Synnex Technology International Invests US$20 million in Construction of Intelligent Logistic Center in Indonesia

[Photo] Synnex Technology International Group breaks ground for the construction of high performance intelligent logistic center in Indonesian capital Jakarta

        [Taipei] News of Synnex Technology International Group's official entry into the Vietnam market last month (September) is now followed by the announcement of the construction of its first self-built intelligent logistic center in Indonesian capital Jakarta. The announcement demonstrated Synnex's ambitions in developing the ASEAN market. The plan is expected to include a total investment of US$20 million and it will substantially increase the operations and supply volume in the region by at least three fold to support the rapid growth of the Indonesian market.


  Indonesia has a population of 260 million and the highest GDP in all Southeast Asian nations. Its demographic dividend, high economic growth, and government support for infrastructure have provided advantages that made Indonesia the fastest growing market among ASEAN nations. Mr. Shu-Wu Tu, CEO of Synnex Technology International Group stated: "We see potential for explosive growth in Indonesia in the future. Synnex Metrodata Indonesia shall continue to invest and construct intelligent logistic centers in major cities in Indonesia. The US$20 million investment in the intelligent logistic center is a prelude to continuous investments in the future."


  Synnex formed a strategic alliance with Indonesia's largest and oldest information integration service group Metrodata in 2011 and established the joint venture Synnex Metrodata Indonesia. The revenue has more than quadrupled in the past 6 years and profits have increased by more than tenfold. It is now the largest distributor in Indonesia. Synnex Metrodata Indonesia now has 20 sales offices and 14 warehouses in Indonesia that provide services to 150 cities and over 4,500 distribution customers. Its product lines include IT software/hardware, systems, commercial value-added services, mobile phones etc. In addition to continuing the expansion of products for distribution and improving distribution management know-how, Synnex Metrodata Indonesia also actively strengthens its operational efficiency to build a stronger foundation for the development of all channels in the future.


  The intelligent logistic center in this investment is situated on the southeast suburbs of Jakarta metropolis. The planned operations area for construction is 25,000 square meters and it has 15,000 storage spaces. It is four times larger than the current warehouse. An additional 9,600 automated storage spaces can be expanded to satisfy the requirements for future business growth.


  The continuous construction of logistic networks in major countries and the  independent construction of high efficiency intelligent logistic centers are part of Synnex's mid to long-term strategy as Asia Pacific's largest and the world's third largest ICT and component distributor to develop overseas markets. As business in overseas markets expands in the future, Synnex will also assess the launch of automated storage and retrieval system (AS/RS). Synnex's continuous expansion in operations networks in overseas markets is expected to effectively increase its service performance and customer satisfaction in overseas markets.