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For many businesses, operating an open stores policy is deemed to be the best way of ensuring staff have the required equipment to do their job. However, when using manual counting and logging processes, it is incredibly difficult to manage how many pairs of gloves, boots or hi-vis jackets have been issued, whether they are fit for purpose and equally whether they suitably fit the individual wearing them.

While free access may seem like the best solution in providing employees with their PPE equipment and materials, in reality it presents a number of issues:
1. When freely available, people have a tendency to take more than they need as part of a ‘just in case’ scenario
2. Loss of productivity as individuals leave their role to go in search of equipment
3. No reliable documenting process – resulting in no trackable usage patterns or, traceability
4. Businesses are dependent on manual counting processes leaving room for human error

Dispensing PPE – a potential solution
Designed for dispensing PPE and other consumable items, automated vending technologies bring a wealth of opportunity to businesses by providing 24/7 access and availability to PPE and other critical items and helping to improve control and accountability throughout an organisation.

Through the simple introduction of automated dispensing processes for example, a business is able to document if and when each and every individual within an organisation collects a new piece of equipment. Time can be reduced in the search for relevant and suitable equipment, materials and supplies as access to the vending machine is controlled by the individual’s key card or a fob. Every Apex device is an internet device controlled by the Trajectory Cloud which stores the individual’s job and health and safety requirements. With the ability to log items being dispensed, intelligent automated dispensing solutions can automatically generate time and date stamped documentation – providing the employer with a clear and auditable trail of their fulfilment of legal safety requirements.

With the ability to log transactions, automated dispensing technology also provides a solution to stock replenishment issues, sending automated stock alerts and re-order notifications to suppliers, which eliminate out of stock conditions and emergency orders. As inventory quantities are maintained by the Trajectory Cloud in real time once the system has been configured there is no risk of running out of stock or ordering the wrong equipment, which in turn helps to maintain productivity and safety while reducing the costs associated with latency, ordering incorrect or last-minute supplies.

Apex Supply Chain Technologies is the only automated dispensing technology provider to date that is powered by Trajectory Cloud. These simple and elegant Connect n’ Go systems plug into a standard electrical socket, connect to the Internet via Ethernet cable, Wi-Fi or cellular connection and are ready to go. The Apex proprietary Trajectory Cloud platform provides 24/7 visibility, alerts and reporting through a browser, anytime, anywhere, allowing businesses to improve productivity, visibility, reliability and accessibility of stock and mission critical supplies and materials as well as track usage patterns and trends.

Boosting employee accountability and reducing costs are two more benefits that automated dispensing technologies and solutions can bring to the industrial working environment. Indeed, with many businesses seeking to reduce the unnecessary usage of materials – the implementation of automated dispensing solutions will help to avoid hoarding and unnecessary waste, as well as largely eliminate the need for back-up inventory. In fact, it is not uncommon to see a usage reduction of up to 30% and inventory reduction as much as 50% as a result.

Needless to say, without the effective control and management of assets, initiatives to help improve productivity and reduce costs cannot be fully realised. Automated dispensing technology is one proven solution that can help businesses to not only minimise downtime and eliminate stock-outs, but also perhaps more importantly, maintain the safety of operations and improve the accountability of a company’s health and safety policy in the process.

International logistics service provider Militzer & Münch has extended its Iran service range with a tracking and tracing service from the point of departure all the way to the consignee in Iran. Militzer & Münch started its activities in Iran over fifty years ago with transports to Iran by truck – today, the Militzer & Münch product portfolio comprises services covering the entire supply chain.

Shipments are tracked using a tool that transmits its location via the GSM cellular network. As the tool is not permanently installed, it can be used by different carriers. At this time, Militzer & Münch can monitor up to 250 trucks. Via an online tracking platform, customers can call up the status of their shipment at any time. “With the new end-to-end tracking and tracing system our logistics services have become even more transparent, and safer”, says Dr. Lothar Thoma, CEO M&M Militzer & Münch International Holding AG. “It is part of our quality standards. We accompany our customers every step of the entire supply chain – from the transport and customs clearance to warehousing and last mile distribution in Iran. This also includes the transport and storage of temperature-sensitive goods.”

