Singapore’s Alliance for Action (AfA) on Supply Chain Digitalisation has brought together public and private sectors to pilot a common data infrastructure to benefit the supply chain ecosystem.
COVID-19 has accelerated the digital transformation as businesses seek to increase efficiency and productivity and there has been a reconfiguration of trade flows and supply chains globally towards regionalisation both physically and digitally.
The Supply Chain Digitalisation AfA was formed in June 2020, along with six other Singapore AfAs all designed to seize opportunities amidst a global crisis.
The alliance aims to examine how ecosystem players can participate meaningfully in the digital economy to co-create a supply chain feature that is trusted, efficient and resilient.
Since its formation, the AfA has brought together more than 50 supply chain players ranging from multinational corporations and large local enterprises to small and medium enterprises, startups and government agencies.
These groups, co-led by PSA International Group CEO Tan Chong Meng and Asia Pacific of Trafigura Group CEO Tan Chin Hwee, have worked together to jointly identify pain points, opportunities and solutions across the end-to-end supply chain customer journey.
Tan Chong Meng said: “COVID-19 has revealed both vulnerabilities and opportunities in the global supply chain ecosystem.
“If Singapore’s ability to rally together multiple stakeholders to co-create and bring a common vision of supply chain end-to-end visibility to fruition, that will set us apart as a trusted global trade and logistics hub.”
For Singapore to remain relevant in the global digital economy, it is laying a common foundational layer with digital utilities that enable business to move in the digital domain and to build a stronger and more robust supply chain ecosystem for international trade flows.
A common data infrastructure will facilitate trusted and data sharing between industry players, to drive efficiency, productivity and resilience through information flows across the ecosystem.
Guided by the principles of open, trusted and secure data sharing, scalability and interoperability with local and global platforms and timely accessibility to all players across the value chain, the infrastructure will connect the supply chain end-to-end.
As part of the pilot phase, the AfA will develop two solutions to strengthen trade finance and to help container flow node decongestion.
Tan Chin Hwee said: “During this pilot we are working alongside Singapore banks to access data directly from reliable sources and parties to reconcile trade details with ease and potentially to detect and mitigate trade related fraud.
“Building a ‘digital twin’ of the physical movement of goods will improve visibility across the trade process, and help stakeholders reduce dependency on physical documents in the long term.”