The Panalpina Group is one of the world’s leading providers of supply chain solutions to businesses. The company combines its core products of Air Freight, Ocean Freight and Logistics to deliver globally integrated, tailor-made end-to-end solutions. Panalpina has its headquarters in Basel, Switzerland, and is a publicly traded company, listed on the Swiss Stock Exchange. It has 500 branch offices in 80 countries and is represented in a further 80 countries, through a network of partner companies.
The company’s major client base includes Hewlett Packard, Huawei, The Volex Group, Syngenta and Heerema Marine Contractors. Globally, Panalpina employs approximately 15,000 people.
Panalpina first set up operations in Singapore as early as 1977, entering the market as an air and ocean cargo service provider. “We have clearly grown with Singapore,” says Stefan Karlen, Panalpina’s Regional Chief Executive Officer (CEO) and President Asia-Pacific.
The company expanded its presence in the city-state as the market evolved, increasing its service offerings to include value-added logistics services for the automotive, healthcare, high-tech, consumer, retail and fashion, chemical and telecoms, as well as oil and gas industries.
In 2011, with many manufacturers choosing to locate their key supply chain functions and decision makers in Singapore, the company opened a Logistics Competence Centre on the island. This entity caters to regional customers’ growing demand for customised logistics solutions and design.
By 2012, the company had established its regional headquarters for Asia Pacific in Singapore, with the aim of further capitalising on the huge growth potential of the Intra Asia trade lane. “We want to exploit the growth potential of Intra-Asian trade and optimize cost efficiencies in our customers’ supply chain networks even more strongly,” Karlen commented at the launch.
Panalpina’s Asia Pacific region consists of the areas North Asia, India, Oceania and Southeast Asia.
POSITIONING FOR LONG-TERM GROWTH
In 2012, Panalpina announced that its long-term strategy was to grow business on key Asia trade lanes such as the Far East Westbound, Transpacific Eastbound, Asia to Latin America and the Asia to Middle East trade.
The company said that the rising Intra Asia trade lane– forecast to grow at an annual compound rate of 6.2 per cent – would be given special attention.
"Globally, we are a big player in ocean freight. Yet we don’t even have a market share of 0.1 per cent of the Intra Asia trade lane. This speaks volumes about the exciting growth potential that we are going after," said Marcus Gadola, former regional CEO, Panalpina Asia Pacific.
THE WAY FORWARD
With new market opportunities in Asia increasingly prompting leading manufacturers to use supply chain management as a differentiating competency for their global business, Panalpina is evaluating possibilities to establish additional satellite centres in Asia. This will allow the company to further leverage its ability to navigate Asia’s fragmented trade and regulatory landscape, capitalise on regional demand and be closer to relevant decision makers.
|Industry:||Supply Chain Solutions|
|Client Location:||Basel, Switzerland|