Energizing PT Pos Finansial Indonesia to Participate in Current Digital Financial Services

DOI

10.2991/aebmr.k.201222.026How to use a DOI?

Keywords

financial service, digital technology, unique market, service model, business values

Abstract

In the growing financial services industry, the postal financial services business is declining significantly. Outdated technology and service have been the cause of the declining revenue of postal financial services business. PT Pos Finansial Indonesia or Posfin, a subsidiary of PT Pos Indonesia (Persero), is used to salvage the declining business by employing new digital technology and improving services to recapture and expand the missing market in the new digital financial services environment. To assess the business situation, market potential, and business values, appropriate analyses are done. Business competition is analyzed using Porter’s Five Forces, Value Rarity Imitability and Organization (VRIO), and SWOT (Strength, Weakness, Opportunity, and Threat) frameworks. Competitors in the industry are also being analyzed. Market sizes are calculated using the Market Subsets Model. Business values are explored through: Financial Statements projection, Discounted Cash Flow (DCF), and Terminal Value (TV) calculations. The analyses show that the current postal financial services are limited in time and place, technology is outdated, and service models are not developed. On the other hand, there are some strengths available that are very valuable to be utilized. Potential market that is unique to PT Pos Finansial Indonesia is still available and significant in size. By using new digital technology, developed service models, and utilizing strengths, Posfin can recover and grow the business to get significant business values. Context modified banking can be a long term strategic business direction to sustain and grow the business.

Copyright

© 2020, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Bambang Sugiharto
PY  - 2020
DA  - 2020/12/23
TI  - Energizing PT Pos Finansial Indonesia to Participate in Current Digital Financial Services
BT  - Proceedings of the International Conference on Business and Management Research (ICBMR 2020)
PB  - Atlantis Press
SP  - 177
EP  - 183
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.201222.026
DO  - 10.2991/aebmr.k.201222.026
ID  - Sugiharto2020
ER  -