DB Schenker Strengthens its Warehousing and Transportation Leadership

As the world’s leading global logistics provider, DB Schenker supports trade and industry in the global exchange of goods through worldwide air and ocean freight, land transportation, contract logistics, and supply chain management. With a strong focus on value-added services, DB Schenker ensures the flow of goods continues seamlessly, and supply chains stay lean and optimized for success.

With consumer markets in Southeast Asia growing year on year and booming volumes of intra-Asia trade, Forrester Research Institute estimates B2C online retail in the region will reach $53 billion by 2023. Thus, thanks to this rise in spending power, DB Schenker is looking to expand its customer base in the region through its expertise in contract logistics and Asia LANDbridge: the company’s enhanced strategic focus on cross-border trucking services. 

In order to discover more about the company’s approach to developing its foothold in the Southeast Asian market, with an emphasis on its Thai operations, we spoke to two of the key figures behind the company’s success in Thailand – Mr. Jamil Siddique, Head of Contract Logistics, Thailand, Laos and Myanmar along with Mr. Saran Limvorasak, General Manager of Land Transport.

A Comprehensive Understanding of Logistics Processes

DB Schenker’s grasp of supply chain management stems from its staff’s ability to recognize challenges unique to each customers industry. Regardless of how complex or difficult the requirements may be, DB Schenker’s team has the know-how to seize opportunities through their open-mindedness and willingness to adapt, as well as the company’s vast network.

One of the key players in DB Schenker’s Thai team is Mr. Siddique, a seasoned contract logistics specialist. He brings with him the unique advantage of having worked on two sides of the supply chain, i.e., for logistics providers, specifically in cutting-edge warehouse facilities, and for manufacturers, dealing with a combination of production and distribution issues, meaning he understands the pain points and expectations from both perspectives.

“I began my logistics career in 1990 working for TDG as a Warehouse Operator. A few years later, the company promoted me to Warehouse Operations Manager, responsible for the world’s first fully Automated Storage & Retrieval System (ASRS),” said Mr. Siddique.

After moving up the career ladder further, he moved on to new positions in Indonesia, Singapore, and Japan, before coming to Thailand to work as Logistics Director for ECCO Shoes. “Working on the manufacturing side of the supply chain was a real eye-opener for me, as I saw first-hand how even the slightest delay in a delivery of materials can cause drastic knock-on effects to the production line in a factory,” noted Mr. Siddique.

Now at DB Schenker, Mr. Siddique is managing the company’s 133,000 sq m. of warehousing in Thailand, most of which is in Bangkok and the Eastern Economic Corridor as well as driving contract logistics business across Thailand, Laos, and Myanmar.

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Cross-border Trucking & Domestic Transportation

On the land transportation side of DB Schenker’s Thai operations, Mr. Limvorasak is heading up the company’s multi-modal logistic services, which boasts trucking and rail options to best suit customers’ needs. With his extensive knowledge of international business development, including a master’s degree in Supply Chain Management from MIT, Mr. Limvorasak has a deep understanding of how to provide faster and more effective transport solutions with dependable lead times.

“My background as a senior consultant, providing various businesses with corporate strategies and the means to promote their products more effectively, eventually led me to my position at DB Schenker. Not only do I manage the company’s land transport, but I also search for ways that will allow us to tap into new markets,” explained Mr. Limvorasak.

Economic development and, consequently, the growth in household spending in Thailand and its surrounding countries such as Laos, Cambodia, and Myanmar are driving the demand for more goods to be moved across borders. With a healthy boost to the cross-border trucking business in the region, DB Schenker’s Asia LANDbridge is part of the company’s strategic direction and focus that provides essential land transportation services.

“Cross-border trucking can save you money and time. Depending on the cargo and the destination, it can be faster than ocean transport and cheaper than air freight, especially for our customers in the healthcare sector,” said Mr. Limvorasak. “DB Schenker’s Asia LANDbridge is a full-service offering that encompasses seamless and time-definite door-to-door transportation, a secure and reliable network, and even includes customs formalities at all land borders. It’s also a more flexible option as it allows for new transport routes between neighbouring countries or regions. With air freight and ocean freight, you rely on fixed schedules of the airline and shipping companies. On the contrary, with trucking, you can be much more flexible about the route and departure times,” he expanded.

Further benefits to DB Schenker’s cross-border service include multi-modal rail and truck transportation options that can connect customers in Thailand with locations in Europe via a hub in China. What’s more, to meet stringent quality, safety and visibility requirements across borders, all containers are DB Schenker owned and come with GPS tracking.

“For our domestic customers, we offer the same door-to-door transportation with very competitive rates. We have also developed and launched an increased level of capability for our eCommerce logistics platform providing enhanced visibility and next-generation technology that caters to last-mile delivery,” said Mr. Limvorasak. “To this day, Thailand remains the second-largest economy in Southeast Asia, having a large manufacturing and export base, and many of the world’s leading consumer product companies like P&G and Unilever have large plants in the country, so the demand for domestic transportation, whether from a factory to the port, or vice versa is there,” he added.

Lean Logistics and 4PL

DB Schenker’s overview of the supply chain puts them in a unique position to offer customers advice on how to make their operations more efficient, meaning the company’s services not only improve operations workflows but also facilitate strategies to improve inventory management, reduce inventory holding, and ensure configuration, transformation, or localization of products.

“The push for innovation by a logistics provider is important, and one method that has proven success in improving organizations is a supply chain process known as lean logistics. Simply put, this process can be described as a way to recognize and eliminate wasteful activities from the supply chain to increase product flow and speed. To achieve this goal, businesses need to implement leaner thinking,” stated Mr. Limvorasak.

With assistance from DB Schenker, the results for its customers can include improved services or production methods, a reduced environmental impact, and customer satisfaction.

Integrated & Value-added Services

By forming strong partnerships and building trust with its customers, DB Schenker can offer a personalized touch that differentiates them from other logistics providers. Furthermore, the company’s reputation for quality, reliability, and innovation brings a broad spectrum of warehouse management and transportation services to fruition.

In Thailand, Mr. Siddique and Mr. Limvorasak and their teams use their skills and experience to work in tandem and offer customers an all-in-one supply chain package, and DB Schenker’s range of services includes all stages in the value chain, from procurement, production, and distribution logistics to after-sales service.