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Collaboration is Key to Supply Chain Efficiency in Palm Oil



Doc. InfoSAWIT/ The Chairman of the Expert Council of the Indonesian Logistics Association (ALI), Nofrisel.
Collaboration is Key to Supply Chain Efficiency in Palm Oil

InfoSAWIT, JAKARTA - The Chairman of the Expert Council of the Indonesian Logistics Association (ALI), Nofrisel, emphasized the importance of collaboration in creating efficiency and sustainability within the supply chain. He stated that a collaborative approach is essential for achieving mutually beneficial solutions for all parties involved in the logistics ecosystem.

"What we need to discuss is collaboration. If we can reach an optimal cooperation point, we will achieve a win-win solution," Nofrisel stated, as quoted by InfoSAWIT in NTV Insight on Tuesday (December 23, 2024).

He stressed that collaboration is not merely a transactional relationship that ends with payment. Instead, collaboration should involve joint development and shared responsibilities to achieve common goals. Nofrisel cited successful examples of collaboration in Indonesia, which ultimately resulted in formal agreements such as cooperation contracts.

According to Nofrisel, the supply chain encompasses the entire process, from sourcing raw materials to processing them into semi-finished goods and finally producing market-ready products. He asserted that it is impossible for a single company to manage this entire process independently.

"We must be open to building collaborations with parties that share the same perspective. By doing so, we can create efficient processes from upstream to downstream, including the movement of goods to their destinations," he said.

While acknowledging that building collaboration is not easy, Nofrisel sees many successful examples in Indonesia. One such example is companies partnering with raw material suppliers. In this collaboration, companies not only purchase raw materials but also provide support to ensure the growth and sustainability of their partners.

Nofrisel also highlighted that the global supply chain is an unavoidable reality. Therefore, it is crucial for industry players to be proactive and patient in establishing strategic partnerships.

"As long as we do not open ourselves to collaboration, issues within the supply chain will continue to recur. However, with solid cooperation, we can find measures of success that are mutually beneficial," he added.

He concluded with an invitation to industry players to continue strengthening cooperation throughout the supply chain ecosystem. With effective collaboration, Nofrisel is optimistic that Indonesia can enhance its logistics competitiveness on a global scale. (T2)


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