COMMUNICATION ON PROGRESS - United Nations Global Compact

Rajawali Corpora 2012 – 2013

COMMUNICATION ON PROGRESS PT RAJAWALI CORPORA 2012 - 2013

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I. COMPANY IDENTITY Company Name

PT Rajawali Corpora

Address

Menara Rajawali Kawasan Mega Kuningan Lot 5.1 Jakarta 12920 Indonesia

Country

Contact name Y.W.Junardy Contact Position President Commissioner Contact telephone no.

Date

May 1st, 2013

Membership date

April 8th, 2006

Number of employees

±32.000 persons (Total Group)

Sector

Investment Holding Company

021 576 0808

Brief description of nature of business PT Rajawali Corpora is an investment holding company of Rajawali Group operating in diversified industries with 13 business units in hotels and resorts development, land and air transportation, agriculture (palm, sugar, rubber, and corn plantation), coal, gold, and iron sands mining, broadcast media, infrastructure, and IT Services. The Group covers approximately 30,000 employees.

Statement of continuing support

“PT Rajawali Corpora is proud to be the member of the United Nations Global Compact. We are committed to the Global Compact initiatives and uphold its ten principles pertaining to human rights, labor rights, protection of the environment and corporate governance. We believe that by adhering to this core set of universal values which are fundamental in meeting the socio economic needs of the world, we would be able to foster sustainable growth. Our commitment is also reflected in our participation in collaborative actions and full support to the operations of Indonesia Global Compact Network by providing office facilities, executive resources as well as operating funds in order to advance the GC Principles in Indonesia. Peter Sondakh Chairman & CEO PT Rajawali Corpora

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Rajawali Corpora’s Vision and Mission :

Vision : To become an outstanding reputable company that creates and adds value to our stakeholders

Mission : • • • •

Optimizing shareholders’ value. Delighting customers with superior products and services. Inspiring, empowering and caring for all employees. Supporting the community and environmental sustainability.

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II. IMPLEMENTATION OF UNGC’S 10 PRINCIPLES HUMAN RIGHTS PRINCIPLE 1

PRINCIPLE 2 PRINCIPLE 3

BUSINESS SHOULD SUPPORT AND RESPECT THE PROTECTION OF INTERNATIONALLY PROCLAIMED HUMAN RIGHTS BUSINESS SHOULD ENSURE THAT THEY ARE NOT COMPLICIT IN HUMAN RIGHTS ABUSES BUSINESS SHOULD UPHOLD THE FREEDOM OF ASSOCIATION AND THE EFFECTIVE RECOGNITION OF THE RIGHT TO COLLECTIVE BARGAINING

Respect for human rights is a fundamental principle of practicing good management and being a responsible business. At Rajawali, the implementation of human rights is reflected in the company philosophy, values, policies and code of business conducts covering the roles of management and employees as well as the advancement opportunity, competitive compensation and benefits, work environments, and obligation to the community in location where we are operating (Corporate Social Responsibility).

Implementations: • Framework: Corporate Governance The Governance framework is designed to provide the Rajawali Corpora Board, the Business Unit Boards and the RC Group’s employees with a structure by which: o the business is conducted o decisions are presented and approved o employees conduct themselves Rajawali Corpora is committed to uphold its Corporate Governance to: o create Shareholder Value o protect individuals—provides ground rules in which management can operate o part of Risk Management o provide good control environment o provide good business practice–where it is structured and focusing on core principles o establish credible structure/credibility–assisting to attract solid, long term investors The Rajawali Governance Framework provides empowerment to the Business Units Investments within the approved risk tolerance levels. At the Holding level, Rajawali Committee and/or Rajawali Board approve the following: o Strategy, Business Plan, and Annual Budget o Fund raising / equity changes

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o o o o o o o o o

Pledging of assets / off balance sheet debt Purchase and sale of major assets Executive appointments and exits Risk profile Executive Compensation, appointments and KPIs Investment Business Cases Financial Audits and Governance Environment Policies and compliance Code of Conduct

With the above approvals from the Holding level, Governance is established. Business Units operating within the guidelines uphold Rajawali Governance. •

