Cummins Inc. opened a global logistics hub in Singapore yesterday, one of the company's eight master distribution centers for parts and filters globally.
The Singapore Global Logistics Hub boasts a total investment of $5.4 million and is part of the company’s efforts to enhance its aftermarket product delivery globally. The new location will serve markets including the United States, Europe
, China, India as well as customers across the Northeast and Southeast Asia regions.
Teo Ser Luck, Minister of State for Trade and Industry, graced the opening event at the CWT Pandan Logistics Center. The Singapore Global Logistics Hub is a consolidation of operations from three distribution centers in Singapore.
The Singapore Global Logistics Hub has a meticulously designed layout that aims to enhance operations safety, Cummins said. It boasts a three-tier mezzanine storage system with in-rack sprinklers to strengthen fire protection, a vehicle-restraint system and material-handling equipment with cameras and motion sensors, for added operations safety. Also, the warehouse adopts a best-in-class management system and barcode technology in a radio frequency (RF) environment, to control and optimize material flow. With an increase in the facility's height and introduction of a smart-slotting strategy, space utilization is boosted by 30 percent. The new features of the facility are in line with Cummins commitment to provide its employees with safe working environments. With the new facility, Cummins will see a 20 percent boost in productivity, faster order fulfillment time and operation cost savings.
Doug Sunkel, Executive Director - Cummins Global Logistics, said, "The establishment of the Cummins Global Logistics Hub in Singapore is a reinforcement of our global master distribution hub strategy and a reflection of our commitment to customers. There are currently eight master distribution hubs in the world - Singapore, Mexico
, Brazil, India, Belgium, China and two in the United States of America - supporting our international network and customers' businesses that span over 190 countries and territories. Singapore is a world-class global logistics hub with a strong advantage of being at the heart of Southeast Asia and sitting right across the major shipping lanes. Leveraging the global connectivity and strategic location of Singapore, Cummins will continue to enhance our capabilities in this part of the world to support the increasing needs of our customers."
Cummins noted that the move was completed in two months with no impact or delays to its operations.