In the past, Militzer & Münch transported almost 75 percent of the goods via truck, 20 percent were shipped via sea, and five percent were air freight. Militzer & Münch reckons sea freight volumes as well as road transports are going to increase. In preparation for the official lifting of the sanctions, Militzer & Münch negotiated partnerships, for instance in order to secure truck capacities for the time after the sanctions. At the moment, possibilities for rail transports from and to Iran are being examined as an additional option for customers.

“Especially the mechanical engineering sector will profit”, explains Dr. Lothar Thoma, “but we also see good chances for the automotive and the medical engineering industries. Moreover, the field of project logistics opens up new opportunities as there is pent-up demand in many sectors in Iran, such as the oil industry. Spare parts logistics in the aviation sector will also benefit from the lifting of the sanctions.”

Militzer & Münch is one of the few logistics companies that have comprehensive infrastructure in Iran. Through the PTB Group, a sister company, a staff of over 600 at 15 locations in Iran is available to Militzer & Münch. The PTB Group offers about 130,000 square meters of warehousing space, 30,000 of which are roofed. Customers store goods such as spare parts to be able to serve the Iranian market in a timely manner.

In Bandar Abbas, a port city in Southern Iran, the PTB Group uses areas in a designated free trade zone and operates a container terminal. Customers can store their goods duty free, until they are sold or on-forwarded within the country. This offer is especially interesting for the manufacturers of farm machinery or entire plants, as such voluminous goods can in future also be delivered to Bandar Abbas by RORO vessel.

European regulators have been alarmed by the disproportionate share of CO2 trucks generate despite the fact they make up only 5% of the total traffic on European roads. CO2 emissions have continued to rise since the 1990s due to increasing road freight traffic and this issue is currently being discussed by EU leaders, who are focusing on measuring and reporting fuel consumption as a first step to cap CO2 emissions from heavy-duty vehicles,to see more please click here.

Cronus Logistics, one of the most innovative supply chain companies on the Irish-UK gateway understands the importance of reducing the amount of time spent travelling on UK and Irish roads and they are ahead of the curve in establishing their linehaul services.

Cronus Logistics has created an innovative service built on realising the importance of reducing road miles, driver hours, costs and cutting CO2 emissions. Pressure to lower emissions is mounting on manufacturers. There is currently no official method to measuring CO2 emissions from heavy-duty vehicles. As a step towards enforcing regulations the European Commission is introducing a Vehicle Energy Consumption Calculation Tool (VECTO) – a computer simulation measurement system that is expected to become mandatory as of this summer.

This is meant to be the first step in regulating emissions, however there are already concerns that VECTO won’t be effective due to the fact that there are so many different trucks on the market, making the industry too complex to be measured in this way. Rather than enforcing legislation that may not work in practice, by actually reducing the amount of time travelling on roads Cronus Logistics has tackled the problem head on.

Cronus Logistics is the only Irish Sea logistics company offering a comprehensive door-to-door service for dry freight, with full control of every element of the supply chain. This culminates in a reliable, competitive and green route to market.

Cronus has recently increased their services based on this ethos utilising two dedicated gateways – Bristol to Warrenpoint and Cardiff to Dublin. By linking these four ports they can strengthen the offerings to core manufacturing sectors to offer reduced road miles, lower CO2 emissions and tailored deliveries to customer requirements, alongside maintaining an industry standard 48 hour service.

If you want a service that demonstrates green credentials and saves on costs, Cronus is the logistics solution that reduces road miles, cuts CO2 emissions and contributes to a stronger financial bottom line.

Logistics BusinessEuropean regulators have been alarmed by the disproportionate share of CO2 trucks generate despite the fact they make up only 5% of the total traffic on European roads. CO2 emissions have continued to rise since the 1990s due to increasing road freight traffic and this issue is currently being discussed by EU leaders, who are focusing on measuring and reporting fuel consumption as a first step to cap CO2 emissions from heavy-duty vehicles,to see more <a target=please click here.

Cronus Logistics, one of the most innovative supply chain companies on the Irish-UK gateway understands the importance of reducing the amount of time spent travelling on UK and Irish roads and they are ahead of the curve in establishing their linehaul services.

