Infomedia Nusantara's journey into second curve

When FORTUNE began to publish The Most Admired Companies in the mid-1980s, it was considered pointless. Reputable American corporations appeared on the list for the first four years. One of them was IBM, which has always been at the top of the list.

In addition, IBM's position and performance at the time was preeminent. As a high-tech corporation, IBM was considered as a nearly faultless company.

Not only were their products varied, from computer mainframes used only by big companies, minicomputers, to personal computers (PCs), but IBM also opened the opportunity for new companies into the industry. From software producer Microsoft, to PC manufacturers -- that were IBM-compatible -- like Compaq. Something that wouldn't be done by a company not confident of its abilities.

IBM also taught other companies -- within and outside the computer industry -- how to manage a company and to service customers.

Stories of how IBM people are willing to go up and down stairs of high rise buildings when the electricity went out just so they can meet their customers, is used as an example everywhere -- including business schools -- how a company should treat its customers. IBM was even considered as an actual business school.

With such a record of accomplishment, no one expected IBM to fall from the top of The Most Admired Companies. Nobody foresaw IBM to be out of the top 10, since to encounter a company that was the least equal to IBM's position and performance was not easy.

What many people couldn't image, happened. After continuous performance decline, not only did IBM fall out of the top 10 Most Admired Companies, it was at a point of devastation in early 1993. Furthermore, IBM's position as the leader of the computer industry was taken over by the companies it nurtured, like Microsoft.

In the beginning of 1998, IBM was back on its feet. IBM was able to avoid its desolation and began to rise as one of the main players of the IT industry.

Although it could not retrieve its position in the top 10 of The Most Admired Companies in America, IBM was able to make a turnaround without dividing its companies.

Its complete range of products supported its turnaround capabilities: from hardware, software, to services. Despite such a performance, IBM could not regain its position when FORTUNE initially exhibited The Most Admired Companies in America.

What had happened to IBM since the mid-1980s up to the change of the millennium is a very important lesson to any company.

Having a sound position during those times, which was attained by giving high value to its customers and not through monopoly, is no guarantee for a company to continue its excellence.

Change in technology, political-legal aspects, sociocultural, economy and market, direct and indirect maneuvers from competitors and even customers' change of attitude can be disadvantageous.

That is why, Bill Gates, who owns leading products for PC operating systems and software, is more concerned with maintaining its products to fulfill the market's needs than worrying about the Anti Monopoly Bill.

Apparently, not only Bill Gates has this perspective. In Indonesian, many companies have anticipated changes of environment that would cause its products to be obsolete.

One of them is PT Infomedia Nusantara. The name of this company might not be well known, but its main product is widely recognized by the public, extensively used by businesses and households with fixed telephone lines since 1975: Yellow Pages.

Although telephone services had existed for decades, up to 1974 there was no telephone directory. This was the reason why the data division of PT Elnusa, whose business is mainly oil, began to introduce the Yellow Pages.

It was well received by the public because it was able to reach telephone users all over Indonesia, that increased year by year.

Although printed annually, it proved to be an effective marketing communication device. To no surprise, the Yellow Pages continued to expand. This motivated PT Telkom, which had close interest with the Yellow Pages, to become a shareholder.

Having Telkom as an associate, not only changed the company's name to PT Infomedia Nusantara, but was also followed by steps to create a sustainable enterprise: from product development to redefining the business.

For product development, the Yellow Pages not only comes in printed form, but also electronically by telephones, CD-ROM and through the Internet. This is to anticipate new demands of swift, far-ranging and interactive services.

By giving this value, the Yellow Pages' position becomes stronger, even though there are many similar products on the market. However, Infomedia Nusantara realizes that the business landscape it is facing continues to develop and also realizes its assets and competency in telephone database management.

That is why, although new product development can ensure its positioning in the market at this time, Infomedia Nusantara is already initiating new businesses that are expected to be superior when business redefining is conducted in order to face the business landscape.

For example, Infomedia Nusantara is beginning to develop its inbound and outbound services. For inbound services, it provides a call-center or customer service center support for companies who wish to out-source from this activity, just like what was done by Ericsson Indonesia. For outbound services, it has offered companies for their need in telemarketing or teleselling services.

By developing these services, Infomedia Nusantara has changed from a data provider through a directory to an information provider. Furthermore, with reference to its business characteristic from its call center or customer service support, Infomedia Nusantara is now an acknowledge provider, since to operate an excellent call center or a customer service support with high demanding customers, would call for giving solutions, and not only provide standard information.

If the transformation from data provider to information provider or even knowledge provider goes favorably, Infomedia Nusantara would journey through its second curve well. (Taufik)