INDUSTRIAL ENGINEERING PROJECT

MIDTERM PROJECT
SEMESTER 7

Arranged by:
Group 3

Ardia Bintang Fajar Kusuma 004202000029

Bias Edina Zerlinda 004202000023

Felicia Jordan 004202000004

Olgitri Permata Yudi 004202000065

Putri Najlaa Salsabilla 004202000055

Trivena Louis Ntauru 004202000054

INDUSTRIAL ENGINEERING 2020

PRESIDENT UNIVERSITY
Jababeka Education Park Jl. Ki Hajar Dewantara, Kota Jababeka,
Cikarang Baru, Bekasi 17550 – Indonesia
Phone (021) 8910 9762-6, Fax (021) 8910 9768
Email: enrollment@president.ac.id, http://www.president.ac.id
 TABLE OF CONTENT

TABLE OF CONTENT 1
CHAPTER I 2
PRODUCT DESIGN & DEVELOPMENT 2
1.1. Theory Related To Product Design & Development (Feli) 2
1.2. Business Practices (Feli) 3
1.2.1 Manufacturing 4
1.2.1.1 Trivena Louis Ntauru 4
1.2.1.2 Ardia Bintang Fajar Kusuma 5
1.2.1.3 Felicia Jordan 6
1.2.1.4 Putri Najlaa Salsabilla 7
1.2.1.5 Bias Edina Zerlinda 8
1.2.2. Services 9
1.2.2.1 Olgitri Permata Yudi 9
1.3. Summary 10
CHAPTER II 11
MARKETING & SALES 11
2.1. Theory Related To Marketing & Sales (Fel) 11
2.2. Business Practices (Feli) 11
2.2.1 Manufacturing 12
2.2.1.1 Trivena Louis Ntauru 12
2.2.1.2 Ardia Bintang Fajar Kusuma 13
2.2.1.3 Putri Najlaa Salsabilla 13
2.2.1.4 Bias Edina Zerlinda 14
2.2.2. Services 16
2.2.2.1 Felicia Jordan 16
2.2.2.2 Olgitri Permata Yudi 17
2.3 Summary 18
CHAPTER III 19
VALUE CHAIN IMPLEMENTATION 19
CHAPTER IV 20
CONCLUSION 20
CITATION 21

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 CHAPTER I
PRODUCT DESIGN & DEVELOPMENT

1.1. Theory Related To Product Design & Development (Feli)

In this present time where the presence of competition is at an all-time high with
unprecedented technological advancements, it is of great importance for industries to
continuously improve their product design and development. Product design and development
allow the industry to understand the needs better and wants of a customer. It begins with
perceiving market opportunity where the needs of the customer are identified, the production
process, sales, and lastly the delivery of the product. Achieving these goals is not solely a
marketing problem, nor its design or manufacturing problem but the product development
problem that involves all the functions mentioned above. Thus, it can be said that one of the
major reasons affecting the success of a firm depends on its product and development. According
to Ulrich et al., (2020) successful product development produces goods that can be manufactured
and sold for a profit, but profitability is frequently challenging to determine immediately and
directly. Product quality, product cost, development time, development cost, and development
capability are the five key metrics used to evaluate the success of a product development project.
Economic success should ultimately result from an excellent performance in these five
dimensions, but other performance criteria are also crucial because they may have a direct or
indirect impact on the products themselves.
However, one should also take into account the technological advancement that
proliferates in this current era that continuously reforms industrial revolutions. The current time
is running on the Fourth Industrial Revolution which is greatly reliant on technology. Industrial
revolutions are primarily concerned with how changes in an organization's operations affect that
organization's manufacturing systems. The effects of these changes, however, go beyond the
production systems themselves and instead affect every step along the value chain, from product
design and development through production and supply-chain management to marketing and
disposal. The problem is ensuring that the planned product will assist the company in fully
benefiting from the Industrial Revolution because the new product design development process
defines the value chain for a company in a significant way. Therefore, in this paper, we will be
examining and analyzing how different companies work on their product development problem

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in this present era greatly influenced by industrial revolutions (Pereira Pessôa & Jauregui Becker,
2020).