Cronus Logistics has created an innovative service built on realising the importance of reducing road miles, driver hours, costs and cutting CO2 emissions. Pressure to lower emissions is mounting on manufacturers. There is currently no official method to measuring CO2 emissions from heavy-duty vehicles. As a step towards enforcing regulations the European Commission is introducing a Vehicle Energy Consumption Calculation Tool (VECTO) – a computer simulation measurement system that is expected to become mandatory as of this summer.

This is meant to be the first step in regulating emissions, however there are already concerns that VECTO won’t be effective due to the fact that there are so many different trucks on the market, making the industry too complex to be measured in this way. Rather than enforcing legislation that may not work in practice, by actually reducing the amount of time travelling on roads Cronus Logistics has tackled the problem head on.

Cronus Logistics is the only Irish Sea logistics company offering a comprehensive door-to-door service for dry freight, with full control of every element of the supply chain. This culminates in a reliable, competitive and green route to market.

Cronus has recently increased their services based on this ethos utilising two dedicated gateways – Bristol to Warrenpoint and Cardiff to Dublin. By linking these four ports they can strengthen the offerings to core manufacturing sectors to offer reduced road miles, lower CO2 emissions and tailored deliveries to customer requirements, alongside maintaining an industry standard 48 hour service.

If you want a service that demonstrates green credentials and saves on costs, Cronus is the logistics solution that reduces road miles, cuts CO2 emissions and contributes to a stronger financial bottom line."/>


Kone, a global leader in the elevator and escalator industry, has presented its logistics supplier Imperial Logistics International with the golden “Supplier Excellence Certificate” for the second time in succession. Team leader Andreas Böhm (second from left in the photo) and his colleagues at the multi-user logistics centre operated by Imperial Logistics International in Herten delivered absolutely top performance last year. This provided convincing evidence for the Kone supplier quality management.

The Supplier Excellence certification is based on a comprehensive evaluation of supplier’s quality, risk and environmental management systems as well as operational performance, robustness of the service processes and the satisfaction of the Kone teams towards the collaboration with the supplier. These are verified by a Kone supplier quality management team through annual on site audits and internal surveys run twice per year.

“Supply quality and punctuality are the top priority for our customers. The recipients of spare parts need to be serviced quickly and without any problems, otherwise technical breakdowns may occur,” says Mika Turunen (on the right in the photo), Logistics Manager at Global Spare Supply at Kone. Imperial Logistics International handles several principal logistics tasks as part of the global spare parts logistics for Kone at the multi-user logistics centre in Herten, which measures 43,000 square metres; they include the complete stock management, order picking, packaging and processing shipments. Then there are the value-added services like minor installation work, assembling components and kit building and even preparing material photos for the online catalogue.

Shown in the picture are: flowers and a certificate for team leader Andreas Böhm (second from left): Mari Lempinen (Logistics Specialist Kone), Michael Korpak (site manager in Herten), Robert Jenks (Supply Chain Operations Director, Kone) and Mika Turunen (Logistics Manager, Kone/from left).

Dust, debris, dirt – the deadly 3Ds for those working environments where cleanliness is most certainly next to godliness.

In food and drink factories, cosmetics manufacturing, health-focused facilities or pharmaceutical environments, the constant drive for improved hygiene goes right alongside ever-better product purity and quality. Which means every product application within that working environment must adhere – and contribute to – the strictest demands of hygiene.

The Society of Food Hygiene and Technology notes: “Poor equipment design may lead to an unacceptable build-up of debris or by allowing untreated ingredients to accumulate to a level at which they may cross contaminate the processed food.”

Fear of contamination is a constant threat – one that could potentially cause a full-scale shutdown of an entire facility and heavy loss of reputation – so products that are fit-for-purpose, but also contribute to the hygienic demands of a facility, are essential. And in turn, those deadly 3Ds, which need constant monitoring, can be kept in check.

Add, then, to those perilous 3Ds the Food Standard Agency’s (FSA) number one hygiene problem in food manufacturing: moisture.

Wetted zones encourage bacteria, including the Contamination Alert’s most frequent unwelcome visitor, listeria. Good food and drink manufacturing practice will involve the cleaning of lines and areas for about one-third of every 24-hour cycle. Therefore, products with a water-resistant tolerance to the necessities of the wipe-down and the jet-wash are also essential.

