Smart Investor Malaysia

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Taiwan’s largest institutional logistics property developer, Ally Logistic Property (ALP), has marked a new milestone to unveil ALP Bukit Raja OMega, an international-scale smart warehouse at Bukit Raja Industrial Park, Selangor today. Through a state-of-the-art and technology-focused OMega launch event and groundbreaking ceremony on site, ALP certainly raises expectations and anticipations upon the completion of OMega, which is designed to boost the nation’s logistics industry.

The momentous launch event and groundbreaking ceremony was officiated by The Honourable Dato’ Teng Chang Khim, Selangor State Senior Executive Councillor (EXCO); Dato’ Hasan Azhari Bin Hj. Idris, CEO of Invest Selangor; Noor Aini Samoon, Director of Malaysian Investment Development Authority (MIDA); Nurhisham Hussein, Chief Strategy Officer of the Employees Provident Fund (EPF); and Dato’ Yeoh Seok Hong, Managing Director of YTL Power. Charlie Chang, Co-Founder & CEO of ALP; Keren Liu, Managing Director of ALP Malaysia; and Chris Lower, Executive Vice President, Group Operations Excellence & Regional Business Development of ALP also share the same stage to reveal Malaysia’s first OMega and how it revolutionises Malaysia’s smart logistics infrastructure. These significant efforts are in line with the state nation’s ambitions for Selangor to be a truly Smart State by 2025. 

ALP redefined Taiwan’s logistics industry: expansion aims to replicate success for ASEAN market

Since ALP’s inception in 2014 as one of the first smart logistics infrastructure developers to offer not only warehousing spaces but also automation and robotic solutions in Taiwan, it has grown to become one of the leading players in the industry. With six logistics parks and 14 logistics hubs built in Taiwan, ALP is now managing more than 570,000 square meters of warehouses and over USD800 million in assets, while having more than 480,000 square meters of warehouses and over USD650 million assets in the construction pipeline. In 2019, ALP began its Southeast Asia market expansion with the first subsidiary office set up in Malaysia which will be followed by neighbouring countries including Vietnam, Thailand, Philippines, and Indonesia.

“ALP has seen increasing demand for our innovative and future-proof products and services in Southeast Asia. With the official announcement and start of construction on this new warehouse facility in Malaysia, ALP is committed to continue driving its effort to spur growth for the industry while empowering local brands in their digital transformation journey to reach new markets and unlock wealth,” added Charlie Chang, Co-Founder & CEO of ALP.

Ally Logistic Property (ALP) Bukit Raja OMega

ALP Bukit Raja OMega supports Malaysia’s ‘Smart Selangor’ and ‘Logistics 4.0’ initiatives

The strategic location and design of ALP Bukit Raja OMega makes it stand out from the other facilities and it has also succeeded in partnering with major investors such as The Employees Provident Fund (EPF), and attracting multinational brands and retailers to be part of this exciting product. Managing Director of ALP Malaysia, Keren Liu believes that the efforts of ALP will revolutionise Malaysia’s warehousing infrastructure through the cutting-edge, integrated use of automation and robotics supporting the ‘Specialised Warehouse & Logistics 4.0’ initiative. 

“Delighted to initiate our first overseas project in Malaysia, we strive toward excellence by supporting local and multinational clients in their digital transformation.” Keren Liu added. “With OMega to be completed in Q3 2024, it will bolster Malaysia’s logistics and warehousing industry to support growing demand for multinational brand owners and retailers looking to establish their regional distribution centres in Selangor and Malaysia.”

OMega introduces the “shared warehouse”

OMega is a multi-storey, automation built-in, and technology-integrated warehouse. Inspired by the futurism concept, OMega introduces a “shared warehouse” structure to offer a flexible rental plan to accommodate industry clients’ business expansion. It has a world-class shared Automated Storage and Retrieval Systems (AS/RS) at its heart, and separates clients and functions by floors. OMega creates an industry-specific cluster of suppliers and retailers in response to Malaysia’s fast-growing warehousing needs and vigorous development of digitalisation.