1.2. Business Practices (Feli)

In order to understand the business practices surrounding the product design development
process one needs to understand the manpower that is involved in the process. According to
Ahmad et al., (2018) Product development is an interdisciplinary activity that involves
contributions from almost all of a company's departments. However, marketing, design, and
manufacturing are the three primary departments that are usually always at the center of a
product development process. The company's interactions with its clients are mediated through
the marketing division. Marketing frequently makes it easier to identify product opportunities,
define market categories, and pinpoint client wants. Additionally, marketing often oversees
product launches and promotions, establishes target prices, and facilitates contact between the
company and its customers. The physical form of the product is defined by the design functions,
on the other hand, in order to best suit client needs. The design functions in this context include
engineering design and industrial design. Lastly, manufacturing functions are largely in charge of
planning, managing, and coordinating the production system to create the final product. Broadly
speaking, purchasing, distribution, and installation are frequently included in the manufacturing
function.
Nowadays, sustainability and sustainable development are important academic topics. All
facets of society, including engineering and industry, face the problem of realigning the current
course of development on a sustainable trajectory. All phases of a manufactured product's life
cycle, including material extraction, manufacturing, shipping, usage, and disposal, have an
impact on all three components of sustainability: economy, environment, and society. According
to research, 80% of sustainability effects are determined during the product design phase. It has
been determined that creating and producing sustainable products is a key method for achieving
sustainability and cleaner production goals in the manufacturing industry. Accordingly, taking
into account the triple-bottom-line concept in product design, sustainability can be defined as a
product's ability to operate continuously while ensuring the least possible negative effects on the
environment and delivering benefits to all stakeholders on both an economic and social level.

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1.2.1 Manufacturing

1.2.1.1 Trivena Louis Ntauru

This manufacturing company 1 is engaged in the pharmaceutical industry. The products
produced are solid, semi-solid, liquid, and medical devices. Examples include Dermatix, Penkila,
Transpulmin Baby & Kids, Actual Plus Tablet, as well as medical devices, etc. The products sold
also do not include over-the-counter drugs but drugs based on a doctor's prescription. And
mostly sold in hospital pharmacies. Maintaining humidity, temperature, and airspeed is very
necessary for the activities of the pharmaceutical industry, for that company 1 uses an HVAC
(Having, Ventilation, and air-conditioning) machine.
There are 2 types of product development in company 1, namely: Transfer Products and
Copy Products. Company 1 is also an affiliated company where the formula for this transfer
product comes from a Regional Company in Singapore. Therefore, the existing formula should
not be changed. Broadly speaking, the stages involved in product transfer are product
development by R&D at the product origin location (research phase), product transfer to the
receiving location for commercial production (development phase, optimization, and production
(production phase)
In the process of developing a copy product, a stability test is carried out where this test is
carried out with the aim of knowing the quality of the product during the product storage period,
besides that the stability test can provide process recommendations during distribution such as
the temperature used during the distribution process. The stability test also aims to determine the
shelf-life or re-test period of the product and provide recommendations for storage (storage
temperature) of the product.
Stability tests were carried out in the Climatic Chamber. The reference used in
conducting product stability tests is the ASEAN Guideline on Stability of Finish Products
because Indonesia is included in the ASEAN IV zone or other literature such as ICH and WHO.
In the stability test, the parameters tested during product production such as active substance
content, viscosity, description, and pH were carried out in accordance with predetermined
specifications.

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Industrial design company 1 in product manufacturing has complied with GMP standards.
Equipment for the manufacture of drugs is of appropriate design and construction in terms of
functionality, of adequate size, and is well qualified, easy to maintain, and guarantees
maintenance.

1.2.1.2 Ardia Bintang Fajar Kusuma

In Manufacturing Company 2 they make Check Fixture Jig and Special Purpose
machines to support the automotive company or other companies to make their product.
Development Process in manufacturing company 2 almost never has a development process
because the product is based on the customer needs and usually the company has a special
purpose machine or custom machines every company does not have similar machines and it
makes the company not have sustainable products that produce every day.
The company implemented a development process to customize product-market pull
product variants. The company uses technology push product variants because there are a lot of
machines that are used in many companies and every machine is not the same. So, some
companies need jig or spm machines with specific qualifications and requirements.
The industrial design applied in the company is included in user-driven products.
Industrial design processes focus on the user needs to be based on the sketch both 3D and 2D and
the functionality of the machine. User-driven Products are from concept development, concept
testing, system-level design, and testing and refinement.
The company is a machine maker that must have a design process to produce its product.
After bidding with the customer by the marketing department and engineering department, PPIC
will do some planning on which material will be needed, and which process will be conducted
In-House and Out-House. If there is any production conducted in Out-House, the purchasing
department will look for the Sub-Contract that can provide the product the company needs. After
that, the purchasing team will conduct bidding with the sub-contract and will be maintaining the
progress of the sub-contract itself. After that, if the production parts of sub-contractor and
In-House are done, there will be an assembling and trial process, if the trial fulfills the
requirement will be next into delivery, if not fulfilled the requirements will be checked for
abnormality, and will trial until fulfilling the requirements.

