Indonesia Country Report 2012

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Discovery Reports

Tjokro contributes to country's growth

Discovery Reports

PUBLISHED : Friday, 09 November, 2012, 3:18pm
UPDATED : Thursday, 23 May, 2013, 4:13pm

When president and director Sutrisno Eddy Tjokro founded Tjokro Group in 1968, he had a clear vision that the company should be a beacon of good service and quality to other Indonesian companies. Building his experience in the machinery industry since 1948, Tjokro steered the company to evolve from a small machine repair shop into one of the country's biggest specialists in gears and mechanical parts.

In the wake of Indonesia's independence, Tjokro dedicated itself to boosting the country's industrial sector. From repairing machinery, Tjokro ventured into fabricating machine parts locally to reduce the manufacturing costs for companies. As Indonesia's industrial growth continued, Tjokro expanded its geographical presence with 65 branches nationwide to service its flourishing customer base.

Tjokro employs 6,000 personnel, 20 per cent of whom are engineers and 80 per cent are skilled mechanics.

Through growth in its motor vehicle and engine spare parts business, Tjokro boasts an impressive domestic automotive client base. Almost all cars and motorcycles in Indonesia carry Tjokro's parts.

Aside from manufacturing parts for original equipment manufacturers (OEMs), Tjokro repairs parts for its services business. Tjokro utilises state-of-the art machinery to support these two business segments.

For its manufacturing business, Tjokro uses vertical and horizontal CNC lathe and machining centres, CNC high speed hobbing, technologically advanced heat treatment, forging and casting facilities, and many more. For the services business, Tjokro uses heavy-duty lathe, milling, grinding and boring machines. The company also uses many other supporting machines and precision tools.

Tjokro's diligence and honesty have won the company relationships with world-class Japanese and international partners.

"Our long history working with Japanese companies helped us build knowledge," Tjokro says. "Their employees supported in familiarising us with technologies to increase our competence."

The company's more than 10-year relationship with agricultural equipment and generator manufacturer Yanmar represents this trusted cross-border partnership relationship. Tjokro produces spare parts for Yanmar's diesel engines used in its agricultural and power management business segments. Yanmar exports machines containing Tjokro spare parts, attesting to the latter's compliance with international quality standards. Tjokro also works with high-profile companies such as Toyota, Isuzu and Hino. "We serve the most number of Japanese OEMs for engine parts," Tjokro says. "We can work with them to produce the same product quality at competitive prices. If they want to be cost-competitive with Chinese companies, manufacturing and production in Indonesia is a good solution. We want to learn and produce, so it is a win-win situation for both of us."

As it expanded its partnerships to include German, Korean and Chinese companies, Tjokro also diversified its suppliers. This is to ensure that it is able to deliver to its customers solutions that represent a balance between technology and price points.

"We can provide both solutions depending on what kind of technology customers want to use. We always maintain the Tjokro quality standard," Tjokro says.

To add to its branches nationwide, Tjokro is expanding in Kalimantan Island to capitalise on growing industries there, such as coal, palm oil and oil and gas. Tjokro initially established five branches in Kalimantan and plans to open more as the demand from these industries spike.

"We grow with our customers," Tjokro says. "As they establish themselves in new geographies, we are committed to making our services efficient by following them."

Aiming to become a globally renowned company offering end-to-end solutions, Tjokro welcomes partnerships with international OEMs and heavy machinery companies looking to manufacture high-quality machines in Indonesia.

Tjokro also ventured into the property business and opened a medium-scale industrial area in Cikarang and Karawang. The company welcomes foreign investors looking to invest in Indonesia.

"It gives us a very good opportunity to contribute to Indonesia's economic growth," Tjokro says.

Tjokro Group