In the past, the barriers used in sensitive environments had the potential to cause more problems than they solved. Take a steel barrier: when brand new it is strong, shiny and aesthetically pleasing. But over time it will corrode, it will flake, it will become abrasive and untidy-looking. Add a watery wash-down to the steel mix and, of course, you have a fast track to rust and a hazardous new contamination threat to a sensitive environment.

Polymer-based barriers solved the rust problem over a decade ago. They were wipe-clean, non-toxic and chemically-resistant, so boosted industries where steel barriers were almost too problematic to deal with.

The polymer barriers had instant appeal and real success. The Senior Maintenance Manager of Haribo said in 2011: “We like the hygiene aspects of the barriers as well as its strength and good looks. The metal barriers currently in use in the dispatch areas have nooks and crannies which could harbour dirt.”

But the new polymer-based barriers weren’t yet a perfect solution from a hygiene point of view. There were still some ingress points where the 3Ds could collect. There was still a possibility of water infiltrating an unsealed system. And wherever water collects inside a system it soon becomes stagnant – and a breeding ground for dangerous microorganisms.

So the secret code for barriers that could truly be called hygienic was a difficult one to crack. Hygienic facilities required an absence of ingress points, sealed joints, water resistance, a tolerance to wash-down chemicals and the wipe-down, non-toxic surfaces that did not corrode, flake or require repainting. All these factors had never before been combined into a single barrier system.

Design Engineer at A-SAFE, the inventors of the world’s first polymer-based barrier system in 2001, Tom Costello takes up the story: “Old polymer-based barriers definitely performed better than standard steel for sensitive environments, but the old-style products weren’t the ideal solution in these areas.

From our point of view, we knew we had to somehow solve the issue of dirt and debris collecting in ingress points and water infiltrating the product. So over a two-year period we developed complex hygiene seals and reduced water ingress points through the use of strategically placed rubber seals.”

The new hygienic barrier system, released in 2015, was called iFlex. Existing A-SAFE customers, such as Thomas Roh, the Occupational Safety Specialist at confectionery experts, Ritter Sport weren’t resting on their safety laurels and were highly expectant of the new system: “We highly appreciate the quality of A-SAFE products. They are easy to install and very durable. Barriers that were installed eight years ago in our transit area show no signs of erosion. This is an area with lively forklift traffic where the barriers are often hit. Since the installation of A-SAFE barriers damages are decreased in the building and at our facilities. Now we are looking forward to the new iFlex Barrier Range, of which we have heard a lot recently. Especially for us as food manufacturers, the hygiene sealing of the new barriers is particularly important.”

Since the launch of iFlex, a host of blue chip companies have benefited from the specific hygiene advantages of the system, including: United Biscuits, The Body Shop, Sainsbury’s, Nestlé, McCain Foods, Mars, L’Oreal, KP, Dr Oetker, Coca-Cola and more.

The hygienic supply chain is an ever-improving, ever more sophisticated part of food, drink and pharmaceutical logistics. Intelligent companies are constantly focusing on tweaking best practice and asking for more from their suppliers. And where hygiene is concerned, iFlex proved that any barriers can – and must – be overcome.

Efficient packaging solutions are Antalis Packaging’s main focus for those in the transport, logistics and supply chain management sectors at Multimodal 2016, Stand 819, 10-12 May, NEC Birmingham. Creating bespoke solutions for individual business requirements is core to the offering, helping to improve operational efficiency through packaging automation. Antalis Packaging provide end-to-end automated solutions from void fill and case erectors/closers, through to pallet wrappers, weighing machines and stretch films.

The stand will include live demonstrations of the latest semi-automatic Lantech stretch wrapping machinery, and case erector systems; both of which aim to reduce pack/wrap times within a warehouse environment.

Also on display with the stretch wrapper will be a weigh scale and printer, along with other examples of the equipment and materials included in Antalis Packaging’s extensive range of solutions, which are relevant to various applications across primary, secondary and tertiary packaging.

Martin Styler, Sales Director at Antalis Packaging comments: “Within logistics and supply chain management, it is vital that both packaging consumables and machinery provide effective solutions matched to suit specific requirements, as well as meeting all relevant legislation. By implementing automation into your packaging process, a more adaptable business model is possible, increasing efficiencies and reducing costs associated with damages and returns. Our various packaging experts on the stand will be available to discuss your current output, advise where you can make improvements, speed up your packaging operation and increase overall productivity and profitability.”

