Yusen Logistics advances transformation vision

Yusen Logistics Singapore Pte. Ltd. marked two significant milestones in Tuas, Singapore last week – a ground-breaking ceremony for its first future-ready warehouse and the commissioning of a Swisslog Autostore, an automated high-density storage and robotic order-picking system. By superstructing a new warehouse on its existing Tuas facility and launching the newly-installed Swisslog Autostore, Yusen Logistics is advancing its existing operations productivity by:

• Optimizing storage volume for a 13,563-square-foot floor area in an existing building from 70,630 cubic feet to 123,601 cubic feet;
• Increasing throughput for receiving, sorting and put-away by 18 times;
• Upskilling 60% of its labor force by transforming manual tasks to digital skills;
• Increasing high-volume and high-mix order fulfilment rate by 200%; and
• Creating new data analytical jobs - Executives analyzing data from various digital systems to uncover new patterns for operational improvements and to improve customers’ supply chain efficiency and effectiveness.

The ceremony, which took place on September 20, was attended by Heng Chee How, Deputy Secretary-General of the National Trades Union Congress and Senior Minister of State, Prime Minister’s Office; Kenji Mizushima, President and Representative Director of Yusen Logistics Co. Ltd.; Lee Check Poh, Chief Regional Officer, South Asia and Oceania Region; Ng Kim Hung, Managing Director of Yusen Logistics Singapore; Lee Eng Keat, Executive Director, Logistics, Singapore Economic Development Board; and Ma Ping Nee, Group Director, Cluster Group of Jurong Town Corporation.

Ready by Q1 2019, the three-story warehouse was designed and built by Boustead Projects and offers seamless process integration with the existing building. Advanced robotic, radio-frequency identification (RFID), vision recognition systems and autonomous technology will be installed and integrated with Swisslog Autostore to transform the conventional warehouse operation into a smart data-driven logistics operation. The new warehouse comprises 215,278 square feet of storage area, with 36 loading bays and an 86,111-square-foot rooftop parking area for up to 100 trailers.

“We are always applying insight, service quality and innovation to be the world's preferred supply chain logistics company. This new warehouse in a strategic location is equipped with the most advanced technology. We will create sustainable growth for Singapore by providing high quality supply chain logistics service that will meet our customers' needs,” said Mizushima of Yusen Logistics. “Data-driven operations provide the infrastructure for process customisation. The capabilities to provide customizable work processes mean Yusen Logistics can tailor specific services for the various industry verticals. This is a unique capability. Singapore is a global transportation hub with extensive trade links and market connectivity. Storage space with tailored quality, reliable and consistent value-added services provide competitive advantages to our customers who use Singapore as a regional distribution center,” said Yusen Logistics’ Kwa. Yusen Logistics’ vision of connecting people, businesses and communities to a better future, through logistics, focuses on providing customers with the Japanese Kaizen Culture of continuous improvement of work processes and efficiency. Embracing Smart Technology is a logical step from the Kaizen Culture. “We are transforming ourselves to get closer to our customers and helping them with challenges that they are facing. With a vision to create sustainable growth for society, Yusen Logistics works towards driving productivity, space and operational efficiency by re-skilling our employees through partnership with educational institutions to be ready for the future and be equipped with the skills for automation. We strive to create better connections where we convert insights into actions to optimise their supply chain in the most effective and efficient way,” said Hung of Yusen Logistics. Keat of the Singapore Economic Development Board shared his optimism for the growth potential of the logistics sector: “Singapore’s logistics industry has consistently been ranked among the world’s best, reinforcing our position as a global leading logistics hub. EDB is excited to support the ambition of companies like Yusen Logistics, to catalyse enterprise-level transformation and improve productivity through innovation and greater adoption of automation. This will also translate into new professional roles and career pathways for Singaporeans, as well as the upskilling of rank-and-file jobs, building the necessary talent competencies to further the strengths and capabilities of the industry.”