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1.2.1.3 Felicia Jordan
Manufacturing company foams, bubbles, and PP boards which are typically used in
automobiles and electronics. Our commercialization is typically B2B. The product development
process in the company starts with marketing receiving the list of products and each of the
product drawings or samples from the customer. Following that the engineering team is in charge
of deciding whether or not the production of the item is feasible or not, what is the best material,
what process needs to be undergone, and its description. In the engineering department when
producing the sample, the materials used should be decided. This is done by sending the
materials that are being used to the laboratories and institutions for them to be tested. Once the
result is back to show that our materials have met the standard the engineering department will
give the sample to the marketing team and the marketing team will deliver the product sample to
the customer. When the sample is accepted a check sheet will be given to the engineering team.
After the production of the sample, the engineering department is responsible for
bringing the design into production. Depending on the PO (Purchase Order) from the customer,
the PO will be classified as either RO (Repeating Order) which refers to the product that will be
requested by the customer repeatedly, or SR (Special Request) which is typically a one-time
order made by the customer. After that, the engineering department together with the Production
Planning and Inventory Control team will decide on the MassPro (Mass Production) while taking
into account the raw materials, machine availability, human resources, and other processes and
factors that are involved in the production of the product.
The development process of each product in the company is varying as products are
typically customized for each customer. As most of the PO comes with its own drawing where
we will develop the sample based on them. This means that the raw materials, dimensions, and
specifications of each product are different from one another.
The process of industrial design will begin with the drawing received from the customers
or made by the engineering department. If the drawing received from the customer is lacking
dimensions or other specific specifications, the engineering team is responsible for re-creating a
drawing that is suitable for our production process. In this process, we need to ensure that the
sample the customer requested is the same as what the engineering department will be creating.
Therefore, there needs to be communication between the engineering department and the
marketing team, and the customer in order to avoid any miscommunications and producing the

6
wrong sample. After the sample is successfully made the engineering department will work
together with the Production Planning Inventory Control department in order to schedule for
mass production and decide the flow of the product from one machine to another as well as make
sure the raw materials and machine capacity are enough.

1.2.1.4 Putri Najlaa Salsabilla

Manufacturing Company 5 are experts in aluminum die casting products for automobiles
and motorcycles as well as supplying to OEM Suzuki, Isuzu, Mitsubishi, EPSON, etc. Equipped
with CNC machines, they also create high-precision parts for DENSO (Toyota), Keihin
(Honda), Mikuni, and Meiwa (Yamaha). The company does not process product development,
they merely process design. Therefore, the company only produces the product depending on
customer needs or considers it business to business.
The development process starts with incoming new projects from customers. Customers
release the RFQ and give it to the marketing-related new project. Marketing will receive and then
give it to the engineering department to set up APQP along with the feasibility study. After that,
marketing will begin to estimate parts prices to negotiate with the customer until getting an LOI
(letter of intent). Marketing determined the manufacturing costs custom according to the
marketplace price and customer quotation. Starting from raw materials, processing, and tooling.
However, for the process prices usually cannot be negotiated by the customer since the
processing is still unpredictable. Thus, when the LOI has already been received, engineering will
start to do the design of the tooling for the production process such as dies, jigs, and mold.
Since the company does not produce the jig or dies, the engineering department in the
company will discuss with the maker of the tooling maker the detailed tooling specification and a
plan for the materials and procedure until the final product of the jig is already approved by the
company itself. Then, engineering will start the technical trial for sample products. Usually, the
time required is an average of 1-2 months, but it depends on the part that is made. After the trial
results are “OK”, the quality of the sample part will be checked first by QC/QA before being sent
to the customer. In customers, the sample part of the trial error is checked by their standard
quality. If the customer approves, then mass production can be started. The finished product will
be placed in a storage case in a plastic box before packing.

