DHL Supply Chain has launched its Advanced Regional Center (ARC) in Singapore. Built at an investment of more than S$160 million, the new 90,000 sqm facility features an S$18.8 million multi-customer automation system featuring advanced robotics.
The pioneering system allows customers to enjoy the benefits of automation solution without the need for significant capital investment. The technological enhancement uses 130 robotic shuttles to pick and store products from 72,000 locations spread across 26 levels, improving picking efficiency by 20 per cent and utilising 40 per cent less space than conventional warehousing operations.
This is the first of its kind deployed by DHL globally and creates a model for the future of warehousing in land-scarce countries and dense cities where land availability is limited and expensive.
“As an organisation, our spirit thrives on a hunger for new knowledge and innovations that we can bring to customers to meet the challenges of Industry 4.0, the fourth industrial revolution. We see the Asian region as a swift adopter of technologies for enhanced productivity and efficiency. By 2020, Asia will constitute 30 per cent of our total revenue. Facilities like the Advanced Regional Center offer a ready model of innovations that reduce complexity, improve accuracy and maximize opportunities for productivity gains,” said Frank Appel, Chief Executive Officer, Deutsche Post DHL Group.
Co-located within the ARC is the DHL Asia Pacific Innovation Center (APIC), DHL’s first innovation centre outside of Germany and a joint development with the Singapore Economic Development Board (EDB). Launched in 2015, APIC is the first dedicated centre for innovative logistics services in the Asia Pacific region and showcases futuristic technologies.
As a multi-customer facility, the Advanced Regional Center also offers bespoke solutions to cater to specific industry needs. For example, the facility boasts clean rooms for Life Sciences & Healthcare businesses, specialised infrastructure for aerospace operations and customized storage solutions for managing service parts for technology customers.
Purpose-built to industry-leading standards, the ARC facility has been awarded ‘gold status’ for its energy and environmental design. The company has also implemented robust security measures that are in accordance with global TAPA standards.