Environmental-Based Strategic Management Model for Indonesia’s Medium-Sized Shipyards

A paper's abstract published in the Journal of Ship Production, USA (Vol. 22, No.4)

Since the nature of the shipyard differs from general industry, its strategy formulation model shall be developed based on its own business characteristics. This paper presents a proposed environmental-based strategy formulation model for medium-sized shipyards. A questionnaire survey to the industry’s stakeholders was carried out to identify the internal and external strategic factors of the shipyard’s businesses. By using using multivariate factor analysis, the strategic factors were identified both in new building and ship repair. The results were then used to develop business environmental sub-models and shipyard business matrix. These industry-based models, therefore, are integrated into a shipyard strategy formulation model, called YARDSTRAT. Its real application and evaluation in two shipyards show that, the proposed model could produce more comprehensive strategic options to sustainable competitive advantage for the companies.