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1.2.1.5 Bias Edina Zerlinda
Company is engaged in automotive manufacturing. They manufacture cable products for
various two-wheeled and four-wheeled vehicles, and then we supply to Astra Honda Motor,
Daihatsu, Yamaha, Suzuki, and Toyota, until the new one is Hyundai. They are always
developing the cable product itself, even now there is the development of a new product, namely
the battery. In the product development process, the company applies 3 Horizon analysis.
Horizon 1 is developing a product that is currently in production and has been studied. Horizon 2
is not yet in production but is being studied. And Horizon 3, is not yet in production and is yet to
be studied. Furthermore, blueprint analysis is done by looking at the goals and objectives of the
market, what kind of strategy preparation, how to implement it, and the focus of the strategy. In
making the prototype, there are five iterations. Namely the first sample, tooling one, tooling two,
tooling ok, and mass production. Details regarding sizes, and materials, as well as detailed
product descriptions, are carried out by the engineering team. Each process result will be tested,
presented, and discussed with the customer. So that if there are deficiencies that do not meet the
criteria, they can be directly evaluated.
The product type at the company uses a project system, so it is adjusted to customer
needs because it uses a B2B system. So, for example, if a customer needs product A for a project
in the next year, then will start developing and discussing with the Engineer. Usually, the
customer will send a Request for Quotation Letter, which contains the detailed specifications of
the desired product, even the cost target. Then the marketing team will then submit the letter to
the engineering department to make a drawing spec so that you know the details about the size,
shape, and even materials.
For quality assessment, there is also a form called Resume Performance, which is to get
evaluations from customers which are filled out every month and will be evaluated and analyzed
on a monthly or even yearly basis. Aspects to be assessed are Quality, Cost, and Delivery (QCD).
There is also a Quality Index Group. And if an error is found in quality, will issue a Quality
Report Problem which will also be used as evaluation material for future quality improvement.
Cable products manufactured at the company have materials that are similar to each other in each
type. The company uses Liner material, Steel Wire, Tin, PVC, and then several components such
as Boot camp, boot RR, cover, to grommets which were previously produced by the company
using PVC material. There are several processes used by each machine with different functions,

8
such as rolling, coiling, cutting, assembling the components, die casting, and so on until they
become a good finish which is then inspected, finally packaged, and entered into the delivery
schedule. If currently still in the process of using leftover waste from damaged products or NG,
commonly known as Reuse. For example in the component that uses tin. If the output of the
product fails or is defective, the tin can still be melted back in the machine which will then be
used again for one use.
To reduce the use of plastic, the packaging used is to use cardboard for spare part
products. In addition, packaging that will be supplied directly to the customer which will be
assembled later uses a sturdy plastic box that will then be returned by the customer and will then
be reused. For export itself, the packaging used is an iron box to ensure that the product remains
safe for the customer. So the use of plastic is minimal.

1.2.2. Services
1.2.2.1 Olgitri Permata Yudi
Company 4 is a supplier of rotogravure spare parts and other consumable rotogravure
parts. This company is engaged as a distributor or trader of plastic and spare parts. The process
of development of our company is based on the customer's voice. We will provide what they
need, by selling products at competitive prices, and delivering on time according to the
agreement, and we also choose good products according to what the customer wants. Stay with
going through the screening, sampling, and good products will be sold. Before that, the
company also continued to carry out the Quality control stage for every incoming and outgoing
good product. Because we are traders, we value an item's outward appearance. Ensure that the
packaging is not damaged and keep the goods in the warehouse.
The variants development process is Market-pull products where the company sells
products that are tailored to new customer requests to them so that the procurement of goods is in
accordance with what is requested by the customer. And secondly, Technology-push products
where the goods have been provided by the new company are sold to customers so that the
process of purchasing goods can be done quickly when the goods are urgently needed by
customers.

