Destination Innovation: How smart logistics can enhance technology supply chains in Asia Pacific

At DP World’s March 2024 Smart Series event, held during the DP World Tour Porsche Singapore Classic, I was lucky to hear from 2010 Ryder Cup winner and 2025 Ryder Cup Team Europe Vice-Captain Edoardo Molinari on the role that data plays in professional golf. An engineer by training, Molinari has been keeping spreadsheets on his performance over decades. He said that in golf, data is levelling the playing field, with many players turning to analytics to help improve their gameplay. The use of analytics software to improve ball striking, swing dynamics and to optimise tournament preparation is common, and better equipment also meant that at the Porsche Singapore Classic, players were able to gain close to two strokes off the tee.

Beyond golf, data and technology have transformed every facet of life and industry. As the biggest manufacturer, exporter and market for tech products, Asia Pacific (APAC) is at the heart of this transformation. For instance, when golfers on the DP World Tour conduct performance analysis or when tournament highlights are shared on social media, there’s a good chance that their devices were assembled in China, using parts from half a dozen or more other Asian countries.

Logistics in a dynamic tech landscape

APAC is now embracing the next wave of technology, with massive investment into artificial intelligence (AI), blockchain and the Internet of Things (IoT). These, in turn, fuel demand for devices that cater to these new capabilities. For any business – whether building, buying or selling technology – APAC is likely to be the biggest market and the strongest growth opportunity anywhere.

However, the region’s scale and diversity can be challenging to navigate. Technology businesses need to adapt their logistics strategies to overcome APAC’s complexities and meet evolving customer needs. This means driving efficiency by adopting the best technology and finding the right partners to ensure growth.

APAC’s supply chain complexity

Supply chains for technology companies tend to be complicated to begin with. APAC’s patchwork of regulations, policies, currencies and business cultures can add greatly to this intricacy.

So too can the geopolitics of the region. While China remains the centre of manufacturing globally, trade tensions with the US have seen businesses diversify their supply chains around the region. Our 2024 Trade in Transition report found almost half (47%) of executives in APAC are pursuing this strategy, which has led to rapid growth in manufacturing for technology and other industries in countries like Vietnam and Malaysia.

In addition, there are overlapping bilateral and multilateral trade agreements in the region, and it is easy for businesses to leave money on the table if they don’t know which is best for them.

Finally, inefficient trade infrastructure in some countries adds to costs. In Indonesia and Thailand, for example, up to 15% of the final price tag can be attributed to logistics.

Technology is both the product and the solution

Technology itself can address the challenges that tech companies face. Case in point: artificial intelligence. Our most recent Trade in Transition report found that globally, an astounding 98% of executives consider AI an indispensable tool that will revolutionise at least one aspect of their supply chain operations, and 34% expect AI to curtail overall trade expenses.

In her keynote at our Smart Series event, AI entrepreneur Dr Ayesha Khanna said that businesses can use this game-changing technology to enhance three aspects of their operations: human productivity, machine productivity and customer experience. For us in supply chain management, AI-driven analytics can optimise route planning, inventory management and demand forecasting, facilitating smoother operations and reducing costs.

At DP World, we have been piloting AI implementation across various solutions. For instance, in 2022, we rolled out our CARGOES TOS+ terminal operating suite at our ATI Batangas Container Terminal in the Philippines to help optimise operational performance. The terminal also switched to an automated gate system CARGOES AVA+ which uses intelligent cameras to capture container numbers, truck license plates, container door orientation, and seal condition as trucks pass through the portals. Elsewhere in the world, we have BOXBAY, our autonomous container handling system that incorporates AI and big data for safer, more efficient and more sustainable port operations.

Winning through strong partnerships

Of course, not every problem can be fixed with technology alone. The complexities of APAC's diverse markets, regulatory environments and transportation networks often need specific expertise to navigate.

Much as we leverage our know-how and network to grow the game of golf through our partnership with the DP World Tour, we can also help technology companies face these complexities of operating in APAC too. By leveraging our capabilities, tech firms can mitigate risks, optimise logistics processes and enhance their competitive edge. More importantly, they can focus on fortifying their core competencies and seizing growth opportunities, with the confidence that their supply chains are well taken care of.

APAC is a region of immense opportunity. But for technology firms, making the most of the region’s incredible growth story requires a carefully thought-out supply chain strategy that accounts for market nuance. We at DP World stand ready to help.