We believe that the free flow of goods, trade, and services will create stronger demand for companies to fulfil international standards, and we are confident that we can meet those capacities Ms Reni Sitawati Siregar, President Director | |
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Established in 1985, PT Nusantara Card Semesta (PT NCS) has a long history as a leading integrated logistics company in Indonesia. What more can you tell us about the company’s background and its strategies going forward? PT NCS is a customised logistics service company which employed only 5 individuals when we were first established. Since then, we have grown to presently employ 3,000 staff members, thus exemplifying PT NCS’ exponential growth. Unlike our larger competitors which are mostly international companies, we are a local logistics company offering diverse shipping services. Our company’s strategies for business development include the creation of logistics hubs mainly in 10 provinces including the cities of Balikpapan, Surabaya, Medan and Pekanbaru. These hubs are essentially small warehouses and we plan to have around 15 to 100 of this type of infrastructure in the future. Another company strategy is our plan to further expand our portfolio of logistics services using trains and trucks and other land vehicle delivery systems. PT NCS is also working towards a plan to employ 12,000 staff members which will open up employment opportunities for many Indonesians, as well as plans to become a listed company in the near future. By becoming a public listed company, we can create more transparency and enable Indonesians to invest in our company. Since 2014, the Indonesian economy has slowed down and in the first quarter of 2015, economic growth reached 4.7% which is the slowest growth in six years. What is your outlook for the logistics industry for the short and medium term? The short term outlook does not seem promising until perhaps the end of the year due to a number of new regulations. Many of our corporate partners have requested lower delivery costs due to rising labour expenses leaving us with a small profit margin. The medium term is more promising, however, we will need approximately two years until the economy rebounds as the outlook heavily depends on President Joko Widodo’s plan of action with regards to the many proposed infrastructure projects. What is your outlook for how the ASEAN Economic Community (AEC) will impact PT NCS? As with many other businesses in the country, PT NCS will be impacted from the emergence of the AEC. We believe that the free flow of goods, trade, and services will create stronger demand for companies to fulfil international standards, and we are confident that we can meet those capacities. |
Our company has extensive store branches, in depth knowledge of Indonesia’s logistics sector, and we believe that our strengths support the AEC’s presence thereby providing us with more opportunities for generating revenue. What can you tell us about your company’s plans to innovate going forward? People development is our company’s top priority for sustaining business success and we invest in our employees by providing English classes and encouraging active use of the language. PT NCS is also enhancing our IT capabilities in line with our company’s growing role in e-commerce as seen with our expanding data centres. In fact, we have an Android app that customers are able to use to track their shipments and we provide 1,000 mobile devices using the app to our field couriers exemplifying our advancements in this area. Our third innovation is to focus on infrastructure development in Eastern Indonesia mostly in Ternate, Ambon, Sorong, and Kutai which are areas growing relatively more expensive for the cost of logistics. We believe that with the presence of the AEC and unceasing growth in e-commerce, there will be fundamental growth in those regions. What are PT NCS’ diversification plans with its sister company in the future? Our sister company will play a more prominent role in dedicated courier services, warehouses, mailroom management, outsourcing and shipment services due to our plans for attaining additional licenses and we will work closely with them to achieve those goals. What can you tell us about PT NCS’ position for working with international partners? We are very much open to the opportunities of working with overseas companies, and in fact we have received international requests from companies based in Japan and also Singaporean businesses. We are willing to cooperate with international partners because we have many branches spread throughout Indonesia which is our advantage when partnering with foreign companies. These international partnerships further provide us with knowhow on people management. As a final message, what would you like our readers at GBG Indonesia to remember about PT Nusantara Card Semesta? At PT NCS, we believe in cooperating with partners where there is chemistry and similar interests with our company’s vision. |
Global Business Guide Indonesia - 2015