Growth = Opportunity

Indonesia is expecting a GDP growth of 5.3 percent for the 2018 fiscal year. An increase in economic growth signifies an increase in consumption and as a result production outputs from many industries need to increase to meet demand.

Growth in the Indonesian water, food and beverage and pharmaceutical industries are of particular interest with economic expansion in these sectors being driven by investment from government, national and international companies.

The water industry is seeing the Indonesian government moving legislation forward to build new infrastructure at a cost of Rp 404 Trillion and upgrade and repair existing infrastructure to the tune of Rp 37 Trillion.

Indonesia’s robust agriculture and fisheries sectors along with the rise in the average GDP per person in a population of over 260 million has seen demand for food and beverage products increase. In addition, the opportunity presented by the exponential increase in demand for palm oil, of which Indonesia is one of the world’s largest producers, also presents an opportunity for further growth in this sector of the economy.

The Indonesian government’s intervention into the pharmaceutical sector where legislation has been passed to reduce Indonesia’s dependence on imported pharmaceuticals and medical devices also bodes well for growth in the local pharmaceutical industry.

Growth in the Indonesian economy, and in these three sectors, means new processing plants will need to be constructed and refitted to meet the increase in market demand.

Design problems have a significant impact

Historically the Indonesian construction industry has been plagued by failed projects or significant cost overruns. Research has cited inaccurate cost estimations, poor project team collaboration, and sub-standard project documentation as the primary reasons for these failures.

Inaccurate cost estimations can directly be attributed to the development of inferior parts due to inaccurate or inconsistent designs which then lead to project inefficiencies due to changes in scope and rework required to rectify the issues.

From a software applications point of view, the poor dissemination of project data and a lack of integration between project and maintenance systems lead to a lack of cohesion between the many different moving parts of dynamic a project team resulting in project inefficiencies.

Accessing solutions to overcoming design challenges

These challenges can be overcome, and the project risks mitigated if project designers and engineers choose to utilise a software platform which has the necessary features to ensure project success.

A platform which can offer the ability to meet high quality design standards even under challenging conditions and can generate accurate data for immediate project applicability is an invaluable tool for a project where accurate parts need to be manufactured and time to implement is of the essence.

In addition, this platform should ensure it supports customisable data types to meet the unique needs of each project and have some form of ‘future proofing’ built into the platform and the underlying support and maintenance model to ensure a positive return on investment.

Finally, the right platform can also help fast track project execution and provide project efficiencies by managing resource co-ordination via a single source of the truth.

How Hexagon PPM and CADWorx can help

CADWorx Plant Design Suite is an integrated, complete AutoCAD®– and BricsCAD®-based software series for plant design that provides intelligent drawing and database connectivity, advanced levels of automation, and easy-to-use drafting tools.

Indonesian designers and engineers can take advantage of the features offered by Hexagon PPM CADWorx to help them deliver accurate project designs to ensure project success. CADWorx comes with the features needed to mitigate the inherent risks and issues faced by engineers and designers building plants for Indonesia’s growing economy.

Download our white paper to learn more about how Hexagon PPM and CADWorx can help designers and engineers engaged in the Indonesian growth industries achieve project success.


Learn more about CADWorx at HxGN LIVE in Las Vegas, June 12-15.

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