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Chumaidiyah, E.; Dewantoro, M.D.R.; Fauzi, P.M.; Kamil, A.A. Selection of Industrial Sites to Minimize Risks. Encyclopedia. Available online: https://encyclopedia.pub/entry/52355 (accessed on 17 November 2024).
Chumaidiyah E, Dewantoro MDR, Fauzi PM, Kamil AA. Selection of Industrial Sites to Minimize Risks. Encyclopedia. Available at: https://encyclopedia.pub/entry/52355. Accessed November 17, 2024.
Chumaidiyah, Endang, Mouli De Rizka Dewantoro, Putri Maulani Fauzi, Anton Abdulbasah Kamil. "Selection of Industrial Sites to Minimize Risks" Encyclopedia, https://encyclopedia.pub/entry/52355 (accessed November 17, 2024).
Chumaidiyah, E., Dewantoro, M.D.R., Fauzi, P.M., & Kamil, A.A. (2023, December 05). Selection of Industrial Sites to Minimize Risks. In Encyclopedia. https://encyclopedia.pub/entry/52355
Chumaidiyah, Endang, et al. "Selection of Industrial Sites to Minimize Risks." Encyclopedia. Web. 05 December, 2023.
Selection of Industrial Sites to Minimize Risks
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This entry is adapted from the peer-reviewed paper 10.3390/su152216034

Industrial sites are essential for the development of an area and they are even more crucial considering the increasing population, which results in an increasing demand for the supply of industrial products. The procurement of products requires a particular place, specifically set as an industrial site location, to produce different products that society needs. An industrial site is an area where industrial activities are centralized and supported by facilities and infrastructure that are developed and managed by industrial site companies with an industrial estate business license. The efficient selection of a perfect site for the development of an industrial site in spatial planning should consider the land condition and environmental factors to minimize the impacts and risks.

industrial site Multi-Criteria Decision Making Geographic Information Systems

1. Introduction

Industrial sites are essential for the development of an area and they are even more crucial considering the increasing population, which results in an increasing demand for the supply of industrial products. The procurement of products requires a particular place, specifically set as an industrial site location, to produce different products that society needs. An industrial site is an area where industrial activities are centralized and supported by facilities and infrastructure that are developed and managed by industrial site companies with an industrial estate business license [1]. The development of industrial sites requires a planning period of two to five years [2], which serves as a medium for economic growth through the improvement of investment in the industrial sector.
The development of industrial sites in Indonesia has continuously been progressing and it has already reached an area of 52,438 hectares. There have been 112 industrial sites that have been actively operated, with 64 (57%) sites located on Java Island, while the rest are in Sumatera (37 sites), Kalimantan (8 sites), and Sulawesi (3 sites) [3]. The industrial sites are still centralized on Java Island, so the government is making some effort to develop some new industrial sites outside the island to encourage inclusive economic equity.
An industrial site facilitates economic growth, increases the area’s per capita income [4][5][6], and can attract foreign investors to invest in the site. The strategic decisions of an investor are influenced by performance criteria like workforce competencies, employee tariffs, geographical position, road infrastructure, material availability, licenses, and telecommunication infrastructure [7]. In order to accelerate the development of industrial sites, the government has issued Government Regulation No. 142/2015 on Industrial Sites in Indonesia [8] as part of its efforts to encourage industrial site competitiveness.
However, an increase in industrial site development may affect the availability and capacity of land and thus, any site development should consider how much land is needed for either settlement or agricultural production. Land-use suitability analyses can determine the usage of land, such as for farming, industry, settlement, and forest, to ensure well-balanced land usage for various public needs [9][10][11].
There are different problems and obstacles in the development of an industrial site, including the ones related to document preparation, land and spatial planning, licensing, building the required infrastructure, management and tenant search, and business convenience creation [12]. Therefore, a plan for industrial site development that takes different problems, risks, and criteria into account is required in order to establish a successful industrial site. Some considerations taken in this research are soil characteristics, risks, and the optimum distance between industrial site locations.
Industrial sites have a very important role in encouraging economic growth, creating jobs for the surrounding community, encouraging technology transfer, and sociology. But they can also have an impact on the geological environment that affects the environmental conditions before and after the existence of an industrial site.

2. Soil Characteristics

In a general engineering sense, soil is defined as a granular aggregate of decaying granules of minerals and organic matter (solid particles) along with liquids and gases that occupy the empty spaces between solid particles. Soil is used as a construction material in various civil engineering projects to support structural foundations. Thus, civil engineers must study the properties of the soil, such as its origin, grain size distribution, ability to drain water, compressibility, shear strength, load-bearing capacity, and so on. Soil mechanics is a branch of science that deals with the study of the physical properties of soils and the behavior of soil masses when subjected to various types of forces [13].
All soils contain mineral particles, organic matter, water, and air. The combination of these components determines the soil properties—texture, structure, porosity, chemistry, and color. The investigation and mapping of soil properties in identifying potential new industrial zones are in accordance with the objectives of land investigations, which include the following steps [14].
a.
Determining the suitability of the site for the proposed project.
b.
Determining an adequate and economical foundation design.
c.
Determining difficulties that may arise during the construction process and period.
d.
Determining the events and/or causes of all changes in the soil conditions.
Consideration of the soil characteristics in industrial site planning is aimed at avoiding any risks of soil erosion in areas that can be dangerous for society. Both soil erosion and degradation are related to agriculture, soil fertility degradation, and negative environmental impacts [15][16][17]. Landslides involve the downslope movement of soil, rocks, or debris due to gravity. It is a natural disaster that is harmful to humans and the environment [18]. Soil characteristics are important to consider for maintaining industrial sites and preventing land, environmental, and ecosystem degradation.

