ANALYSIS OF SUSTAINABLE COMPETITIVE ADVANTAGE AT PT. X: APPLICATION OF THE VRIO APPROACH
This study discusses the sustainable competitive advantage of the company's oil palm nursery division (PT. X) with the application of the VRIO approach (Value, Rarity, Immitate, Organization). PT. X is an international oil palm plantation company in Indonesia that continues to grow and shows very good company performance in terms of revenue. PT. X faces ongoing competitive challenges from various factors that disrupt the process of growing oil palm seedlings, one of which is the problem of drought during the dry season. As it is known that oil palm has a shallow root system (fibrous roots) so it is easy to lack water availability, even though in the seedling phase it has an important need for sufficient water availability. This research is expected to assist PT. X in conducting an analysis using several strategic management starting from tracing the company's vision, mission and goals, then carrying out internal analysis to choose the right strategy to be able to achieve a sustainable competitive advantage. Researchers use a resource-based view (RBV) to analyze and identify combinations of resources (tangible and intangible) and to be able to determine organizational capabilities through the application of the VRIO approach (Value, Rarity, Imitability, Organization). Researchers use questions as a form of application of the VRIO approach which aims to measure how much strength the combination of resources and organizational capabilities has so that it can be used to determine the company's competitive advantage. The results of determining the competitive implications for the physical capital owned by PT. X, indicate that a sustainable competitive advantage is caused by the conditions of the oil palm nursery watering installation, watering technology aimed at maintaining the quality of the seedlings, and optimizing the implementation of watering the seedlings, while the types of seeds cultivated are only classified as competitive as competitors. The results of determining competitive implications for human capital show that sustainable competitive advantage is caused by work experience, work loyalty, and deepening expertise of PT. X employees starting from the employee level to the Nursery Assistant, while decision-making skills, interpersonal relationships and teamwork are classified as competitive advantages. temporarily because this position will be the same if competing companies are able to imitate it. The results of determining competitive implications for organizational capital indicate that sustainable competitive advantage is caused by optimizing methods for implementing seed irrigation, infrastructure support activities, and human resource management.