Pertamina: Secretariat General of DPR RI and Universitas Pertamina Sign MoU of Risk Mitigation Association

The spread of Covid-19 has become a global pandemic that concerns not just the health and security sectors. Over the past two years, Covid-19 pandemic has become the biggest threat to business continuity in all sectors.

To continue to grow in the pandemic, each entity, taking over Pertamina University, needs to mitigate risks, particularly the frequent ones, namely the risk of the procurement of goods and services. Pertamina University signed a penta helix cooperation agreement ‘Establishment of Certified Mitigation in Procurement’ to that purpose.

The cooperation agreement was signed by the Secretariat General of the House of Representatives of the Republic of Indonesia (DPR RI), representing the element of government; Universitas Pertamina, Veteran National Development University of Jakarta (UPN Jakarta), and Universitas Bhayangkara Jakarta Raya, representing education elements; PT Jakarta Industrial Estate Pulogadung representing industry elements; Certified Mitigation In Procurement Institution, representing community elements; and Harian Ekonomi Neraca, representing media elements.

Secretary-General of DPR RI, DR. Ir. Indra Iskandar, M.Sc., stated that the establishment and institution aim to mitigate the company’s risks, particularly in the procurement of goods and services. “Students are candidates for the workforce; thus, the establishment of this association is expected to equip them with risk mitigation capabilities for future anomalies in the procurement of goods and services,” said Indra.

Rector of Universitas Pertamina, Prof. Ir. I Gusti Nyoman Wiratmaja Puja, Ph.D., added that this penta helix collaboration will also have the potential to produce research, study, and development of science in the field of goods and services in accordance with the development of the Business and Industrial World (DUDI). The association will also provide education and training regularly, as well as administer certification in the field of procurement of goods and services.

“The certification can be used as a complement to the diploma which will certainly undoubtedly provide value for students. Furthermore, this collaboration opens up the potential for Universitas Pertamina to collaborate with parties in other sectors,” said Prof. Wirat in an interview at the Indonesian Parliament Building on Wednesday (10/11).

Dr. Dewi Hanggraeni, S.E., M.BA, a risk management expert and Dean of the Faculty of Economics & Business and the Faculty of Communication & Diplomacy at Pertamina University, emphasized the strategic value of establishing risk mitigation associations and training institutions. “Risk due to the procurement of goods and services is very important because it can be a reputation risk, legal risk, and litigation risk. Therefore, risks due to irregularities in the procurement of goods and services are very crucial, not only for profit entities and non-profit organizations but also for officials who make commitments, the community, including students as future leaders in order to identify and mitigate the risks,” said Dewi.

According to Dewi, in conducting business activities, various potential risks need to be mitigated, including future business risks, such as climate risk, pandemic, political change, social change, technological change, and other risks. “The risks due to this pandemic have actually been predicted by risk experts years ago. It is only that time it has not happened yet, so it has not become a priority,” continued Dewi.

The results of a survey conducted by the Center for Risk Management & Sustainability from 2017 to 2019, showed that companies in Indonesia still have not considered infectious disease risk as the company’s focus. In fact, a survey conducted by the Ministry of Labour and INDEF shows that 88 percent of companies are losing money due to the pandemic. MSMEs even experienced a decline in demand, production, and profits, by up to 90 percent.

“Moreover, all companies have experienced a decrease in capital expenditure since the first quarter of 2020. This is a national problem, how state and private companies, including universities, can survive, one of them is by empowering the role of risk management, through the Chief Risk Officer. (CRO) and risk managers to mitigate various potential risks into business opportunities,” said Dewi.

Dewi continued, learning from the experience caused by this pandemic, the application of risk management is mandatory regardless of the form of the entity. “The extent to which the determination of risk governance is the one that has to be adjusted to the size, complexity, and other considerations. The application of risk management is not only a formality, but must be continuously socialized to all related entity lines, and applying a risk awareness culture,” stated Dewi.

Currently, the campus owned by PT Pertamina (Persero) is opening registration for the Selection of Report Cards for the 2022/2023 Academic Year. Registration is open from October 18 to December 1, 2021. This selection is conducted without a test, which can be registered by high school students/equivalent graduates in 2021 and 2022. Registrants in the Report Value Selection also have the opportunity to receive Heroic Scholarships. More information regarding study programs and registration terms and conditions can be accessed on the https://universitaspertamina.ac.id/registration page.