Double digit hi-tech growth for TNT
Express integrator TNT has announced that its hi-tech sector business achieved a double digit growth in Asia (year to date). In Singapore alone, revenue grew by more than 50 per cent while freight volume almost doubled, according to TNT. This growth occurred despite the economic downturn which TNT attributed to its lean supply chain solutions […]
October 1, 2009
TNT pointed to recent studies conducted with hi-tech and electronic companies indicating that the current economic downturn has increased the volatility of demand and as such, many businesses are most concerned about keeping their inventory as low as possible to prevent product obsolescence. In response, many businesses are leaning towards a Ã¢â‚¬Ëœbuild-to-supplyÃ¢â‚¬™ model rather than a Ã¢â‚¬Ëœbuild-to-inventoryÃ¢â‚¬™ model which takes into account lower levels of inventory, but also shorter delivery times and reduced costs.
Ã¢â‚¬Å“The pressure on hi-tech businesses to keep inventory levels low has led to a demand for a short end-to-end supply chain solution that is responsive and also economical,Ã¢â‚¬Â said TNT Asia regional managing director, Onno Boots. Ã¢â‚¬Å“As a result, businesses are slowly turning away from sea transportation that is cheap, but slow, to faster transportation modes such as road or air transportation that are capable of delivering goods in smaller volumes. Our air and in particular, road networks which we have developed over the years, enable us to provide exactly that.Ã¢â‚¬Â