Since LPR, the UK division of Europe’s second largest pallet pooling provider, began to manage the pallet pool for Nestlé, it has successfully reduced production line stoppages and manufacturing downtime. Some of the popular brands transported on LPR’s instantly recognisable red pallets include Shreddies, Cheerios, Purina pet food, Nescafé and Nestlé Pure Life spring water.

Adrian Fleming, regional director of LPR UK and Ireland, said it had worked closely with Nestlé to ensure its specific needs were met.

He commented: “We were extremely pleased when, after successfully operating the pallet service for Purina Aintree for seven years and previously working with Cereal Partners, we were asked to take on the entire UK product stream 12 months ago.

“As an FCMG specialist, we’ve been able to provide the best pallets for Nestlé’s product range and have also advised it on every aspect of the logistics journey to improve efficiencies.

“The proof is in the pudding and it’s testament to the unrivalled customer service we provide that our first year has been such a success. We are looking forward to continuing to work together over the next 12 months to further improve efficiencies.”

Dave Thompson, head of supply chain at Nestlé, added: “We’ve been extremely impressed with the professionalism and the level of service provision we have received from LPR in the first year. The customer service team goes out of its way to ensure that our requirements are met and the combination of the one-way trip service and improvements to the quality of pallets used for transportation and storage of Nestlé’s goods has meant we can focus on other key areas of our business. I’ve no doubt that our relationship will go from strength to strength as we continue our partnership.”

Continued expansion saw LPR move its UK and Ireland headquarters to a new base in Studley, Warwickshire, last year. In February 2016, the Ireland team opened two new bases in Dublin and Galway. LPR’s pro-active programme of growth has also seen the company make strategic new appointments to boost its market share and the organisation now has more than 40 personnel in the UK and Ireland.

CEVA Logistics, one of the world’s leading supply chain companies, and Marangoni Commercial & Industrial Tyres, an Italian company specialising in the retreading of industrial, truck and earthmover tyres, have announced a contract spanning more than three years for the transport and distribution of products throughout the country.

Each year the contract runs, CEVA will collect all Marangoni tyres for retreading. These tyres have been pre-selected by Marangoni’s qualified staff from sites around Italy and will be brought to the tyre manufacturer’s northern Italian warehouse in Rovereto. CEVA will distribute both new and regenerated tyres to both retailers and distributors around the country.

“The decision to outsource transport to an external partner is the natural consequence of further developing our company. By appointing CEVA, Marangoni can focus its own resources on the selection of tyres and the sale of its products and services. Logistics is an essential part of our business and we believe CEVA will provide the high level of service we require,” says Brenno Benolglia, Commercial Director of Marangoni Commercial and Industrial Tyres. “CEVA’s reputation for operational excellence and flexibility gives us confidence that we can increase the quality of service to our customers and improve our reliability and speed.”

Adds CEVA’s Vice President Business Development Italy, Gioachino Figlia: “We are honored to count Marangoni among our clients and we are proud to strengthen our presence in the automotive sector following the inauguration of TyreCity. Marangoni will be better able to integrate its transport flows with its production by having reliable and guaranteed service levels combined with full traceability for both its reverse flow logistics and distribution. Our ability to offer agile and creative solutions which match the needs of this important customer will be key to this partnership.”

Port Salford National Import Centre, the UK’s first Tri-modal logistics facility, has opened with the Culina Group as its first occupier.

Great Bear Distribution, now the ambient division of the Culina Group after its acquisition last month, will be managing warehousing and distribution of a range of ambient brands from the showpiece 280,000sq ft. facility.

The new Port Salford facility will be fully branded as Great Bear and offers 45,000 pallet spaces, 30 loading doors, 30,000 sq. ft. of contract packing and 130 trailer parking spaces whilst also creating 280 jobs in the area.

“Port Salford is a truly cutting edge facility, and one that Culina Group and Great Bear are really proud to be initiating”, said Thomas Van Mourik, Culina CEO,

“This development is not just changing the dynamics of UK Transport and Logistics by dramatically improving direct supply chain routes across England and Scotland, but it’s also resulting in significant carbon emission reductions and environmental savings,”

“Port Salford is taking a revolutionary approach to logistics in the UK and it’s our great people who are going the make it a success. These are really exciting times for all of us.”


