With a symbolic groundbreaking ceremony the construction work for a large innovative distribution center for DHL Supply Chain in Singapore has started. It will be DHL’s first center of excellence for innovative logistics services and solutions outside Germany. Once operational, Singapore will become an even hotter spot for the biz activities of the Deutsche Post subsidiary in Asia.
Kelvin Wong, Assistant Manager of Singapore’s Economic Development Board (EDB) spoke of a “significant milestone in the strong partnership between DHL and Singapore.” The facility will enable
DHL’s regional customers in the aerospace, healthcare and technology sectors to benefit from state-of-the-art technologies and advanced automation solutions, Wong went on to say.
Managing Director Jason Goh of DHL Supply Chain Singapore emphasized the improved workflow processes enabled by the new facility “which will reduce the time to pick, pack, and ship items.”
Indeed, many laurels in advance for the integrated build -to-suit (BTS) logistics project.
The new complex comprises 90,000 sqm of space and will cost €93m, financed by Singapore’s real estate developer Cache Trust (€70m) and DHL (€23m). Located in Tampines LogisPark it is slated to be operational in the second half of 2015.
The facility will serve as a regional platform to engage customers, industry partners and the Singapore research and government community on business and innovation-related matters. Besides live demonstrations of the latest logistics trends and innovative solutions, the Innovation Center is expected to set new industry standards through the set-up of several competence centers dedicated to identifying, monitoring and harnessing specific logistics industry trends and market developments. The project will complement DHL’s existing innovation center located in Troisdorf near Cologne for developing and testing new logistics processes. These comprise market surveys, new approaches to improve and accelerate the supply chain and practical steps to further automate contract logistics processes and the delivery of shipments.
“This development fits well with our vision for Singapore to be a thought-leader in supply chain innovations and applications,” emphasized EDB manager Kelvin Wong in his ceremonial address. Construction of the new facility is expected to be finalized by the second half of 2015.
DHL’s Asia-Pacific, Middle East and Africa (APMEA) regional office and Singapore country office will then be re-located to the premises.