3. Participants 4. Measurement Instruments Formulasi

department; it shows they conduct research and development in their organization to make their business more sustainable for long term. We can see the organization structure of PT SMART Tbk in figure 7. Figure 7 Organization Structure of PT SMART Tbk PT Smart Tbk 2014 Based on the information above, PT SMART Tbk is suitable as a sample to learn about developing innovation in the palm oil industry. RnD Department of PT SMART has important role in increasing the productivity in the field, reducing the production cost and also in developing new product.

III. 3. Participants

There are five respondents for the research who experts in their area. One respondent is a government officer; one respondent is an executive director of Palm Oil Association, and one respondent is a researcher director in Enterprise and two respondents are researchers in research institutions. The research selects them as respondents because of their expertise in the process of developing innovation in the palm oil industry. 1. Dr Tony Liwang from PT SMART tbk has experiences in conducting research in the palm oil industry, he knows the process of developing innovation in enterprise from the beginning until the implementing stage. 2. Ir. Sri Hadisetyana, M.Si from Ministry of Industry has knowledge about regulation in the palm oil industry. 3. Dr Erliza Hambali is a researcher from SBRC-IPB, she has knowledge in research to develop the palm oil downstream industry. 4. Fadli Hasan is an Executive Director of Indonesian Palm Oil Association, He has knowledge about the problems in the palm oil industry. 5. Indra Budi from Agency for The Assessment and Application of Technology, He also has experience in developing innovation in the palm oil downstream Industry Table 3 The Respondents Respondent’s name Institution Position Ir. Sri Hadisetyana, M.Si Ministry of Industry Deputy Director of Forest Product Industry Dr Tony Liwang PT SMART Tbk Researcher Director Indra Budi Susetyo Agency for The Assessment and Application of Technology Senior Researcher Dr Erliza Hambali Surfactant and Bioenergy Research Center SBRC-IPB Leader Fadli Hasan Indonesian Palm Oil Association Executive Director

III. 4. Measurement Instruments

The data is collected by interviewing the experts. There are four main questions for each respondent: 1. What is your opinion about the current state of the palm oil Industry in Indonesia? 2. How does your company formulate a strategy to develop innovation? 3. What is your opinion about current government regulations for developing the palm oil industry in Indonesia? 4. What do you expect from both government and academics in terms of developing innovation in the palm oil industry in Indonesia? When the respondent is the government, Government is changed with enterprise. There are also other questions based on the situation in the interview process, so we can gather comprehensive answer from the respondents.

III. 5. Data Analysis