Corporate Social Responsibility
Corporate Social Responsibility (CSR) Program is an investment to support the creation of sustainable development. The implementation of CSR programs is one form of implementation of the concept of Good Corporate Governance. Therefore, good corporate governance is needed so that the behavior of business people has direction that can be referred to by regulating the relationship of all stakeholders’ interests that can be met proportionally. The implementation of CSR activities refers to the Decree No. SKEP/14/P/BD/X/2015, dated October 19, 2015.
PKBL is the main activities of Pindad’s Corporate Social Responsibility (CSR) Program. Other than PKBL, Pindad’s CSR program consist of Environmental Management, Employment and Occupational Health & Safety, and responsibility to Customers.
PT Pindad (Persero) consistently implements a CSR program that focuses on giving donations aimed at charitable and social purposes in the form of cash or goods, to recipients of donations outside the Partnership and Community Development Program (PKBL) and Community Development (Comdev). ) The recipients of donations are people who are around the company, committee activities for educational organizations, non-governmental organizations (NGOs), or agencies engaged in charity/social affairs. To build and maintain mutual trust between stakeholders and the community, PT Pindad (Persero) systematically implements CSR programs that are implemented through a series of activities in several fields, such as:
1. Cultural Arts event
2. Sports Activities
3. Mass circumcision event
4. Cheap Market Activities
5. Natural Disaster Assistance
Social and Society Development by PKBL
PT Pindad (Persero) conducts social development through Program Kemitraan dan Bina Lingkungan or PKBL (Partnership and Environment Development Program) and Community Development or Comdev. The PKBL policy in PT Pindad (Persero) refers to the Decree of Ministry of SOE No. PER-09/ MBU/2015 on PKBL.
Besides referring to the ministerial decree, PT Pindad (Persero) also refers to the principle of ISO 26000. The practice of social development according to the policy of our company is as follow:
1. Disaster relief
2. Donation for education
3. Donation for health improvement
4. Donation for public facilities
5. Donation for religious facilities
6. Donation for nature preservation
7. Social donation for eradicating poverty
8. Donation for education and marketing of our trained-partners
Partnership Program
The partnership program aims to improve the ability of small businesses to become resilient and independent through the utilization of company funds. The goals to be achieved in the Partnership Program are to improve entrepreneurial and managerial abilities and provide capital assistance, increase production, marketing and other capabilities so that small businesses that are fostered can become strong and independent businesses which in turn are expected to develop into medium-sized businesses and big.
In 2018, Pindad has successfully channeled loan assistance funds to fostered partners in the amount of Rp. 4,705,141,114 which decreased compared to last year’s Rp. 5,190,693.08.
Environment Development Program
The Environment Development Program aims to empower social conditions by utilizing the corporate funds, in the form of assistance to victims of natural disasters, education or training, health promotion, development of public infrastructure, religious facilities and nature conservation / reforestation. In 2018, the Pindad Community Development Program successfully distributed aid amounting to Rp. 457,881,816 Environmental Development Program activities in 2018:
1. Assistance in Repairing Public Facilities and Infrastructure
a) Posyandu development assistance in Ds. Mandalasari Cikalong Wetan.
b) Assistance for clean water / borehole facilities in Kel. Babakan Surabaya.
c) Trash cans & plastic chopper machines Kiaracondong
2. Environmental and Community Health Assistance
a) Mass Circumcision.
b) Aid for providing supplementary food for toddlers (Posyandu) Turen.
