(Rp)
Rp
200.000,00
Rp
150.000,00
Rp
120.000,00
Rp
10.374.000,00
Rp
38.902.500,00
Rp
6.224.400,00
Rp
78.300,00
Rp
90.000,00
Rp
4.668.300,00
Rp
78.300,00
Rp
78.300,00
Rp
78.300,00
Rp
78.300,00
Rp
78.300,00
Rp
78.300,00
Rp
90.000,00
Rp
90.000,00
Rp
90.000,00
Rp
90.000,00
Rp
90.000,00
Rp
90.000,00
Rp
4.668.300,00
Rp
4.668.300,00
Rp
4.668.300,00
Rp
4.668.300,00
Rp
4.668.300,00
Rp
4.668.300,00
Paymen
t period
Salary (Rp)
Rp
10.000.000,00
Rp
7.500.000,00
Rp
6.000.000,00
Rp
4.500.000,00
Monthly
Rp
4.500.000,00
Rp
4.500.000,00
Rp
4.500.000,00
Rp
4.500.000,00
Rp
4.500.000,00
Rp
4.500.000,00
Monthly
Monthly
Monthly
Monthly
Monthly
Monthly
Total salary and

allowance (Rp)
Rp
2.000.000,00
Monthly
Rp
34.800,00
Rp
40.000,00
Rp
4.149.600,00
12
Rp
2.000.000,00
Monthly
Rp
34.800,00
Rp
40.000,00
Rp
24.897.600,00
45
Table 4.57 indirect labor for third phase (cont)
Definiti
on
Position
Department
Number of
employee
Staff
Marketing
Staff
Marketing
12
Staff
Finance Staff
Finance
12
Staff
PPIC Staff
PPIC
Staff
Production
Staff
Production
Staff
Information
Technology
Staff
Information
Technology
Staff
Logistics
Staff
Logistics
10
Staff
Security
Staff
Office boy
Salary (Rp)
Rp
2.000.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Rp
2.000.000,00
Rp
1.250.000,00
Rp
1.250.000,00
Payment
period
Monthly
Monthly
Monthly
Monthly
Monthly
Monthly
Monthly
Monthly
46
K3
Assurance
(Rp)
Rp
34.800,00
Rp
34.800,00
Rp
34.800,00
Rp
34.800,00
Old age
assurance
(Rp)
Rp
40.000,00
Rp
40.000,00
Rp
40.000,00
Rp
40.000,00
Rp
34.800,00
Rp
40.000,00
Rp
34.800,00
Rp
21.750,00
Rp
21.750,00
Rp
40.000,00
Rp
25.000,00
Rp
25.000,00
TOTAL
Total salary and

allowance (Rp)
Rp 24.897.600,00
Rp 24.897.600,00
Rp
4.149.600,00
Rp
4.149.600,00
Rp
4.149.600,00
Rp 20.748.000,00
Rp
9.077.250,00
Rp 11.670.750,00
Rp 220.966.200,00
Table 4.58 Direct labor for third phase
Definitio
n
Worker
Worker
Worker
Worker
Worker
Position
Injection
blow
molding
Worker
Injection
molding
Worker
Department
Number
of
employee
Payment
period
Salary (Rp)
K3
Assurance
(Rp)
Old age
assurance
(Rp)
Total salary and

