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LSCMS Blog

Blog for updates and happenings in logistics in the Asia-Pacific region

July 11, 2015

SingPost and Alibaba Group to Expand Ecommerce Logistics Cooperation

Filed under: Logistics,News,Newsletter — admin @ 11:09 am

  SingPost and Alibaba Group to enter into joint strategic business development framework to improve efficiency and integration in ecommerce logistics. They announced a series of new initiatives for collaboration and growth following the signing of a joint venture agreement. The three initiatives signal the deepening of a business relationship that started last year and a commitment from both parties to increase ecommerce logistics collaboration in the future to build a leading ecommerce logistics platform to service the rapidly growing ecommerce businesses across Asia Pacific and beyond.

The three initiatives include:

  1. Alibaba will invest in Quantium Solutions International, a wholly owned subsidiary of SingPost providing leading end-to-end ecommerce logistics and fulfilment services across the Asia Pacific region;
  2. Alibaba will increase its existing shareholding in Singpost, subject to regulatory approval; and 
  3. SingPost and Alibaba have also entered into a joint strategic business development framework to further improve efficiency and integration of ecommerce logistics solutions. SingPost and Alibaba will share their respective knowledge and leverage each other’s strengths to scale across the ecommerce logistics value chain.

[Read more… ]

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June 27, 2015

10 Points to Cutting Costs While Delighting Customers

Filed under: Logistics,News,Newsletter,Resources,Supply Chain Management — admin @ 11:14 am

reduce-costsCost reductions are uncovered from raw materials to end delivery, but companies must focus on its customers to keep them satisfied.

North American companies increasingly are seeking data-driven supply chain strategies to lower costs while improving customer satisfaction. Robust technologies and advanced analytics drive the business insight needed to streamline processes and reduce costs from raw materials to end delivery. Sophie Dabbs, vice president of client solutions for third-party logistics provider Transportation Insight, discusses the art and science of how shippers can reduce cost while creating more customer value with 10 points that include elimination of expediting costs to technology use in your supply chain.

[Read more… Curated from Inbound Logistics]

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June 5, 2015

The Global Map for Manufacturing is Being Re-Drawn

Filed under: Logistics,News,Newsletter,Supply Chain Management — admin @ 11:14 am

digital-map-1442178-mIn today’s globally connected economies, it’s not about ‘off-shoring’ or ‘near shoring’ in manufacturing anymore, but about next-shoring, says Dr. Karen M. Reddington, president, FedEx Asia Pacific.

Just a few decades ago the buzz was all about ‘off-shoring’ – where manufacturing moved to cheaper cost bases such as China or Latin America.

Then came something of a reversal with ‘near-shoring’ – of companies returning production closer to home markets such as the US as the price of fuel and labor rose elsewhere.

But in today’s globally connected economies, it’s about much more than just cost.

Now the balance of manufacturing is shifting – yet again.

Next-shoring – not moving manufacturing from one location to another, but “adapting to, and preparing for, the changing nature of manufacturing everywhere” is the new frontier, as a recent McKinsey report says.

The difference is that today’s revolutionary shift isn’t a matter of geography, nor is it a competition between countries or continents.

[Read more… Curated from Logistics Insight Asia]

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May 30, 2015

When the Walls Come Tumbling Down

Filed under: Jobs,Logistics,News,Newsletter,Supply Chain Management — admin @ 11:13 am

WallSupply management professionals are increasingly accepting cross-functional cooperation in purchasing, supply management, production and inventory control to optimize overall company performance and increase competitiveness. The author met with the 30 Under 30 Rising Supply Chain Stars winners, many of whom say that if their responsibilities are broadened across the entire supply chain, they feel they have a better opportunity to contribute, make a difference, and beneficially impact enterprise operations.

Driving this increase in cross-functional cooperation is a growing recognition that linking supply functions with demand will benefit overall enterprise performance. The industry organizations serving functions such as purchasing, production, and supply, which traditionally had little direct involvement in logistics operations, are recognizing this by starting to bring their members logistics information, research, and, in some cases, certification.

[Read more… Curated from Inbound Logistics]

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May 28, 2015

Indonesia’s Logistics Industry to Grow at 15.2% in 2015, Says Expert

Filed under: Logistics,News,Newsletter,Research — admin @ 11:15 am

trends-imageA Frost & Sullivan analyst says over 1.1 billion tons of total freight is expected by 2015 with CAGR of 5.4 per cent between 2010 – 2015.

