SCORE Indonesia Case Study: SCORE Training supports growth of a female run business

How SCORE helped Maria Satiautri, Founder & CEO of SPA Factory Bali, to enhance the effectiveness of her organisation and lay the ground stones for future success

PT. SPA FACTORY BALI ENTERPRISE PROFILE
Founded2002 by Maria Satiautri
LocationUngasan, Bali
Employees2002 1 employee,
2015 32 employees (21 female)
ProductsSpa Products for national and international spas, hotels and resorts

In 2002, Maria Satiautri had a dream of starting a career selling spa products. Thirteen years on she is the proud owner of PT. Spa Factory Bali. From humble beginnings, operating from her home with just 1 employee, the company now occupies a prime 1,450 m2 factory with 32 full time employees and is selling its products through a number of international and local hotels and resorts.

Maria Satiautri, Founder and CEO of SPA Factory Bali, PT Spa Factory Bali new premises since April 2015

Building success as a woman Entrepreneur

Maria’s management approach, which has underpinned her business success, is inspired by her professional and her personal expereince. As the mother of two children, she is well aware that balancing work and home responsibilities can be a challenge and a distraction for staff with young children. As a business-woman she also recognises the importance of holding on to talented staff and maximizing their performance while at work. This led her to open a day-care facility for the children of staff, “I know the feeling of security when parents are able to look over their children while working.” Maria explains.

Maria has also injected a strong sense of family values in the workplace, offering a flexible work pattern, creating a positive culture and team dynamic. To ensure team spirit, she regularly organises activities such as exercise sessions, cooking and eating lunch together, and fishing trips. “Social activities create a high sense of belonging among the employees. Ultimately, this will lead to them being more effective and to a greater consumer satisfaction toward our products,” Maria points out.

Daycare centre at PT. Spa Factory Bali, Organised work spaces in labs and R&D following SCORE Training

SCORE impact: Enhancing Effectiveness at Work

When the company joined the SCORE Training programme it was growing in the face of fierce competition, but Maria was conscious that aspects of general management were stopping the company from reaching its full growth potential. The company completed the first SCORE module early in 2015 and made impressive progress, particularly in two areas:
1. Workplace Organisation: 5S was introduced in various work areas including the warehouse, production and office areas.
2. Communication and Workflow improvements were introduced to aid workflow and to improve results, particularly where more than one department was involved in a project.

“After the SCORE Training, I encouraged employees to take a more active part in discussions and in issue mapping. This knew this was essential as this training emphasises the central role of employees as the agents of change: thus, when a change is necessary, the initiative originates from the employees,” Maria Satiautri, Founder & CEO
 
The need for SCORE was widely felt: “The space was limited in our offices, and our warehouse was seriously disorganised. All products were mixed-up and there was no proper layout organization of the workspace nor consistent labelling of stock.” Maulina said. Perhaps this is one of the reasons employees and management were highly motivated after the training to transform their company, and demonstrated this symbolically through the signing of the SCORE banner by all employees and managers.

“SCORE Training is not boring: it is so different from the trainings we attended in the past,”
Maulina Soliha, Head of Production at Spa Factory.

1. Workplace Organisation using 5S
In conjunction with improving cleanliness and workspace organisation, an Enterprise Improvement Team (EIT) was formed and a suggestions system was instituted. Employees communicated both issues and ideas through the suggestion boxes and were happy to work alongside managers to resolve these, particularly in the warehouse. The EIT worked to ensure that the 5S activities were sustained over the long-term, and to build enthusiasm and passion for approach across all production lines as well as in the offices.
A regular meeting of the EIT Team comprising workers and managers

“The organisation and clean-up activities were originally done only in the warehouse. However, these naturally expanded to production and office areas,”
Jeff Kristianto, BEDO Trainer (Conducting SCORE Training)
 
Thoyibun Riki Mat Hora, Assembling Supervisor, recalls issues relating to stock that arose prior to the training when an absent employee from a particular department was absent. Mauliana describes her workplace in the R&D room prior to SCORE was chaotic.
“I am so embarrassed when I recall how work files were scattered everywhere. Now, thanks to 5S, my room is highly organized.”
Thoyibun Riki Mat Hora, Assembling Supervisor
 
2. Communication and Workflow
Thoyibun has felt improvements in the communication system. “It used to be that our communication system was highly informal; (…) we simply shouted out requests and received the products. With SCORE, we learnt to build a communication system. Now we have written product requests from the warehouse which facilitates correct management of stock.”

Mistakes are also now more systematically addressed. “We used to blame another work unit when there was a mistake,” Maulina explains. “Now we focus more on identifying the issues and looking for a solution. This was made possible due to regular meetings held in the late afternoon among division heads and inventory to discuss various matters such as orders received.” The introduction of weekly meetings bringing all divisions together has also helped to avoid production issues. There is also a new bulletin board to ensure that everyone is informed on important matters.

All of these changes have contributed to a significant improvement in defect rates, down to 0% from between 2% - 2.8%.

SCORE helps good enterprises to become even better

Maria confirms that SCORE Training is geared to the needs of SME entrepreneurs in Indonesia. “The majority of SMEs begin from an Entrepreneurs personal passion, and often they do not develop a good management system. As a result, as the business starts to grow it also starts to fall apart when it should be thriving.”

“I honestly feel supported by SCORE - it was introduced at the right moment for me. When we moved from our previous location to the new premises, the training provided many opportunities to improve workflows, organization, and tidiness of our workplace,” Maria says.

Inside her workspace, filled with an aroma of lemongrass and mint leaves, Maria states that, before SCORE, she was losing her enthusiasm for her work because of the weight of routine problems. “I didn’t have sufficient knowledge to run a factory, but I am now learning from SCORE,” Maria says. One of the things she now realises is how important it is to train staff – including having them join the SCORE training. “I see the SCORE Training as a remarkable training for all employees. They (the employees) often fail to do something … because they do not know how to do it - for example, storing the products in the warehouse appropriately. This is the kind of knowledge that they have now acquired through SCORE.”
“When the employees have knowledge acquired from SCORE Training, they are so passionate to lead the changes in their workplace and they themselves feel the benefits.”
Maria Satiautri, Founder & CEO

The success of Spa Factory in implementing the learning from the SCORE Training in the company has enhanced the morale and team spirit of the employees. This is indicated by a notable reduction in employee absenteeism from 3% in January down to 1% in March 2015.
“Since the workplace now is clean and orderly, the workflow and communication work well, time goes by so fast! Suddenly it is time to go home. I feel at home here: this is like a second home for me.”
Thoyibun Riki Mat Hora, Assembling Supervisor
……

Since this case study was originally written (April 2015) PT Spa Factory Bali has completed all five SCORE Training modules. The company has reported a wide range of benefits, from a sustained reduction in absenteeism, the introduction of a health and safety committee, job descriptions for all staff members, a machinery maintenance system and important cost savings across the company. The EIT meets around 3 times per month and completed over 20 enterprise improvement projects coming from staff suggestions in 2015.