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because company 4 is a distributor or trader. That’s why focus on the packaging because the
packaging is one of the essential things so that the goods sent can arrive in good condition and
not damaged. So in Warehouse Logistics, the packaging must be made as safe as possible. Goods
Packing activities certainly have their own standards in the warehouse. In the unitization process,
the goods that are packed in the logistics warehouse will be delivered in order to get efficiency
during the delivery process. Then, look at the market attractiveness in the packing process in the
warehouse itself. The market attraction here is that the packaging of the goods to be sent must
look attractive in addition to the security of the packaging on the good product. Security is an
important thing in the process of sending products to the customer's address. The packing can be
made with anti-dosing to prevent dosing

1.3. Summary
Product Design & Development is a very important thing for a company. Judging from
the origin of the word, 'product' means product and 'development' means development. So,
briefly, product development can be interpreted as product development. Every company has its
own way to develop their company's products. The tools of each company are also different
depending on the strategy and plan for what the company wants to develop the product. Mostly if
the company is a manufacturing company, they will ask the engineer to describe the product and
describe the size in detail. There are several companies that are in the development of their
products based on customers' requests. However, there are also those who are in the development
of their products based on future marketing prospects. Several divisions are mutually sustainable
in the development process, namely engineering, quality, and purchasing. And if the product
description has been approved, a mass pro will be carried out before regular production by the
production division.

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 CHAPTER II
MARKETING & SALES

2.1. Theory Related To Marketing & Sales (Fel)

Marketing has been defined in a variety of ways by various authors. Marketing,
according to the American Marketing Association, is the act of organizing and carrying out the
ideation, pricing, promotion, and distribution of concepts, products, and services to generate
exchanges that meet both individual and organizational objectives. According to Cronje et al.,
(2007), marketing is the set of management activities and choices made to successfully address
opportunities and threats in a dynamic environment. This is done by successfully creating and
transferring a need-satisfying market offering to consumers in order to achieve the goals of the
company, the consumer, and society. According to Schiffman and Kanuk (1994), the marketing
concept revolves around a company precisely identifying the needs and wants of particular target
markets and exceeding the competitors in providing the needed satisfaction. They also assert that
a marketer should produce goods that are marketable rather than attempting to sell what they
have already produced.

2.2. Business Practices (Feli)

Marketers of today face competition in a sector that is becoming more specialized,
multinational, and digitally oriented. To engage and stay relevant, marketing professionals
require a blend of creativity and understanding. In order to manage and achieve a buyer's
objectives, the seller must perform the following tasks: provide sources for identifying a service
or product; ensure that the service or product is affordable and accessible; provide sufficient
information to enhance the beneficial use of a service or product; provide an easily accessible
mechanism for user feedback; and finally, respond to user feedback.
The aforementioned shows that marketing is fundamentally an interaction between
marketers and consumers of goods and services along with other departments in the industry.
This interaction requires management to make the decision to produce valuable goods and
services and then sell them at reasonable prices based on the characteristics of a market segment.
The use of relevant media to spread the word about the product or service is also ensured, as it is
a useful and meaningful access to the goods and services.

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2.2.1 Manufacturing
2.2.1.1 Trivena Louis Ntauru
The pharmaceutical industry has an important role in producing good drugs for the
community, so it must be able to produce products that meet the requirements for efficacy, safety,
benefits, and good quality from the manufacture of these drugs. Drug manufacture is all stages of
activities in producing drugs, which include procurement of starting materials and packaging
materials, production, packaging, quality control, and quality assurance until drugs are obtained
for distribution. So the main target of this company is all apotek hospitals in Indonesia as the
place to sell the medicine. not satisfied with just penetrating the local market, this company
which has a diverse portfolio of pharmaceutical products wants to penetrate the export market.
Psychographic Segmentation: Social Class, Lifestyle and Personality, Motivation, Personality,
Perception, Interests, Interests, and Attitudes. Behavioral segmentation: Benefits, User status
(first-time user, casual user, potential user, former user or non-user), Usage rate (light, medium,
heavy user), Purchase readiness stage, Attitude towards a product, Loyalty Status. Benefit
segmentation is based on the benefits that consumers expect from the product/service, the
opportunity to use it (when it is used), and the brand/brand. With this, consumers will be grouped
based on their response to the product/service as well as what consumers need to deal with pain,
such as there are consumers who are concerned with quality and there are consumers who are
concerned with low prices.
This company already has a certificate of Good Manufacturing Practice (CPOB) from the
POM for their products, namely certificate No. 5070/CPOB/A/XI/17 for oral liquid preparations,
certificate No. 5071/CPOB/A/XI/17 for semisolid preparations, certificate No.
5452/CPOB/A/VII/19 for non-beta-lactam and coated tablets, and Joint facility permit for
cosmetics No. 5452/CPOB/A/VII/19 BST.03.03.331.3.01.18.0355. This company has also
officially received a certificate for the production of medical devices, namely the Good
Manufacturing Practice of Medical Devices (CPAKB), ISO 1485, and the MUI halal certificate.
In addition, this company also carries out secondary packaging activities for injection
preparations. This company has cooperated with PT. Transfarma Medica Indah is under the
auspices of this Company Group in the marketing and distribution process of medicinal
preparations produced.