allowance (Rp)
Injection
blow
molding
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp
25.000,00
Rp
11.670.750,00
Injection
molding
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp
25.000,00
Rp
7.780.500,00
Rp
21.750,00
Rp
Monthly
21.750,00
Rp
Monthly
21.750,00
Rp
25.000,00
Rp
25.000,00
Rp
25.000,00
Rp
3.890.250,00
Rp
11.670.750,00
Rp
11.670.750,00
Air cooling
1
Air cooling 2 Air cooling
Worker
2
Assembly
Assembly
fan Worker
fan
Air cooling
1Worker
Assembly
body with
container
and wheels
3
9
9
Worker
Assembly
b&wc
Worker
Worker
Assembly all
component
Worker
Worker
Inspection 1
& 2 Worker
Worker
Inspection 3
Worker
Inspection 3
Worker
Inspection 4
Worker
Inspection 4
Assembly
all
component
Inspection 1
and 2
Rp
1.250.000,00
Rp
1.250.000,00
Rp
1.250.000,00
Monthly
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp
25.000,00
Rp
11.670.750,00
12
Rp
1.250.000,00
Monthly
Rp
21.750,00
Rp
25.000,00
Rp
15.561.000,00
Rp
21.750,00
Rp
Monthly
21.750,00
Rp
Monthly
21.750,00
Rp
25.000,00
Rp
25.000,00
Rp
25.000,00
Rp
7.780.500,00
Rp
7.780.500,00
Rp
3.890.250,00
Rp
1.250.000,00
Rp
1.250.000,00
Rp
1.250.000,00
Monthly
47
Table 4.59 Direct labor for third phase (cont)
Definitio
n
Worker
Position
Packaging
Worker
Department
Packaging
Number
of
employee
6
Salary (Rp)
Rp
1.250.000,00
K3
Assurance
(Rp)
Rp
Monthly
21.750,00
Payment
period
48
Old age
assurance
(Rp)
Rp
25.000,00
TOTAL
Total salary and

allowance (Rp)
Rp
7.780.500,00
Rp 101.146.500,00
For injection worker:
(Rp 1.250.000+ (1,74%*Rp 1.250.000)+(2%*Rp 1.250.000))*9
(Rp 1.250.000+Rp 21.750+Rp 25.000)*9
Rp 11.670.750
2% from monthly salary. The direct labors in Andalan Inc in are injection blow molding
worker, injection molding worker, air cooling 1 worker, air cooling 2 worker, assembly fan
worker, assembly body and water container worker, assembly all component worker,
inspection 1 and 2 worker, inspection 3 worker, inspection 4 worker and packaging. The
indirect labors in Andalan Inc are president, vice president, assistant, manager of RnD,
manager of marketing, manager of finance, manager of HR and Legal, manager of PPIC,
manager of production, manager of Information Technology, staf of each department, security
and office boy. The total employee compensation per month for Andalan Inc in the third phase
is Rp 322.112.700.
4.5
Legal Aspect
Before starting registration procedures, aspiring entrepreneurs should seek professional
advice from small enterprise advisors, accountants or solicitors on what is the best type of
enterprise to establish, as this varies according to the legal framework and economic
structures prevailing at a given time in a particular country
4.5.1
Establishment
First step to start a business is determining the establishment of a business. It is used
to determine who the investors are and what roles and responsibilities of the people involved
in it. The establishment is divided into Perseroan Terbatas (PT) or Commanditaire
Venootschaap (CV) based on capital and business responsibility voters.
Commanditaire Venootschap is an alternative establishment that can be selected ny
entrepreneurs who want to do business activities with limited capital because CV is not
determined the minimum capital. It is different with PT that has requirement of minimum
capital about 50 million rupiahs and should be in the store to cash his company at least 25%.
49
The fundamental difference between PT and CV is, PT is legal body, which equated itself
with people and has a rich area with the founders wealth. So, PT Can act out both at home
and in justice as is the case with people and can have its own wealth. While CV, it is a
business entity that is not incorporated and the founders wealth inseparable from wealth CV.
The characteristic of CV that are not owned by other corporation is : CV established by at
least two people, one of which will act as active persero (persero manager) and i twill be the
title of president, while others will act as a Persero Comanditer (persero idle). An active
persero acts perform all actions on the company management. Thus, in the event of a loss then
Persero Active be liable in full to all private property to replace the loss claimed by a third
party. While for Persero Comanditer is responsible only big capital that is deposited into
partnership. Other differences are quite significant between PT and CV is in committing
capital deposit CV stand, in the charter is not mentioned the allocation like PT. So, persero
should make its own deal about it, or make a separate entry. All of that is because there is no
separation of wealth between CV and each persero.
Based on the statement above, so Andalan, Inc can establish as a CV because there is
minimum capital when it is constructed and the wealth cannot be separated from CV.
Andalan, Inc still in the introduction phase of a first company that focus on Air Purifier in
Indonesia.
4.5.2
Law and Business Licensing

