The COVID-19 pandemic has created short-term disruptions and long-term changes to how the world does business. With challenges and opportunities often being two sides of the same coin, at Jebsen & Jessen Group, we have chosen to manage the uncertainty of the past two years by rethinking how we operate. This has perhaps been most evident in Indonesia, where our teams have given full play to their entrepreneurial spirit in numerous ways.
With Indonesia standing at the cusp of a clean energy future, JJ-LAPP, backed by its specialist Huawei certification attained in 2021, has been rapidly scaling up its renewable energy solutions. Significant wins include installation of solar solutions systems for PT Elang Perdana Tyre Industry and the Parliament House of the Republic of Indonesia’s Building (Gedung DPR/MPR Indonesia). The team is also supporting a market-wide shift to Industry 4.0 by equipping customers such as PT Trias Sentosa, the largest flexible packaging film manufacturer in the country, and PT Riau Andalan Pulp and Paper (RAPP), the operating arm of APRIL Group, with cable solutions that enable the implementation of Internet of Things technology.
Innovation has been key for our Ingredients team too, as they take their cue from market trends to formulate new solutions. The Performance Chemicals Team, for example, recognised that Indonesia’s biodiesel policy would signal a gradual but certain shift away from fossil fuels. As early as 2018, they recommended the use of cellulose, a renewable raw material, to fuel biodiesel. Leveraging partner J. Rettenmaier and Sohne’s cellulose filtration technology, they began a plant trial with PT SMART Tbk, a leading manufacturer of palm oil-based consumer products, in 2019. The project materialised in April 2021, with PT SMART now saving up to 30% in operational costs. The Coating & Resins team has been similarly innovative in identifying and seizing a new opportunity in the automotive industry. With Indonesia introducing a national standard for paints and coatings, the team worked with Alfatama Inticipta, one of the largest car putty makers in the country, to develop a new lightweight putty product based on 3M technology ahead of expected demand.
PT Indo Tirta Abadi (ITA), our packaging joint venture, has successfully achieved three key ISO certifications in Integrated Management Systems—ISO 45001 Occupational Health & Safety Management System, ISO 9001 Quality Management System, and ISO 14001 Environmental Management System—as an investment in the future. This signals its unwavering commitment to manufacturing and operational excellence, which will put it in good standing as it grows its market leadership. Its Gempol plant also received the Silver Medal for 5S achievement in the East Java region, conferred by the Ministry of Labour and Transmigration for East Java.
Even when economic uncertainty affects our customers’ confidence to make purchases, we continue to invest in relationships. Our Technology business in Indonesia proved that doing so is a worthwhile investment, with strong local partnerships opening doors for it to secure a slate of new projects. These include significant deals for customers like PT South Pacific Viscose Lenzing, P. Wijaya Karya, and Prabowo Horse Stable. “In 2021, business was more resilient than we expected. We’re building on this momentum to launch ourselves forward in 2022,” said Torben Christensen, Chairman of Indonesian Management Forum (IMF).
JJ-Lurgi continued to grow its local capacity, most notably with the establishment of an Indonesian entity. With a lean team of six colleagues, JJ-Lurgi Indonesia has been instrumental in supporting the Malaysian team to execute large projects locally. The team embraced innovation and fully implemented our Augmented Reality tool for close project coordination with colleagues in Malaysia to safely and efficiently oversee installations, commissioning and starting-up of new plants as well as conduct troubleshooting and open box inspections. Despite their considerable workload, they even found time to help clinch orders for local upgrading jobs as well as plant assessments and servicing. We have since taken steps to obtain an expanded business classification license for JJ-Lurgi Indonesia, which will allow us to increase our business scope locally to include construction supervision.