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2.2.1.2 Ardia Bintang Fajar Kusuma
The company is B2B (Business to Business) and B2G (Business to Government). For
B2B the company provides several machine jigs for automotive companies such as Toyota,
Yamaha, Astra Honda, Daihatsu, Hyundai, and many more. For B2G one example project that
has been done by the company is making a conveyor for Halim Airport which is currently in
renovation and the company provides the services like that. The marketing and production are
quite unique, like if the other company does some marketing via digital marketing or other social
media, but in this company does marketing through relations, and exhibitions.
The company classified its customer segmentation into two types, demographics and
psychology. For demographics, the customer segmentation is from manufacturing companies,
automotive companies, and engineers. For psychology, customer segmentation is the company
that wants to get the high-quality product with the lowest price, from both categories that the
segmentation from the company group.
The company is a machine maker that must have a design process to produce its product.
After bidding with the customer by the marketing department and engineering department, PPIC
will do some planning on which material will be needed, and which process will be conducted
In-House and Out-House. If there is any production conducted in Out-House, the purchasing
department will look for the Sub-Contract that can provide the product the company needs. After
that, the purchasing team will conduct bidding with the sub-contract and will be maintaining the
progress of the sub-contract itself. After that, if the production parts of the sub-contractor and
In-House are done, there will be an assembling and trial process, if the trial fulfills the
requirement will be next into delivery, if not fulfill the requirements will be checked the
abnormality and will trial until fulfilling the requirements. The company supports the customer
and manufacturers that always do innovation, and here the company is ready to answer
innovation that is made by the customer.

2.2.1.3 Putri Najlaa Salsabilla

The key customer of the company is business to business category. The company targeted
the market into three sections: Segmentation, Targeting, and Positioning. First the segmentation,
the company targets its customers based on demographic and geography. The demographic is
chosen based on their specialty which is a manufacturing company of automotive and

13
motorcycle with primarily material uses of aluminum ADC12. While as for the geographic
aspect, most of the company's customers are from JABODETABEK. The potential target of this
company will be a manufacturing company in the JABODETABEK area. And for the positioning
aspect, the company provides the service business in aluminum die casting at the lowest prices
depending on customer demand.
It can be considered that the company's reputation and competence are greatly trusted in
producing aluminum die-casting spare part products since they become supplying OEM
(Original Equipment Manufacturer) to several companies such as Suzuki, EPSON, Isuzu,
DENSO, Mitsubishi, etc. PT. Cikarang Perkasa Mfg's value proposition is high-quality products
at lower costs and on-time delivery to customers. Company 5 provides its business value to its
customers through media or a direct approach. Email and the company website are often the
media utilized by the company. In order to manage the relationship, marketing department will
interact with customers through a range of communication channels to manage customer
relations via email, Ms. Teams, Zoom or face-to-face encounters.

2.2.1.4 Bias Edina Zerlinda

In finding out what the customer needs, the marketing team will ask and visit the
customer's company to ask if they will have a project in the near future. Then when the
marketing team finds out about the project that will be carried out by the customer, we will offer
several products that are likely to support their project. So they know what they need.
When the marketing team has obtained approval regarding customer project support, the
customer company will send a Request of Quotation Letter which contains product specifications
that will be made later. The RoW will be given to the Engineering team to make an Engineering
Drawing along with the details and give it to the customer. If the specifications from the
Engineering Drawing are appropriate, then will hold pre-mass production for the manufacture of
product samples. Then if the product sample made is in accordance with the customer's wishes,
they will place an order and the quantity ordered will be attached to the Delivery Order Letter
because the product order has entered into regular order.
The company has a "Product Matrix" which functions to analyze products. Both
regarding competitors to product development to determine the target market. To obtain the
target market, I will monitor and analyze the Product Matrix. From the Product Matrix, the