3. Educational Facility Assistance
a) Renovation of Al - A’Rof Madrasah, Gedebage.
b) Elementary, Middle School, High School, Vocational scholarship assistance in Kec. Kiaracondong.
c) Renovation of Darul Muttaqin Islamic Boarding School - Turen.
d) Renovation of Fathul Mu’in Islamic Boarding School - Kab. Bandung.
e) Educational assistance in the form of “Child Friendly Schools” Seminar – Bandung
4. Aid for Worship Facilities
a) Renovation assistance for Al - Hikmah Mosque, Katapang - Kab. Bandung.
b) Renovation assistance of Madinatul Munawwaroh Mosque, Kab. Bandung.
c) Renovation assistance for Hasyim Asy’ari Mosque in Kab. Bandung.
d) Renovation assistance for Miftahul Jannah Mosque, Kab. Bandung.
e) Aid for the renovation of Al - Muslimin Mosque in Bandung.
f) Aid for renovating the Mushola Darussalam 1 Stage - Turen.
g) Aid for renovating Baiturrahman Mosque - Turen.
h) Renovation assistance for Koramil Mosque - Turen.
5. Community Social Assistance for Poverty Alleviation
a) KangPisman district counseling assistance Kiaracondong
b) Reading park assistance RW 08, Sukapura, Kiaracondong
6. Nature Conservation
a) Tree planting around Kel. Sukapura.
7. Assistance to Victims of Natural Disasters
a) Lombok - NTB earthquake relief assistance.
b) Assistance for victims of the earthquake & Tsunami natural disaster - Central Sulawesi.
c) Assistance to victims of the Sunda Strait tsunami disaster.
PKBL Fund Management
The total assets of PKBL in 2018 amounted to 3,991 million rupiahs, compared to 2017 which is amounted to 4,927 million rupiahs
In 2018, PKBL has succeeded in channeling loan assistance funds to fostered partners in the amount of Rp 4,705,141,114, it is a decrease compared to last year's Rp. 5,190,693.08.
The realization of the distribution of loan assistance to fostered partners in 2018 was Rp. 1,790,640,232 from the source of budget funds, Rp. 2,323,953,834.
PKBL Performance
PKBL performance is assessed based on two indicators, namely the effectiveness of partnership program funding and the collectibility of PKBL refunds. The two categories are listed as follows:
1. the effectiveness of the PKBL fund distribution in 2018 is 94.42% with a score of 3, compared to the achievement of 2017 at 98.07 %, with a score of 3.
2. The collectability rate of repayment of loans in 2018 is 72.02%, compared with a temporary score of 2017 at 90.56% with a score of 3.
Corporate Responsibility In The Field Of Environment
Pindad has a high commitment in managing the environment. One form of this commitment is shown by the issuance of the Decree of the Board of Directors No. Skep/41/P/BD/IX/2011 dated September 26, 2011 and No. Skep/40/P/BD/IX/2011 dated September 26, 2011 concerning energy policy. This commitment is also demonstrated by the achievement of ISO14001: 2004 certification, and the Proper
BLUE award from the Ministry of Environment. Pindad’s routine activities in managing the environment throughout 2018 are as follows:
1. Planting trees in Karyalaksana Village, Ibun, Bandung in the event of 35th Pindad Anniversary in April
2. Cash-for-work padat karya tunai program for environmental cleanliness in the context of 35th Pindad Anniversary in April
3. Providing assistance for Summercamp With Difabel 2 activities organized by the Nature Lovers Communication Forum (FKPA) Bandung in September
Corporate Responsibilities In The Field Of Labor, Health And Safety
Pindad’s commitment to the Quality & K3LH policy is contained in Skep No. Skep/22/P/BD/IX/2010 dated September 25, 2010. The Company has made various efforts to realize this commitment.
Those efforts are listed as follows:
1. Having high dedication to produce products and provide services that are consistent in terms of quality, on-time delivery, competitive prices, and the best service.
2. Implementing and developing a Quality Management System, Occupational Health & Safety Management System, and Environmental Management System in a correct, appropriate and consistent manner with the commitment to comply with applicable regulations, legislation and quality & K3LH requirements, both from customers, government and related parties which the company followed.
3. Preventing work accidents, work-related diseases and environmental pollution by ensuring that every activity / activity of the company is environmentally sound and does not cause negative impacts on the environment.
4. Carrying out a continuous improvement process to increase customer satisfaction.