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Tag: cargo

  • DHL signs up for four more A330-300P2Fs

    DHL signs up for four more A330-300P2Fs

    DHL Express has signed up for four more A330-300 passenger-to-freighter conversions from ST Aerospace subsidiary Elbe Flugzeugwerke.

    The express operator, which in July last year became the launch customer for the conversion programmewith an order for two of the aircraft, said the deal also includes options for a further 10 conversions.

    The contract was signed at the 52nd International Paris Air Show this afternoon, and witnessed by Guests-of-Honour Singapore’s Second Minister for Defense Mr Ong Ye Kung and Chief of the Saxon State Chancellery and State Minister for Federal and European Affairs Dr Fritz Jaeckel.

    The conversion will be carried out by EFW, which is jointly owned by ST Aerospace and Airbus. The aircraft has a payload of up to 61 tons.

    In order to take on the expanded conversion programme for DHL Express, EFW is gradually ramping up its capacity at its facility in Dresden, with a new single-bay wide-body hangar being completed recently.

    Geoff Kehr, senior vice president, global air fleet management, DHL Express, said: “DHL is delighted to be expanding this pioneering conversion programme with ST Aero, EFW and Airbus and securing the option to add more units to our fleet in future.

    “We believe the A330-300P2F, with its favourable payload and range metrics, will address an important demand segment within the air cargo market that is not currently served by any other aircraft type.

    “It will further strengthen the global air network of DHL Express and help us to achieve even greater efficiencies in our aviation operations.”

    The first aircraft under the DHL Express A330-300P2F program is currently undergoing conversion at EFW’s Dresden-based facilities, while work is set to begin on a second aircraft at an ST Aerospace engineering facility in Singapore.

    The first two aircraft are scheduled to be redelivered by the end of 2017.

    The A330P2F conversion programme, launched in 2012, is a collaboration between ST Aerospace, Airbus and EFW.

    ST Aerospace, as the programme and technical lead for the engineering development phase, is responsible for applying for the supplemental type certificates for the freighter conversions from the European Aviation Safety Agency and the US Federal Aviation Administration.

    Aircraft original equipment manufacturer (OEM), Airbus, contributes to the programme with OEM data and certification support, while EFW leads the industrialisation phase and marketing for the freighter conversion programme.

    The A330P2F programme includes two versions – the A330-200P2F and the larger A330-300P2F. DHL Express is EFW’s first customer for the A330-300P2F conversion programme, while a launch contract with EgyptAir Cargo was secured in December 2014 for the A330-200P2F conversion programme.

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  • Amazon continues to open new fulfilment centres

    Amazon continues to open new fulfilment centres

    Amazon.com announced plans to open its second Colorado fulfilment centre in Thornton, which will be the first Amazon Robotics facility in the Centennial State. Amazon will create more than 1,500 new full-time associate roles at this facility.

    “We are excited to continue growing in Colorado with the new Robotics fulfilment center in Thornton,” said Akash Chauhan, Amazon’s vice president of North American Operations. “This facility will utilise robotics, vision systems, and more than 20 years’ worth of software and mechanical innovations. We are grateful for the support we have received from state and local leaders who have helped make this project possible.”

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  • Kerry Logistics expands network through joint venture in CIS

    Kerry Logistics expands network through joint venture in CIS

    Kerry Logistics Network Ltd enhances its services and network under the ‘Belt and Road’ Initiative by entering into a joint venture through participating in the equity of Globalink Logistics DWC LLC, a freight forwarding group headquartered in Dubai with operations spanning across The Commonwealth of Independent States (‘CIS’). The move will significantly expand Kerry Logistics’ coverage in Central Asia and the CIS, opening the door to potential markets with tremendous growth prospects.

    The partnership will see nine countries added to Kerry Logistics’ global network. They include Kazakhstan, Uzbekistan, Kyrgyzstan, Tajikistan, Turkmenistan, Georgia, Armenia, Azerbaijan and Ukraine. Leveraging the booming trade between China and Europe, Kazakhstan, in particular, is expected to benefit most from the increasing transit cargo flow along the trade lanes.