14
marketing team can see the details of the products that have been produced and those that have
not. For example, 's four-wheeler has not yet produced safety cables. Now that will be
To determine market segmentation, can monitor from the Product Matrix. There are two
segments produced by the company, namely two-wheeled and four-wheeled. Two-wheel itself
has collaborated with Astra Honda Motor (AHM) in which the company has controlled 80% of
customers in Indonesia, so it has a fairly large market. For four wheels, there are several
customer companies that have collaborated, namely Hyundai, Daihatsu, Chemco, Yamaha, and
so on. So to see the segmentation mapping based on characteristics, needs, or behavior, it can be
monitored, viewed, and analyzed for potential sales from the Product Matrix.
Applies several types of market channels. The first is Direct Selling. Because it is a B2B
company, in terms of sales to customers, it is done directly without intermediaries. Because the
customer will send their Delivery Order when ordering too. Then also implemented email
marketing. So, the marketing team will open a conversation via a special email to companies that
have not collaborated. The marketing team will introduce, offer several products that are made,
and explain what benefits the customer company will get when working with them.
To increase the company's value, the first thing was friendly and fast service. So, for
example, if there are customers who ask questions or send messages either via email or portal,
then the company must reply to the message quickly and accurately and use polite words. Then
the company also needs to understand what the customer feels. For example, if a product is
criticized or scolded by a customer, the company must listen and not be carried away by
emotions. So they can get insight that can be used as improvisation. In addition, it is necessary to
consider low prices, good quality, timely delivery, and never reject NG. Because of this,
customers will judge that the company has a good rating and is able to compete. The company
has its own strategy to beat customers. Focused on service to customers, often monitor the
product matrix to see potential sales, often visit customer companies to find out what projects
they will be doing in the near future, and also by considering low product prices, guaranteed
quality, providing guarantees, no goods defective or NG, and the goods are delivered on time.
Companies also need to understand what customers feel, hold back emotions, respond quickly
when there are questions, and direct customers politely. also cooperates with a company in
Korea called INFAC which is a business assistant partner.

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2.2.2. Services
2.2.2.1 Felicia Jordan
Company 3 is a service industry that focuses on logistics and specifically environmental
management logistics. Customers of Company 3 are from both the private and public sections
such as hospitals, apartments, offices,s and industry.
Marketing and logistics work together seamlessly. Like other businesses, logistics service
providers need to discover ways to entice new, ideal customers, and the best way to do so is with
a well-defined marketing strategy. By engaging their audience where they are, a logistics
company that offers a service seeks to assist other logistics companies in acquiring new business.
To identify and research relevant logistics service providers, prospective clients
frequently use online search tools, social platforms, business websites, and digital periodicals.
Your entire strategic marketing plan should always contain market research, methods that are in
line with your company's goals, and digital marketing techniques. For Company 3 this strategy
through social platforms and websites mainly works for customers that are part of the Private
sector. However, for customers in the public sector, the connection of the marketing department
is greatly needed as well as using specific platforms such as LPSE Layanan Pengadaan Secara
Elektronik and SIKAP (Layanan Pengadaan Secara Elektronik) in order to take part in the
auction (tender) or PL (penunjukan langsung). As Company 3 also provides services for
environmental management logistics specifically for B3 Waste (Limbah B3) many certifications
are required and being the most updated is of great importance for marketing. Many of the rules
and regulations for waste service management are regularly updated such as transitioning from
the use of manual MANIFEST to internet-accessible FESTRONIK. As such the legal team
within the company works closely with the marketing and manager in order to be most updated
and thus effective in marketing.
The method of creating a logistics marketing plan is similar to that of ordinary logistics,
where we simply move items from point A to point B. A reliable and effective supply chain is
made up of many links, yet many challenges pose a risk to the weakest link. To ensure success in
the form of qualified leads, a greater ROI, and more sales, a company's marketing strategy
requires a solid logistics marketing plan that ties all of the techniques, or links, together. The
company also provides a service package that makes prices more affordable and attractive to
customers. Aside from packages, the operation engineering department that is responsible for

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scheduling and routing is greatly important in determining the price and thus works closely with
the marketing department.

