Tag: damco

  • Damco expands Hub-In-Transit in Malaysia

    Damco expands Hub-In-Transit in Malaysia

    Damco, the global third party logistics provider, has expanded its Hub-in-Transit programme by establishing new hubs in Malaysia, United Arab Emirates and Morocco.

    Damco’s Hub-in-Transit programme allows companies to postpone their decisions on the final delivery date and final destination, by using container trans-shipment hubs as decoupling points in the supply chain.

    Anthony Elwine, Damco’s Global Head of Chemical & Industrial, explains: “Damco customers have used our Hub-in-Transit solution successfully to improve service to their customers while decreasing costs. We have now developed three additional hub locations to help them serve even more markets, and reap similar benefits.

    “Chemical sector clients have been early users of the programme, but the service is also suitable for other products, such as steels and textiles, or FMCG/CPG.”

    The service is especially of interest to companies with limited on-site storage capacity where production operations are large-scale, continuous processes. Those companies may be forced to ship their products based on assumptions about the best place and time of delivery.

    Hub-in-Transit enables the companies to make full use of carrier free-time by using strategically located trans-shipment hubs as virtual warehouses for goods.

    By doing so, the companies will be able to lower their costs-to-serve whilst increasing logistics flexibility towards their end-customers.

    Damco’s Hub-In-Transit programme:  The benefits

    • Use carrier free-time at strategically located trans-shipment hubs as a virtual warehouse for your goods
    • Increase flexibility to respond to changing customer demand by postponing your decisions on the final destination and delivery date of shipments
    • De-consolidate shipments if needed
    • Respond faster to your customers and increase your speed-to-market
    • Increase service levels as a result of more reliable point-of-destination deliveries
    • Reduce costs by eliminating the need for storage at origin or destination
    • Keep full end-to-end visibility and control of your cargo from the place of manufacturing to your end customer
  • Logistics operators intensify e-commerce focus in Thailand and China

    Logistics operators intensify e-commerce focus in Thailand and China

    Global logistics companies continue to pile into the Asia e-commerce market, with Damco launching a China solution and DHL expanding its growing presence in the region deeper into Thailand.

    DHL is building a 32,000 square foot, central distribution center in Bangkok and a network of over 20 depots located throughout Thailand to provide full coverage across the country. To meet increasing business demands, the integrator plans to more than double the number of depots in Thailand by 2017 and expand its fleet primarily in two-wheel vehicles that can operate more efficiently in the traffic situations in Thailand’s major cities.

    “The Thai e-commerce market is expected to more than triple in size to $3.93 billion between now and 2020 and with this investment, we are well positioned to support the growth of e-commerce businesses in Thailand,”  said Thomas Kipp, CEO, DHL eCommerce.

    Only 1.7 percent of total sales in Thailand were obtained from e-commerce, compared to more than 10 percent in China, said Malcolm Monteiro, CEO, Asia Pacific, DHL eCommerce.

    “We see major strategic opportunities for e-commerce growth in Thailand, particularly with the Asean Economic Community which is expected to increase the movement of goods within the region,” Monteiro said.

    “Despite e-commerce already being a billion-dollar sector with extremely rapid adoption, Thailand’s e-commerce share of the retail market is still relatively low compared to other high-growth economies.”

    Damco has focused its latest service offering in China where it is launching an end-to-end e-commerce solution, from inbound goods management and consumer order receipt to final delivery.

    Damon Gu, Damco’s head of supply chain management for Asia, said the large and rapidly growing Chinese market for online shopping was a magnet for both importers and domestic producers.

    “Online shopping events such as China Singles Day are already creating world-beating levels of activity for e-retailers locally in China, as well as globally,” he said. “Discerning Chinese consumers in this highly competitive marketplace expect the highest standards of fulfilment. This new program helps companies to guarantee that level of service.”

    Using its 1,500 local staff and 26 locations in China, Damco will arrange delivery to end-consumers in more than 1,600 Chinese cities.