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LIFE IN THE SUPPLY CHAIN
Logistics growth in Asia –
the view from Singapore
SCLAA national chairman Amanda O’Brien writes about China, conferences, trade,
diversity and bringing about change in the logistics industry
THE SCLAA CONTINUES TO GROW
its presence in global markets.
Attending as a guest of LogiSYM for
one of Asia’s largest logistics and supply
chain conferences in Singapore, it was
evident supply chains face the greatest
challenge in the next decade. Resilience,
innovation and internal capabilities
of organisations were highlighted
as key themes to sustain long-term
viability. The ability of companies to
maintain speed and flexibility in a
highly technological market is essential
to sustaining robust supply chains.
There are great benefits generated from
increased supply-chain pipeline velocity,
profitability and performance. The twoday
conference was hosted at the NUSS
Kent Ridge Guild House in Singapore
and brought together 300-plus shippers,
manufacturers, 3PLs, forwarders,
logistics professionals, educators and
technology providers from around
Asia. This is the fourth time LogiSYM
has hosted an event in Singapore in
partnership with The Logistics and
Supply Chain Management Society,
which is Asia’s premier peer-to-peer
members’ only logistics practitioners’
association. The symposium aimed to
bridge the gap between supply chain
concepts and technology and real world
implementation.
COLLABORATION
Can we really predict what requirements
are needed in the supply chain areas
over the next 40 years, or even the
coming decade? Certainly not. In the
new normal everything and anything is
possible. We have come to expect natural
disasters and the need to make faster
decisions. We are already working in
the midst of megatrends, globalisation,
urbanisation, shifting economic powers
and scarcity of natural resources, nextgeneration
technologies and climate
change. Efficient urban logistics is an
increasing requirement, and distribution
centres or hubs on city outskirts will
be required to accommodate increasing
population and demanding consumer
driven online buying.
CHINA’S PLAN
At the conference the Belt and Road
Initiative was articulately presented by
Ton Van Den Bosch, energy terminals
and infrastructure lawyer at Ince &
Co LLP. Ton is the global head of Ince
& Co’s ports, logistics and terminals
practice and head of projects and energy
in Asia. He has particular expertise in
frontier and emerging markets in Africa
and Asia. The Belt and Road Initiative
is President Xi Jinping’s strategic vision
to strengthen the long-term economic
and social prosperity of participating
countries and to enhance global trade
and investment connectivity. To date,
60 countries have shown interest. In
2014 Xi Jinping, in his address to the
Australian parliament, said China
welcomed Australia’s participation in
the “maritime Silk Road”. Australia
and China have a strong relationship
strengthened by the China-Australia
Free Trade Agreement. China is one of
our most important trading partners.
BELT AND ROAD IN AUSTRALIA
For Australia, the Belt and Road
Initiative means expanding outbound
and inbound trade and investment
opportunities, and the Initiative is
important to Australia’s infrastructure
development. Trade between China and
Australia was valued at $130bn in 2013
(that is just under 24% of our total trade
in goods and services, making China by
far the most important single market for
Australian exports). China is Australia’s
largest trading partner for imports and
exports. Australia is China’s sixth largest
trading partner. Some 25% of Australian
manufactured imports come from China
Above: Amanda O’Brien, Supply Chain
and Logistics Association of Australia
national chairman
and 13% of its exports are thermal coal
to China. Ton stated that US$1.3 trillion
globally had already been invested in the
Belt and Road Initiative.
BUILD BETTER BUSINESS
Dr John Gattorna, a world expert and
global supply chain thought leader and
author, opened as keynote speaker at the
global logistics conference in Singapore.
He said growth through turbulence and
volatility drives innovation. Looking
outside of our businesses and seeing
trends and different core relationships
assists us to understand expectations of
customers.
He said most businesses manage
vertically, but customers manage
horizontally and changing the design
of customers’ demands would enable
organisations to sense key markets and
internal capabilities to adapt.
Agility to make fast decisions and
changes in a volatile environment
is key he said, giving the example of
Zara, which has had 16 or 17 product
changes in a year and maintain a
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18
First published in 1891
July 2018
thedcn.com.au