Logistics firm shells out funds to handle demand

CEBU, Philippines —  A Cebu-based logistics group poured sizeable investments to cope with sustained volume, while adjusting to the changes of times.

Rodien Paca, chief executive officer (CEO) and founder of several port manning, cargo solutions firms, such as Pilipinas Logistics Technologies Systems Inc., said with the stricter border restrictions due to quarantine protocols, his companies have to hire more workers in each destination.

Furthermore, the entire system of its back office operations had to shift to digital platform, which incurred the company to buy updated technological tools, and Information Technology experts, said Paca in a virtual press conference held over the weekend.

Paca who also owns the Paca Training and Management Systems, Naga Cebu Truckers & General Services Inc., Performance Training and Management Systems, Road Eagle Logistic Inc., added that the pandemic has forced them to look into new ways of doing business notwithstanding the additional operational cost it would entail them.

“We added close to 30 people. Cargoes can go through but not our people, so we needed to hire local workers there to continue our operations,” said Paca, adding that because people can’t travel anymore and “we can’t import and export people, we became dependent on the people where we have operations.”

Paca’s logistics business operates in 104 shipping ports across the country. The bulk of its business is moving construction materials all over the island.

One of the biggest challenges for companies right now, is maintaining its workers, Paca on the other hand, had to hire more people in different areas around the country.

Aside from construction materials, his logistics services also cater to the feed industry, of which demand have never slowed down.

The previous 24-hour delivery, however was cut short to eight hours due to curfew and border protocol.

Because of the challenges under new normal, Paca also had to invest to add seven new trucks, two of which were heavy equipment to speed up the delivery.

His company also invested in fiber connections to make sure that the seamless business operations remain uninterrupted.

While logistics and cargo volumes are sustaining, Paca clarified that companies like his, also have to spend more as business environment has change, and high standard in complying protocols also entail more investments.

He mentioned that Multinational companies for instance have different requirements. “Others demand of the use of N95, so that’s an additional cost for us.”

“This is on top of the working hours lost per day, the cost of constantly disinfecting the workplace and providing our employees the face masks, gloves, disinfectants, alcohols, and now the face shields,” he added.