Process: Corporate Governance The Corporate Governance, Policy, and Code of Business Conduct are in place and implemented across all Business Units. The Governance document has been reviewed and updated once a year and served as a guideline for the management and employees in conducting the business throughout the Group. The Company policies are also reviewed and updated regularly. o The mechanism process of updating the Corporate Governance documents commences in every July. Strategy and Governance office would first collect inputs from the internal audit departments, along with written and verbal inputs from few relevant General Managers in each business unit and each MD office. Based on the inputs, Strategy and Governance Office will prepare a proposal for Governance changes. Through few rounds of review with GM and MDs, Strategy and Governance office will then finalize the proposal. Based on the summary, the Corporate Governance manual is updated o Training on Corporate Governance is conducted once the Governance manuals are updated. The programs are conducted throughout relevant people within the Group. - In 2012, the governance training was conducted in January - February 2012 and again in June 2012. - In 2013, governance training was completed in February, 2013 o In February 2012, Corporate Governance department improved the program into developing Governance Online where BU can submit Business Case, Business Plan, Material Contract and Debt Facility. Since then, almost all submissions of Business Case, material contracts and debt facilities are administered through Governance online. The online methodology simplifies the needs of face-to-face meeting and allows for better tracking of documents. Not necessarily replaced the scheduled meeting, but to shorten the process. Each Business Unit can also track their submission and follow the status—so that transparency in the process is upheld.

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o In 2013 Corporate Governance department aims to launch governance e-learning – an online learning system where every employee can access, take personal quiz, and update their Governance documents online via Company’s intranet portal o Corporate Governance Department also communicates their progress by publishing Governance Reminder which is published quarterly via the Intranet portal of Rajawali. o Last year the Governance survey was conducted for 4 business units in Rajawali: Property, Express, Premiair, and Velo. The results are—all business units comply with Rajawali Corporate Governance. •

Embedding Management Responsibilities To establish corporate accountability, exercise fair, consistent treatment and transparency, the company has reorganized the Corporate Committees each chaired by Managing Director level: o

Human Resources Committee. This Committee is responsible for ensuring competitive and consistent remuneration within the group. Approval through the Committee includes: competitive salary structure in line with the industry specifics, executive compensation and bonuses, employee benefits and prerequisites, employee development programs, and employee stock option plan.

o

Ethics Committee This Committee is responsible for enforcement and implementation of Business Conducts and Practices throughout the Group. It also updates the Policy as required and handles any allegations of misconduct.

o

Environment and Sustainability Committee Established in 2012, this committee is responsible for ensuring that all policies relating to sustainability are relevant and effective and for assessing how successfully each Rajawali invested business unit is able to implement policy, set realistic goals, and monitor performance.

•

Rights to Equal Employment Opportunity & Non Discriminatory Treatment Written policy is in place and implemented across Business Units. The policy defines that all hiring process, promotion, and business decisions are taken strictly on qualifications, business imperatives, and merit.

•

Rights of Workers

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Rights of Workers are stipulated in the Human Capital Policy. It covers, among others: o

o

Health & Safety Rajawali Corpora has established comprehensive and adequate allowance including medical, transportation, health assistance, subsidy/assistance & emergency loan, safety, and security procedures. -

Since 2012, Rajawali Corpora also conducts Tali Kasih program as part of Employee Benefits Scheme—in which adequate funds or gifts are given in the event of marriage, bereavement, and birth.

-

For work safety program, Rajawali Corpora has also provided comprehensive personal insurance for employees that travel often during work, and for all people managers.

-

This comprehensive allowance scheme is established so that the employees can have a favorable working condition and thus, it may then support their well-being. The provision and amount of allowances may differ in Business Units by considering the industry common practices and requirements.

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Special field training is regularly conducted for plantation workers.

Education Every employee is eligible to get training in order to develop their skills and competency to support company objectives. Company provides both soft skills and technical skills education as required. Some conducted internally, others are acquired externally. -

Service Excellence training was conducted for all Front-liners throughout the Group in March 2012 at Aston Rasuna hotel, Jakarta. This training was designed to develop and expand the knowledge and skills for front liners (office girls and boys; drivers, receptionists, etc) in providing quality services within their work. Another similar training of Service Excellence was conducted in April 2013 at Puncak, Bogor.

