CNRG-ITB Indonesian Electronics Industry: An Educational Perspective Onno W. Purbo Inter University Center on Microelectronics ITB FAX

CNRG-ITB Outline n Vision n Overview of the electronics industrial processes. n Who will survive in the long run. n What are the industry looking for? n Case Study: Motorola’s Strategy. n Summary.

CNRG-ITB Vision in Policy Totally Free Market Competition is a must. Incentive for Investors (Customer Oriented in Government Services)

CNRG-ITB Vision in Technology System on a Chip! (cost effective & robust) Human Resource Development

CNRG-ITB Major Electronics Subsector Telecommunication Some even have its own R&D Consumer Electronics

CNRG-ITB Where to Get Current Data Internet!!! PUSDATA DEPRIN

CNRG-ITB Overview of Electronics Industrial Processes n Define System Specification n Design Process –System Design. –Component Design. –IC Process Design. n Manufacture Process n Test & Evaluation n R&D & Market Analysis. n R&D & using: –Data book. –Process Parameters. n Manufacturing Plant

CNRG-ITB Trend in Electronics Manufacturing Design at Chip / System Level Surface Mount Technology For Automation

CNRG-ITB Who will survive in the long run? n Those who have their own design center / R&D. n Those who have the capacity for SMT & rapid manufacture.

CNRG-ITB How can they survive? n Incentive for Human Resource Development. n Incentive for Investor. n Tax Incentive & Reduce overhead costs.

CNRG-ITB Investor requirements..... n Labor (Human Resource) n Land n Utility (Water, Power, Waste Disposal) n Taxes n Efficient & Cooperativeness of Government (Customer Oriented Government - “One stop non-stop policy” in Singapore).

CNRG-ITB It would be nice if.... n All the required data can be easily obtained. n All the required form and information can be easily obtained. n Think Customer Oriented. n Make the life of Investor in Indonesia a bit easier....

CNRG-ITB Role of Government... n Resource Manager Indonesia Resources & Capacity. n Facilitator Networking & Advertising Agency. n Motivator Regulation & Incentive.

CNRG-ITB Case Study Motorola’s Effort for Long Term Stay in Indonesia.

CNRG-ITB Strategic Planning Own Feasibility Study Help Human Resource Development

CNRG-ITB Helping Human Resource Development n Objectives: –Qualified Technicians / Operators (STT Telkom) –Design Center (Institute of Tech Bandung) n Organization based on the direction of a steering committee (not directed by Motorola).

CNRG-ITB Motorola’s Activities at ITB n Invest many books & manuals for use by the students in an 24hr open lab. n Invest some equipment for use in some teaching and mostly research activities. n Giving some (currently small) grants for research activities.

CNRG-ITB Motorola’s Activities (cont’d) n Invitation to seminars for many educational institutions. n Internship program for Indonesian students at Motorola Facilities in Malaysia & Singapore. n Internship program for Indonesian lecturers at Motorola University (Singapore).

CNRG-ITB What if.... n The regulation and environment in Indonesia is not supportive towards investors in electronics industries. n We are looking at building a: Motorola’s Design Center n Require less people, less capital, hassle free & can be initiated at University.

CNRG-ITB Some Surprises.... n The quantity of qualified engineers in Indonesia is very small.... n Motorola is trying to find 20 engineers for IC Process... we cannot provide it! n Most Indonesian electronics “industries” are reseller, operator, assembly, install. n It may be better to send the Indonesian engineers to work in Malaysia & Singapore manufactures.

CNRG-ITB Summary n An intense competition is a must... n Government attitude towards customer oriented is a must. n Telecommunication industries is more interesting for local / national market. n Consumer electronics is more interesting for export driven. n Force investors to help human resource development.

CNRG-ITB Summary (cont’d) n Professionalism in the Indonesian Government. n Professionalism in the Indonesia educational institutes.