From the outset General Mills (UK/Ireland) is in situ as a Culina Group / Great Bear client. Its brands such as, Old El Paso, Green Giant, Betty Crocker, and Nature Valley, will be arriving by short sea freight from Europe, saving a significant amount of road haulage miles per year whilst at the same time providing a “future proof” solution to market trends.

Port Salford is a massive investment by Peel Ports Group, which will create 1,600,000 sq. ft. of warehousing. Its unique location will allow direct vessel access from the new Liverpool2 Terminal at the Port of Liverpool, due to open later this year.

This is all part of the bigger global plan by Peel Ports to develop Liverpool as a deep water container terminal and a key Atlantic Gateway.

ORBIS® Corporation, an international manufacturer of reusable packaging and supply chain optimisation specialist, launched the Pally® at the 2016 MODEX show. The Pally, part pallet and part dolly, transforms traditional material handling methods by seamlessly converting from mobile to static.

The Pally combines the mobility of a dolly with the functionality of a static pallet to enable new and enhanced material handling capabilities. This unique performance results in greater end-to-end supply chain versatility for increased efficiency.

“The Pally is designed to be used at every point of the supply chain,” said Mike Ludka, senior product manager, ORBIS Corporation. “It allows users to easily move goods from the truck to the retail aisle without unnecessary and costly product touches. This next-generation design makes the Pally easy to use and store.”

When mobile, the Pally quickly converts to static mode with a press of the pedal. When static, the rubber braking stabilizers ensure the Pally withstands lateral force, allowing it to be safely stored, displayed or transported. Its patented cam mechanism is designed for many activations.

The Pally comes with fully field-repairable components, such as wheel covers, pop-up locators and casters, extending product life to further reduce trip costs. The corner grips and pop-up locators keep tote loads in place and improve trailer and storage organisation and density. The optional locking handle allows the Pally to be pushed or pulled, and the contoured deck handles and lightweight structure enable ergonomic handling.

For easy warehouse integration, the Pally is designed to interface with standard material handling equipment, including 4-way fork truck* and 2-way hand truck access.

Agility has expanded its Latin America network with the addition of company-owned operations in Bogota, Medellin and Cali in Colombia.

The logistics provider’s network now includes owned operations in Brazil, Mexico, Chile, Peru and Colombia, which together account for 75% of economic activity in Latin America and the Caribbean. In addition to its owned operations, Agility has strategic partnerships with agents throughout South and Central America and the Caribbean.

Agility Colombia offers export/import services, air freight, ocean freight, inland freight, warehousing, distribution and other services. Agility Colombia is a joint venture with Navemar Group, a logistics leader in Colombia, Costa Rica, Panama and Venezuela.

“Colombia is a vibrant retail and consumer market and a supplier of important agricultural, mineral and energy commodities. With political stabilization, it has a chance to be an important bridge between South and Central America as economies in the region deepen their integration,” said Margarita Sanmartin, Country Manager of Agility Colombia. “Customers want world-class logistics and supply chain services from providers that know the country and the region.”

Francesc Casamitjana, CEO Agility Americas, said “providing consistent levels of quality and service for customers across Latin America is a key requirement for Agility. Our newly established capabilities in Colombia will provide the level of excellence required.”

While economic growth slowed in Colombia in 2015 due to the fall in commodity prices, the near future looks brighter and investments have been forecast in the next few years with the recovery of non-oil exports. According to the 2016 Agility Logistics Emerging Market Index (AEMLI), U.S. shipments to Colombia showed the most growth among the top 10 lanes analyzed in the annual report, with an 11.7% increase in 2015. The main drivers for growth were an increase in export tonnage of fresh flowers and cereals and a higher needs for cold chain solutions.

Under an exclusive agreement, XPO Logistics will continue to be responsible for the planning and execution of 100% of the transport requirements of SCC-Sociedade Central de Cervejas e Bebidas (HEINEKEN Group) until 2018. Sociedade Central de Cervejas e Bebidas produces and commercialises malt and beer products brewed and bottled at its Vialonga plant, including the line of SAGRES® alcoholic and non-alcoholic beers. The SCC portfolio includes some of the most prestigious international brands, such as the premium beer Heineken®. SCC owns an additional production facility in Vacariça where natural spring mineral waters are collected and bottled under the brands LUSO® and CRUZEIRO®, and also the distribution company NOVADIS. This is the second time that SCC has renewed its contract with XPO in Portugal since 2006.