Gopal R is expecting strong private consumption growth, higher trade growth, lower external financing cost & oil price and infrastructure development to continue drive logistics industry growth in 2015. However, he said that rising labour wages will force businesses, including transportation & logistics to incur lower profit margin. He also said that the limitations to invest optimally in logistics infrastructure such as ports, airports and roads will hamper freight movement.

Gopal said that ASEAN’s transportation and logistics sector is expanding rapidly, which is in line with the region’s economic growth. He added that the projected growth in ASEAN countries will have an average growth of 7.9 per cent where exports play a greater role, while domestic demand is expected to be moderate.

[Read more… Curated from Logistics Insight Asia]

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May 18, 2015

Gartner Announces Rankings of Its 2015 Supply Chain Top 25

Filed under: Logistics,News,Newsletter — admin @ 11:16 am

IMG_2470.JPGAmazon takes the top spot in top 25 rankings; Apple and P&G move into new masters category.

The top five include three from last year — Amazon, McDonald’s and Unilever — one returning leader, Intel, and a newcomer to this elite group, Inditex. Three companies rejoined the list this year after a lengthy hiatus, with L’Oréal at No. 22, Toyota at No. 24 and Home Depot at No. 25. Those familiar with Gartner’s Supply Chain Top 25 may wonder why perennial leaders Apple and P&G are not included on this year’s list.

“This year we are introducing a brand new category to highlight the accomplishments and capabilities of long-term leaders. We are, therefore, recognizing those companies that have consistently had top five composite scores for at least seven out of the last 10 years and placing them into a ‘masters’ category, separate from the overall Supply Chain Top 25 list,” said Stan Aronow, research Vice President at Gartne. “In this the inaugural year for supply chain masters, we want to recognize two companies demonstrating sustained leadership: Apple and P&G.”

[Read more… Curated from Gartner]

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May 8, 2015

APL Logistics Opens New Container Freight Station in Jakarta

Filed under: Logistics,News,Newsletter — admin @ 11:29 am

APL LogisticsAPL Logistics has announced the opening of a new container freight station (CFS) at the Tungya Collins Terminal in Cakung, North Jakarta. The CFS is an 11,000 square-metre storage and distribution facility that boasts an expansive yard space with cross-docking capabilities. Strategically located within close proximity to the Port of Jakarta (Tanjung Priok), this custom-built facility has an annual handling capacity of 600,000 cubic metres.

The new CFS extends APL Logistics’ footprint in Indonesia where it offers export consolidation and warehousing services. It also complements APL Logistics’ existing facilities across Asia as a sourcing hub for both international and domestic distribution.

“Indonesia is a major hub for international sourcing and there is an increasing demand for effective, quality assured warehousing and distribution. The new facility underlines APL Logistics’ commitment in providing value-added and pre-retail services to our customers. It forms part of our active delivery of storage solutions as we distinguish ourselves as a logistics leader with sustainable warehousing infrastructure and supply chain systems in Indonesia,” said APL Logistics President Beat Simon.

Today, APL Logistics offers warehousing services across five locations in Indonesia, coordinating with some 280 factories to consolidate and export cargo for overseas buyers. In the last three years, APL Logistics has seen its cargo handling volume in Indonesia grow by 10% annually.

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May 6, 2015

Paul Smith Designs Omni-Channel Growth Strategy with Manhattan Associates

Filed under: Logistics,News,Newsletter,Supply Chain Management — admin @ 11:28 am

Paul SmithGlobal fashion brand Paul Smith has selected Manhattan Associates’ Supply Chain Commerce Solutions to optimise order fulfilment across its international omni-channel retail operations and to drive business growth.

From opening its first store in England in 1970 to managing a global enterprise across six continents today, Paul Smith represents the quintessential international, omni-channel fashion company. To help deliver on its brand promise and to keep pace with customers’ rising service expectations across the globe, Paul Smith identified the need for a proven, world-class supply chain commerce platform to optimize its fulfillment operations and drive service level improvements for its stores and customers. With ambitions to continue expanding its commerce footprint, the retailer also recognised it needed a scalable solution that would enable growth for many years to come.

James Horsley, Finance director at Paul Smith, commented, “With the continued business growth we expect in the years ahead, the selection of a market-leading supply chain commerce solution had become a prerequisite for our business strategy. Manhattan’s technology will give us better visibility of inventory and will help us ensure product availability for our customers. It will also give us flexible fulfillment options and will drive efficiency enhancements across our UK and global distribution operations. All of this is key to our long term business success.”

