Manufacturing for the People

Bengawan Karya Sakti

1. No Poverty 4. Quality Education 8. Decent Work and Economic Growth 9. Industry, Innovation and Infrastructure 10. Reduced Inequalities

Overview

Bengawan Karya Sakti is a manufacturing company that specializes in lifting services and production of heavy trucks. Although they are in the manufacturing industry, their main focus is on their workers and creating positive impacts on society and the environment, helping to contribute to some of the Sustainable Development Goals such as No Poverty, Zero Hunger, Good Health and Well-Being, and many more.



Author

Elizabeth Marahusin Putri

Elizabeth Marahusin Putri

School

Monash University

Monash University

Professor

Gitanjali Bedi

Gitanjali Bedi

Innovation

There are two main important aspects for Bengawan Karya Sakti. First of all, since their business focuses on manufacturing trucks, which are very important for infrastructure development in Indonesia, Bengawan Karya Sakti has contributed towards the UN Sustainable Development Goals of Decent Work and Economic Growth and Industry, Innovation, and Infrastructure.

“The key of success is honesty. We always have to be honest towards our employees and customers, and we should always give them the rights they deserve, which are a safe and secure working environment and wage based on the country’s standard for the employees and a perfect product for the customers.”

As Mrs. Rinawati stated, Bengawan Karya Sakti always makes sure that the workers are in a safe and secure working environment and get the rights they deserve. They also provide decent work for both men and women, as they always welcome workers regardless of their age or gender. Although not many, they also hire workers who have disabilities. This also contributes towards the UN Sustainable Development Goals of Gender Equality and Reduce Inequalities.

“If their disabilities don’t affect the work that they do, there are no reasons why we should not accept them as our employee.”

The second important aspect is that Bengawan Karya Sakti is a company that very much focuses on its workers and society. Besides getting a living wage, all of Bengawan Karya Sakti’s employees also are part of the employees' social security system, which applies to the whole family, not only the employee that works for the company. Moreover, Mr. Bengawan and Mrs. Rinawati also realize the importance of education. They provide training and coaching for every new employee, a scholarship for 10 children of employees each year, and also a company visit for engineering students from various universities. As Mrs. Rinawati is very passionate about social activities, she always organizes an event 2-3 times a year where they invite orphans to celebrate Ramadan or Christmas events together. Bengawan Karya Sakti also supports the UN Sustainable Development Goals of No Poverty, Zero Hunger, Good Health and Well-Being, and Quality Education.

Manufacturing for the People

Me with the CEO of Bengawan Karya Sakti, Mrs. Rinawati

Inspiration

“We are not only living alone in this world; it is our responsibility to take care of other people and the society.”

Bengawan Karya Sakti was founded by the late husband of Mrs. Rinawati, Mr. Bengawan Ciang. There are two factors that served as inspiration for Mr. Bengawan and Mrs. Rinawati. The main motivation was to create job opportunities for those who lost their jobs during the 1997 Asian Financial Crisis, as it was really hard to get a job during that time even if one had the skills and abilities to work. The second factor was, the couple realized that heavy trucks are really important for infrastructure development in Indonesia. They hope to make a positive impact for Indonesia’s economic growth. The couple saw an opportunity to create a manufacturing company specializing in heavy trucks and lifting service and decided to partner up with Mr. Bengawan's close colleague from the previous company where he worked. However, after 10 years, Mr. Bengawan and his partner had different opinions on how the company should operate. Hence, Mr. Bengawan decided to build Bengawan Karya Sakti on his own, making it a company that focuses on its employees and the society.

Overall impact

Almost everything that Bengawan Karya Sakti does creates a positive impact, mainly for its employees and the society. The employees definitely have a better life because they work for this company, as the company gives them a lot of employee benefits and treats them just like their own family. As Bengawan Karya Sakti also takes care of non-employees and the society, they also gain a lot, such as more knowledge and help through Mrs. Rinawati's charity work. More precise impacts on business and society will be discussed in the next sections.

Business benefit

There are many other companies that offer the standard living wage just like Bengawan Karya Sakti offers. However, not everyone offers an employee social security system, especially for the whole family. Through this benefit, Bengawan Karya Sakti also gains, as the employees are very loyal to the company. Most of the employees have worked there for 8-10 years. They also work really hard, as they are very thankful for the company, which takes care of them really well.

The training and coaching also help them to gain more knowledge, making their work more effective and efficient and making sure the customers are also satisfied with the final product, become loyal customers for the company too. Hence, Bengawan Karya Sakti also gains a great reputation and image.

Social and environmental benefit

Bengawan Karya Sakti has had a positive impact on society. By reducing inequalities through hiring employees from different races, religions, and also some that have disabilities, the company has really helped to reduce the unemployment rate, especially for those who find it really hard to get a job because of their “differences.” Furthermore, the scholarship for the employees’ children also helps society by giving a better education for those who are in need, with the hope they can also do good for the world. Bengawan Karya Sakti has also inspired a lot of people in many ways, creating a better society and a better future.

For the environment, Mrs. Rinawati admits that it is still very hard for them to reduce the negative impacts that they created, such as through the trucks' pollution. However, they are trying their best to reduce the impact as best as they can, and through better technology they hope to reduce pollution.

Interview

Mrs. Rinawati, CEO

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Bengawan Karya Sakti

Bengawan Karya Sakti

Tangerang, Banten, ID

Business Website: http://www.beng-indo.com

Year Founded: 2007

Number of Employees: 201 to 500

Bengawan Karya Sakti is a manufacturing company that operates in Tangerang, Indonesia. The company has operated since 2007, and their main products include heavy trucks, fuel tanks, cargo trucks, cranes, and other vehicles that are used for mining, road construction, and others. As a manufacturing company that focuses a lot on its workers, Bengawan Karya Sakti hopes to solve the issues related to poverty, hunger, and good health and well-being, inequalities which are also aligned with the UN Sustainable Development Goals. Bengawan Karya Sakti has the main goal to be a leader in the manufacturing engineering industry, as well as creating a better world by generating a positive impact on the society and environment.