There are several kind of business license given by government relates on the
business license
NPWP (Nomor Pokok Wajib Pajak)
Wajib Pajak (WP) is individual or entity include taxpayers, cutting taxes and the tax
collector who has the right and obligation of taxation based on the provisions of the tax
legislation.
Nomor Pokok Wajib Pajak (NPWP) is a number given to Wajib Pajak as a means in
taxation administration that is used to be personal identification or identity of Wajib Pajak in
doing the right and obligation of taxation.
NPWP is used to give a means in tax administration, personal identity or identity of
Wajib Pajak in doing the right and obligation of taxation, maintaining order in payment of
taxes and administration oversight
The benefit of NPWP is easy to handle the administration in filing credit bank,
making checking account at the bank, Filing Business License/TDP, Final Tax Payments
(Final Income Tax, VA and BPHTB, etc) and also following the auction in government
50
agencies, BUMN and BUMD. Besides that, it is easy to serve the tax return, reduction of tax
payments and deposit and report the taxes.
Creating the NPWP is too easy because the requirement is only filling the form
registration and show Kartu Tanda Penduduk (KTP) or passport. There is no cost (free) to
make the NPWP in Kantor Pelayanan Pajak.
SIUP (Surat Izin Usaha Perdagangan)

SIUP is a license letter given by minister or official appointed to employers to carry
out business activities in the field of trade and services. Trade business license (SIUP) is given
to the employer whether an individual, firm, CV, PT, cooperatives, or BUMN.
Liability of SIUP holders are reported to the head office of Trade and Industry
Department or the office of the Commerce Department publishing the SIUP if the company
does not do it again or close the companys trading activities accompanied with the purchase
of Business License. Every company that has trading business must have SIUP that consist of:
1. Small SIUP, must be owned by trading company with capital and netto until Rp 200.000,including the land and building.
2. Medium SIUP, must be owned by trading company with capital and netto above Rp
200.000,- until Rp 500.000,- not include land and building.
3. Large SIUP, must be owned by trading company with capital and netto above Rp
500.000,- not include the land and building.
SIUP is valid for trading company carrying on business activities. Trading companies referred
shall re-register every five years in the license issuance.
Copyright
Copyright is a legal concept, enacted by most governments that grants the creator of
an original work exclusive rights to its use and distribution, usually for a limited time with the
intention of enabling the creator of intellectual wealth to receive compensation for their work
and be able to financially support. Copyright is a form of intellectual property (as patents,
trademarks and trade secrets are), applicable to any expressible form of an idea or information
that is substantive and discrete.
SITU (Surat Ijin Tempat Usaha)
SITU is a letter to obtain a business license at a business location with a view to
avoid any disruption or harm to certain parties. This letter also has its legal basis based on
local regulation of domicile of the company concerned. The legal basis of SITU is in local
legislation of each local government. Legal sanctions are also vary in each region, but
sanctions are generally closed its operations or could not obtain other permits needed to
improve its operations.
51
REFERENCES
Anityasari, Maria dan Aranti, Naning. (2011). Analisa Kelayakan Usaha. Surabaya : Guna
Widya
CV. Afita Consultant (2014). Surat Ijin Tempat Usaha [Online] Available at:
www.afitaconsultant.weebly.com [Accessed 3 May 2014].
Direktorat Jendral Pajak (2012). Seri KUP-NPWP dan Manfaatnya. [Online] Available at:
www.pajak.go.id [Accessed 3 May 2014].
Layanan Perizinan (2014). Penerbitan Surat Izin Usaha Pedagangan. [Online] Available at:
www.jakarta.go.id [Accessed 3 May 2014].
CV. Afita Consultant (2014). Surat Ijin Tempat Usaha [Online] Available at:
www.afitaconsultant.weebly.com [Accessed 3 May 2014].
Suttle, Rick, 2014, Types of Organizational Structure in Management, [Online] Available at:
http://smallbusiness.chron.com/types-organizational-structure-management-2790.html,
accessed 1 May 2014
Wikipedia (2014). Copyright. [Online] Available at: www.wikipedia.org [Accessed 3 May
2014].
52