    William Ma, Group Managing Director of Kerry Logistics, said, “We are very excited about this joint venture, which is part of our development strategy to tap into the immense opportunities from the Belt and Road Initiative. The new partnership will allow the two groups to leverage each other’s competitive strengths and provide new options and cost-efficient multimodal solutions to our customers with greater flexibility and access to the strongest network in Asia.”

    “While we will continue to develop an overland transportation network for road, rail and multimodal freight services from China to Central Asia and Europe, we will also build upon our expertise in project logistics within our global network to exploit new business opportunities,” added William Ma.

    The move came at the heels of Kerry Logistics’ launch of its rail freight operations between China and Europe. The Group was the market pioneer to complete the first westbound charter freight from Yiwu, Eastern China to Madrid, Spain in August 2016; while the first UK-China eastbound freight train from London to Yiwu commenced its journey in April 2017.

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  • Nu Skin picks XPO Logistics as lead logistics provider

    Nu Skin picks XPO Logistics as lead logistics provider

    XPO Logistics, a global provider of transportation and logistics solutions, has been selected by Nu Skin Enterprises, Inc. as global lead logistics provider under a multi-year contract. Nu Skin is a US$2.2 billion provider of premium-quality beauty and wellness solutions to markets in Asia, the Americas, Europe, Africa and the Pacific.

    In collaboration with Nu Skin, XPO is developing an integrated, global supply chain logistics solution that utilises proprietary technology for end-to-end management of product flows. Components include transportation management, warehousing and order fulfillment, as well as value-added services such as co-packing, kitting and real-time inventory tracking. The network will be managed through regional control towers around the world.

    “Our growth strategy requires that we transform our supply chain logistics through scale and innovation,” said Brad Morris, Nu Skin vice president of logistics and fulfillment. “In XPO, we’ve found a partner with industry-leading capabilities and the commitment to invest with us. Together, we’re building a next-generation supply chain logistics partnership that will support our expansion well into the future through continuous improvement.”

    Ashfaque Chowdhury, XPO Logistics president, supply chain­-Americas and Asia-Pacific, said, “We’re excited to work with Nu Skin as the architects of their supply chain logistics transformation. Our team is engineering a technology-rich infrastructure that will be highly efficient on a global scale. This partnership will benefit Nu Skin’s distributors, sales associates, retailers and end-customers.”

    In the first operational phase, XPO will establish a control tower and distribution center in Singapore, and assume responsibility for transportation management and satellite warehouses throughout Southeast Asia and the Pacific, with expansion into other regions projected to follow.

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  • UPS study finds traditional distributor model faces mounting risk

    UPS study finds traditional distributor model faces mounting risk

    Companies must adapt amid rapid change fuelled chiefly by millennials and a shift to e-marketplaces; A surge of purchases coming directly from manufacturers and e-marketplaces, bypassing distributors

    Asset-light e-marketplaces and other nontraditional shopping channels, combined with shifting demographics, are upending industrial distributors’ inventory-heavy model more rapidly than previously thought. As a result, distributors must quickly adapt and address threats with everything from sharper mobile offerings to upgraded customer service, a new white paper from UPS shows.

    According to the UPS Industrial Buying Dynamics Study: Buyers Raise the Bar for Suppliers, the biggest shift comes from millennials (defined for this study as those currently ages 21-34) who grew up in a digital era and are bringing their tech-savvy and nontraditional purchasing habits – for example, bypassing the middle man and working directly with the manufacturer – with them into the workplace. The impact on the future of industrial products purchasing may be among the most profound of any modern generation of buyers and provide a glimpse of the future.

    The report, the third such study compiled since 2013, captures a sector undergoing demand changes and channel shifts at a startling speed: 81 percent of buyers have purchased directly from manufacturers, up from 64 percent in 2015. Meanwhile, 75 percent of buyers surveyed have shopped at an e-marketplace, soaring from just 20 percent in 2013. What’s more, 80 percent of buyers are likely to shift to suppliers with a more user-friendly web presence, up from 72 percent two years ago.

    “With e-commerce, industrial buyers can choose from numerous suppliers with the click of a button, leaving the traditional business-to-business distributor model threatened,” said Matthew Guffey, vice president of UPS segment marketing. “Maintaining the status quo, even just for now, is not an effective solution. Distributors have to up their game.”