Acting as a control tower, XPO Logistics teams are responsible for optimising SCC’s transport flows to guarantee 24-hour delivery to over 200 locations. The products move from SCC´s Portuguese production sites and logistics platforms to its retail customers and distributors, with additional direct deliveries to hypermarkets, cash-and-carry stores and other outlets. Transport reliability is critical, as volumes can exceed 28,000 loads annually (representing over 636,000 tons of products), with important seasonal peaks.

KeyPL is a pan-European collaborative transport solution exclusive to XPO Logistics that, the company says, “provides superior control and optimization of freight flows, with the goal of delivering added-value services to customers. KeyPL capabilities are fully integrated with the customer’s supply chain by skilled and dedicated teams acting as a control tower. The teams use proprietary technology to select, manage and monitor the best transport provider, mode and route for each shipment. Capabilities include the use of online real-time track and trace technology and POD management tools.”

According to XPO, KeyPL allows for better visibility and control of performance, as well as more effective planning, greater cost efficiencies in procurement and continuous improvement methodologies. Additionally, KeyPL delivers significant value through the enforcement of safety and environmental standards.

The analysis found that the value of completed M&A transactions in 2016 will pass the 2015 mark, which rose for the third consecutive year, to a total of £48 billion. Further transactions worth approximately £66 billion were announced, hitting a record level of M&A activity in the sector in 2015.

The upcoming year will remain active in terms of investments with three main trends identified as drivers, according to KPMG:
1) ASPAC will continue to attract investments as a source of new growth
ASPAC targeted acquisitions contributed to 55% of announced transaction values in 2015, and we expect this trend to continue reflecting underlying demographics, and the search for new markets. Landmark transactions announced in 2015 included: the operating concession for Kansai and Osaka Airports valued at £11.7bn; the acquisition of Australian rail and port operator Asciano for £4.3bn; and Singapore’s Neptune Orient Lines acquisition by CMA CGM for £1.4bn.

2) Asset-heavy and asset-light business model convergence in Freight & Logistics
The total value of completed Freight & Logistics M&A transactions have more than quadrupled from £7.2bn in 2013 to £31.4bn in 2015, and further transactions worth approximately £33.2n were announced during the year.

Asset-light logistics operators with advanced IT systems have, in recent years, been popular acquisition targets for large logistics providers and freight forwarders. However, we increasingly see that that “leaner” logisticians are looking for assets and (reliable) networks to supplement their services. Examples include the acquisition of US logistics company Coyote Logistics (high-tech / asset-light business model) by UPS worth £1.2bn, and the takeover of the French forwarder Norbert Dentressangle by XPO Logistics for £1.8bn.

Following the £3.3bn acquisition of TOLL Logistics by Japan Post in 2015 (which will transform the business model of the postal service operator towards a full-service logistics provider); the anticipated completion of the FedEx TNT deal (£3.1bn) will set the basis for another big year in M&A.

3) Alliancing and partnership models will continue to evolve where M&A can’t
M&A activity in the airline sector remained relatively low in 2015 (at £3.1 billion completed transactions) which is primarily because of restrictions imposed by foreign ownership restrictions and regulation. In the meantime, airlines will continue to evolve their business models and levels of co-operation towards alliancing and partnership to optimise their network, provide increase passenger choice, and pursue growth. Examples of new alliances in 2016 include the JV between Lufthansa and Singapore Airlines, and the alliance between IAG and LATAM.

James Stamp, UK head of transport at KPMG said: “We expect investment activities in the transport and logistics sector to remain high driven by the search for growth; changes in demographics and supply chain; evolution of business models; increased focus on customer proposition, and changes to the regulatory environment.

“With interest rates remaining low, returns on asset acquisitions remain attractive. We expect that further investments this year will see transactions to significantly exceed £52bn on the basis of announced transactions alone.”

Note: All figures quoted are translated from USD into GBP using an average exchange rate for 2015.