Construction Engineering Business Plan

Indonesia EEC offers good quality and cost effective service in engineering, design, procurement, project management, construction and construction management, environmental consulting, management consulting, quality assurance and quality control, information management, operations and maintenance and process technology development.

3.1 Service Description

Indonesia EEC offers expertise in the services it offers. With its variety of services, the company sells them so as to allow clients to choose their preferred benefit(s). These include:

1. Engineering & Architect (E&A).
2. Engineering & Procurement (E&P).
3. Engineering & Construction (E&C).
4. Project Management (PM).

3.2 Competitive Comparison

The approach Indonesia EEC will take to differentiate itself is to convert its features into the client’s benefits; the company needs to offer real benefits rather than only define the features to its clients.

The benefits it sells shall include many intangibles: reliability, optimizing the client’s profit potential, confidentiality, guaranteed quality, continuous improvements, technology transfer, and cost effectiveness. Long-term customer satisfaction is the most critical component of the services offered by the company.

It is vital to establish presence in the market and to start making sales on the growing segment. Personal relationships are important and memories are long. It is also vital to keep in mind that it is wrong to wait for recovery before establishing market presence. Project and market development timeframes in Indonesia are lengthy: three to four years or more; however, this timeframe can be compressed by a strong local partner. This implies the need for establishing a joint venture company rather than going it alone. Even under normal circumstances, the company needs to enter the market on the basis of a long-term strategic calculus, with commitment and resources. To every firm which is interested in participating in the Indonesian market, now is the time to enter.

3.3 Sales Literature

The business begins with a general corporate and technical brochure establishing the positioning. This brochure will be provided by U.S. EEC.

3.4 Sourcing

Indonesia EEC works with all the major power plants and power transmission equipment suppliers on a project-by-project basis and will not represent any of them under an exclusive agreement.

It also works with a number of reputable and experienced local engineering and construction companies under either a project-by-project or consortium basis. This is done to reduce competition and risks and to provide clients with competitive pricing without cutting profits, as well as maximizing the local contents, and shifting the responsibility to provide bid bonds, performance bonds, and credit lines to the local partner.

3.5 Technology

As a subsidiary company of U.S. EEC, Indonesia EEC will utilize its parent company’s capabilities, experience, resources, and technologies as follows:

1. The world-class leaders in the design and construction of power generation and power transmission facilities.
2. Full Engineering, Procurement, and Construction (EPC) capabilities.
3. Fossil-fueled power plants EPC, hydropower plants EPC, geothermal power plants EPC, nuclear power plants EPC, and plant services.
4. Power plant engineering software and power transmission system engineering software both help ensure lowest cost and design of power generation and transmission facilities.

3.6 Future Services

In the near future, Indonesia EEC will establish a joint venture company with a reputable local company who has experience and capability in performing EPC works of power projects, as well as financial capability, and will broaden the coverage by expanding into additional service areas, e.g., captive power project development and operation.