Impossible is possible r hartarto sastrosoenarto and industrialization in indonesia
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IMPOSSIBLE IS POSSIBLE: R. HARTARTO SASTROSOENARTO AND INDUSTRIALIZATION IN INDONESIA *) PowerPoint PPT Presentation


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IMPOSSIBLE IS POSSIBLE: R. HARTARTO SASTROSOENARTO AND INDUSTRIALIZATION IN INDONESIA *). Dr. Yuda B. Tangkilisan Faculty of Humanities University of Indonesia -------------------------------------- *) Delivered at The International Graduate Student Conference

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IMPOSSIBLE IS POSSIBLE: R. HARTARTO SASTROSOENARTO AND INDUSTRIALIZATION IN INDONESIA *)

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Impossible is possible r hartarto sastrosoenarto and industrialization in indonesia

IMPOSSIBLE IS POSSIBLE:R. HARTARTO SASTROSOENARTO AND INDUSTRIALIZATION IN INDONESIA *)

Dr. Yuda B. Tangkilisan

Faculty of Humanities

University of Indonesia

--------------------------------------

*) Delivered at The International Graduate Student Conference

on Indonesia (IGSC), Yogyakarta December 2009


Backgrounds

BACKGROUNDS

  • Prior to 1970, Indonesia was characterized as a “chronic economic dropout” and as a one of the poorest countries in the world (Higgins 1968: 678)

  • No one would believe that Indonesia would be grouped as a member of the most exclusive club of “East Asian Miracle Economies” and with the highest economic group in the world in just 20 years (Wulan Sari 2004: 3)

  • Few chances for Indonesia to have a rapid economic growth (Myrdal 1969)


Backgrounds 2

BACKGROUNDS (2)

  • Industrialization and economic growth

    • New Industrial Country (NIC) in the 1980s as Asia’s ‘dragon’ economies

  • Industrial sectors (non migas) contribution to GDP (Gross Domestic Products) outnumbered Agricultural sectors

    • Sectors19831993

    • --------------------------------------------------

    • Agriculture24.3 %11.4 %

    • Industry17.8 %22.3 %


Impossible is possible

IMPOSSIBLEIS POSSIBLE

  • A BELIEF OF R. HARTARTO SASTROSOENARTO

  • THOUGHTS

  • STRATEGY

  • SELF ESTEEMED

  • OPTIMISM

  • TEAM WORK


Purposes

PURPOSES

  • To show industrial progress during 1983—1993

    • Sumitro Djojohadikusumo (1991) was impressed by the progress

    • Anne Booth (2001) has similar impressions

  • To explain how the progress was achieved

  • To explore the good side (legacy) of New Order from economic development angle as lessons for today

  • Cultivating the role and contribution of R. Hartarto Sastrosoenarto in indonesian industrial development


Methodology

METHODOLOGY

  • Gathering data

    • Documentary & Literature Study

    • Oral history (Interview)

      • Key persons

      • Other informants

  • Structurism/ Structuration (Lloyd/ Giddens)

    • Structure and Changes

    • Agency

    • Reproduction (Failed)

    • Transformation (When Succeeded)


Biographical backgrounds

Biographical Backgrounds

  • 1983 to 1993 was the terms of Hartarto Sastrosunarto as Minister of Industry

  • Chemical engineers graduated from Australia

  • Began his career from the bottom at Department of Industry

  • Visions for Indonesia in the future as a world player

  • Still concerns with industrialization of Indonesia


Thoughts and performance

Thoughts and Performance

  • Industrialization needs a legal ground

    • Acts of Industry no. 5, 1984

  • Priority of Industries (middle technology)

    • A links to agrarian sectors (fertilizers)

    • Constructions (cements)

    • Social needs (pulps)

    • Production (machines)

  • 6 Main Policies

  • 4 Supporting policies


6 main policies

6 Main Policies:

  • 1) Developing industrial structure,

  • 2) Developing machinery and electronics industries,

  • 3) Developing small industries,

  • 4) To export industrial wares,

  • 5) Developing research and technology,

  • 6) To develop entrepreneurship and professionalism.


4 supporting policies

4 Supporting Policies

  • 1) legal basics,

  • 2) clustering national industries,

  • 3) inter-linkage programs and

  • 4) widening domestic and international markets


Ability leadership

Ability & Leadership

  • Expert in matters by training and experiences

  • Firm personality—not hesitate to take a decision

  • To organize the department

    • Making a new branches

    • Merit system (right men in the right place)

    • Corporate Culture


Results

RESULTS

  • Hartarto played an important role in industrialization during the New Order

  • Industrialization endured along the law and policies

  • Industrial sectors (manufacturing) grew outnumbering agrarian sectors to GDP

  • From the UNIDO (United Nation Industrial Development Organization) criteria, Indonesia has entered a phase of New Industrial Countries (NIC)


Concludary remarks

CONCLUDARY REMARKS

  • Industrialization is not only building factories but also more important industrial society

  • Industrialization implied a team work, not one man show

  • Government has important roles in industrialization as a regulator and prime mover but not as a main player

  • Impossible is Possible


Thank you

THANK YOU


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