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Secretary Gathering has been conducted annually for all secretaries in all Business Units of Rajawali Corpora. The content aims to provide secretaries with the latest knowledge in a Secretarial area.

-

In 2012, Internal Training on How to Deal with Journalist and Tips and Trick Interview with Media was conducted by External Communication Department for relevant employees of all business units. Mechanical training for employees of Cendrawasih Jaya Mandiri, one of Business Units in Agriculture Business for its comprehensive Land Clearing and Land Preparation project, was conducted in Merauke, Papua.

-

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o

o

-

Special scholarship program is also available, granted to the lower level employees’ children. This is applicable in Rajawali and across business units.

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Our transportation business unit, Express Taxi also holds the same program. In Express Taxi, where drivers are business partners instead of employees, their children are also eligible for company scholarship.

Internal Communication The company facilitates various internal / employee communication programs to allow employees to express their aspiration to the management, and vice versa. The available programs include: -

Kick Off Meeting is an annual meeting of Rajawali Group; that is attended by leaders/managers across the company and business units to recognize the high-achievers and to communicate company’s business direction and strategy of the year;

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Intranet Rajawali—is an intranet based online technology that provides company information for all employees in order to keep the employees abreast with the current situation of the Company and Business Units. The Intranet is also functioned as an employee communication tool by means of enabling group interest forums such as Photography, Choir, various sports, etc. In May 2013, the intranet portal is upgraded into a more interactive, modern look—to mirror the Company’s dynamic and innovative attitude on employees’ engagement.

-

Employee Activities of Rajawali Corpora comprise of various groups of interests in sports and arts, such as basketball, volley ball, futsal, badminton, table tennis, tennis, golf, cycling, yoga, karaoke, photography, and choir. Religious community such as Tausiyah is also part of Employee Activities initiative. The purpose of establishing such community groups is to strengthen the tie between Rajawali Corpora employees while also to promote the healthy and balance work-lifestyle by encouraging its members to contribute in sport, art, and/or religious activities. Sense of belonging (through workplace communal activities) may promote inter-employee sustainable engagement, whereas employee physical and mental health may in turn affect work productivity.

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Other Informal gatherings: Thematic gathering, RC CUP (Sport and Art Competition), Employee Outing, Mudik Bareng (Homecoming Together) (held by our Infrastructure business unit on Idul Fitri Holiday Season).

Obligation to the Community - Express Group has built a cooperation initiative with Yayasan Kanker Anak Indonesia (Child Cancer Foundation) in providing free transportation to

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children who suffer from cancer disease for their routine therapy medication. -

Rajawali Corpora supports University Paramadina Fellowship program as part of Company’s commitment to make a positive impact on building the nation. Full scholarship education programs for the nation’s talented students have been offered to students of less-privilege family.

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Rajawali Foundation provided cash and in kind donations and support to a number of worthy causes during these two years. These included:

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YKAKI, a foundation for children suffering from cancer

Sekolah Darurat Kartini, North Jakarta, to enable them to provide free education up to 12th grade, for those from less privileged backgrounds

Karya Sosial Atmabrata in Cilincing, North Jakarta for a variety of good causes including providing food for the elderly, education, health and clothing for children, including computer equipment for educational purposes

Micro finance for small traders as well as support for communities recycling plastics from waste.

During Ramadan—August 2012, the Foundation conducted a number of activities to look after the elderly, (especially those alone) on a variety of fronts including direct donations, shelter, activities, food and clothing.

Blood donations were made on four separate occasions during the year at Menara Rajawali (February 2012, May 2013, September 2012, December 2012, March 2013)

Jakarta Flood Victims in January 2013

As a regular feature throughout the year of 2012, various business units in the Group took it in turn to co-host and arrange CSR programmes to build knowledge and best practice across the group in CSR activity.

