Parcel Logistics Siemens to equip Singapore Post’s new regional e-commerce logistics hub

  • Two-digit million euro order volume, including a 15-year contract for maintenance services and spare parts
  • State-of-the-art technology is able to handle up to 100,000 parcels per day
  • Completion planned for summer 2016

Siemens has been contracted to design, supply, install and commission an integrated parcel sorting system for the Singapore Post’s (SingPost) new Regional eCommerce Logistics Hub. The contract includes 15 years of spare parts supply and maintenance services and has a two digit million order volume. The sorting system is planned to be completed in summer 2016.

Michael Reichle, Global CEO of Siemens Logistics and Airport Solutions, says: “This project represents a great success for us. It is of particular strategic importance since it will combine Siemens’ sophisticated technology with an excellent competitive international e-commerce logistics player.” SingPost is the leading provider of mail, logistics and e-commerce solutions in Singapore and the Asia Pacific region, with operations in more than ten countries.

Dr. Sascha Hower, Group Chief Operating Officer of SingPost/Chief Executive Officer of Quantium Solutions, states: “This regional eCommerce Logistics Hub, the first of its kind in Southeast Asia, represents our largest investment in Singapore to date. It will house automated parcel sorting and warehousing systems and bring together the e-commerce activities of Quantium Solutions, Singapore Parcels, Lock+Store and SP eCommerce. Equipped with state-of-the-art technology, the hub will enable SingPost to offer very cost-efficient fully integrated e-fulfillment solutions to our customers in Singapore and the region.”

The hub will play a crucial role in the entire supply chain network. It is the main connector between the supply and delivery of parcels. Inbound, local and outbound parcels will be consolidated in the new sorting hub, and each parcel will be distributed to its intended destination within a stipulated time frame set by the standards of each service type.

The e-commerce logistics hub will be equipped with Siemens’ VarioSort cross-belt sorter measuring around 500 meters in length – which results in more than 650 sorter elements. The latest optical character recognition (OCR) technology will enable nearly 100 per cent of automated processing. Some 300 accumulation chutes with a capacity of up to 200 parcels each ensure that the system will be able to handle up to 100,000 parcels per day.

The new facility, situated in the east part of Singapore on a 30,000 m2 plot of land, will house a parcel sorting hub on the ground level, two stories of warehouses on the second and third levels, and a car park with space for 270 vehicles on the fourth level.

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