SingPost eyes using automation to address labour issues
This is part of its turnaround plan for TradeGlobal.
Singapore Post's management is implementing a turnaround plan for TradeGlobal and this involves using warehouse automation to address labour issues.
According to Maybank Kim Eng analyst John Cheong, the turnaround plan will also tackle structural issues facing the business. They will also be adopting best practices from Jagged Peak’s technology-driven business model.
"Management expects a lot needs to be done and it will take time to turn things around. However, it is committed to the turnaround plan and recovering as much value as possible," Cheong noted.
Meanwhile, the analyst said SingPost’s new CEO will be updating the group's business strategy.
"He concurs that the earlier strategic vision of being a leader in mail and e-commerce logistics is even more valid today given the rapid expansion of the global e-commerce market," Cheong said.
He furthered, "However, he recognises that the industry landscape is changing, citing the new world and challenges from the competition from new tech disruptors, the future of logistics to be driven by big data and artificial intelligence; and the importance of innovation."
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