Track: Sustainability in Supply Chain, Enterprise Operations and Strategies

Abstract

Motorcycles two-wheeled gasoline-powered with internal combustion engines (ICE) and resulting CO2 pollution are very large in Southeast Asia, including Indonesia, Malaysia, and Vietnam.   The adoption of technology innovation in electric motorcycles (EM) can be utilized to achieve a target of the transport sector's zero emissions by 2050. The EM technology innovation provided transportation solutions that are environmentally friendly, energy-efficient, and lower operating and maintenance costs. But, the adoption rate of EM  in Southeast Asia still needs to improve and faces challenges of adoption-diffusion problems, i.e., product, process, innovation, and business. The early adopter has inconvenience and anxiety about their daily mobility needs over long distances. The charging infrastructure and battery capacities are critical components for solving the problem. First, users with high mobility who drive beyond the maximum mileage, if they run out of power, will stop and wait a long time for the battery to be fully charged again. Second, the scenario is to increase the battery capacity to 2-3 times the usual capacity to increase the vehicle's mileage without recharging it during a trip. There is an example of a dilemma in making a business strategy. Will electric motorcycles fail to overtake two-wheeled gasoline-powered? Can we achieve a target for the transport sector's zero emissions by 2050? The intervention instruments used early supply chain integration to solve the challenges and problems of adopting Electric Motorcycles in Indonesia were conducted by the University Centre of Excellence for Electrical Energy Storage Technology, Universitas Sebelas Maret. We also promoted an equivalent annual cost (EAC) to compare the options between improving battery capacity and infrastructure of charging by considering the cost of owning, operating, and maintaining for an extended period of the electric motorcycle market. Comparing the three countries is needed to obtain comprehensive input for economies of scale in global market competition. We offer to assess an EM Ecosystem in Malaysia and Vietnam. The novelty of research that is expected from this research is developing an EAC model suitable for the electric motorcycle market in the Southeast Asian market. Thus, the research results can provide the option of strategies for designing the global competitiveness of the electric motorcycle market and helping Electric Motorcycles Overtake Two-wheeled Gasoline Powered in Southeast Asia.

Keywords: Battery capacity, early supply chain, equivalent annual cost, infrastructure charging, Electric Motorcycle

Acknowledgments

This research was funded by the Institution of Research and Community Services, Universitas Sebelas Maret (UNS), through the program “Penelitian Kolaborasi Internasional (KI-UNS), grant number 28/UN27.22/PT.01.03/2023, March 14, 2023.

Biography

Wahyudi Sutopo is a professor in industrial engineering and Head of Industrial Engineering and Techno-Economics Research Group, Department of Industrial Engineering, Universitas Sebelas Maret (UNS), Surakarta, Indonesia. He is also a researcher for the center of excellence for electrical energy storage technology (CoE-EEST), the president of the industrial engineering and operations management (IEOM) society for Indonesia's professional chapter, and the Director of IEOM Asia Pacific Operation. His educational background is the profession of an engineer from UNS (2018), a Doctor and Bachelor in industrial engineering from Institut Teknologi Bandung (2011 & 1999), and a master of management science from Universitas Indonesia (2004). He has professional qualifications as an Executive Professional Engineer (IPU) since 2022. His research interests include supply chain engineering, engineering economy & cost analysis, and technology innovation & commercialization. Dr. Sutopo has completed research projects with more than 50 grants and carried out research projects funded by the Institution of Research and Community Services - UNS, Ministry of Research and Technology / National Agency for Research and Technology, Indonesia Endowment Fund for Educational (LPDP), PT Pertamina (Persero), PT Toyota Motor Manufacturing Indonesia, and various other companies. He has written 13 books (text and chapter), made five copyrights & 4 patents. He has initiated commercializing research outputs of UCE-EEST UNS related to energy storage technology and electric vehicle conversion through start-ups where he is one of the founders, namely PT Batex Energi Mandiri and PT. Ekolektrik Konversi Mandiri. Dr. Sutopo has published articles over 190 documents indexed by Scopus with H-index 13. His email address is wahyudisutopo@staff.uns.ac.id.

Muhammad Hisjam is an associate professor at the Department of Industrial Engineering, Faculty of Engineering, Universitas Sebelas Maret since 1998. He received his Bachelor's degree from Universitas Gadjah Mada in 1986 and a Master's from Institut Teknologi Bandung in 2002. He received his Ph.D. in Environmental Science from Universitas Gadjah Mada in 2016, with his dissertation titled is "Sustainable Supply Chain Model in Export Oriented Furniture Industry in Indonesia (Case in Perum Perhutani)". His research interests are in the supply chain, logistics, business, and sustainable development. He has published some papers in his research area. He and his colleagues have initiated and maintained some collaborations between his institution with some abroad universities, such as Ehime University, Japan, and Universiti Teknologi Malaysia. As for now, he is a member of Industrial and Systems Engineers (IISE), the Society of Industrial Engineering and Operations Management (IEOM), and AAPM.

Sayyidah Maulidatul Afraah is a master's student of the Industrial Engineering Department, Faculty of Engineering, Universitas Sebelas Maret, Surakarta, Indonesia.

Azanizawati Ma’aram is an Associate Professor at the School of Mechanical Engineering, Faculty of Engineering, Universiti Teknologi Malaysia (UTM). She obtained her Bachelor of Engineering (Mechanical-Industrial) and Master of Engineering (Advanced Manufacturing Technology) from Universiti Teknologi Malaysia, Malaysia. She pursued her Doctorate of Philosophy (Ph.D) (Management) at the University of Liverpool, United Kingdom. She has held several positions including Director of the Department of Materials, Manufacturing, and Industrial Engineering, Associate Chair (Quality and Strategy), Head of Industrial Panel, Postgraduate Coordinator for Master of Science (Industrial Engineering), and Laboratory Coordinator for Industrial Engineering. She is certified as an Engineering Technologist (Ts.) by the Malaysia Board of Technologists (MBOT). She is a member of the International Association of Engineers (IAENG) and the Board of Engineers (BEM) Malaysia. She has taught courses in industrial engineering, supply chain management (undergraduate and postgraduate levels), engineering management and safety, work design, ergonomics, and research methodology. Her research interests include supply chain management, performance measurement, lean manufacturing, sustainability, ergonomics, safety, and medical devices. She is currently active as a Project Leader and a Project Member on numerous research projects. She has secured several grants funded by the university, the Ministry of Education (MoE), and industrial grants involving hospitals, industry collaborators, and international researchers.