    The paper identifies four main ways for distributors – including those with smaller ambitions or limited funds – to remain competitive and offers solutions to reach these young corporate buyers where and how they want to interact:

    1. Recognise rising threats: It is imperative to consider strategic investments that bring services to parity with competitors. The paper found that more than half of respondents working primarily with distributors intend to increase e-marketplace spending, representing a looming risk to distributors.

    2. Think digital: Online channels are a necessity and distributors need to strengthen e-commerce capabilities, particularly for mobile ordering. Thirty percent of corporate buyers use mobile channels to order industrial products, and 24 percent are “extremely likely” to do so in the future. Nearly half of all buyers – and 69 percent of millennials – indicated they would likely shift business to a distributor offering a mobile app.

    3. Address buyers’ needs by product: Partnerships can help make businesses more competitive. Look into purchasing insurance on products and shipments to mitigate risk and to help protect and improve cash flow; leverage a logistics provider’s global network to ramp up service more quickly and reach more pockets of growth.

    4. Go beyond the sale: Buyers want interaction beyond the sale (i.e. post-sales support), with half of respondents stating they would switch to a supplier offering assistance with returns, training and on-site maintenance or repairs. Thirty-six percent of millennials need services at least once per month, compared with just eight percent of Baby Boomers, according to the study.

    UPS and TNS conducted the survey of 1,500 buyers of industrial products who are between the ages of 21 and 70 in the United States. Respondents purchased industrial parts, products or supplies in five product categories: equipment sold in a business-to-business transaction; final assembly OEM (original equipment manufacturer) parts; MRO (maintenance, repair and operations) parts; consumables/raw materials – input items used in a manufacturing process; and janitorial and sanitation. Participants came from companies of all sizes, with roughly one-third reporting annual revenue of US$1 million; one-third reporting between US$1 million and US$10 million; and one-third reporting more than US$10 million.

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  • Jaguar selects K+N to implement European aftermarket logistics

    Jaguar selects K+N to implement European aftermarket logistics

    Jaguar Land Rover, premium and luxury car manufacturer, has appointed Kuehne + Nagel (K+N) to manage three warehouses in France, Spain and Italy serving Continental Europe. The new contract also includes transport management control tower function and customer contact centres for Jaguar Land Rover retailers for the region.

    The European Aftermarket is of very high importance. The car manufacturer has consolidated its supply chain into a robust logistics setup with innovative processes, including an upgraded Warehouse Management System (WMS). This supply chain will support over 400 Land Rover retailers across Continental Europe.

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  • Bolloré Logistics Awarded at the China Offshore Convention in Shenzhen

    Bolloré Logistics Awarded at the China Offshore Convention in Shenzhen

    Present at the China Offshore Convention in Shenzhen from May 25-26, 2017, Bolloré Logistics was honored to receive the “Outstanding Offshore Logistics Contractor of the Year” award in front of the Oil & Gas community.

    “After 50 years serving the Oil & Gas industry around the world, Bolloré Logistics is proud to be recognized for its expertise. I would like to once again thank the organizers for such a great event,” says Mr. Bruce Boudailler, Regional Director Oil & Gas at Bolloré Logistics Asia-Pacific, who received the award on behalf of the Oil & Gas teams from the hands of Mr. Weiping Hu, President of China Overseas Development Association.

    80% of the results were based on WeChat online voting platform, a Chinese social media application, while the 20% remaining were based on the voting of the expert committee from the summit. Initiated by the organizer on WeChat, the voting period went on from May 12-20, 2017, in an effort to select nine outstanding companies in different sectors related to the offshore. Among the last three nominated outstanding logistics contractors of the year, Bolloré Logistics received the most votes out of more than 11,000 persons who voted.

    Recently tasked to lead the Oil & Gas global strategy of Bolloré Logistics, Mr. Bruce Boudailler would like to take this moment to praise the value and commitment of our dedicated teams of specialists, which have been supporting all the segments of the industry.

    Present in the major global hubs, as well as in most of the oil and gas producing countries, with a strong implementation in Africa and Asia, Bolloré Logistics offers tailor-made solutions on contract or project basis.

    The company prides itself in delivering simple or complex solutions to its oil & gas customers, sometimes in the most challenging areas of the world, in full compliance with Ethics and the QHSE standards. Differentiating itself from the other major international freight forwarders, Bolloré Logistics has developed a very strong expertise and track record in handling very big capital asset projects onshore and offshore, and extended the logistics chain beyond the entry gates of the supply bases.