OMega will feature 1.8 million square feet in total floor area with an additional 100,000 pallets in the shared automated storage and retrieval system (AS/RS) zone, making it an ideal destination for FMCG, retailers, and e-commerce platforms. A shared warehouse model enables clients with limited resources to afford a customized solution, reduce reliance on human labour, improve operational efficiency, shorten lead time and eliminate human-related errors. In terms of operation, it can regulate and reduce the capacity differences between off-season and peak-season of multiple industries, and fully utilize equipment usage and labour force planning to reach maximum economic efficiency.

OMega’s operating system KryptOS improves supply chain agility

The brain of OMega is KryptOS, an operating system developed by ALP. KryptOS seamlessly integrates with the client’s WMS and manages all the automation within OMega. It not only manages the pallet storage area, but it can also integrate with handling systems for picking, sortation systems and many others. KryptOS also manages advanced functions such as moving products between clients which we call “digital transport.” Finally, it has a full reporting suite allowing operators and management to see exactly what is going on in their operations. The automation solution supports the transformation of labour-intensive supply chains and helps companies tackle the complexity of warehouse management to optimise business processes, gain time and improve cost-efficiency. Greater focus on analytics provides core competence for retailers, as supply chain agility is the prerequisite for long-term success in the logistics industry.

More flexible, accurate and agile logistics resources to support transformation

“Southeast Asian countries haven’t faced serious labour shortages, however in some countries, like Malaysia, workers from various neighbouring countries are used to fill the gap, this can lead to language barriers and miscommunication causing inefficiency and management difficulties in the warehouse. Therefore, the logistics industry needs to upgrade, to improve working environments through implementing automation equipment, systematic workflows, and to reduce dependency on human labour,” Chris Lower, Executive Vice President, Group Operations Excellence & Regional Business Development of ALP shared during the OMega launch keynote.

“Whether corporations have an internal logistics department or outsource their logistics, it is evident that they are focusing more on flexibility, accuracy, and agility of their operation. We expect corporations will need larger logistics facilities with dense storage to integrate B2B, B2C, and multiple retail channel demand, taking advantage of automated equipment and systems to reduce reliance on manpower, improving resilience when facing emergencies, and providing a better service level to the end consumers,” Chris Lower explained.

Guiding the industry toward sustainable development

According to Malaysia Retail Industry Report (September 2022), for the second quarter of 2022, Malaysia retail industry recorded an all-time high growth rate of 62.5% in retail sales, as compared to the same period in 2021, and this result was far beyond the market expectation. The retail market is expected to have an average growth rate at 61.7% in the third quarter. The Malaysian retail market has proven its great potential and resilience. As the retail market is developing toward omnichannel, the nation indeed requires a large-scale logistics facility with flexibility, accuracy, and agility to meet the need for future expansions.

The traditional logistics industry lacked long-term and complete solutions resulting in unnecessary waste in the supply chain process. Nowadays, ALP is committed to changing the landscape of the logistics industry in Taiwan and abroad, providing a new generation of smart logistics solutions to upgrade the current industry and establish a sustainable business model.

With today’s launch event and groundbreaking ceremony, ALP is off to a flying start to become the smart logistics infrastructure provider for Smart Selangor and Malaysia.

About Ally Logistic Property (ALP)

Ally Logistic Property (ALP) is the most innovative total warehousing solution provider in the Taiwan logistics industry, providing cutting-edge smart warehousing solutions, including warehousing property, automation system integration, and warehousing services. Established in 2014, ALP has constructed six awe-inspiring logistics parks and is now managing over 570,000 square meters of space, growing its warehousing portfolio to one of the largest in Taiwan. By integrating the resources and talents of diverse backgrounds, ALP solves the most complicated logistics processes for its clients and provides them with simpler, smarter, more sustainable solutions through its smart warehouses. With its strong presence in Taiwan, ALP is commencing its strategy into SEA and launching its first OMega project in Malaysia to set new standards and inspiration for smart logistics infrastructure.

For more information on ALP, please visit www.alp.com.tw/en.

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