By using the various resources of the SG Holdings Group, we are strengthening our system to ensure we can propose logistics solutions that meet customers’' needs in a wide range of areas from upstream to downstream in the supply chains of customers in a variety of industries and business categories.

For existing customers, we will closely study potential needs and make proposals. At the same time, we will develop and provide new services for new markets while considering collaboration with other companies.

The SG Holdings Group has formed the "GOAL" groupwide advanced logistics project team centered on Sagawa Express to resolve companies’ management issues through overall optimization of logistics. "GOAL" forms teams in locations nationwide to provide optimal solutions spanning the Group to address customers' management issues through logistics.

Proposals cover a wide range of areas, spanning customers’ entire supply chains from procurement, storage, and processing of raw materials and parts overseas, to delivery to stores in Japan.

Furthermore, it involves not only logistics itself, but also the creation of systems enabling the centralized management of the flow of goods and the provision of a wide range of settlement services to both companies and individuals. In recent years, we have also developed a system that allows us to collaborate with other companies in the industry to meet an even wider range of needs. In order to continue to provide optimal logistics solutions to customers in the future, we will further expand the Group’s international network and large-scale logistics infrastructure.

Large commercial facilities such as shopping malls used by many shoppers and large building complexes have 200 to 300 tenants. More than several hundred delivery trucks commonly enter and exit such facilities every day as each tenant places orders for goods to various business operators. At present, it is necessary to address a variety of issues around these facilities, such as traffic congestion and environmental problems.

The Group offers services that lead to the resolution of logistics issues in large complexes and commercial facilities, such as Smart Delivery for improving the efficiency of the process from purchasing to warehousing and inspection, and Facility Logistics for centrally managing distribution staff, goods, vehicles, and information for large commercial facilities. Through these services, we contribute to the creation of communities starting with large commercial facilities through the improvement of efficiency of logistics. This includes mitigating traffic congestion and reducing environmental impact by reducing the number of vehicles inside and outside facilities, enhancing security, and also implementing safety measures for pedestrians in the areas surrounding facilities.

Sagawa Express has been expanding the "Smart Delivery" services to dramatically increase efficiency from procurement (stocking) deals to receipt of goods (warehousing/inspection) between businesses.

Packages usually delivered separately by different suppliers are changed to delivery by Sagawa Express, which gather and sort packages by product category or location in its transfer centers and sales offices in advance before delivering them to the final destination as specified by the consignee. Support is also provided for time slot-specific delivery, including late night and early morning.

Sagawa Express and World Supply provide "Facility Logistics" for centrally managing distribution staff, goods, vehicles, and information, entering and exiting large commercial facilities and complexes, and facility maintenance. The hundreds of vehicles from companies that deliver directly to the offices and stores in a single day must be controlled, and parking time in unloading areas must be kept to a minimum to avoid traffic congestion around the building. In the facilities where the Group handles facility logistics, smooth logistics are achieved within the facilities by using a pre-registration system for delivery vehicles to speed up entry procedures and ensure security. The adoption of facility logistics helps relieve traffic congestion around facilities and also reduce the environmental load.

The SG Holdings Group also operates businesses globally. Overseas, the Group as a whole has created a system supporting the supply chains of customers spanning the globe by strengthening areas such as customs clearance, 3PL (comprehensive logistics outsourcing for enterprises) and local land transportation while remaining focused on freight forwarding. We will continue to contribute to the development of customers’ businesses and enrichment of people’s lives through the creation of logistics infrastructure in each country in the future.

"Smart Import" is a service for enterprises with production sites in countries and regions within Asia. Products are received in logistics facilities on site, and shipped internationally to Japan after undergoing logistics processes such as inspection, assorting, and affixing of domestic delivery invoices. Completing logistics processing overseas has advantages such as (1) reduction of workload in Japan, (2) reduction of cost of return and customs clearance of defective items and (3) shortening of lead time and optimization of costs.

SGH Global Japan, which handles international freight business, utilizes its network with Group companies and partner companies in Japan and overseas to provide logistics infrastructure optimized for international e-commerce conducted across national borders (cross-border e-commerce). E-commerce business operators can create transportation networks in new markets in one stop through the utilization of this cross-border e-commerce logistics infrastructure. The Group will contribute to providing greater convenience to e-commerce business operators and e-commerce users, in addition to activation of the cross-border e-commerce markets through the provision of high-quality, reliable logistics infrastructure.

In collaboration with Japan Overseas Infrastructure Investment Corporation for Transport & Urban Development (JOIN), SG Motors is supplying vehicle-mounted frozen and refrigeration equipment* in Vietnam required for cold supply chain management. SG Motors established an operational company (SG Motors Vietnam) in the VSIP Bac Ninh Industrial Park outside Hanoi to manufacture, sell, and provide maintenance for vehicle-mounted frozen and refrigeration equipment as well as equipment-mounted vehicles. The equipment and vehicles enable logistics with three temperature zones (dry, refrigerated, and frozen). Expansion of logistics demand in Vietnam is expected in tandem with its rapid economic growth. In such a situation, cold supply chain management technologies are still lacking in the local market, leading to demand for cold supply chain solutions from local Japanese companies as well as large local retailers.

The Group performs a variety of transportation of goods other than express package delivery services.

The SG Holdings Group’s long-term vision for 2030 is “Grow the new Story. New logistics, nurturing a new society together.” The Group is currently promoting the Hikyaku Labo, an open innovation^* activity that seeks to find solutions to various social issues through collaboration with startups and other external companies.

By combining the management resources of the SG Holdings Group with the creative ideas and technologies of startups and other companies, the aim is to find solutions in a wide range of fields that go beyond transportation and delivery. In having the management teams at each Group company commit to these efforts, the Group will aim for rapid commercialization and the evolution of its existing businesses.