    As an extension of the supply chain, Bolloré Logistics has been integrating for many years in its solutions marine services as well as supply base services. With reference to the Oil & Gas players and many industry suppliers in its portfolio, Bolloré Logistics also created a movie showcasing its technical expertise of logistics operations dedicated to the Oil & Gas in Port Gentil, Gabon.

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  • Rohlig opens new warehouse facility in Sydney

    Rohlig opens new warehouse facility in Sydney

    Due to continued success in the Australasian markets, International freight forwarding firm Rohlig Logistics, is continuing the expansion plans of its contract logistics divisions with the opening of a new 6000 sqm warehouse in Sydney.

    The new warehouse has been equipped with the latest in warehousing and logistics technology, including as a sunken dock with a seven metre in-ground hoist capable of handling 14 tonnes of air freight. Additionally, the facility will be able to handle up to 4000 pallet spaces, encompassing every element of the supply chain, from warehousing and freight, to contract logistics.

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  • Amazon launches direct air delivery from US to Zhengzhou

    Amazon launches direct air delivery from US to Zhengzhou

    Amazon has begun its direct air delivery service to Zhengzhou – the capital of central China’s Henan Province.

    Carrying close to one thousand different products each, the planes will embark to China from New York, Chicago and Los Angels – arriving at Zhengzhou Xinzheng International Airport.

    Employees of Amazon logistics services provider WherExpress, told Xinhua news agency that Zhengzhou Xinzheng International Airport offers efficient logistics services to cross-border e-commerce platforms including a swift customs clearance. From here, imports will now be distributed nationwide, reported the news source.

    The US online retail giant made the air delivery decision as more Chinese consumers are shopping online with Amazon, ordering thousands of items including food, clothes and household appliances.

    Talking about China, Amazon had said in March that it was “currently developing the air cargo service and will introduce it soon.”

    The airport in Zhengzhou posted 275,000 tonnes of throughput of imported cargo in 2016, which included imported fruit, aquatic products, meat and live Australian cattle.

    Amazon has been in China since 2004 when it bought the country’s biggest online bookseller Joyo.com for $75 million.

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  • Bolloré Logistics Australia Becomes Certified Australian Trusted Trader

    Bolloré Logistics Australia Becomes Certified Australian Trusted Trader

    On April 28th, 2017, Bolloré Logistics Australia became the first international transport and logistics company in the country to be officially accredited as an Australian Trusted Trader under the Australian Economic Operator (AEO) programme developed by the Australian Border Force (ABF).

    Obtaining the Trusted Trader accreditation is the result of extensive audit processing which satisfies the AEO that Bolloré Logistics in Australia sets and maintains the highest level of international supply chain and customs compliance.

    “Being certified an Australian Trusted Trader further supports and facilitates the handling of clients’ international supply and expedites the flow of legitimate trade from all sites in Australia,” says Michael Pinnock, National Customs Manager at Bolloré Logistics Australia.

    This certification is applicable to all five sites in Australia: Brisbane, Darwin, Melbourne, Perth and Sydney.

    Bolloré Logistics Australia will have complete access to the programme benefits when they are introduced in full in the 2017/18 financial year. Benefits will include: reduced cargo inspections at the border, improved cargo lead time, duty deferral, streamlined reporting and priority trade services.

    As a Trusted Trader, Bolloré Logistics Australia also receives a suite of trade facilitation benefits. This includes Mutual Recognition Arrangements established between the Australian Government and Bolloré Logistics which will reduce the customs regulatory burden for Australian exporters entering foreign markets. For example, currently in effect with New Zealand, the Mutual Recognition Arrangement will provide Trusted Trader exporters with border processing benefits.

    As the programme develops, further benefits will be made available to Bolloré Logistics Australia as a Trusted Trader. These include: enhanced cross-agency collaboration with other border agencies, labour mobility and trade in services or even secure trade lanes.

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  • DHL launches China – Belarus rail freight service

    DHL launches China – Belarus rail freight service

    DHL Global Forwarding launched a new rail freight service between Shenzhen, China, and Minsk, Belarus, on May 22 with a transit time of less than 12 days.

