handy-sized vessels, so the costs were higher.”
But this didn’t stop Alwin from finding
other ways to strengthen his business. “In
total, 80 per cent of the flour mill’s cost is
wheat,” he says. “We cannot do anything
about that, but we can focus on product
quality.” So, Alwin invested in the latest flour
milling technology. “We bought a flour
mixing plant that allows consistency and
customisation,” he says. “We can now make
different qualities and quantities. No other
flour mill had that flexibility back then.”
This technology focus went even further,
with SFM developing a new type of flour –
super white with extra-fine granulation.
“Now we can make flour that’s very fine, like
Japanese flour.” Alwin continues. “Indonesians
like soft, white Japanese bread more than
Western bread, which is harder and a darker
colour. We purchased the machine, expanded
and bought another one to meet high
demands for premium flour.”
With the flour mill’s success, Alwin
diversified into restaurants; acquiring Pizza
Hut and Japan-based Marugame Udon.“Now we have around 400 Pizza Hut outlets
and 40 Marugame Udon outlets,” he adds.
“The combined sales revenue of the
restaurants is much higher than the mill.”
Other successful developments under the
Sriboga brand include Sriboga Bakeries
Integra, which manufactures Japanese bread
crumbs and owns retail bread brand Roti Le
Gitt, as well as Food Solutions Asia, which
produces premixes and functional flour
products for the food industry. And like
the CBH Group, Sriboga is progressive
in expanding its downstream businesses.
CBH Australia is one of SFM’s several
wheat suppliers.
Moreover, Alwin says SFM has a very low
turnover rate, as well as strong camaraderie
between the upper management and workers
on the ground. “Of the 700 employees, 300
of them are labourers,” says Alwin. “But their
food is the same as the CEO’s.”
With SFM now operating for more than
20 years, Alwin plans to make it public. “I
think success is a journey, not a destination,”
Alwin says. “There are many successful
private companies, but it can be a volatile
path. I have experienced this myself. So,
I’m preparing SFM to go public to create
a sustainable future and enduring success.”
However, Alwin believes success shouldn’t
only mean expansion, more profits,
efficiencies or even good management.
“When you make a profit, share it with
the community,” he says. “When someone
is happier because of your actions, you feel
much more successful than making more
money for yourself.”PT SRIBOGA FLOUR MILL IS A SPIN-OFF OF
FOOD AND BEVERAGE HOLDING COMPANY
SRIBOGA RATURAYA. IN fiflflfl, SRIBOGA
RATURAYA WAS RECOGNISED BY UNICEF AS
BEING THE FIRST COMPANY IN THE WORLD
TO FORTIFY ITS WHEAT FLOUR WITH ZINC, AS
WELL AS IRON, THIAMINE AND FOLIC ACID.
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