Advertisement

Firms still wary of outsiders

Reading Time:1 minute
Why you can trust SCMP

More companies in the greater China region are outsourcing their logistics operations, although using another firm to manage the movement of goods is taking hold only slowly.

Advertisement

E-Commerce Logistics (ECL) founder and chairman Simon Hsu Nai-cheng said most small or medium-sized Hong Kong enterprises were wary about outsourcing a key part of their operations to a stranger.

Set up in 1999, ECL provides warehousing, order processing, re-packaging, transport and logistics services integrated with an information technology system that allows real-time checking of inventory and tracing stocks.

Mr Hsu said the company was a pioneer in what was a new and difficult business.

'We lost a lot of money building the business up from scratch and are still making great efforts to educate companies about the emerging industry,' he said.

Advertisement

International firms had become more open to the concept of third-party logistics in the past two years.

loading
Advertisement