ST Engineering Annual Report 2020

CORPORATE OVERVI EW PERFORMANCE REVI EW SUSTAINABI L ITY CORPORATE GOVERNANCE F INANCIAL REPORT We are also pursuing opportunities with other train OEMs to establish in-country support, which will not only enable them to achieve faster repair turn around time which would translate to higher rail availability rates for rail PTOs, but also minimise potential disruptions due to pandemics or other crises. Our U.S. businesses in the Road Construction Equipment and Truck segments were affected by reduced demand as a result of the COVID-19 pandemic. With the food services and restaurants industry severely impacted, our Truck Body business, Hackney pivoted to new areas such as dry freight to meet the demand from increasing e-commerce transactions. It also added a last mile refrigerated van kit to its product offerings in response to the increased demand for grocery home deliveries. Strengthening our Engineering Core Even during the pandemic, we remain focused on developing our engineering capabilities and talents, building on the foundation of knowledge and skills accumulated over more than five decades. We set up an Integrated Engineering Hub (IEH) to be a conduit of knowledge sharing across different teams of engineers. The IEH aggregates the combined expertise and specialisations of 12 different clusters, from tracked and wheeled products to data analytics and software engineering. Leveraging this cross-disciplinary know-how, our engineers now have a broader scope and more training options when it comes to advancing and acquiring new skills, as well as access to the latest technologies. This will, in turn, translate into improved product development and innovation for our customers. To further encourage knowledge sharing, we conducted monthly technology sharing sessions and encouraged our engineers to share and impart their experiences and learnings related to their respective areas of expertise. The topics ranged from design thinking to Up to 40 TUG autonomous mobile robots were deployed at the Community Care Facility at Changi Exhibition Centre tracked vehicle vibration and noise to cybersecurity. We have since extended these sessions to our industry partners, including NTUC Learning Hub, UST Global and Beckoff Automation, for two-way sharing. We have also digitally transformed our MRO capabilities through digitisation, automation and real- time monitoring of operations. Our new Integrated MRO Operations Centre (IMOC) combines data fusion and analytics to enhance situational awareness, enabling better informed decisions. With integrated connectivity and enhanced ability to predict data insights, we are now better equipped to plan and execute MRO services with greater success certainty for our customers. OUTLOOK As countries focus on fighting the pandemic and getting their economies back on track, defence expenditure is likely to remain flat or diverted, with possible delays 53 ANNUAL REPORT 2 0 20 /