Saigon Co.op and CJ Group sign strategic cooperation on freight transport

Accordingly, the two sides will jointly build a common ecosystem for goods supply and transportation services (logistics) and deploy a warehouse system according to automation standards.

This combination helps to further improve the circulation of goods in Saigon Co.op 's distribution system, ensuring a coherent connection to bring domestically produced goods to foreign markets.

This signing event will be the first step in forming a leading freight forwarding unit in Vietnam based on the strengths of the two leading economic units of Vietnam and Korea; thereby quickly and promptly meeting all customer needs.

Customers are served promptly through a seamless, seamless transportation system.

Saigon Co.op and CJ Group will jointly research and cooperate in developing and exploiting the Saigon Co.op warehouse project in the West of Ho Chi Minh City - Le Minh Xuan 3 Industrial Park.

This project is located in the warehouse cluster of Saigon Co.op and was started in October 2023 and is expected to be operational in July 2024 to reduce pressure on goods and risks at the eastern warehouses, facilitate the planning of reinvestment in the warehouse system, divide the service areas of supermarkets/stores, and orient the arrangement of delivery routes more reasonably to reduce transportation costs.

It is known that retail logistics is considered a special field when there are tens of thousands of product codes that need to be preserved, packaged, classified, delivered... so it is very difficult to apply automation technology; and this is also the field with the lowest automation rate in Vietnam today.

This combination helps further improve the circulation of goods in Saigon Co.op's distribution system.

Therefore, if CJ Logistics' advanced automation technology platforms are successfully applied to the retail logistics sector this time, the overall efficiency of logistics operations will certainly increase significantly, creating a solid foundation for reducing overall operating costs.

Saigon Co.op and CJ Group signed a strategic cooperation agreement on freight transport.

Saigon Co.op warehouse in the West of Ho Chi Minh City has equipment and a semi-automation operating model moving towards automation to help ensure a sustainable supply chain development to serve the strategy of developing the Saigon Co.op network of points of sale.

After the Saigon Co.op warehouse project in the West of Ho Chi Minh City - Le Minh Xuan 3 Industrial Park, the two sides continue to coordinate to implement new cooperation plans, expected to include new creative ideas and new business cooperation models.

In addition, both sides aim to build a team of skilled professionals, and seek and exploit cooperation opportunities in the future.

The seamless transportation system contributes to bringing Vietnamese goods to the world market.

Speaking at the ceremony, Mr. Nguyen Anh Duc Saigon Co.op said: “ In the context of the current Vietnamese retail market with the presence of many foreign retailers, Saigon Co.op must make even more efforts in serving customers, not only ensuring the quantity and quality of products, but also delivering them to customers quickly.

Combining with CJ Group will be a strategic step to help Saigon Co.op complete its goals: developing a network of warehouses, investing in infrastructure, equipment, and management systems to grasp new trends in new technology Logistics 4.0 (Automation, Big Data, AI, ...) to modernize warehouse operations, meet the needs of goods and services, improve productivity, increase revenue, reduce costs, profits, ... towards the model "Logistics Profit Center" - an independent Logistics Company model that not only serves Saigon Co.op retail models but also provides customer partner services .

Mr. Kim Kwon-woong - representative of CJ Logisticis shared: “ Saigon Co.op is a potential partner for CJ Group and CJ Logistic to cooperate to maximize the most advanced Korean logistics technology and advanced TES - Technology, Engineering, Systems & Solutions - capabilities.

“Technology”: accelerates future logistics operations; “Engineering” designs optimized models for the entire supply chain management process; “Systems & Solutions” provides comprehensive end-to-end solutions with the latest technologies ”.

Bao Anh

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