In March PremiAir held a gathering at Halim Perdana Kusuma airport with guest expert speakers on the sustainability of CSR programmes and the Balanced Score Card. In April an in-house training session was conducted in Jakarta for 37 participants from RC Group business units on system based CSR implementation.

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Nusantara Infrastructure hosted a further CSR lecture in June from expert, Tom Malik on fundamentals and governance principles relating to CSR.

• Employee Wellness Company provides comprehensive wellness facilities. These benefits vary from one business unit to another depending on each respective industry environments and affordability. These include: o

Medical allowance & health prevention assistance;

o

Transportation allowances;

o

Special assistance/emergency loan offered to our employees affected by crisis, such as grievances (i.e.: death, prolonged sickness,) natural & fire disaster;

o

Employees’ leaves (Annual Leave, Long Service Leave, Maternity Leave, Sick Leave, Compassionate Leave, Hajj Pilgrimage Leave, and Unpaid Leave);

o

Employee transfer/relocation entitlements for those who are relocated at the company’s request. The entitlements include: housing allowance, educational allowance for the children, additional vocational leave, home trip, hardship allowance (if any,) and cost of living allowance.

• Violations To exercise fair treatment and ensure all actions are justifiable, the company implements sanction procedures for any violations or breach of code of conducts by employees. Business Ethic Committee is involved in any serious violation. • Termination of employment To ensure that all termination actions are justifiable, properly administered, and executed according to the prevailing government laws and company policy/regulations, the company sets a termination procedure and an exit interview for any termination. There are two categories of termination: company initiated termination and employee initiated termination. Employees whose employment is terminated may receive severance compensation according to the prevailing government policy. •

Freedom of association The company policy stipulates the company facilitates communication programs to allow dialog with employees to understand their aspirations. The formation of association or union is stipulated in the policy manual. Employee can form the organization so long as it adheres to the company policy and code of business conduct.

•

Political Activities

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The company is not affiliated to any political party. Employee joining political party is considered a personal affair. Employees should not use the company’s time and resources in conducting his/her political activities.

LABOUR PRINCIPLE 4 PRINCIPLE 5 PRINCIPLE 6

•

BUSINESS SHOULD SUPPORT THE ELIMINATION OF ALL FORMS OF FORCED AND COMPULSORY LABOUR BUSINESS SHOULD SUPPORT THE EFFECTIVE ABOLITION OF CHILD LABOUR BUSINESS SHOULD SUPPORT THE ELIMINATION OF DISCRIMINATION IN RESPECT OF EMPLOYMENT AND OCCUPATION

Labor policy o

In accordance to the established policy, Company and its business units must not engage in any forced and compulsory labour. The Company establishes a standard working hour. The procedures and payment of overtime for eligible employees are provided in accordance to the government regulations.

o

The company policy stipulates that the minimum age of employee to be hired is 18 years old. No child labour.

o

The following is the distribution of employee by age in Rajawali Corpora (this figure does not include employees in Business Units):

RAJAWALI CORPORA, PT GROUP AGE AS OF APRIL 2013 22-25

26-30

31-35

36-40

41-45

46-50

51 UP

13

41

70

71

58

50

52

•

355

Non-discrimination Policy o

Policy is in place and implemented across business units. Company provides a working environment that is free from harassment and discriminations including that from race, ethnic, color, religion, national origin, disability, marital status, age, sexual orientation, or gender.

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o

Promotion is fully based on individual performance and potentials, evaluated by immediate superior, and approved by superior’s superior and Human Capital.

o

Distribution of employee by gender in Rajawali (excluding employees in Business Units):

RAJAWALI CORPORA, PT EMPLOYEE DATA BY GENDER AS OF APRIL 2012 LEVEL

FEMALE

MALE

TOTAL

MANAGERIAL

30

81

111

NON MANAGERIAL

54

38

92

NON STAFF

29

123

152

TOTAL

113

242

355

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ENVIRONMENT PRINCIPLE 7 BUSINESS SHOULD SUPPORT A PRECAUTIONARY APPROACH TO ENVIRONMENTAL CHALLENGES PRINCIPLE 8 BUSINESS SHOULD UNDERTAKE INITIATIVES TO PROMOTE GREATER ENVIRONMENTAL RESPONSIBILITY PRINCIPLE 9 BUSINESS SHOULD ENCOURAGE THE DEVELOPMENT AND DIFFUSION OF ENVIRONMENTALLY FRIENDLY TECHNOLOGIES

o

During the course of 2012, Rajawali Corpora conducted a series of key workshops in which senior management participated to examine the key issues and impacts arising from our business operations in respect of our contribution to the economy, to the environment and not least to social development in Indonesia.

