DB Schenker recently unveiled a €101 million (US$120 million) investment into a new warehouse in Singapore marking a record investment in its corporate history.
The German logistics company said the warehouse will be an automated high-speed facility — one of the few large-scale integrated air freight and contract logistics hubs.
This is DB Schenker’s largest investment in any single site globally, marking its 50th anniversary in Singapore.
"This summer, DB Schenker successfully started operation of a globally leading regional hub for automated high-speed logistics. Worth 101 million euros, the Red Lion warehouse in Singapore is the single largest investment in any site globally in Schenker’s corporate history," the logistics firm said in a statement.
"The warehouse is strategically located in the Airport Logistics Park of Singapore (ALPS) at Changi Airport, setting a new standard in combining the world’s most advanced technological developments with the highest levels of sustainable warehouse management for its customers," it added.
The opening of the new facility reinforces DB Schenker's commitment to the city state as the "booming gateway" to the Asia Pacific region.
“DB Schenker further strengthens its position among the world’s leading logistic service providers for the APAC region. Our new logistics hub makes us even faster and more reliable for our customers," said Jochen Thewes, DB Schenker’s chief executive officer.
High-tech, digitalized facility
Red Lion solidifies Schenker’s position in Singapore as the largest and most advanced third-party logistics provider in the ALPS. Combined, the mechanized air freight hub and contract logistics warehouse extend over 51,400 square meters on five floors, equal to the size of seven soccer fields.
A next generation Warehouse Management System and a synchronized IT platform bridging the various automations enable Red Lion to increase warehouse productivity by up to 100% compared to manual processes, and to reduce lead time for customers by 40% compared to non-integrated facilities.
Incoming freight is processed through a ball deck, which increases speed and eases handling. Pallet lifters then move freight to the automated warehouse with Very Narrow Aisles (VNA) to optimize capacity. The multi-shuttle and carton live storage systems are complemented by Goods-to-Person (GTP) and Pick-To-Light technologies, conveyor systems, and Automated Guided Vehicles (AGVs).
Red Lion is also the first warehouse to offer an in-house designed robotic labeling system, which utilizes 3D-vision technology and three robotic arms to apply labels in multiple languages on products of varying sizes, shapes, and configurations.
“Our new warehouse is a record-breaking facility full of technological and digital innovations. It is designed to serve customers with requirements for short lead times and high throughput. Our robotics will revolutionize product labelling. With our automation novelties, we are paving the way for our continuous journey in contract logistics toward a fully digital supply chain,” said David Christmas, APAC Contract Logistics Board Member at DB Schenker.
Sustainable operations
DB Schenker noted that the building recognizes Schenker’s commitment to promote sustainable development and environmental protection. 1,440 photovoltaic solar panels, along with other sustainability features, enable energy savings of 34%.
The Red Lion facility is certified with the Green Mark Platinum label by the Building and Construction Authority (BCA) in Singapore as well as the LEED Gold Standard.
