PT Astra Otoparts Tbk, and existing IFC client, is the largest manufacturer and distributor of automotive parts for motorcycles and cars in Indonesia, consisting of a holding company with 26 partly or fully owned subsidiaries or manufacturing operations. AOP employs around 16,000 people and produces a large range of automotive parts as well as a few non-automotive components. AOP exports to more than 50 countries. The operating units are engaged in a variety of smelting, casting, forging machining and manufacturing processes, including battery making. Many of these companies are joint ventures with major international manufacturers.
Astra International, AOP’s parent group, has developed a comprehensive environmental and health and safety management system, named “Astra Green Company”, which is applied across all of its lines of business. The system covers management procedures and details, emergency response, employee training, electrical and fire safety, cleaner production, hazardous materials, plant design and operation, legal compliance, and other related topics. These are audited annually, and all companies ranked on a 5-level scale, from Black (lowest) through Red, Blue, Green to Gold (highest). In 2003, AOP’s company ratings included 9 Gold, 9 Green, 9 Blue, 3 Red and 1 Black. The immediate goal is to have all companies up to Blue level by 2004. Any instance of legal non-compliance results in an automatic Red rating. All companies are also focused on achieving ISO 14001 and OHSAS 18001/SMK3 certification. As of 2003, 15 companies had already received ISO 14001 certification and 10 had OHSAS 18001, with the balance in various stages of progress. AOP benchmarks their companies’ performance against similar operations both within and outside the Astra group.
AOP manufacturing operations are all managed to international standards for environment and health and safety. Housekeeping is very good throughout all operations. Safety is a priority everywhere, with good fire safety coverage, machine guarding, lighting, and use of PPE. Air and water emissions comply with Indonesian regulations which are generally comparable to IFC guidelines. AOP reports quarterly to BAPEDALDA, the Indonesia regulatory agency for emissions control. Any hazardous wastes are handled strictly according to Indonesian regulations. AOP’s operations set a high standard which is an example for other Indonesian manufacturers.