Indonesia I. EXECUTIVE SUMMARY

Macro economy of Indonesia is improving progressively after severe economic crisis 1997. Currently economic growth is under stable condition and to achieve 6.5%. As with developing nation, Indonesia has a large scale of construction market for the next 20 years onward. Until the next five years, Indonesia needs to invest for infrastructure development which will required more than 1,200 trillion rupiahs. In the next coming year(2008) the government will spend about 35 trillion rupiahs for only public work projects in particular for road networks, water resources and human settlement. Thi big challenge in construction sector has led the Indonesian construction to develop its competitiveness through capacity building programme for improved competency. It was proposed by prominent stakeholders, the Indonesian construction should be an enabling factor for socio-economic development of the nation. In this case, the Indonesian construction is conceptualised as people, process (business) and product that exiss in the context of globalisation & liberalisation, democratisation & decentralisation, poverty and disparity, and environment degradation & disaster. It was agreed by the stakeholder that vision of the Indonesian construction is the finest built environment achieved by creating added value through sustainability, synergy, professionalism and competitiveness. This vision is achieved through strategic paths of building professionalism of human resources, integrating value chain network among construction players, reciprocity among stakeholders and networking internasionally