Skating Telkomsel 2.0
    Category: Column By : Andrew Tani Read : 1592 Date : Sunday, April 06, 2014 - 11:01:28

    Can large organizations be transformed? How large? Think daily revenues of $15 million. If the nation’s largest telecommunications enterprise, Telkomsel, 65% owned by phone giant PT Telekomunikasi Indonesia, is used as a case in point, then the answer is yes. Results of the end-2013 independent surveys of employee engagement and cultural entropy indicate that the organization had successfuly passed its 2012 learning and 2013 internalization milestones, and can proceed with the next phase, externalization. While positive changes were underway, however, there was a noteworthy clamor for leaders to improve their skill in building relationships.

    What does it take to pull off successful enterprise transformation? There are five pre-requisites: a change sponsor, a change champion, a change engine, a change goal and a change strategy. The change sponsor at Telkomsel is the current Chief Executive Alex Sinaga. When he took over the helm in 2012, he broke away from the common prideful CEO behavior of restarting all institutional development work from square one, and decided instead to continue from where his predecessor left off. The journey to Telkomsel 2.0—defined as having the organizational capability to constantly assess and respond to changes in the business ecosystem—was underway, and he did the right thing: he finetuned it, enriched it, and provided the necessary transformational leadership and resources.

    The change champion is the current Human Capital Director Herdy Harman. He identified and executed 17 key projects in his strategic function and coordinated the daily execution of the transformation program by the other directorates. The change engine consists of key players from all the company’s eight directorates, orchestrated by its Executive Vice President Lumumba Sirait of the Program Management Office. With all strategic functions represented, the Project Management Office enjoyed a holistic view of both the business transformation agenda and the enabling of the people, organization and culture capabilities.

    The change goal was called “Achieving Triple 3,” which translates into a market capitalization of Rp 300 trillion, a 30% revenue growth over three years to 2015, and 33% of total revenues generated by data and digital services. Each directorate defined their derivative change goals in line with Achieving Triple 3 in terms of people, organization and culture capabilities. On the people side of the business, the goal was to develop individuals with great values—integrity, respect, enthusiasm, loyalty and totality—who interact with each other in the working spirit called SOLID|SPEED|SMART, to carry out practices they called Great People, Great Strategy and Great Innovation.

    The change strategy was simple: execute a transformation program that was driven by top management, ensure participation across the board, and measure and communicate progress to the participants. Massive workshops were designed and executed to make the transformation personal, and bring individuals collectively through the stages of learning, internalization and externalization. The 2014 change agenda is set, with building relationships at the top of the people skills development agenda. Sustainable self-transformation is in full swing at Telkomsel. And as Alex Sinaga describes it, “Just like a skater, we must move forward with speed, or risk losing our balance and falling.”