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Innovating the Supply Chain: Benefits to Companies, Cities and Consumers

Innovating the Supply Chain: Benefits to Companies, Cities and Consumers. QUEK Keng Liang Chairman, Singapore Logistics Association. Singapore – Where?. China. India. Malaysia. Indonesia. In perspective. Promote, protect and develop a sound logistics industry Represent members’ interests

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Innovating the Supply Chain: Benefits to Companies, Cities and Consumers

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  1. Innovating the Supply Chain: Benefits to Companies, Cities and Consumers QUEK Keng LiangChairman,Singapore Logistics Association

  2. Singapore – Where? China India Malaysia Indonesia

  3. In perspective

  4. Promote, protect and develop a sound logistics industry • Represent members’ interests • Market Singapore as a hub of choice Greater Recognition Unified Industry Voice Resource Development

  5. Through the Years • Founded on 1973 as Singapore Freight Forwarders Association • 1999 renamed Singapore Logistics Association • Celebrate 40th Anniversary this year • Hosting FIATA World Congress 2013

  6. SLA Members in SCM Eco-system chemical and petrochemical

  7. SCM managing supply and demand networks

  8. Supply Chain Management design, planning, execution, control, and monitoring of supply chain activities with the objective of creating net value, building a competitive infrastructure, leveraging worldwide logistics, synchronising supply with demand and measuring performance APICS Dictionary

  9. Innovation…

  10. Innovation Verb: Innovate 1.introduce something new, esp a product. 2.make changes : do something in a new way Not Invention DevelopingNew Values through more effective products, processes, services, technologies that are readily available

  11. The Old Way

  12. The Mighty Container

  13. Containers Handled in Singapore, 1970-2012(million freight tonnes) Notes: 1. All sea-going vessels and regional ferries over 75 gross registered tonnes. 2. Tanjong Pagar Container Terminal Began Operation in June 1972 3. Refers to the tonnage and not the number of containers * Why decrease from 1990-1995 is unknown, but likely reflects a change in definition.

  14. Port Innovations 700 trucks per peak hour 8,000 trucks per day Remote Control Crane 6 yard cranes per operator control Flow-Through Gate TANDEM-LIFT Identifies container trucks, gives drivers instructions within 25 sec TWIN-LIFT

  15. Data Powers Everything We Do In 1984, World’s first nationwide B2B collaborative port community solution In 1988, Large scale Enterprise Resource Planning system

  16. World No.1 Logistics Hub 2010 2012 2007 Source : Logistics Performance Index (LPI), The World Bank Logistic Through Innovation 16

  17. Logistics Performance Source : Logistics Performance Index (LPI), The World Bank Logistic Through Innovation 17

  18. World Brand Manufacturers’ preferred hub

  19. Benefits to the City

  20. Dell SCM Model • No more middle-man • Customer choice • Market data • Demand forecast • Segmentation • Develop product • Real-time link with hub • JIT, Low inventory • Share plans with suppliers Virtual Integration Disinter-mediation BENEFIT TO CONSUMERS Cheaper product Customised product Controlled purchase BENEFIT TO COMPANY Ahead of competition Ahead of demand curve Accelerated performance Data Power Innovative Assembly • Sales and customers’ feedback • Stay ahead • Reaction to trends, attitudes • Customization • Productivity • Revolutionary distribution model

  21. Innovating Supply Chain in SingaporeStill In Progress Driverless vehicles 3D Printing RFID

  22. M2M Supply Chain Top Load | Bottom Load COI-SCM working with industry partners to take innovation further Use weight as a proxy TELCO M2M Intelligent Back-End System

  23. M2M with “On-Demand” Services LPG Food Shelves Vending Machines Trash Bins ….

  24. Today’s Supply Chain Activities Multiple Invoices Ad-Hoc Deliveries Customers ✕ ✕ ✕ ? ? ✕ ✕ ? ? ✕ ? ✕ ✕ ? Finance Customer Service Distribution

  25. M2M to eliminate low-value work Customer’s Water Dispenser “Push Model” Scheduled Deliveries Automate Invoices M2M Distribution Invoicing System Back End System

  26. In Conclusion Innovation… • Brings untold benefits to cities, companies and consumers • should not be adopted in isolation, integration into the rest of the process chain is crucial to its success • is not necessarily limited to IT & new technologies, but can also be via simple improvement to existing processes

  27. Thank You!

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