Cummins Inc has opened its US$5.4 million Global Logistics Hub in Singapore, one of the company’s eight master distribution centres for parts and filters globally.
The Singapore hub is part of Cummins’ efforts to enhance its aftermarket product delivery globally and will serve markets including the United States, Europe, China, India as well as customers across the North East and South East Asia regions.
Minister of State for Trade and Industry Teo Ser Luck graced the opening event at the CWT Pandan Logistics Centre, where the Global Logistics Hub occupies two floors with a total surface area of 275,000 square feet. The Singapore Global Logistics Hub is a consolidation of operations from three distribution centres in Singapore. With the new facility, Cummins expects a 20% boost in productivity, faster order fulfilment time and operation cost savings.
The Singapore hub has a layout that aims to enhance operations safety. 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%. The new features of the facility are in line with Cummins’ commitment to provide employees with safe working environments.
The move was completed in two months with no impact or delays to its operations.
Cummins Global Logistics executive director Doug Sunkel 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 - Singapore, Mexico, Brazil, India, Belgium, China and two in the USA - supporting our international network and customers’ businesses that span more than 190 countries and territories.
“Singapore is a world-class global logistics hub with a strong advantage of being at the heart of South East 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 is a corporation of complementary business units that design, manufacture, distribute and service diesel and natural gas engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions and electrical power generation systems.
Cummins Global Logistics provides logistics and supply-chain needs to Cummins businesses across the globe. It also facilitates the distribution of Cummins products and provides customer support for Cummins aftermarket business globally.