    The new service passes through Alatau Shankou – Dostyk on the Chinese-Kazakhstan border which is already used by several other intermodal services, including rail connections from Chengdu, Zhengzhou, and Lianyungang to continental Europe.DHL will manage the new route together with China Brilliant, an integrated service provider in manufacturing and consumption with which DHL signed a memorandum of understanding in 2016. The service offers both less-than-container load (LCL) and full container load (FCL) for electronics, industrial and automotive parts, and fresh food from both both Eastern Europe and China.

    “Eastern Europe’s economies are growing faster than almost any others worldwide, with significant export opportunities arising from the region’s rising wages and disposable income levels,” says Mr Steve Huang, CEO, DHL Global Forwarding Greater China. “Minsk offers Chinese businesses an efficient gateway into the Baltic States and Nordic countries in addition to other European destinations like Warsaw, Hamburg and Tilburg via Brest. With Shenzhen’s economy exceeding expectations to grow by 9% last year, the route also opens sizable opportunities for European exporters.”

    “The partnerships that DHL has with governments and businesses globally, coupled with our market strength in Shenzhen-based supply chains, have come together to create a solution that directly meets the needs of China’s expansion-hungry manufacturers and producers,” says Mr Zhang Chunhua, founder of China Brilliant Group.

    DHL has been offering intermodal rail services connecting China, Japan, and southeast Asia with Europe since 2010 on the following corridors:

    • North Corridor: Suzhou – Warsaw connecting Chinese engineering and manufacturing hubs to Europe in 14 days
    • South Corridor: Lianyungang and Chengdu to Istanbul via Kazakhstan, Azerbaijan, and Georgia including two water crossings in 14 days, and
    • West Corridor: Zhengzhou – Hamburg (electronics), Chengdu – Lodz (high-tech and automotive products) and now Shenzhen – Minsk (electronics and consumer products).

  • Consoveyo Singapore welcomes new general manager

    Consoveyo Singapore welcomes new general manager

    Consoveyo S.A. has appointed Poul H. Lorentzen as general manager for Consoveyo Singapore, effective 1 April 2017. In his new role, Poul’s top priority will be to identify and develop business opportunities for the company in Southeast Asia (SEA).

    Prior to joining Consoveyo, Poul was director of the logistics systems division at Jungheinrich Lift Trucks Pte. Ltd. He has also held various management positions at MHE-Dematic, Siemens L&A, Siemens Dematic, and Dematic, where he was responsible for the business and strategic objectives for regional growth and profitability.

    Poul hails from Denmark but has spent over 30 years in SEA. Sharing from his familiarity with the demands and intralogistics requirements of this market, he said, “There is much potential for automated material handling technologies in this region, as countries like Singapore are encouraging local businesses to stay competitive by adopting advanced warehousing solutions that enhances productivity. My experience in this industry has prepared me for this new role at Consoveyo, and I look forward to leading my team as we work towards meeting the new objectives set out by Körber Logistics Systems.”

    Jorge Couto, chief sales officer at Consoveyo, concluded, “It is an exciting time for Consoveyo as the company aligns itself to meet Körber’s expansion strategy. We have built a very qualified and motivated team to support our clients operating in the SEA region. Poul’s experience in this field will bring a great boost to the team, and I’m confident that his presence will further strengthen our Singapore team to bring Consoveyo to greater heights.”

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  • Bolloré Logistics Singapore Unveils Plan for S$10 Million Logistics Automation Facility

    Bolloré Logistics Singapore Unveils Plan for S$10 Million Logistics Automation Facility

    Bolloré Logistics Singapore, a major player in international logistics and freight forwarding, announces plan for its first automation facility with one of the world’s leading luxury products group LVMH today.

    Supported by the Singapore Economic Development Board (EDB), the new 20,000 square meter automation facility will be built with an investment of S$10 million between Bolloré Logistics and LVMH as part of a long-term partnership to significantly drive productivity and increase space efficiency.

    “Automation is the key for Singapore’s logistics sector to cope with emerging patterns globally. The setup will be housed in Bolloré Logistics Green Hub, our high-tech logistic facility in Pioneer Turn, and we are happy to announce that the co-development of this automation has secured a long term commitment from LVMH. Bolloré Logistics strives to be at the forefront of innovation and prides itself in developing advanced supply chains for its customers,” says Mr. Cyril Dumon, Chief Executive Officer of Bolloré Logistics Asia Pacific.