2.2.2.2 Olgitri Permata Yudi

At this Company the Sales division will offer or promote products to customers. This of
course can be done by several methods. By promoting products manually or digitally, such as
digital promotion examples on various social media platforms, such as Instagram, Facebook,
their website, and LinkedIn, the company can reach its target market. Usually after uploading
several products in the form of brands from spare parts, and flexible rotogravure packaging,
automatically several companies that need these items will notice and know the company. It is
also done in a manual method by a company such that the sales department team has made a list
of several companies where we offer some of the products they might need.
The products offered are in the form of existing products depending on the needs of the
target market. If we get a customer and they ask for products, the sales department will send it
directly to the business development division and they will be responsible for finding vendors. If
a vendor is found, the product will be ordered by the procurement division.
Because this company is engaged in the procurement of machines for spare parts and
rotogravure. Here, our rotogravure is flexible which is not paper packaging but more towards
stretch film or plastic. So our target market is every factory that requires plastic packaging or
those who do not have a rotogravure machine. However, the company also targets companies
that do not have a vendor, specifically for products that are not in the form of Pre-order such as
stretch film, opp tape, and other plastic products.
In order for the company to manage the relationship we have to really want customers to
stay loyal to buy products from their company. It is important for the company to have a strong
name with customers by making them satisfied with our services. So, especially for the sales
department, it is necessary to provide complete information to customers and always try to
answer questions from customers. And when a customer orders our product, the sales department
must always communicate with the customer until the goods arrive. This is done so that our
customers can feel that the company really cares about them. And also, this Company has offered
a product with different prices for different customers. Especially for customers who order in
large quantities, of course, we also provide cheaper prices. And it is also intended for customers

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who frequently order from our company. This is done so that cooperation is well established and
for our company's exposure as well.

2.3 Summary
Sales is defined as part of a company whose activities are selling, ensuring visible and
invisible products sell at prices that are in accordance with the initial plans that have been set but
also with the approval and agreement of consumers. While marketing is the whole system of
business activities such as planning products, setting prices, promoting products, and distributing
goods with the aim of satisfying consumers. In short, sales are sales and marketing is a strategy
to increase sales.
In practice, every company must have a marketing division whose job is to analyze sales
prospects, sales strategy, and marketing, build relationships, see competitors, follow strategies,
and determine prices for customers. Marketing and sales are closely related to profit and are the
division closest to the customer. In the application of marketing itself, each company has a
different way and performance. For example, there are companies that maximize the use of
social media or digital to promote and build relationships. And there are also companies that
choose to directly contact the prospective customer directly and establish communication.

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 CHAPTER III
VALUE CHAIN IMPLEMENTATION

This paper discusses the product design development and marketing activities of different
companies in the present time. If they want to remain competitive, manufacturing companies
must continually modify their production processes to match shifting consumer demands. One of
the main driving reasons behind this change is the creation of new technologies that enable more
resource- and cost-efficient production. The adoption of these manufacturing processes portends
a future with significant sustainability advantages, and shorter, more regionalized, and
collaborative value chains. The development of cyber-physical systems and dynamic data
processes that make use of enormous quantities of data to power intelligent machinery is
sometimes referred to as "industry 4.0." More precisely, it refers to the creation and use of
several advanced technologies that allow interaction and communication among smart devices.
This innovative strategy creates an industrial value chain that is integrated between
things, products, and people in addition to being automated, particularly inside specific factories.
Industry 4.0 intends to alter workplaces and bring about social, economic, and environmental
advancements through an unprecedented integration of digital, physical, and biological entities
that interact with one another. Traditional industrial products and machinery are outfitted with
sensors and software for data collecting and analysis in order to achieve this integration. By
connecting products, manufacturing plants, and supply networks in this way, a real-time value
chain can be created. A change from segregated production processes to automated, optimized,
and completely integrated data flows inside organizational value chains is something that
Industry 4.0 may bring about.

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 CHAPTER IV
CONCLUSION

Every company, whether focused on manufacturing or on services, must have important

points to advance their company. Product Design and Development as well as Marketing and
Sales are the most important points to find out how companies can develop their products, how
to reach customers, determine suitable strategies, to observe competitors to learn about their
strengths and strategies. In the development process, the company has prepared various plans
and tools to be used. They will work together between divisions to find information, discuss, find
solutions, and even talk about networking. But of course, there will be obstacles in every process
that is carried out. To overcome this, the company will hold a thorough discussion, so that it will
increasingly listen to criticism and suggestions from customers as one of the processes to make
the company even better.

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