Ciputra Group

Salient Facts

Even though he grew up in poverty, Mr. Ciputra was driven by entrepreneurial aspirations and after completing high school, he decided to study architecture at the Institute of Technology Bandung (ITB) in Jaya. Mr. Ciputra then went on to have a successful career as the CEO of Pembangunan Jay for 35 Years.

Always the entrepreneur and not wanting to work as a consultant for others, Mr. Ciputra went on to create "The Ciputra Group" that focused on developing real estate in the Indonesian market. The company targeted both the middle and upper class by providing more convenient and pleasant living conditions and by developing "satellite cities" in urban areas that had a weak government presence. These large scaled projects took years to complete and invested the company's capital, and focused on expanding those urban area's roads, sewage capacity, water availability, security, public transportation and public facilities. This gave Mr. Ciputra the opportunity to "think big" and implement "visionary ideas" with an "artistic touch" and helped develop the company as the "brand" in real estate architecture.

Involving his children and in-laws as his executive team, the Ciputra Group started to expand into emerging markets during the 1990's. After successfully surviving the Asian crisis in 1997, The Ciputra group started to grow again with a new business model that focused on diversification and reduced borrowings by working with landowners and equity partners. During this new expansion, The Ciputra Group shared a family vision built on the "spirit of entrepreneurship" and the organization organically grew into three different divisions. Intent on passing the reigns of ownership to his immediate family, and realizing that all three divisions were managed with three very different leadership styles, Mr. Ciputra has now started the process of determining and implementing a succession plan for his retirement.

Applicable Leadership Theories,...