[Read more… Curated from Yahoo Finance]

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May 4, 2015

Procurement Mojo – Book Review

Filed under: Logistics,News,Newsletter — admin @ 1:16 pm

Book Title: Procurement Mojo
Author: Sigi Osagie

Sigi Osagie migrated to the UK from Nigeria at the age of 19. While working he acquired a degree, then an MBA, after which he progressed through roles of increasing seniority, ending up taking on subsequent supply chain director roles in major firms. After this he took on senior level interim and consulting roles. Evidence of this experience is in this book, where he demonstrates his passion for organisational excellence, and articulates a philosophy for driving change and rallying teams under common goals.

If you are after a technical manual on how to perform different aspects of the procurement function, this is not the book for you. However if you are interested in shaping your procurement strategy as a fit in the overall organisation strategy – a key criteria for success in any department – then I would recommend this as a worthwhile read.

The first chapter, Build an Effective Procurement Organisation, looks at the structure of organisations, the procurement function and the people within it. I have to admit… when I first started reading this chapter I was initially a little underwhelmed. Osagie begins the reader’s journey with an emphasis on the position of procurement within the organisation. My reluctance was not because the book was not well written or organised. However when an organisation has reached the stage where they have procurement (as opposed to purchasing), it should usually be positioned as a strategic part of the supply chain – not as an administrative function. Osagie belabours the need to have procurement as a key part of the organisation’s strategy perhaps too much for my own personal reading pleasure, however he certainly has a point and this fits well in to the overall structure of the book.

When Osagie talks about managing people and change with the purpose of achieving measurable results, the book picks up significant value and interest. This focus is reflected in the structure of his chapters. The discussion of people, organisation and procurement’s strategic value then flows in to a discussion on processes and technology in the chapter on Deploy Fit-for-Purpose Enablers – something I appreciated as it is important to see technology fit the process, and the people (building on the first chapter). This is a light treatment of technology with an important emphasis on process, and if the reader is seeking more information on current technology in use, then it might be worthwhile to look elsewhere for supplemental reading. By not digging too deep in this topic, as is tempting to do with technology, Osagie has probably ensured that this book will maintain relevance for some time.

In Adopt Robust Supply Base Management, Osagie builds further on the understanding of people and process covered up to this point, and uses this understanding to delve further in to risk and supplier relationship management. No book for management would be complete without addressing management and metrics, and this is done in the chapter on Apply Appropriate Performance Frameworks. This addressed measurement from both a planning and performance perspective, and includes a section on measuring procurement functional performance. There are cautions against a focus on short-term metrics, and against being overly reliant financial performance, both of which are necessary cautions as these can cause their own sets of problems.

Finishing with an emphasis on Build Your Procurement Brand is topical, good business advice and worthwhile career advice. Being aware that organisation success and therefore personal success is dependent on stakeholders – including customers and suppliers – is something that I hear from business leaders around the region, and it’s good to see it in print.

Procurement Mojo is a book I would pick up if seeking to drive change in your procurement function and its relationships with other stakeholders. It is not a how-to for procurement professionals, but is aimed at a middle to senior management who wants to see functional alignment and success in the organisation, and I see value for managers in both multinationals and small to medium businesses.

Information about the reviewer:
Stephanie Krishnan is the Academic Campus Director – South East Asia with the University of Wollongong. Stephanie has worked in Asia for almost 20 years and lectures, consults and conducts research in the areas of Logistics and Supply Chain Management, International Business, Corporate Social Responsibility and National Culture. Contact: smckern@uow.edu.au

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April 29, 2015

Report: Philippines Must Improve Logistics, Port Infrastructure

Filed under: Logistics,News,Newsletter — admin @ 11:30 am

Flag_of_the_Philippines.svgThe Philippine Institute for Development Studies says the seven month-long truck ban in Metro Manila last year that cost the economy US$990.75 million, underscores the need to address “complex problems with port congestion”.

A recent policy note released by state think tank Philippine Institute for Development Studies (PIDS), Port Congestion and Underutilization in the Greater Capital Region: Unpacking the Issues, discusses the nature and the root of the port congestion problem and explores various policy options and alternative measures, including the revival of the Philippine National Railway (PNR), to improve current port operations. The policy note was based on a comprehensive study of the logistics chain in the Greater Capital Region.

[Read more… Curated from Logistics Insight Asia]

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