PRESS RELEASE AND MEDIA

Kerry Logistics Network Limited (“Kerry Logistics”; Stock Code 636.HK), a leading logistics service provider in Asia, has introduced six fully automated and programmed robotic butlers at its flagship facility PC3 in Hong Kong to meet the ever-growing consumer demands in online shopping. Kerry Logistics is one of the first 3PLs in Asia to adopt robotic butlers in its operations to enhance fulfillment efficiency and accuracy.

Today, speed-to-market order fulfillment is the key to success in the retail industry. The process of picking products is at the heart of e-commerce operations where high volumes of small and irregular orders predominate. Kerry Logistics’ robotic butlers are being deployed in the order fulfillment centre where sales orders taken from retailers or e-commerce marketplaces are being processed.

Real time sales orders are transmitted to the robotic butlers via Kerry Logistics’ proprietary warehouse management system (“WMS”). Designated shelves are then picked and delivered to the pick station. The system indicates the right items to be picked for shipments using a simple lighting system in which every item is tracked via barcodes.

Currently, the robotic butlers operate 24/7 and can pick 280 items per hour compared to 50 items in the normal course and the pick rate is four times faster. This solution is ideal for retail brands which sell a wide variety of consumer products with potentially expanding e-commerce business.

At the 2015 HKTDC International ICT Expo which took place in April, Kerry Omni Channel Fulfillment solution received the “Best Smart Hong Kong (Internet of Things Application) - Certificate of Merit” at the 2015 Hong Kong ICT Awards steered by the Office of the Government Chief Information Officer and organised by a number of industry associations and professional bodies. The solution seamlessly incorporates robotic butlers, WMS, Pick-to-Light and Android-based EPOD to provide comprehensive order fulfillment for modern B2B2C and B2C businesses. It has been proven to successfully enhance and strengthen the overall efficiency of supply chain management and logistics operations.

The introduction of the robotic fulfillment solution is part of Kerry Logistics’ core values to create real value for its clients through innovative solutions and continuous improvement. As Kerry Logistics’ business grows and volumes increase, the ability to efficiently manage capacity becomes paramount and automation will play a crucial role in enhancing the overall supply chain efficiency and delivering exceptional customer satisfaction.