o

The outcome of these deliberations is articulated on our strategic sustainability framework (Fig 1), the opportunity to place on record the Company approach to sustainability and sustainable development in its classic definition ‘to meet the needs of the present without compromising the ability of future generations to meet their own needs.’

Figure 1. The Rajawali Sustainability framework

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•

•

Our sustainability commitment o

‘Resource stewardship for tomorrow’s generations’ upholds Rajawali Corpora vision to become an outstanding reputable company that creates and adds value to our stakeholders. Five pillars support this commitment: the creation of value, care for people, excellence in delivery, community awareness and support and responsible environmental management.

o

This commitment is translated into a series of Sustainability policies in Rajawali Corpora Corporate Governance.

o

To oversee the governance of sustainability an Environment and Sustainability Committee meeting is in place regularly, twice in 2012. The committee has a brief to ensure all policies relating to sustainability are relevant and effective and to assess how successfully each Rajawali invested business unit is able to implement policy, set realistic goals and monitor performance.

o

Day to day implementation of our sustainability commitment is in the hands of an active group of Environment and Sustainability Champions (ESCN) who works within RC invested business units to develop, refine and deliver against goals and targets, reporting to a Champion leader for each of the environmental themes.

Embedding management responsibilities To establish corporate accountability to the sustainability commitment, the company has established the Environment and Sustainability Committee chaired by Managing Director level: o

Environment and Sustainability Committee Established in 2012, this committee is responsible for ensuring that all policies relating to sustainability are relevant and effective and for assessing how successfully each Rajawali invested business unit is able to implement policy, set realistic goals, and monitor performance.

Environmental Initiatives Some of the initiatives that Rajawali Group has conducted to promote greater environmental responsibility and encourage the development and diffusion of environmentally friendly technologies during the course of 2012 include: •

Agriculture Group: o Using the best practices in agronomy and a responsible approach to the environment: due care over the use of pesticides and fertilizers to ensure there is no spill nor runoff into local water courses, effluent ponds are used to collect wastewater from our CPO mills and organic materials are broken down using

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aerobic and anaerobic bacteria, usage of wastewater in land application to supplement the use of fertilizers, integrated pest management

•

•

o

Maintaining a training center to equip future skilled agronomists with the knowledge to support our operations as the Group expands to meet demand.

o

Conducting HCV (high conservation value) assessments in all new operations to ensure a responsible approach is taken to protect primary forest areas and habitats

o

Committing to zero peatland development and zero tolerance towards any burning of forests

o

Evaluating composting process of empty fruit bunches using bunker

o

Optimizing utilization of oil palm shells and fiber as fuel to reduce oil fuel consumption

o

Planting and reforestation

o

Regular monitoring of water and air quality

Mining Group: o

Reclamation and decommission sites to a safe and stable condition

o

Collecting top soil and vegetation from sites before mining operations begin for replanting purposes during rehabilitation

o

Collection and disposal of hazardous waste by approved third parties

o

Water treatment and regular monitoring of water and air quality

o

Training of employees and contractors

o

Reduction of dust emissions through water spraying

Infrastructure and Transportation Group: o

PT Nusantara Infrastructure under its umbrella corporate responsibility programme, ‘Nusantara Care,’ has both a variety of initiatives to address the six core environmental themes as well as safety, health and education as its contribution to capacity building, disaster preparedness, environmental and

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thought leadership – using a series of public seminars to raise awareness and promote debate on sustainable development

•

o

Refer to Express Taxi Sustainability Report for information related to Express Taxi

o

Premiair – compliance with ISO 14001 Environmental Management System

Property Group: o Central to the strategy is the appointment of first class operators to manage the hotels. These are international hoteliers in whom the Group has confidence not only for delivering the best in service standards, but a professional approach to environmental stewardship. o

o •

The Group has clear and well-established policies on environmental management, social responsibility and, not least, occupational health and safety. This has been integrated into the daily routines of our international managers who include: -

Starwood Group – featuring the hotel and resorts brands of Sheraton, Westin and St. Regis, each with a distinctive positioning.

