Abiyan Satrio Pratomo

29118155
YP-59-A
Strategic Decision Making and Negotiation (MM5009)

Take Home Final Exam

Description
Issue Negotiated

Negotiate in determining the contract agreements at PT. Usadi Sistemindo Intermatika as a Data
Scientist.

Negotiation Process

It’s all begin when I’m still working at the previous company in Jakarta, which named PT. Delapan
Sebelelas Indonesia. It was a start-up company founded in 2014 that run in the bigdata industry which
develop software bigdata analytics tool called Paques (Parallel Query System). They indirectly sold the
license of the software to the other firm with various industry such as Telkom Indonesia, Telkomsel,
Angkasapura 2, Indonesia Power, etc.
They use a partnership business strategy with another firm to sold the license of the software,
such as Usadi Sistemindo Intermatika, Synnex Metrodata, Braincode Solution, Mitra Teknologi
Solusindo, Sucofindo, etc. PT. Delapan Sebelas Indonesia have a role as principle, which means they
are focusing on the research and development term and receive the problems from the customer to
be fixed. Whereas the partners responsible in term of sales as a frontline connector between customer
and the company.
I was working as Data Scientist that responsible in processing the data from the candidate
customer to provide the insights. Because the software hasn’t introduced globally, so the query of the
software, which named PQL (Parallel Query Language) and used to process the data is not familiar to
the other Data Engineer, I was also responsible to train them to be able use the software using that
query.
One day on February 2018, there is some company that interested to invest on PT. Delapan
Sebelas Indonesia, it was PT. Lintas Teknologi Indonesia. I was pointed as one of the representatives
from PT Delapan Sebelas Indonesia to demonstrate the application to the Board of Director of PT.
Lintas Teknologi Indonesia as the candidate investor on my company that time. Short stories, the
investor sees the prospectiveness of Paques and agreed to invest the firm as a subsidiary of PT. Lintas
Teknologi Indonesia and change the name of the company from PT. Delapan Sebelas Indonesia to PT.
Indonesia Solusi Bisnis, also well-known as Paques Indonesia. Therefor I was referred as a ‘key-player’
of the firm on that time.
Unfortunately, along as the firm’s transition process, my father offered me to take master degree
on MBA’s ITB program. We already know that MBA ITB’s program held in two cities, Jakarta and
Bandung. I have free to choose where city to take the program. I have several options whether to
continue my career while studied on MBA program by taking an executive class or resign my career
and start studied on MBA program by taking a regular class. This is a one-time offer opportunity
because my father can’t guaranteed his financial condition if I postponed it further than the next
semester.
After further Information gathered, approximately one month after the offer’s happen, finally I
choose to resign from my career and continue my study at MBA’s regular program in Bandung. I
choose that decision because there will be lot of effort sacrificing for me and the firm if I still choose
to continue my career while taking the MBA’s executive program with different cities. Because the
MBA’s executive program schedule takes on Friday evening and Saturday morning, the firm has to
permitted me to work remotely on Friday. Meanwhile I have to commuting between Jakarta and
Bandung every week to work and study.
Short stories, on the end of July 2018, I officially resign and back to become a college student.
Suddenly, three months after that, the mid of October 2018, one of my superior of the previous
company (Mr. Saryana) was call me by phone and told that he still needs my service in term of
processing data using Paques. There ar a lot of prospective projects in Bandung so then he offers me
to get a job in one of my previous company’s partner, which is PT. Usadi Sistemindo Intermatika. He
intentionally offers me the job at this partner and promote me to the firm because they have three
branches in Bandung.
PT. Usadi Sistemindo Intermatika is a private company that run in the financial and IT consultant
services industries. The clients are mostly from the regional government of Indonesia. Because they
aware about the growth of data and technology that increased drastically nowadays, they tend to take
apart on bigdata services. Also because this company has close relation to a government, they are
very interested to use Paques, which is a local product of Indonesia as their bigdata analytics tool and
be my previous company’s partner.
I was so glad to hear that opportunity and doubt at once because afraid about my time
management skills in doing work while study. I have responsible to focus on my study and already
take regular class, therefor I can’t take fully work hour at the firm and can’t asigned to another city if
it’s bother my MBA’s schedules. After non formally talked between me and the firm, then the firm
told me to send my CV and Portfolio to them by email as a formal applicants. After that, they replied
me by giving the date interview and attaching the recruitation’s form.
Couple of days after that, I filled the form and attend the interview’s schedule. In the firm’s side,
there are Mr. Fikri and Mr. Charis who responsible in term of technical job aspects. I did an ordinary’s
job interview on this section and discussing a lot about my filled recruitation’s form that mostly
explained my current condition. Then short stories, one week after that, it resulted that I passed the
interview’s process and got a phone call from Mr. Damura as representative from Personalia’s Division
at the firm to negotiate the contract agreements.
On this section, the negotiation process happened and only have two result. If the negotiation
going well then I accepted in the company, I will get more financial income for the next year by studied
at MBA and gain more working experiences as data scientist. And if the negotiation not going well I
will have no additional financial income and still continue my study at MBA.
First thing first all, I explained my current condition that I still continuing my study at MBA ITB in
a regular class, therefor I can’t take normal work hour and can’t assigned to another city. I filled my
expected and previous salary on recruitation’s form by considering the office location (minimum wage
of province), the average salary of the firm’s employee on the website, and my current condition for
Rp 4.000.000,- and Rp 5.000.000,-. At first, Mr. Damura start to asking in term of estimated working
hour that I capable of. I told him around 20 hours per week from normally 40 hours per week, but Mr.
Damura seems not capable to accept that. Therefor he offers me around 30 hours per week. After I
consider it further I accept it and agreed the 30 hours of working per week on that firm which is 75%
from normal time. After that, he offer me to take 75% of my previous company’s salary which is Rp
3.750.000,- to be my salary. I started to ask about the compensation and the insurance that I will
receive. He said that I will get payed working taxes each year, free lunch at the office every working
days and payed accommodation in case there will be assignation to other cities during the contract
agreements that doesn’t bothering my college schedule. But sadly, I got no health insurance on this
firm. Therefor I started to increase the offer by holding my expected salary which is Rp 4.000.000,- by
pushing him about the health insurance and my advantages with experiences in term of processing
data using Paques, Short stories we agreed on that amount and I accepted as a Data Scientist at PT.
Usadi Sistemindo Intermatika by signing the contract agreements for one year. I got 30 work hours
per week with flexibility time, the payed working taxes, free lunch at the office and compensation in
case there will be assignation to other city if doesn’t bothers the college schedules.
 Proposal of Improvement

