Business Strategy of Garuda

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Atila Salsabilla
041411331162
Sindy Fridauzi
041411331157
Amalia Kusuma
041411331246
PT Garuda Indonesia (Persero) Tbk (herein after referred

as the Company) was established based on Notarial
Deed No. 137 dated March 31, 1950 of Raden Kadiman.
Garuda Indonesia was named airline with The Worlds

Best Cabin Crew and one of the seven 5-Star Airline since
2014
As of 2015, Garuda Indonesia has 7 (seven) subsidiaries

which focus on business supporting products/services,
namely PT Aero Wisata, PT Abacus Distribution Systems
Indonesia, PT Garuda Maintenance Facility Aero Asia, PT
Aero Systems Indonesia, PT Citilink Indonesia, PT Gapura
Angkasa, and Garuda Indonesia (GIH) France.
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Garuda Indonesia Vision and
Mission
Vision : A strong distinguished airline through providing

quality services to serve people and goods around the
world with Indonesian hospitality.
Mission : The flag carrier of Indonesia that promotes

Indonesia to the world, supporting national economic
development by delivering professional air travel
services.
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Strengths
Good services, it was proved by many awards that have been

received. In 2015, Garuda Indonesia received 49 awards from
national authorities and 15 awards from international authorities as
well as a national certification.
Good information system, it was proved by PT SAP Indonesia awarded

Garuda Indonesia on 17 October 2000 its Best Implementation
1999 award. The SAP system is an integrated data software
processing system containing modules covering accounting, finance,
asset management and human resource management.
Good and modern aircaft, Garuda Indonesias fleet is supported by

189 aircaft
The Company has a high commitment to gender equality and job

opportunities.
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Weakness
Human Resource Problem, there are a keen conflict

between employee and management. Audit finding
that Garuda Indonesia is over-employees. Garuda
employees more than 9089 people, by 1906 without
clearly position.
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Line of Business
1. Undertaking scheduled commercial air

transportation of domestic and international
passengers, cargoes and mails;
2. Undertaking non-scheduled commercial air

transportation of domestic and international
passengers, cargoes and mails;
3. Providing aircraft repair and maintenance to satisfy

own needs and the needs of third party;
4. Rendering support services for commercial air

transportation operation, such as catering services and
ground handling services, to satisfy own needs and the
needs of third party;
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Garuda Indonesia Corporate
Value (FLY-HI)
Since
October 30, 2007, Garuda

Indonesia has formulated a set of
corporate values known as FLY-HI,
which is the acronym of eFficient &
effective; Loyalty; customer centricitY;
Honesty & openness and Integrity.
The
five values of Fly-Hi are translated

into 10 Principles Behaviors as follow:
eFficient & effective

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1. Prompt, exact, and accurate

2. Efficient
Loyalty
3. Discipline
4. Hardworking, smart and thorough
customer centiricitY
5. Amicable, warm and friendly

6. Responsive and proactive
7. Creative and innovative
Honesty & openness
8. Honest, sincere and open

9. Guard confidential Company
information
Integrity
10. Consistent and adhere to

Company rules and regulations
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Human Capital Strategy for
2016
Future human resources strategy and planning will

still refers to corporate strategies. The Companys
achievement as a 5-star airline and world best cabin
crew become standards that should be maintained. In
addition, human resources management system will be
directed to boost revenue target achievement, and at
the same time, manage human resources investment
more efficiently.
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Differentiation Strategy
Garuda Indonesia seeks to be unique in its industry

along some dimensions that are widely valued by
buyers. They provide higher price compare to other
airline but they highly committed that the flight is
always on schedule. It is one of the attributes that
many buyers in an industry perceive as important, and
uniquely positions itself to meet those needs. It is
rewarded for its uniqueness with a premium price.
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Garuda Indonesia vs Lion Air
Competition in Indonesias dynamic domestic market will further intensify as

market leader Lion Air launches its new full-service subsidiary, Batik Air
Lion is confident that Batik will quickly become a major player in the full-service
segment by offering an attractive product on a fleet of all-new aircraft at
reasonable prices. Batiks full-service economy class product includes seatback
in-flight entertainment, a leather seat with 32in pitch, meals, drinks and a 20kg
luggage allowance. Business class features fixed recliner style seats with 45in
pitch in two-by-two configuration and a 30kg luggage allowance.
The Batik business class product is similar to the domestic and regional
international business class product offered by Garuda on its relatively new fleet
of 737-800s.
Garudas strength at the top end of the market, where it has a loyal following
among corporate passengers and wealthy Indonesians, has historically given it
the ability to charge a significant premium even in economy. While Batik Air
trying to get the loyal passengers of garuda by offering affordable business
class.

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PT Garuda Indonesia (Persero) Tbk (herein after referred

Garuda Indonesia was named airline with The Worlds

As of 2015, Garuda Indonesia has 7 (seven) subsidiaries

Vision : A strong distinguished airline through providing

Mission : The flag carrier of Indonesia that promotes

Good services, it was proved by many awards that have been

Good information system, it was proved by PT SAP Indonesia awarded

Good and modern aircaft, Garuda Indonesias fleet is supported by

The Company has a high commitment to gender equality and job

Human Resource Problem, there are a keen conflict

1. Undertaking scheduled commercial air

2. Undertaking non-scheduled commercial air

3. Providing aircraft repair and maintenance to satisfy

4. Rendering support services for commercial air

October 30, 2007, Garuda

five values of Fly-Hi are translated

eFficient & effective

1. Prompt, exact, and accurate

5. Amicable, warm and friendly

Honesty & openness

8. Honest, sincere and open

10. Consistent and adhere to

Future human resources strategy and planning will

Garuda Indonesia seeks to be unique in its industry

Competition in Indonesias dynamic domestic market will further intensify as

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