Logistics sector responds to pandemic pressure with tech, new business models

Singapore

AS THE pandemic puts pressure on the logistics sector, many industry players are turning to technology and experimenting with new business models to overcome operational challenges and chart a new future.

"The lack of transparency and visibility within supply chains are causing longer lead times, with production stoppages and inventory shortages happening as raw materials and resources are unexpectedly held up at warehouses, seaports and airports," said Pang Heng Soon, head of venture building at SGInnovate. "Travel restrictions, closed country borders, and home quarantine of the logistic workforce led to a reduction of manpower in the factories and delayed the delivery of goods and services, which has been hampered due to limited air freight and cargo capacity."