Schneider Electric, a French multinational digital automation and energy management company, launched its $110 million logistics distribution centre on Nov 14, which will operate as an anchor point in the development of the Tuas South industrial area.
Dr Beh Swan Gin, chairman of Singapore’s Economic Development Board (EDB) and Jean-Pascal Tricoire, chairman and chief executive officer (CEO) of Schneider Electric were present to inaugurate the centre.
This centre will be named “Hub Asia”, with the smart logistics facility spanning 21,000 sqm in area within a multi-storey ramp up facility, which offers a 30% increase in operational capacity as compared to its previous site in Penjuru, Jurong.
“This is important because not only will the centre serve Singapore customers, but also the whole Asia-Pacific, reaching over 60 countries in the region,” says Yoon Young Kim, cluster president for Singapore, Malaysia and Brunei at Schneider Electric in his welcome address at the launch. At a global level, Hub Asia will serve 140 vendors and 400 customers.
The smart logistics facility offers weight control, pre-packing, radio frequency (RF) technology and in-house data solutions, in addition to a logistics control tower that will support data-driven operations of Schneider Electric. Additionally, at the launch, the regional adaptation centre displayed assembly and testing lines for circuit breakers as well as customisation of products such as MasterPact and EasyPact, which are air and molded-case circuit breakers respectively.
At the centre, virtual reality (VR) is also used to train new hires to operate powered industrial trucks (PIT), where several interactive VR safety training modules have been created in collaboration with Singaporean small-medium enterprise (SME) Atomxr, to calibrate the behaviour of a PIT operator and inculcate good practices and habits that ensure the safe operation of PITs.
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The launch serves as an important marker for Schneider Electric’s company development, as part of the lead-up to the group’s 50-year anniversary in Singapore in 2023.
Moreover, the centre is situated in a certified Green Mark Platinum building, powered by offsite solar energy from rooftops in Singapore to ensure sustainable carbon-neutral operations, in a bid to build a greener logistics sector and support Singapore’s wider sustainability goals moving forward.
The facility has committed to using sustainable packaging, with the eventual goal to use 100% recycled and recyclable cardboard and eliminating single-use plastic from all packaging.
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Moving forward, the centre also aims to collaborate with start-ups to optimise its operations with increased levels of automation, further developing Schneider’s logistics ecosystem.
Tricoire asserted in his opening address at the launch how geopolitical tensions in the region in the last few years showed how supply chains can meet with extremely unpredictable circumstances at any time, which can cause immediate disruptions. “However, these disruptions that happen allow us to look into new efficiencies and digital technologies, such as smart warehousing, smart trading and smart shipping,” he adds.
“As such, Hub Asia and its forecasted expansion over the next decade therefore is essential for the continued acceleration of our global operations strategy, especially in East Asia, where the distribution centre will be key to facilitating regional and global distribution of goods,” says Tricoire.
“Singapore has been, for a long time, our main centre in East Asia,” Tricoire adds. “We believe in continuing to capitalise on the capabilities of Singapore, whose best advantage frankly are its people, who are constantly striving for new solutions in the work that they do.”
Beh also acknowledged how Schneider Electric’s new Hub Asia will enhance Singapore’s position as a leading logistics hub in Asia, and as a critical node in global supply chains. "We are also delighted with how the facility has incorporated digital and sustainability technologies and processes, to ensure its competitiveness for the long term,” he says.
