Founded in Surabaya in 1962, Indonesian tobacco company Wismilak specializes in premium cigars, hand- and machine-rolled clove cigarettes, and the production of filters and other tobacco accessories. In 2012, Wismilak was listed on the Indonesian Stock Exchange and Ronald Walla was named president director and CEO – the third-generation leader of this highly successful operation. He talks here about the challenges of taking the reins at his family-run business, the importance of an innovation mindset, and the legacy of establishing a positive corporate culture with people at its heart. 

Q: How do you position Wismilak in the market? 
Our goal is always to deliver the best products and services for our customers and stakeholders. They are not necessarily the cheapest, because we use high-quality raw materials and invest in technology to deliver them. We produce not only clove cigarettes but also premium cigars and cigarette filters, a business we started in 2006.  

We have thrived by offering excellent service, allowing customers to conduct R&D together with us. It requires more work and patience, but it keeps our customers happy and the company growing successfully in the long term. 

Q: How does this philosophy impact your priorities? 
Leading an organization across generations to stay relevant is challenging. It started with my grandparents. When I lived with them, they told many stories. In Wismilak Group, we are the third generation. My grandmother and my parents often spoke about my grandfather, the founder of the company, and about our great ancestors. I grew up with both my parents and grandparents until my grandmother passed away in 2001. From them, I learned about family dynamics, culture, values, business ups and downs, communication issues, and the founders’ characters.  

Now, at over 50 years old, those lessons really resonate, deep down to my roots. I became CEO and director of Wismilak in 2012, a milestone that deepened my sense of responsibility and creating impact for greater good. But as the company grew, with more layers and wider organization, decisions and information could no longer come only from the top. That makes execution harder, but it is proven that positive corporate culture and technology allow us to move faster and stay relevant. 

My background is in computer science, which makes automation and developing smart systems my passion. Patience and respect for elders were essential, values I inherited through company artifacts like the founder’s philosophy, logo, and principles.  

The three founders’ philosophies were: respect the elderly, do good deeds to reach happiness, and take things step by step. Many dismiss these as outdated, but the older I get, the more relevant they seem for now and the future. We have seen many billion-dollar companies rise, not always organically, but through financial power. Many do not survive because they lack organizational maturity.  

Q: And how does that translate into your growth strategy? 
Since 2018, we have grown at least 30% per year. We see ourselves as facilitators for those with strong ideas and solid execution, helping them to grow with us. My team is also involved with SMEs across Indonesia, working to grow together with them. We believe that having all stakeholders happy and growing will impact us the same positively and sustainably. 

Q: How do you aim to attract U.S. and European consumers? 
There is opportunity in the cigar market due to the shortage of Cuban cigars. Indonesian tobacco leaves, such as the Sumatera, Jember, and Besuki Na-Oogst, are among the best in the world, giving us both an opportunity and responsibility to leverage it.  

Q: Are you open to international partnerships?
Yes, we have experienced management and many products and opportunities to offer. We also participate in international trade fairs, such as in Dubai and Indonesia, and look forward to working with potential partners. 

Q: How do you support stakeholder communities? 
I believe community is everything, especially in Indonesia. Our strategy is to support people in small, second- and third-tier cities in various ways. We work with local leaders to improve facilities and build relationships.  

In the field of entrepreneurship, since 2010, we have been running the Diplomat Success Challenge (DSC) program. It provides opportunities for entrepreneurs to access capital and strategic networks, helping them become more resilient and contributing to the national economy. It also emphasizes the 3Ps: Paham (knowledge), Piawail (skill), and Persona (entrepreneurial personality). It helps entrepreneurs become more resilient and contributes to the national economy. 

We also work with the Indonesian Employers' Association (APINDO) to provide training and education. Through the Wismilak Foundation, we run programs in five pillars: education, social, sports, culture, and entrepreneurship as well. Local assets are especially important, which is why we want to explore and share what we already have. Many people are unaware of local resources and uniqueness. 

Q: How important is innovation?  
Innovation is everything, especially in challenging times. It means adding value for customers, not simply relying on emotional buying, as in the past. In consumer goods, the five Ps (product, place, promotion, price, and people) are key. Making them efficient and adding value in a cost-effective manner is the main strategy for our long-term survival.  

Q: Why should U.S. and European investors consider Indonesia and Wismilak? 
Indonesia has great potential. We believe deregulation and more coordinated government collaboration are crucial. GovTech, the government technology task force, is essential to integrate government systems. We have seen consequences from past deregulation, but I believe lessons have been learned. Many autonomous areas are progressing.  

Cities like Banyuwangi and Surabaya are doing well. Besides having the young bonus demographic population, with political stability, good government policies, and infrastructure development, ease of doing business will be tremendously improved that will benefit foreign investors coming to Indonesia to grow the economy and reaping success together towards Indonesia’s golden era goal in 2045.