Cummins Inc. (NYSE: CMI) opened its Global Logistics Hub in Singapore on July 21, one of the company’s eight master distribution centers for parts and filters globally. The hub facilitates the distribution of Cummins products and provides customer support for Cummins aftermarket business globally.
The Singapore Global Logistics Hub boasts a total investment of USD 5.4 million and is part of Cummins efforts to enhance its aftermarket product delivery globally. The Singapore Global Logistics Hub will serve markets including the United States, Europe, China, India as well as customers across the Northeast and Southeast Asia regions.
Singapore’s Minister of State for Trade and Industry, Teo Ser Luck, graced the opening event at the CWT Pandan Logistics Centre. The Singapore Global Logistics Hub is a consolidation of operations from three distribution centers in Singapore. The move was completed in two months with no impact or delays to its operations.
The Singapore Global Logistics Hub has a meticulously designed 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 its employees with safe working environments. With the new facility, Cummins will see a 20% boost in productivity, faster order fulfilment time and operation cost savings.
Doug Sunkel, executive director of 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 Inc., a global power leader, 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. Headquartered in Columbus, Ind., U.S.A., Cummins currently employs approximately 54,600 people worldwide and serves customers in approximately 190 countries and territories through a network of approximately 600 company owned and independent distributor locations and approximately 7,200 dealer locations. Cummins earned USD 1.65 billion on sales of USD 19.2 billion in 2014.