Evaluating Joint Operations as a Managerial Intervention to Improve Cost Reduction and Governance Effectiveness An Action Research Study of PT X and PT Y, Berau, East Kalimantan

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Wijaya, Ambang (2026) Evaluating Joint Operations as a Managerial Intervention to Improve Cost Reduction and Governance Effectiveness An Action Research Study of PT X and PT Y, Berau, East Kalimantan. Masters thesis, IPMI Institute.

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Abstract

This study evaluates the effectiveness of Joint Operations (JOs) as a managerial intervention to improve structural cost saving and governance effectiveness in natural forest concession companies (PBPH) in Indonesia. The research focuses on two adjacent PBPH entities, PT X and PT Y, operating under the same holding structure and facing structural cost pressures arising from duplicated support functions and increasing regulatory and sustainability compliance requirements. Using an Action Research approach, the study integrates four analytical instruments: Functional Overlap Analysis (FOA), Structural Cost Analysis (SCA), Joint Operations Financial Analysis (JOFA), and Governance Effectiveness Index (GEI). The findings indicate that the JOs structure can reduce duplication in planning, compliance, administration, logistics, and sustainability functions. The SCA simulation shows a reduction in the overhead cost ratio from 8% under standalone operations to 5% under the JOs scenario, while JOFA results demonstrate structural cost savings of 12.8%, equivalent to approximately IDR 7.43 billion. Governance assessment results indicate improved reporting-line clarity, coordination efficiency, and transparency of cost accountability while maintaining regulatory compliance. The novelty of this study lies in the development of an integrated managerial evaluation framework combining FOA, SCA, JOFA, and GEI to assess both financial and governance implications of JOs in natural forest concessions, a context that has received limited attention in prior research. However, the study is limited to an ex-ante assessment operating under a single holding company and may not fully represent conditions in other forestry organizations or actual post-implementation outcomes.

Keywords: Joint Operations, Structural Cost, Governance Effectiveness, Action Research, PBPH.

Item Type:	Thesis (Masters)
Subjects:	H Social Sciences > H Social Sciences (General)
Divisions:	Thesis > Master of Business Administration
Depositing User:	sandra margaretha
Date Deposited:	28 Sep 2026 02:34
Last Modified:	28 Sep 2026 02:34
URI:	http://repository.ipmi.ac.id/id/eprint/3029

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