Traps & Weakness

Traps
Insufficient Anchoring Adjustment :
I filled my expected salary on my recruitation’s
form equal to my REAL expected salary for Rp
4.000.000,- which should be filled more than
that to get higher value of agreements.
Meanwhile on average, negotiators give higher Mr. Damura :
salary estimates to the problem than the REAL
estimation based upon information provided. If
negotiator opens with high initial offer, the
other party may make a counter proposal that is
higher than objectively it should be.
Weakness
Me :
-
the unable of assigning in the other city
outside Bandung.
- The unable of working in normal hour.
- The requirement to work flexibility time.
- The unbale of giving health insurance.
- Overconfidence.
- Focusing too much on the value.

I. Integrative Approach

Multiple issues :
1. Amount of the salary
2. The Compensation/Insurance
3. The working hour
According to the negotiation process described above, we know that there are more than just one
issue to negotiate in term of determining salary even if I already passed the interview process. First
thing, I filled my positions on my recruitation’s form that my expected salary on this firm was around
Rp 4.000.000,- and my previous salary at PT. Delapan Sebelas Indonesia was Rp 5.000.000,- per month
as a fresh graduate. I choose the smaller range amount because I determine the interest by
considering about my flexibility and location to this job offer to be reasonable. After that, Mr. Damura
asked me about my estimate working hour that can be filled outside the college schedules. I tell him
around 20 hours per week from normally 40 hours per week, but Mr. Damura seems not capable to
accept that. Therefor he offers me around 30 hours per week. After I consider it further I accept it and
agreed the 30 hours working per week on that firm. Because we agreed on that offer, which is 75%
than normal working hour, he also offer me to take 75% of my previous company’s salary which is Rp
3.750.000,- to be my current salary. I refused that offer because I want some upgraded value from my
previous company. And then I ask him again what kind of compensation do I got on this firm. He said
that I will get a payed working taxes each year, I get free lunch at the office every working days and
payed accommodation in case there will be assignation to other cities during the contract agreements.
But sadly I got no health insurance from the firm. Therefor, I keep holding my salary’s offers in Rp
4.000.000,- and after further bargaining, he accepted my offers. This is the agreement where both
parties can reach goals together and represent the win-win solution because the candidate accepted
by the firm and receive additional financial income, and the firm can do the project by using my
services.
Techniques Implemented on Integratives Approach
1. Bridging
Mr. Damura create new offer with bigger pie portion in term of working hour based on my
first offer that is expected to be accepted by me which is 20 hours per week to 30 hours per
week.
2. Non-Specific Compensation
 Mr. Damura accept the agreements by giving me Rp 4.000.000,- salary plus payed taxes each
year, lunch and accommodation fee during the contract agreements in return of 30 hours of
working per week on that firm, after I refused his offer Rp 3.750.000 salary by mentioning the
unachievement of my health insurance.
3. Cost Cutting
Mr. Damura accept my offer of Rp 4.000.000,- salary if his offer about 30 hours of working
hour is accepted by me.

