DHL launches S$10m innovation centre in Singapore

SINGAPORE — DHL today (Dec 9) launched its S$10 million Asia Pacific Innovation Center (APIC) in the Republic, its first such facility outside home country Germany, to focus on new-age logistics and supply-chain solutions. 

The move is expected to augment the company’s position in emerging markets, which is expected to generate 30 per cent of its global revenue by 2020, said the logistics giant.

With initiatives on driving innovation around the most up-to-date technologies in robotics, drones and self-driving vehicles, among several other such systems, DHL seems to be bracing itself to not only fight slowing global growth but also, at the same time, ride the digital and e-commerce boom with a keen focus on emerging markets in Asia. 

APIC’s importance, said the company’s management, will continue to grow, as by 2030, 12 of the top 15 trade lines will involve Asian countries. China, India and Vietnam are expected to have the highest growth in merchandise exports from 2015 to 2030, noted the company. 

Launched with the support of the Economic Development Board (EDB), the facility serves as a regional platform for collaborative innovation between DHL and its customers, industry partners and independent experts, said DHL. The centre will also drive research initiatives that focus on emerging trends in Asian logistics and economic activity. 

DHL’s innovation hub here employs 50 people.

“Our sustained industry leadership demands that we successfully differentiate our services in these markets through well-calculated forays into new technologies, processes, and products,” said Mr Bill Meahl, chief commercial officer at DHL. “The launch of the APIC in Singapore is a natural step to maintain our lead as a frontrunner in innovation, following the success of our first centre in Germany.” 

Mr Meahl also noted that Singapore’s position as an innovation hub with top-notch infrastructure and sophisticated workforce makes it an excellent base from which the company can achieve strong and consistent growth in the region. 

DHL said the new centre is the first of its kind in the Asia-Pacific, showcasing futuristic technologies that will transform logistics operations. These include augmented reality “smart glasses” for warehouse assembly lines and product picking, drones for delivery of time-critical goods, maintenance-on-demand vehicles that use machine-to-machine sensors to boost vehicle uptime by 30 per cent and driverless shuttles for faster transport.

Mr Lee Eng Keat, director of logistics and natural resources at EDB, said: “The launch of the APIC is another important step towards enhancing Singapore’s value-adding role in the realm of global supply chain solutions. This would continue to strengthen Singapore’s position as a world-leading logistics hub.”

The centre, modelled after DHL’s first innovation centre in Germany, is located in the S$160 million DHL Supply Chain Advanced Regional Center building at Tampines LogisPark.