State-owned Enterprises (SOEs) which are members of the Defense Industry Cluster have completed the implementation of the GCG Assessment for the 2020 Fiscal Year. The event was marked by the implementation of the Defense Industry SOEs’ Exit Meeting with the Financial and Development Supervisory Agency (BPKP), was held from the end of April to the first week of May 2021.


The Exit Meeting, held virtually by each Defense Industry SOEs, was attended by Shareholders (Republic of Indonesia Ministry of SOEs), the Board of Commissioners, Directors, Corporate Secretary, Head of Labour Union, and the Counterpart Team. The implementation of good corporate governance policies are specified in the Regulation of the Minister of State for SOEs No. PER-09/MBU/2012 on the Implementation of Good Corporate Governance in SOEs.


This year the Defense Industry SOEs  are collaborating with BPKP as an assessor for implementation of the 2020 GCG Assessment which will take place from mid-March to May 2021. The GCG assessment uses six assessment parameters consisting of: Commitment to good and sustainable governance, Shareholders and GMS , Board of Commissioners/Supervisory Board, Board of Directors, information disclosure and transparency, as well as other related aspects.


According to Rina Moreta, representing the Shareholders, the Exit Meeting is a means for policy makers to review the results of the Defense Industry SOEs GCG Assessment in the 2020 Financial Year. Good corporate governance can also serve as a benchmark for the company to run effectively and efficiently.


“The joint BPKP assessment is very useful for measuring the existing Company’s corporate governance. In addition the joint assessment is a form of collaboration among Defense Industry SOEs in accordance with AKHLAK’s core values. Hopefully, in 2024 the GCG score for the defense industry Cluster will be 90.05,” said Rina Moreta.


Meanwhile, the Head of West Java Representative BPKP Mulyana said that the results of the GCG assessment are expected to become a medium for continuous improvement.


“AOI must be followed up to make sure that the corporate governance gets better that will increase the company performance and better alignment between the results of the KPI, the Level of Health and the results of the GCG assessment, “he said.


Mulyana also underlined that, with the assessment of 5 Defense Industry SOEs scope being carried out simultaneously, the assessment for the 2020 financial year could be the base line in designing better GCG achievements of Defense Industry Holding in the future.


The same thing was expressed by the Director of Finance and Administration of PT Pindad (Persero) Wildan Arief who was appointed as the Joint Program Coordinator for the Defense Industry SOEs. According to Wildan, good and sustainable corporate governance is one of the prerequisites to make sure that the business climate can progress and develop.


“The implementation of the Defense Industry SOEs GCG assessment with BPKP is a form of collaboration in welcoming the formation of the Defense Industry SOEs Holding which is targeted to be finalized by the end of this year. In addition, the given collaboration with BPKP is also a provision for counterparts in carrying out self-assessments in the following year to reach uniform parameters, “explained Wildan Arif.


Currently, the Defense Industry SOE’s Cluster is entering its final preparation to become a holding with the DEFEND ID (Defense Industry Indonesia) brand. PT Len Industri (Persero) was appointed as the leader of members which consist of PT Pindad (Persero), PT Dahana (Persero), PT Dirgantara Indonesia (Persero) and PT Pal Indonesia (Persero). Having a vision to become a national defense industry that is advanced, strong, independent, competitive national defense industry and leading in the global market, the Defense Industry SOEs Holding is targeted to finalized in the 3rd quarter of 2021. (*)