Project Overview

The explosive growth of e-commerce in Southeast Asia has placed unprecedented pressure on urban logistics infrastructure. Jakarta, as one of the world’s most populous and dense metropolitan areas, is the epicenter of this transformation. The Nusa Express Fulfillment Center project is a definitive example of how “vertical-first” engineering can solve the severe horizontal space constraints of the urban warehouse. Runda Rack was commissioned to design and implement a massive-scale storage and processing hub that could triple the facility’s output without expanding its physical footprint. By deploying a high-density Multi-Level Mezzanine Platform integrated with Carton Flow technology, we enabled Nusa Express to achieve a 200% increase in storage capacity and a 40% improvement in picking velocity. This case study details the technical innovations that allowed a major logistics provider to scale their operations within the heart of Jakarta’s restricted industrial zones.

The Client & Market Context

Nusa Express is a leading regional third-party logistics (3PL) provider specializing in last-mile delivery and e-commerce fulfillment for major global platforms. The Jakarta market is characterized by a “hyper-fragmented” retail landscape where consumer demand for same-day delivery is the new standard. However, the availability of large-scale, modern warehousing near the city center is extremely limited, and land costs have reached historic highs. For Nusa Express, moving to a larger facility outside the city was not an option, as the increased travel time would compromise their same-day delivery guarantees. The only viable strategy was to optimize their existing 5,000 square meter facility by moving upwards. The market context demanded a solution that was not only high-density but also highly ergonomic, as the labor-intensive nature of “each-picking” for e-commerce requires a focus on picker productivity and safety.

The Challenge (Technical & Operational)

The Nusa Express project was defined by a complex set of structural and operational hurdles that standard racking could not address.

First, Severe Horizontal Space Constraints were the primary bottleneck. The facility was already operating at 95% floor capacity, with aisles clogged by manual carts and temporary storage. Nusa Express needed to process 50,000 orders daily, but their legacy single-level storage model was creating massive picking “traffic jams.”

Second, High-Volume “Each-Picking” of small consumer electronics and fashion items required a specialized storage logic. These items have high turnover rates and vary significantly in size and weight. Storing them on standard pallet racks was inefficient, as pickers spent 60% of their time traveling between distant locations and climbing ladders to reach high shelves.

Third, Structural Integrity and Seismic Stability were critical engineering requirements. Jakarta is located in a seismically active region, and the introduction of a heavy-duty, multi-level steel structure within an existing building required precise engineering to ensure it could withstand lateral forces during an earthquake. The mezzanine needed to support not only the weight of the inventory but also the dynamic loads of hundreds of workers and conveyor systems.

Finally, Operational Continuity during the upgrade was essential. Nusa Express could not stop its 24/7 fulfillment operations. The installation of a three-tier mezzanine had to be managed with surgical precision to avoid disrupting the flow of thousands of time-sensitive packages.

The Engineering Solution

Runda Rack’s engineering team developed a Hybrid Multi-Tier Fulfillment Ecosystem, utilizing our high-tensile Nine-fold Upright technology.

Seismic-Certified Multi-Level Mezzanine: We engineered a two-story mezzanine platform that effectively added 10,000 square meters of functional floor space within the existing 5,000 square meter footprint. The structure utilized Nine-fold uprights for their superior strength-to-weight ratio and torsional rigidity, which is essential for seismic resistance. The flooring was constructed using heavy-duty galvanized steel gratings that allow for light penetration and airflow, reducing the need for additional lighting and HVAC on the lower levels. We utilized “Independent-Frame” engineering, ensuring the mezzanine does not transfer loads to the building’s primary columns, which simplified the permitting process and enhanced safety.

Dynamic Carton Flow Integration: To solve the picking bottleneck, we integrated Carton Flow Racks on the first level for high-velocity SKUs. These racks utilize gravity-fed roller tracks that automatically move new cartons to the picking face as the front unit is emptied. This ensures a First-In-First-Out (FIFO) flow and eliminates the need for pickers to reach deep into shelves. The Carton Flow lanes were color-coded and integrated with a pick-to-light system, reducing picking errors by 95%.

Ergonomic Workflow Design: The layout was designed using a “Golden Zone” philosophy. High-turnover items were placed on the first and second levels, while slow-moving “long-tail” inventory was stored on the third level. We integrated spiral chutes and vertical conveyors at strategic intervals, allowing pickers on the upper levels to send completed orders directly to the packing area on the ground floor without needing to use elevators or stairs, reducing picker fatigue and travel time.

Phased “Stealth” Installation: The project was executed in five distinct phases. Our crews installed the structural steel and flooring in isolated zones during the lowest-volume night shifts. Each morning, the site was cleared and safety-certified, allowing Nusa Express staff to resume fulfillment operations immediately. This phased approach ensured that order processing continued at 100% capacity throughout the four-month installation period.

Business Impact & ROI

The ROI for Nusa Express was realized through a dramatic shift in their operational capabilities and financial performance.

Capacity and Revenue Growth: The 200% increase in storage capacity allowed Nusa Express to onboard three new major e-commerce clients, increasing their annual revenue by an estimated $12 million. They achieved this without the $5 million capital outlay that would have been required to secure and fit-out a second facility.

Picking Efficiency and Labor Cost: Picking velocity increased by 40% due to the Carton Flow integration and the optimized multi-level workflow. The travel distance per picker was reduced from an average of 8km per shift to just 3.5km, allowing Nusa Express to process 30% more orders per hour without increasing their headcount.

Accuracy and Service Levels: The combination of the organized mezzanine layout and the FIFO logic of the Carton Flow racks reduced inventory shrinkage and picking errors. Nusa Express’s order accuracy reached 99.9%, allowing them to maintain their “Gold-Tier” status with their e-commerce partners and avoid costly returns and penalties.

Space Utilization Efficiency: The project transformed the warehouse from a 45% cubic utilization rate to 88%, making it one of the most efficient fulfillment centers in the Nusa Express global network.

Sustainability & Future Proofing

Sustainability was a key factor in the mezzanine’s design. By utilizing a “building-within-a-building” approach, Nusa Express avoided the environmental impact associated with new warehouse construction. The use of light-filtering steel gratings and high-efficiency LED sensors reduced the facility’s overall electricity consumption per square meter.

The Runda Rack solution is inherently scalable and future-ready. The mezzanine structure was designed with “Modular Expansion Ports,” allowing Nusa Express to add additional conveyor loops or even robotic sorting arms in the future without structural modifications. The Carton Flow lanes can be easily reconfigured to accommodate different carton sizes as the e-commerce market evolves. This inherent flexibility ensures that the Jakarta Fulfillment Center will remain a competitive hub for the next two decades, regardless of how consumer shopping habits change.