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Four Seasons is engaged in sustainable practices that conserve natural resources and reduce environmental impact, across all 85 of its hotels and resorts. In addition the group is active in a number of goals including planting 10 million trees, wildlife conservation and local farming. Greening programmes have been developed to ensure services to conserve water, recycle and reduce carbon are part of corporate meetings and events at Four Seasons.

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Marriott International is aligned with the issues important to the communities in which it operates, Marriott shows a clear responsibility towards the environment and in particular, programmes for the conservation of forests.

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Novotel - with 395 hotels in 60 countries, Novotel as partners to Rajawali, have a public commitment to the Green Globe worldwide certification programme and sustainable development.

Two new projects are embracing in green building standards

Rajawali Foundation o

In March 2012, Rajawali Foundation participated in a seminar hosted by IGCN and the Ministry of Public Works on Collaborative Water Management in

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Indonesia, held on World Water Day, 22nd March 2012, on the theme of “Water and Food Security” covering a variety of actions and policies to conserve water. o

On World Earth Day 23rd April 2012, at Bina Nusantara University, Jakarta, Rajawali Foundation attended the launching of a collaborative action programme on water issues and sanitation as a lead in to the RIO + 20 event. In September we participated in a further IGCN gathering to raise awareness of the need to conserve water resources.

ANTI CORRUPTION PRINCIPLE 10 BUSINESS SHOULD WORK AGAINST CORRUPTION IN ALL ITS FORMS, INCLUDING EXTORTION AND BRIBERY •

Core Values The adoption of corporate governance is embedded in our Rajawali Values which are the guiding principles of our operations: -

Integrity : We act in an honest, ethical and truthful manner Caring : We show concern for others Respect : We value and appreciate other people’s views Excellence & Innovative : We do the best to consistently exceed expectations through actions and the generation of new ideas

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Being Responsible : We are accountable for our actions and inactions Unity : We capitalize on differences and work together to achieve common goals Growth : We always strive to become better

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•

Code of Business Conduct The code provides a guideline to all employees in businesses conducted within and outside the Group. It includes compliance with laws, regulations and company’s policies; fair dealing; conflicts of interest: outside engagements, insider trading, gifts & entertainment; integrity of financial records, crisis management, and establishment of authorities, group asset and confidential information protection.

•

Management Responsibilities The following committees are established in order to enforce the Business Conduct Practices across the group.

o

Ethics Committee

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The Committee is responsible for the enforcement and implementation of Business Conduct and Practices throughout the Group. It updates the Policy as required and handles any allegations of misconduct. o

•

Audit Committee The Committee is responsible for the financial and process audit conducts in order to ensure compliance with the company policy and delegation of authority.

Promoting Good Corporate Governance

o

Rajawali Corpora is also the active member of Indonesian Business Links (IBL), a non-profit foundation aims to contribute towards the creation of sound and ethical business practices in the country. We also participate in the 3rd National Corporate Social Responsibility Conference as a speaker and moderator which endorsed the active role of promoting the UN Global Compact.

