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Indonesia has a vast potential market for cold chain businesses that are dependent on livestock, fisheries, and processed food. The cold chain business supports not just the food processing industry and fishing industry but the pharmaceutical industry and retail networks as well. This case study helps bring to light the obstacles faced by the industry and logistics solutions on offer.

What are the challenges faced in the Indonesian Cold Chain Industry

  • Inadequate technological systems Some of the challenges in the Indonesian cold chain industry take the form of inept technological systems and a lack of track and trace visibility in delivery systems. Planning is often done manually, eating up a lot of time and leading to delays in picking the order from the warehouse.

  • On-ground constraints Time-slots for customers, traffic, weather conditions, and various other road restrictions all add up to delay if not taken into account by businesses when planning deliveries. Underutilization of vehicles is common as well.

  • Lack of visibility in supply chains Logistics managers find it challenging to monitor on-ground operations and take preventive measures in case of any change in planned delivery schedules when there is poor supply chain visibility.

  • Little support from the government In most parts of Indonesia, the government has not yet agreed to provide exemption on duties, and so, 100% of raw metal for the cold chain industry is imported. There is no provision of tax holiday facilities to build cold storage assembly plants in the country either.

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Streamlining the Cold Chain Supply Industry

One of Indonesia’s leading suppliers of fresh, frozen and halal meat products reached out to Locus consulting to help optimize the various legs of its supply chain.

Locus helped the company with effective planning of delivery routes and scheduling of orders. It acted as a complete Transport Management System, taking care of everything from customers, drivers, locations and sellers as well as acting as a machine learning platform.

Solutions Offered

  • Optimized route planning Locus makes use of DispatchIQ and TrackIQ to help with distribution planning by enabling end-to-end automation. Delivery routes can be planned, and orders can be scheduled effectively using its proprietary geocoding engine.

  • Single platform for tracking deliveries Keeping eyes peeled for all on-ground operations, Locus has an efficient real-time tracking system that provides intelligent predictive alerts. It also informs of SLA breaches and battery levels for optimal operational management.

  • Dynamic shipment allocation Shipments are automatically assigned to the most optimal delivery route and the rider best suited for it.

  • Digitization for better visibility Locus On-the-Road (LOTR) App is used by drivers to record the status of their shipment. The app updates the shipment status on a real-time basis and generates an Electronic Proof of Delivery (ePOD) along with signature, photo, and reason for partial delivery or cancellation.

Business Sector

F&B/CPG

Performance Improved

  • Reduced vehicle expenses by 18.20%
  • Increased delivery SLA to 95%
  • Increased data accuracy by learning location and capturing data from mobile apps
  • 100% digitization of the POD process

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How can Locus help manage your logistics?

  • Locus’ proprietary geocoding engine converts the fuzziest of the addresses into precise geographical coordinates thereby helping your on-ground executives locate addresses easily.
  • Digitize all your operational variables such as fleets, delivery persons etc. to come up with the best route plan every day.
  • Track your orders in real-time with the Locus Live Dashboard. Locus’ last-mile delivery app Locus On The Road (LOTR) helps delivery partners process orders.
  • Visualize and tweak your scheduled plans via three key metrics— geography, time, & vehicle (fleet)—with a birds-eye view of your entire operations.
  • Build your own reports and analyze important parameters that you need to make key decisions.

Join Industry Leaders:

68m+ miles

Reduction in distance traveled

12m+ kgs

Reduction in GHG emissions

$330m+

Savings in logistics costs
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