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Warehousing accounts for 18% of the $12 trillion globally spent on logistics. Warehousing refers to the temporary storage of goods before they are distributed to the end user in the supply chain. The industry has evolved over the years from providing only storing goods to offering other value-added services such as picking and packing, sub-assembly, distribution center management, cross-docking, and fulfillment. Interest in a more modern logistics space has been gaining momentum as businesses are facing far greater expectations around efficiency and performance. This is true in Singapore, especially due to the flourishing growth in eCommerce and the development of data-driven technologies. Many international players have set their regional headquarters in Singapore, as it is the leading global hub in Asia. Over the past 5 years, significant logistics firms have begun actively investing in and building integrated logistics facilities and multi-story warehouses to increase their operational efficiency and productivity. Moreover, logistics firms in Singapore are seizing the opportunity to carry out their technological and digital transformation to enhance the visibility of product flow and improve warehouse productivity. Technologies like blockchain, Internet of Things, augmented reality, autonomous transportation, drone technologies, digital platforms, data analytics, robotics systems, and 3D printing are making significant inroads into warehousing. For instance, augmented reality can increase workforce productivity by up to 45% by providing the right information at the right place and right time inside a busy warehouse where workers pick or sort items. Similarly, aerial drones have proven to be 10x more efficient than humans in taking stock of inventory in a warehouse. Fully automated warehouses or living-sensing warehouses are not in the distant future, with many prominent global warehousing players integrating high levels of sensorization and automation into the warehouse. Supply chain technologies enable efficiency and inventory control, cost reduction and savings, and help maximize space. These technologies can provide more than 25% improvement in overall productivity, reduce safety stock by 15% to 30%, and improve space utilization by up to 40%.The Frost Radar reveals the market positioning of companies in an industry using their Growth and Innovation scores as highlighted in the Frost Radar methodology. The document presents competitive profiles on each of the companies in the Frost Radar based on their strengths, opportunities, and a small discussion on their positioning. Frost & Sullivan analyzes hundreds of companies in the industry and benchmarks them across 10 criteria on the Frost Radar, where the leading companies in the industry are then positioned. Industry leaders, predominantly in the Innovation index for this market are recognized as best practice recipient.
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