    “The close partnership between LVMH and Bolloré Logistics has strongly supported the growth of the business in the last 15 years. With the introduction of automation, it further reinforces our connections and emphasizes our expertise on safety, quality, service and efficiency for the next 10 years,” says Mr. Guillaume Mechain, Supply Chain Director of LVMH, Asia Pacific.

    Collectively designed by Bolloré Logistics, LVMH and Dematic, this combination of multi-shuttle system and picking technology is the first of its kind to be deployed in Singapore and the region.

    The state-of-the-art facility will bring significant transformation to tackle supply chain operations – from the order preparation process, inbound to final dispatch of the orders, to integrating control checks that ensure greater accuracy.

    It also allows Bolloré Logistics to meet new challenges arising from the emergence of e-commerce and increase of future distribution channels globally, by bringing with it the capability to prepare e-commerce orders with a high level of accuracy while reducing the time to market, thus increasing its agility and capacity to absorb peak level of activity.

    “Working closely together with Bolloré Logistics, we have developed an innovative automated solution that will bring tremendous improvements in productivity, accuracy and space efficiency. This project represents a number of industry firsts both in Singapore and in the Region and we are delighted to be involved with the Bolloré Logistics team in designing, delivering and supporting the project,” says Mr. Michael Bradshaw, Director Dematic SEA.

    The facility will allow for higher storage density to make efficient use of limited warehouse space in Singapore. In terms of productivity, it will achieve throughput levels up to 10 times as compared to conventional methods, and will improve order lead time while using only half of the existing manpower resources.

    “Bolloré Logistics strongly believes that innovation starts from the bottom and has invested in various training and developmental programs within the company over the years. Our objective is to empower our staff. As part of Change Management, Bolloré Logistics has initiated several HR initiatives and a dedicated pilot development program known as ‘Level Up’. The program which includes a variety of technical and soft skill training, is specifically designed to equip our staff with necessary skills to cope with challenges that may come with automation,” note Mr. Fabien Giordano, Managing Director of Bolloré Logistics Singapore.

    “The ground staff is looking forward to this automation facility. Early communication is already in place to assist the staff so they are prepared for what’s coming. Although staff skills need to be upgraded through training, they can use this chance to expand their skillset and integrate flexibility to increase productivity,” note Mr. Tan Kok Xiong, Supervisor, Bolloré Logistics Singapore.

    With Singapore as the company’s regional hub, the new facility through its adaptable and scalable world-class system aims to create a future-ready infrastructure to support the demands of the Asia Pacific region. The plan is also in line with the government’s direction towards a future-ready Singapore and is supported by EDB.

    “Bolloré Logistics’ partnership with LVMH is an excellent example of the supply chain collaborations that EDB wants to help grow in Singapore. Such investments in operations excellence support Singapore’s efforts to transform the industry and create better jobs for Singaporeans,” says Mr Lee Eng Keat, Executive Director of Logistics, Singapore Economic Development Board.

    This project sets as a flagship and creates a model for Bolloré Logistics globally as the future of warehousing in land-scarce countries once it is slated to complete in January 2018.

    Starting Innovation at the Heart of Asia Pacific

    This initiative is just one of the many in the pipeline under the Bolloré Logistics vision to shift the paradigms of the logistic industry through innovation and technologies starting from the heart of Asia Pacific in Singapore.

    Bolloré Logistics created B.Lab, an internal innovation community in 2016 in order to accelerate the digitization of the supply chain. The objective is to improve our value proposition with existing clients by creating new products, services and innovative processes in relation with the digital.

    Their flagship logistic facility Green Hub in Pioneer Turn – a 42,000 square meter Bolloré Logistics high-tech warehouse facility has achieved remarkable accolades since its launch in 2012. The integrated logistics center also serves as a regional distribution center for multinational corporations. As an eco-friendly solution to reduce CO2 emissions, the group also introduced its first hybrid shuttle in 2015. And in 2016, BlueSG, a subsidiary of the Bolloré Group, has been awarded a 10-year car-sharing contract by the Singapore government to operate a fleet of 1,000 electric cars by 2020 under the national electric vehicle (EV) car-sharing programme, a major step towards Singapore’s vision of a car-lite and an environment friendly society.

