Uber For Trucks

Removing excessive middlemen from trucking and logistics in Indonesia

The Story

Cargo shipping in Indonesia should be a nightmare in terms of management, coordinating and payments processing. The industry is highly inefficient and disorganized, which makes the process of sending shipments way more complicated as it could be, considering the automation technologies used in other countries. 

Indonesia has the greatest GDP in Southeast Asia with year-over-year grows between 5 and 6 percent. Logistics cost to accommodate 25% of the total GDP where 90% belong to the trucking industry. In 2016 it was announced that the country is going to significantly increase infrastructure spendings, allocating $29 billion that year. 

Considering the facts above and the total population of 240 million, it was clear that Indonesia could be a prime candidate for the logistic industry innovations. It was just a matter of time for someone who is experienced in disrupting the transportation industry to come to apply the lessons learned. 
It happened in early 2018 when Kargo Technology company was founded by former Uber Asia executives and baked by Travis Kalanik, Sequoia and others. 

The journey of an ambitious startup and Velmie, as a technology partner, has begun. 

The Solution

By the time Kargo Technology company was founded, our team already had extensive experience with building logistics marketplace and automation solution. In 2016 there was Cargomatic platform that we helped to build and launch in California; there are also logistics automation and mobile payments solutions that we provide in order to achieve the maximum efficiency with building a new platform. 

Furthermore, it was clear from the very beginning that the company is going to be as agile as possible in operations serving the customers. That’s where one more factor came into play, the company was looking for a vendor to architect and build the platform components as well as the entire development process the way, that would allow to reach the desired level of scalability and be fast with addressing all the customer demands. We, as a vendor, got a solution that was already proven on multiple projects in transportation and finance space, where we brought speed and agility to software and teams with adopting the microservices approach. This is also something we decided to stick to with building this transportation marketplace platform and looking back, it was one of the best decisions the founders could make. The company is now rapidly scaling, serving more clients, building more functions, adding customizations for the key clients without spending too many efforts, staying fast and agile. 

Since the very first day when the founders came to Velmie for help with the project, we’re providing solutions to deal with the core features of the platform such as ordering, tracking, auth and KYC, payments processing and much more. There is also a team of dedicated developers provided by us to deal with the custom development, integrations, DevOps, architecture design, QA and many other areas that require both technical and industry competences. 

The Outcomes

The main objective of the platform was to remove excessive middlemen and brokers, allowing a direct connection between buyers and shippers, providing greater transparency, better quality and improved financials for both parties. 

As a result, there were multiple components created to handle the process that includes mobile applications for shippers and transporters; web dashboard for both user roles; AWS cloud back end with microservices; advanced payments processing, KYC and dispute resolution functionality and more. There is also Artificial Intelligence technology introduced for greater automation of the workflows, it helps to deal with user verification, customer support, suspicious transactions detection, user personalization.



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