Life Improvement by Public Transportation (MRT Jakarta)

MRT Jakarta

8. Decent Work and Economic Growth 9. Industry, Innovation and Infrastructure 12. Responsible Consumption and Production

Overview

Based on data, public transportation in Jakarta only covers 50% - 60% trips a day, the growth of private transportation is 9,5% per year and increasing percentage of the road is 0,01% per year. These issues make Jakarta’s people use their private cars or motorcycles to do daily activities and cause traffic on every road in Jakarta. Because Jakarta is the capital city of Indonesia, the Government came up with transportation solution, MRT Jakarta.

MRT Jakarta, which stands for Mass Rapid Trans Jakarta, is a state-owned Indonesian enterprise based in Jakarta. The main business is transportation with electric trains in Jakarta and officially operating on April 1st, 2019. Over the past one year, MRT Jakarta proven to increase the quality life of Jakarta’s people by providing an excellent service in transportation.


Author

Risma Tio

Risma Tio

School

IPMI International Business School

IPMI International Business School

Professor

Amelia Naim Indrajaya

Amelia Naim Indrajaya

Innovation

MRT Jakarta cooperated with the Ministry of Transportation of Indonesia on how to solve severe traffic jams in Jakarta and they came up with the motto “increasing mobility, improving life quality.” They prepared a master plan not only to set up transportation in Jakarta, but also to educate people on how to use public transportation with good attitudes because when facilities are settled but the users cannot use them well, the system will be useless.

MRT determines the location of the station, underground station construction, sets the connecting transportation from MRT station, train specification, and technology used, hires employees, determines how to educate people to use public transportation, and how to treat defective passenger, and learns from many parties around the world to support MRT business as professional transportation business.

Life Improvement by Public Transportation (MRT Jakarta)

Inspiration

In 2016, almost every country has MRT for their mass transportation and Indonesia is left behind although economy is growing. The government sent their people to brainstorm, learn and absorb a piece of knowledge with other countries about mass public transportation. For example: In Japan, we learned about how they operate MRT, in India we learn on how they are connecting areas in India with mass transportation like train, in Thailand we learned how they treat anarchist passengers, in Garuda Indonesia we learned how they treat passengers with global class service, in Singapore, we learned how they educate people on using transportation with a good attitude, from other communities we learn on how to treat defective passengers, etc. They took a good thing in every lesson and try to adopt it in MRT Jakarta.

Overall impact

MRT Jakarta, positively impacts the lives of Jakarta people especially using MRT as their transportation. They have more quality time with family, friends and themselves. For areas near the MRT station, they offer business like hotels, rent a room, parking spaces, and restaurants. For areas passed by MRT, traffic jams have already been reduced--although not significantly--but people are starting to think it is better to use MRT than using their own car or motorcycle.

MRT Jakarta takes a role for supporting the Sustainable Development Goals (SDG) program:

Good Health and Well Being, as motto of MRT is increasing mobility and improving life, their costumers get the benefits such as faster, cheaper and efficiency mobility than previously. The customers no longer need to spend a lot of time on the road and have more quality time with their families.

Decent work and economic growth, MRT opened a lot of vacancies to serve the customers. Workers like to choose offices near the MRT’s stations because of easy access, and the economy will grow for business around MRT’s stations (hotel, restaurant, mall, etc).

Industry, Innovation and Infrastructure: The government plans to operate MRT with connecting to other transportation (ex: trains, TrasinsJakarta) and above the MRT’s station an apartment or mall will be built. In the other side, MRT will be operating outside Jakarta, especially in the big city. This project creates a lot of industry and big infrastructure with innovation.

Sustainable Cities and Communities, after daily activity, people can spend their time and create activity with community

Responsible Consumption and Production, by MRT, using the gasoline can be reduced.

Business benefit

The MRT Development Project is funded by the Central Government and the Provincial Government of DKI Jakarta and is supported by a loan from the Japanese Government through the Japan International Cooperation Agency (JICA).

MRT, despite the size, provides a vast amount of benefits to the community. They not only provide the employment opportunities but they made a big impact for environment. In 2019, MRT got some awards:

1. Trusted company based on Corporate Governance Perception Index

2. International Diamond Prize for Excellent in Quality 2019

3. International Innovation Award 2019

4. CNBC Indonesia Awards 2019

5. 3th winning BUMD Non-Listed Annual Report Award 2019

6. Marketers Omni Brands of the year 2019

Besides passenger fares, other sources of MRT’s income come from advertising (digital and non digital), reserving station names, renting stands in the stations, and cooperation with many parties and other business opportunities.

For long term plan on 2030, they want to connecting Jabotabek (Jakarta, Bogor, Tangerang, Bekasi) area outside the train track and educating people to using public transportation. And the other projects, create same mass transportation like MRT Jakarta in big city outside Jakarta area (ex: MRT Medan, MRT Surabaya, MRT Yogyakarta, etc)

Social and environmental benefit

As an organization, MRT Jakarta always trying to contribute and actively participate in finding the best solution of various social problems. They continue to develop with the community by creating harmonious relationship with the surrounding environment. Thus, the existence of MRT Jakarta can provide the widest possible benefits and meet the expectations of stakeholders, MRT users, Government, employees, shareholders, partners and surrounding communities.

After open discussion with Muhammad Effendi (Director of Operation and Maintenance) of MRT, he said that people using MRT will be a different person for a while because they have to obey the regulation in MRT area. For example: queue in the line, storing the trash in the bag and not allowed to eat or drink.

Interview

Muhammad Effendi, How MRT improve mobility in Jakarta

Keep this story going! Share below!

MRT Jakarta

MRT Jakarta

Jakarta, Indonesia, ID

Business Website: https://www.jakartamrt.co.id

Year Founded: 2019

Number of Employees: 501 to 1000

Based on data, public transportation in Jakarta only covers 50% - 60% trips a day, the growth of private transportation is 9.5% per year and increasing percentage of the road is 0.01% per year. These issues make Jakarta’s people use their private cars or motorcycles to do daily activities and cause traffic on every road in Jakarta. Because Jakarta is the capital city of Indonesia, the Government came up with transportation solution, MRT Jakarta.

MRT Jakarta, which stands for Mass Rapid Trans Jakarta, is a state-owned Indonesian enterprise based in Jakarta. The main business is transportation with electric trains in Jakarta and officially operating on April 1st, 2019. Over the past one year, MRT Jakarta has proven to increase the quality life of Jakarta’s people by providing an excellent service in transportation.