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  • Arvato scores two awards for its logistics solutions in China

    Arvato scores two awards for its logistics solutions in China

    Arvato SCM Solutions was honoured with “Best Partner” and “Service Award” by Oriflame – one of the world’s leading direct selling beauty companies. The awards recognise Arvato’s exceptional contributions in developing and executing an agile B2B and B2C domestic fulfillment system for Oriflame’s China business.

    “Oriflame’s vision has always been to be the top direct selling beauty company and China is a key growth market.” says Jason Dong, operations director at Oriflame China. “To support and further build upon our expanding network of consultants and customers, we rely on partners like Arvato that are able to innovate in its solutions and adapt swiftly to our needs.”

    Arvato was commended for the implementation of digital solutions that enhanced the efficiency and quality of its domestic fulfillment model. This includes automation of the order management process and utilisation of computerised tools such as the Pick-by-Light system; with all data integrated into one centralised IT back-end system. The result is end-to-end visibility, better accuracy and control that are critical for managing Oriflame’s wide portfolio of Swedish, nature-inspired beauty products.

    For Oriflame’s consultants and customers, the seamless flow of information allows them to track their orders in real-time via the Oriflame app, WeChat app, or Short Message Services (SMS). Because of the scalability and flexibility built into the system, Oriflame’s customers can be sure that they receive their orders timely even during extreme promotional peak periods such as during China’s annual 11.11 Global Shopping Festival. Their customer journey with Oriflame is further enhanced with an efficient returns management process through Arvato’s reverse logistics solution; and receipt of the most up-to-date promotional materials through Arvato’s value-added services.

    “The ‘Three-Year Service Award’ also marks a significant milestone in the partnership between Arvato and Oriflame,” says Li Zhang, head of the consumer products business unit at Arvato SCM Solutions China. “Over the span of three years, Arvato has expanded its services to three sites across China – Beijing, Shenzhen and Shanghai; in support of Oriflame’s rapidly growing business.”

    Arvato received both awards at Oriflame’s 2017 Summit for Service Providers.

  • UPS and SF Holding To Establish a Joint Venture

    UPS and SF Holding To Establish a Joint Venture

    UPS and SF Holding, the parent company of SF Express, today announced plans to establish a joint venture and collaborate to develop and provide international delivery services initially from China to the US, with expansion plans for other destinations. Through this agreement the parties will leverage their complementary networks, service portfolios, technologies and logistics expertise. The joint venture is subject to regulatory approval.

    UPS is the world’s largest express delivery company and a leading global supply chain integrator. SF is a market leader in express delivery in China, with extensive China-wide network coverage, comprehensive service capabilities, and the highest brand recognition in the Chinese small package market.

    “UPS is excited to form a joint venture with SF.  This joint venture will support products that provide competitive benefits to our Chinese customers who trade or seek to trade internationally,” said Ross McCullough, President of UPS Asia Pacific. “Our combined efforts will result in new logistics products and services to simplify and accelerate B2B and B2C customers’ cross-border trade.”

    The joint services offerings combine the strengths of SF’s extensive Chinese network, encompassing more than 13,000 service points in the world’s largest and fastest growing package delivery market, with UPS’s market leading globally integrated network with coverage between more than 220 countries.

    Alignment of the partners’ shipping networks will provide customers with greater coverage, additional routing options, increased capacity, and more choice in transit times and service options.  The joint venture will initially focus on supporting these highly competitive joint service offerings on the China-to-US lane, with planned expansion to markets in the rest of the world.

    “China is leading the world in terms of e-commerce market size, growth, penetration and mobile business usage[i]. Coupled with a rapidly growing and internet-savvy consumer base, it’s imperative thatSF and UPS collaborate to revolutionize the logistics sector.  Together, we aim to bring greater competitive advantages to our customers in China, to succeed globally,” said Alan Wong, Group Vice President of SF.

    The joint venture supports the creation of competitive synergies for UPS and SF through the combined scope and scale of both companies’ complementary networks.  Both companies will utilize their own assets to enhance operational effectiveness and efficiency while aligning business processes in order to provide seamless customer care for all parties shipping out of China.

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