Rajawali Foundation •

A Brief on Rajawali Foundation o

For Rajawali Corpora, creating value in business is not only about generating more profit. Rather, it has to do with how our businesses and activities can make a difference for the benefit of the community and the environment. Concerning this matter, Peter Sondakh, the Chairman & CEO of Rajawali Corpora, founded the Rajawali Foundation in 2010.

o

Rajawali Foundation is a social institution that is committed to support education as an important component of change and development in Indonesia, especially in the area of public policy education. The Foundation promotes and advances public policy education by enabling scholars, politicians, bureaucrats in Indonesia to have the chance to develop their knowledge through the leadership transformation program. Furthermore, aside from focusing our objective in education, Rajawali Foundation also carries out the Corporate Social Responsibility action and Good Corporate Governance practice, as a part of our community development agenda. Rajawali Foundation believes that by fostering better leadership and developing community in Indonesia, it will be possible to attain a more sustainable living environment for our better future.

o

Regular evaluations and audit towards Rajawali Foundation programs and activities are always done by the Foundation to ensure that the development progress and our objective are achieved. We believe that this is what makes us become a leading company with the highest business practice ethical standards.

o

As a non-profit institution, without political affiliation, the Rajawali Foundation’s main objectives are to engage in social and humanitarian activities - to explore,

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develop and disseminate knowledge for the betterment of society. Its activities include research, academic collaboration, the use of conferences and the publication of studies on human development, the advancement of communities, the quality of life and the environment. Guided by our core values ‘Giving, Caring, Enabling’ Rajawali Foundation is spreading its wings by collaborating with other institutions to expand greater impacts to more people. o

•

In essence the Foundation maintains a vision for a balanced economy, addressing key issues including income inequality and the sustainable stewardship of our finite resources for tomorrow's generations.

Public Policy Education Programs & Activities

Leadership Transformation in Indonesia Program o

The Leadership Transformation in Indonesia Program is a two year executive education program for leaders that was established by the Rajawali Foundation and other Partner under the Institute for Transformation of Public Policy. This program was launched in April 2013 as an extended program of Harvard Kennedy School Indonesia Program (HKSIP). Following the curriculum given at the HKSIP, the Institute will provide Public Policy Elective Course given by Australian National University or Northwestern University during the second year of the program. The curriculum of this executive education program emphasizes international best practice and adopts a case-based teaching methodology to focus on pragmatic solutions to real-world program. The program enable participant to have interaction with international policymakers and business leaders to benchmark local practice and policy direction against global standard. This program is believed to be given better understanding and awareness toward the challenges that is being faced by the regionals, and allow the leaders to develop the right and effective public policy that will benefit the entire society.

Harvard Kennedy School Indonesia Program (HKSIP) o

Launched in 2010 with a $10.5 million gift from the Rajawali Foundation, the Harvard Kennedy School Indonesia Program promotes research, education, and capacity building in support of democratic governance and institutional development in Indonesia. The HKS Indonesia Program (HKSIP) develops research projects on key policy challenges facing the country and develops custom executive education programs for senior Indonesian policymakers and leaders that are delivered at Harvard Kennedy School and in Indonesia. The Program also offers research fellowships to support Indonesian students and scholars participating in degree courses and executive education programs at Harvard. A robust student research programme encourages students to pursue a diverse range of research projects about and in Indonesia. In 2012 such a programme was developed to train 38 Government officials in public policy studies and governance.

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Indonesian Centre for Public Policy Studies (ICPPS) o

Officially inaugurated March 15th 2012, this body has been set up to foster cooperation between Rajawali Foundation and the University of Indonesia, Economics Faculty, in the search for excellence in public policy implementation. The grand opening preceded a series of activities including a book launch from former Economic Coordination Minister Prof. Dr. Dorodjatun Kuntjoro-Jakti titled, 'Menerawang Indonesia' a study on Indonesia's future in the twenty first century.

Publications o

•

In March 2012, the Foundation's book on 'Shaping Indonesia's destiny' was introduced in Jambi, Sumatra.

Community Development Programs & Activities

The United Nations Global Compact o

Rajawali Corpora is proud to be a part of the UNGC and to uphold its 10 principles pertaining to human rights, labor rights, the protection to the environment and corporate governance, the fundamentals required to meet the socio economic needs of the world. We also provide support to the Indonesian Global Compact Network, in the form of office facilities, executive resources, as well as operating funds.

Local Government activities o

In April 2012, we welcomed local Government representatives from Bitung, North Sulawesi to a lecture in Jakarta on development planning and good civil governance for the district of Aertembaga including ideas on how to market the district in order to enhance conditions for stimulating local economic growth.

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