Entering The Top 10 World Trusted Companies: The 'On-Track' GIS Transformation Strategy

Photo 2 GIS Employees prepare a multifunctional bag cement that is ready to be sent on the Karangtalun train empilas, Cilacap Regency, Central Java. (Photo: Doc. SIG)

JAKARTA - Newsweek and Statista Magazine announced the World's Most Trustworthy Companies 2024 which contains the best 1,000 companies out of 23 industries in 20 major countries in the world. Surprisingly, 23 Indonesian companies are at the top 100, including PT Semen Indonesia (Persero) Tbk (SIG) which is included in the list of the top 10 for the Construction and Building Industry category.

Representing the only company from the building materials industry in Indonesia and even Southeast Asia, GIS is considered a company that gains the trust of consumers, investors, and employees, for producing quality products, providing fair remuneration to employees, and effective leadership.

The Most Trustworthy Companies 2024 list is the second to be released byikan, in collaboration with Statista, a data processing agency based in Germany. Quoted from its official website,74k stated that trust, which is an important part of business, is now declining in various industries due to concerns over data privacy, artificial intelligence (AI) use, and lack of marketing transparency in the midst of a fast-moving global economy.

The rankings made by74k and Statista are based on an independent survey involving more than 70,000 people and 230,000 evaluations of customers, investors and employees responding to questions such as "I believe in the company's advertising and communications claims" and "I believe this company treats employees fairly." The survey also includes "social listening", namely a big data analysis of conversations and public voices regarding the reputation and brand of companies on social media and mass media.

GIS Corporate Secretary, Vita Mahreyni revealed that the entry of GIS in the Most Trustworthy Companies 2024 Newsweek and Statista list is a very proud achievement and is an affirmation of GIS leadership in the competition of the building materials industry in Indonesia and the region.

"This achievement is proof that the transformation strategy implemented by GIS has been on-track. This success cannot be separated from the support of SOE Minister Erick Thohir and the Ministry of SOEs who always remind and encourage GIS to continue to innovate in order to provide added value for customers, employees, shareholders, and all stakeholders," said Vita Mahreyni, in a written statement, Thursday, September 26.

Vita Mahreyni added that this achievement would certainly be a motivational injection for all GIS Group employees to continue to work even better, especially in the midst of the challenges of the global economy and such intense industrial competition.

Not long ago, GIS also made another achievement at the International Quality & Productivity (IQPC) which took place in Manila, Philippines, Tuesday, September 11, 2024. GIS and its subsidiaries recorded the acquisition of 11 highest title Excellent and 1 title Outstanding each for 6 innovation teams from SIG, 3 innovation teams from PT Solusi Bangun Indonesia Tbk (SBI), 2 innovation teams from PT Semen Gresik, and 1 innovation team from PT Semen Padang.

Various innovations made by SIG in its production and business processes, helping the Company to continue to focus on driving green cement as a catalyst for sustainable performance growth. Vita Mahreyni said that green cement produced with environmentally friendly materials and processes is SIG's competitive advantage to maintain leadership in industry, as public awareness increases and government encouragement in the use of environmentally friendly building materials.

The lower green segment of GIS carbon is a differentiating factor from conventional cement. The advantage in this sustainability aspect makes GIS a game changer that changes the direction of the industry moving towards the green industry. This is important to create business opportunities that contribute positively to performance growth, in the midst of tight market competition conditions," said Vita Mahreyni.

As industry leader with the largest market share in Indonesia, GIS has seven strong cement brands and is the market leader in its respective regions, including Semen Gresik, Semen Padang, Semen Tonasa, Dynamix, Semen Andalas, Semen Baturaja, and Thang Long Cement. In addition to being certified by SNI for quality and containing more than 90% of the domestic components (TKDN), GIS products have also obtained Green Label certificates from the Green Product Council Indonesia.

Not long ago, SIG also presented a precise-interlock brick, a cement derivative product for environmentally friendly site occupancy. The precession-interlock strike GIS has been tested adequate for application in areas with a high level of seismicity (KDS D) in accordance with the 2D Modular Cyclic test standards of PUSKIM PUPR. The presence of a precise-interlock brick is expected to be a solution to support the Government in providing decent housing for people that can be built faster and more efficiently.

In addition to efforts to achieve increased operational excellence, until the first half of 2024, GIS was also able to maintain financial resilience by recording cash flow from positive operations, so as to reduce debt balance and maintain a healthy solvency ratio. This is considered a strong and superior ability to fulfill long-term financial commitments to debt securities, so that PT Pemeringkat Efek Indonesia (Pefindo) raises the GIS rating from positive idAA+ to stable idAAA.

"Healthy financial conditions are reflected in the increase in GIS to idAAA rankings with stable outlooks which are the highest rankings from Pefindo, as well as the entry of GIS in the I-Grade Index constituent list," said Vita Mahreyni.