CEO Message 2018
Ladies and Gentlemen,
In recent years, I have often think hard and long on how to bring C P World Group to the next level. In a journey of 11 years, we have established operations in 29 countries, ensuring sustainability in some country and growth in other countries.
In some places, we have done remarkably well and in more difficult market we have met with resistance toward growth. All this is happening within the current market environment.
This year I choose to outline part of a two-year plan utilising transformation on a digital platform.
C P World is on a mission to transform its traditional operations towards the future. We aims to be able to satisfy customers in the digital economy.
Most customers are highly capable using their digital device. Most people cannot live their daily life without being connected to some form of digital platform. Most common are Facebook, LinkedIn, Instagram and the list goes on.
However, in our industry I am not sure if the industry is ready to fully engage in a digital world.
I have observe that unfortunately, the process of booking a shipment, transporting and shipping are still very much done based through the traditional ways.
We recognition that there is still a big gap between the level of digitalisation from the customer’s point of view. That gap needs to be addressed and we recognise that.
C P World offers NVOCC solutions and trade services for all logistics related companies. From Multi National Freight Forwarders to freight co-loaders and even extend our reach to direct customers in some region. We provide everything from consolidations and transhipment distribution centre management to freight forwarding and single channel services.
To become the NVOCC of the future, it is about time we get ourselves ready to engage the digital world. For this to happen the company has three specific areas in mind: speed, digitalisation and innovation.
Speed, meaning we want to be able to respond, develop and deliver on new services much faster than before to the customers.
Digitalisation, meaning we want to be able to capture everything in digital form, and
Innovation, meaning we need to be able to foster a culture of experimentation, a mind-set change to move away from traditional system.
Currently, we face much difficulty in overcoming the depressing consol pricing requirements.
I hope only through technology which will gives us Speed, can we overcome pricing.
While taking the road of transformation, I learned that technology does not come cheap. It is now becoming a bigger area of capital expenditure.
However, I am glad through our heavily invested systems, it helps us to operate our basic activities smoothly.
It allow us to be productive in our workplace – systems that are converting us into a truly paperless environment and are minimising the amount of double work or double handling. These systems are immediately reconciling figures in our databases. Building up our databases
C P World spread over 29 countries and operates 4 World Gateway requires time and effort to be completely wired up.
Alongside the company’s long term strategy to forge the operation of the future, is a vision to become the most digitalised NVOCC service provider in South Asia / Asia Pacific. C P World constantly experiments with new technologies it believes will become mainstream in the industry.
The last couple of years, our customers experience with us are all done through web based facility.
Now, I have decided to roll out all e-content related customer services on an APP so it will available on a mobile device.
By now, many if not all of you would have a first taste of MyVirtoff.
What is MyVirtoff ?
Is this just another APP ?
No, it is not just another APP. It is my vision of using this APP to create a community among partners and staff.
We have known each other for so many years and would be great if we could have a common platform on a device within our pocket.
A little introduction of MyVirtoff.
What it can do for this community.
It is place where we can meet colleagues and industry associates in a global community space.
The first version provides the following functions : -
Home - where it all begins with information
News & Events - maximizing local, regional and global opportunities
Working Tools – concept that mange work flow
Members – profile that allows you to know your community
Media Portal – allows member to view past event
Holiday List – so we know which day to avoid sending a second reminder
Chat – allows our community to “chat” within a closed community
Feedback – will allows my developer to bring MyVirtoff to the next level
This is only Version One ….I am glad a community in the making is already forming.
Apart from MyVirtoff, I have also proceed to develop two more other APP.
Freight Portal
We are on the verge of rolling out an advanced Freight Booking that enables customer to place booking anywhere on the palm of their hand.
Transport Portal
This App give customers convenience in booking of cargo transportation. Both Portal has been in use for a couple of years but are largely on web-based.
We will be rolling this out very soon as an APP.
There are more plans in the future for more APP. It’s all very exciting.
With technology comes an emphasis on optimisation, and CPW implements processes to ensure all its resources – from its trucks to its workspace to its data – are optimised. We have a huge database that can be very valuable.
We’re now in the process of analysing the data in ways that will prove meaningful to our customers as well as us. Our vision is to provide valuable insights to our employees, business partners and, most importantly, customers, whether it be the bookings, deliveries, or the co-packing activities we perform.
It is not only so they can understand what happened in the past, but also to help them plan for the future.
I identifies the three biggest challenges currently facing the Group digital transformation.
The first of which is infrastructure.
At CPW we operate in a lot of developing markets, and these markets may be inadequate and not ready to get onto this platform. It’s quite a challenge. I know that many are doing a lot to improve but, unfortunately, it is not fast enough.
The second major obstacle is the lack of understanding of going digital.
We have to beef this up. So internal training and development programs have to be conducted.
The third obstacle is one that is felt by all service provider world over – the continuing rise in customer demand and expectation. “
In fact, with the availability of our APP, we will be now dealing directly with the customers.
The level of demand of any APP is driven by customer expectations and will only increase over time. And that’s something I have to be prepared for.
While I attempt to lead the Group into the digital future, and to overcome these barriers, the company has its best weapon: its people.
Our people are a very important factor in helping us to push forward the new APP marketing and eventually make us stand out from the rest of the competition.
I sincerely believe in that.
Our people are committed to our vision and the way to realise it.
I encourage everyone to be keen to participate in the process.
Over the next three years, the company has plans to transform its NVOCC business. While the NVOCC market is depressing at the moment, the needs will always be there. There is still great expansion potential and the Group is going to capitalise on that by employing various elements such as technology, new business models and increased business development.
As always, we would like to replicate, if not to build on, that success in other parts of Asia.
We have the necessary tools. We have the customer relationships, technology, systems and experience to continue in the NVOCC market. It’s just a matter of harnessing all that so we can benefit from this in other parts of the region.
With all these plans on the horizon, I assure you C P World Group will continue to do the best for the network.
Your support for the digital vison will ensure the Group and the network future become better than ever.
Thank you.
Ken Chiang
Group CEO