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INDUSTRIAL SYSTEM DESIGN

ANDALAN AIR PURIFIER The Living Air Purifier

Module 3 Lecturer: Maria Anityasari, S.T., M.E., Ph.D.

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organizational structure of a company is designed based on its Visions, Missions, and

Organizational Structure Planning According to Vision-Mission & Operational Need

organizational structures. A major advantage of an effective organizational structure is that it

help his subordinates perform to their best in that area of specialization.

effective organizational structure.

for the firm's survival.

1. Flat Organizational Structure

Innovation and Creativity

Figure 4.1 Organizational Structure of Andalan Company in 0 year

Flat organizational structures feature less layers of management. In flat organizational

Figure 4.2 Organizational Structure of Andalan Company in Introduction Phase

Figure 4.3 Organizational Structure of Andalan Company in Maturity Phase

Table 4.5 R&D's PDCA Manager phase 0

Table 4.5 R&D's PDCA Manager phase 0 (cont)

Table 4.6 HRD's PDCA Manager phase 0

structure for a year

Table 4.7 Marketing's PDCA Manager phase 0

Table 4.8 Finance's Manager phase 0

Table 4.9 General Manager's PDCA phase 1

Table 4.10 PPICs PDCA phase 1

Table 4.11 Human Resourcess PDCA phase 1

Table 4.12 Production's PDCA Manager phase 1

Table 4.13 Contracting's PDCA Manager phase 1

Table 4.14 Finance's PDCA phase 1

Table 4.15 Marketing's PDCA Manager phase 1

Table 4.16 President's PDCA phase 2

Table 4.17 Region Vise President's PDCA phase 2

Table 4.18 Human Resource Manager's PDCA phase 2

Table 4.19 Finance's PDCA phase 2

Table 4.20 R&D's PDCA Manager phase 2

Table 4.21 Marketing's PDCA Manager phase 2

Table 4.22 PPICs PDCA phase 1

Table 4.23 Production's PDCA Manager phase 2

Table 4.23 Production's PDCA Manager phase 2 (cont)

Enlarge the capacity of Production

Table 4.24 Information Technology's PDCA Manager phase 2

Table 4.25 Marketing's PDCA Regional phase 2

Table 4.26 PPICs PDCA Regional phase 2

Table 4.27 Finance's PDCA Regional phase 2

Table 4.27 Finance's PDCA Regional phase 2 (cont)

Table 4.28 Human Resource Manager's PDCA Regional phase 2

Table 4.32 Job Region Vise President Phase 2

Position : HRD Manager

Experience and Knowledge Requirement

Table 4.37 Job Analysis of Human Resource Manager Phase 2

controlling and prioritizing activities.

Table 4.43 Job Description of Information Technology Manager phase 2

Table 4.44 Job Description of Research and Development phase 0

Responsible for developing, optimizing and improving green products concepts,

A profound knowledge of Chemistry and /or Chemical Engineering;

Table 4.45 Job Description of Research and Development phase 1

Responsible for developing, optimizing and improving green products concept,

A profound knowledge of Chemistry and /or Chemical Engineering;

Table 4.45 Job Description of Research and Development phase 2

Responsible for developing, optimising and improving products, performances and

A profound knowledge of Chemistry and /or Chemical Engineering;

and 5+ years of experience in research and development.

Table 4.46 Job Description of Staff of R&D phase 0,1,2

Table 4.48 Job Description of Staff of Marketing phase 0, 1, 2

Determination of the Human Resources Needed