3. Multi-Criteria Decision Making

Solving diverse problems typically involves various variables, and it is uncommon to consider only a single variable in the decision-making process. These variables possess distinct characteristics based on different criteria. Consequently, the inclusion of a greater number of decision-making criteria results in increased problem complexity. One structured approach for addressing complex problems is via the utilization of Multi-Criteria Decision Making (MCDM), wherein criteria are assigned weights to each variable, thereby facilitating the evaluation of different alternatives [19].
To determine the sustainability of an industrial location, several criteria must be taken into consideration, such as geography, environment, infrastructure, technology, demography, access to the market, proximity to raw materials, and the availability of skilled workers. Developers, entrepreneurs, and investors select locations based on information, analysis, and decision-making processes that enable them to enhance their competitiveness [20]. Conversely, industrial locations should be capable of attracting foreign investors by offering adequate facilities and infrastructure, thus ensuring efficient and effective production activities. Establishing a strategically advantageous industrial location is of paramount importance in attracting investors.
One of the methods employed to assign weights to the chosen criteria is the Analytic Hierarchy Process (AHP), which was originally introduced by Saaty [21][22]. AHP is a commonly employed technique for resolving MCDM problems. It serves as a robust and user-friendly tool for analyzing multi-criteria issues both qualitatively and quantitatively [23][24]. AHP serves as a valuable decision support tool for addressing complex decision-making problems.

4. Analytical Hierarchy Process (AHP)

The fusion of Geographic Information Systems (GIS) and AHP represents a contemporary trend in the assessment and analysis of soil suitability, particularly as an application of Multi-Criteria Decision Making (MCDM), with a particular emphasis on AHP and GIS [25]. The integration of GIS and MCDM has proven highly effective in enhancing problem-solving capabilities in the context of complex spatial decision making [26]. Numerous researchers have harnessed the synergy of these two methodologies to assess environmental issues and identify potential locations for soil and water conservation initiatives, particularly within watersheds [27][28]. The development of industrial sites can lead to adverse environmental impacts, including soil degradation, water pollution, and air pollution. Consequently, these aspects warrant careful consideration.
Hybrid approaches combining the Analytical Hierarchy Process (AHP) and GIS methodologies have been employed to evaluate land-use suitability for agricultural and pastureland in Iran [29]. It is conceivable that the expansion of industrial zones may encroach upon agricultural and pasture areas. The determination of factors and variables used to assess industrial site suitability is accomplished by computing variable weights via the application of the AHP method [30].

5. Geographical Information System (GIS)

Geographic Information Systems (GIS) have found widespread application in addressing various location-related challenges that involve the analysis of spatial data and geographical coordinates. GIS serves as a computerized system designed for the tasks of data capture, manipulation, input, visualization, combination, transformation, query, modeling, analysis, and output [31]. Spatial analysis forms the cornerstone of data integration, enabling the amalgamation and collection of data across diverse spatial scales and temporal dimensions.
GIS serves a multitude of purposes, spanning from industrial site selection to telecommunications, transportation, emergency management, urban planning, and military applications, among others [32]. Notably, GIS has been harnessed to assess landslide susceptibility, as exemplified in a case study conducted in China [33]. The utilization of GIS in the determination of industrial locations has been extensively adopted [34][35][36]. Furthermore, GIS is in a state of continuous development, and in addition to its application across various domains, it is dynamically advanced in a 4D framework, as demonstrated in a case study pertaining to public security [37].

6. Industrial Site Impacts and Risks

In addition to contributing positively to economic growth via production activities, industrial sites also exert significant influences on the environment. These impacts, whether beneficial or adverse, must be given paramount consideration when determining the sustainability of industrial site locations. Particular attention should be devoted to mitigating adverse effects to prevent environmental harm. This approach is essential for averting any potential environmental damage. The concerns regarding industrial site accidents, especially those with the potential to harm the surrounding population, are elucidated in multiple studies [38][39][40]. Furthermore, various risks that industrial sites should anticipate are expounded upon in a quantitative risk analysis study conducted in the industrial sector by Attia and Sinha [41].
The process of clearing land for industrial site development has a noticeable impact on environmental conditions, both before and after the development takes place. It is crucial to exercise control over environmental degradation stemming from industrialization to prevent any hazardous consequences for society. Among the adverse effects of industrial site development that pose risks to the existing ecosystem are landslides, land degradation, and biodiversity depletion [42][43]. A comprehensive understanding of the environment, energy conservation, water management, waste handling, heat management, and pollution control is imperative for sustainable development [44]. To mitigate these impacts, an assessment of various criteria within industrial sites is essential, considering a range of factors encompassing social, environmental, technical, and economic dimensions [45].

References

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Endang Chumaidiyah
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Mouli De Rizka Dewantoro
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Putri Maulani Fauzi
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Anton Abdulbasah Kamil
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Update Date: 05 Dec 2023
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