II. Distributive Approach

Single Issue : The limitation of salary according to the value of my previous firm’s salary
According to the negotiation process above, Mr. Damura and I has different perspective in
determining my salary. The firm on Mr. Damura’s side want to determine the salary as low as possible,
while me, as the candidate’s side want to receive the salary as high as possible. Mr. Damura firstly
offer me to equalize percentage of my working hour with my previous firm’s salary by multiplying
with 75% (Rp 5.000.000,- x 75% = Rp 3.750.000,-). Anyway, that was my reservation point (RP) because
it’s impossible for me to take the salary by downgrading the value from my previous firm’s salary.
Therefor I negotiate further with him by mentioning the health insurance to make the higher value. I
also determine my aspiration point (AP) by equalizing the previous firm’s salary with the flexibility
working hour on this firm for Rp 5.000.000,-. Meanwhile, on the Mr. Damura’s side, by doing some
research according to the office location (minimum wage of province), the average salary of the firm’s
employee on the website, and my current condition, the firm’s aspiration point (AP) estimates around
Rp 3.000.000,-. And the reservation point (RP) should be around Rp 6.000.000,- considering their
financial condition and budget for me as the only and a professional candidate of Paques data
scientist. Conclusion is, the zone of possible agreement (ZOPA) is between my reservation point (Rp
3.750.000,-) and Mr. Damura’s reservation point (Rp 6.000.000,-). If the agreement point is lower than
my reservation point then I have to determine the best alternative to negotiate agreement (BATNA).
The illustration of this approach is represented below.

Best Alternative To Negotiated Agreement (BATNA) – What will I get if the salary’s agreement
is under my reservation point?

 My career value would be decreased and that will impact to my next job opportunity’s offer.
 Less motivated in working and start to find another financial income outside the firm.

How to Improve BATNA?

 Determine my salary’s position first on the recruitation’s form which higher than the amount
of my reservation point.
  Push Mr. Damura by asking compensation that the firm’s not capable to give, which is health
insurance.
 Tell Mr. Damura that I am the one and only professional candidate in term of processing data
using Paques according to my experiences.

III. Dilemmas Approach

Position of Each Players

Player Position
The professional hire candidate who intentionally resign from the PT. Delapan
Sebelas Indonesia to continue his study at MBA ITB and got an offer job
Me
opportunity at PT. Usadi Sistemindo Intermatika as Data Scientist. He want to
take the job at the firm to improving his financial condition.
The representatives from Personalia’s division at PT. Usadi Solusindo
Intermatika who negotiate to determine my job contract’s agreement. He
Mr. Damura want to recruit me to be one of their employee because there will be a lot of
prospective project runs in Bandung and they need my service in term of
processing data using Paques on that project.

State of Intention for Each Player

Player State of Intention
If I’m not accepted by the firm, I still continue my study and still receiving
Me money from my parents to fulfill my needs because I have no other financial
income that time.
If the firm is not accepting me, they will do more effort to find the other
Mr. Damura candidate if only they not ignore the prospective project. If they ignore the
project then they will lose opportunity to get more profit on his firm.

Dilemma of Negotiation for Each Player

Player Dilemma of Negotiation
I had persuasion dilemmas in offering my salary for more than Rp 4.000.000,-
because I already stated on the recruitation’s form is around that number,
Me therefor hard for me to persuade Mr. Damura. I also had rejection dilemmas
to not accept the job offer because I will get more working experience and
improving my financial income if I accepted at that firm.
He had persuasion dilemmas in offering my salary for less than Rp 4.000.000,-
because I keep pushing him with the health insurance aspect and my
experiences in the job field. Therefor hard for him to persuade me keeping his
Mr. Damura first offer which is Rp 3.750.000,-. He also had rejection dilemmas in not
accepting me to be one of their staff because he got information from Mr.
Saryana that I have a lot of good performances in term of processing data with
Paques and I was refered as a key-player of my previous firm.

How to Eliminate Dilemmas

Player How to eliminates
Accepting the contract agreement to work 30 hours a week with flexibility time
Me at the firm in return I will receive salary for Rp 4.000.000,- per month and
compensation described on negotiation process above.
Determine the final agreement of contract after the negotiation process
Mr. Damura
finished.