Supplychain Digital - March 2015

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How eBay is keeping up the ecommerce pace The BUSINESSFRIEND platform offers a new way for supply chain exec’s to do business Image credit: XYZ Graphics

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EDITOR’S COMMENT

Innovation that excites the March issue of Supply Chain Digital magazine. This month we have an interesting automotive supply chain feature from Eduardo Alvarez Damm, who works in Marketing and Product Development at FedEx Express. We also have a piece looking at how eBay is keeping up the pace with the HELLO AND WELCOME TO

likes of Alibaba and Amazon in the ecommerce sphere, with new elements such as the Retail Associate platform. Also on display this month is a feature on businessfriend, the innovative new networking medium which helps you stay connected to the people and professionals that matter to you the most. Last but not least, we have a new Top 10 inspecting the most insightful and useful websites for procurement specialists. A perfect read for the beginning of springtime, all be told.

Enjoy the issue!

Sam Jermy

Editor

sam.jermy@wdmgroup.com 3



CONTENTS

Features LOGISTICS

TECHNOLOGY

How eBay is keeping up the ecommerce pace

20

8

The importance and growth of global automotive logistics

SOCIAL MEDIA

TOP 10

Useful websites for procurement specialists

28 businessfriend offers a new way for supply chain execs to do business

14 5


W E

S U P P O R T T H E

L E A D E R S

s u b s e a | a c c o m m o d a t i o n | c a b l e | o ff s h o r e s e r v i c e v e s s e l s

Chartering Newbuilding Sale & Purchase Market Intelligence Consultancy / Advisory

Yo u r p a r t n e r i n o ff s h o r e s h i p b r o k i n g s e r v i c e s w w w. f e a r n l e y o ff s h o r e s u p p l y. c o m


CONTENTS

44

BT Trace

33

UNIT 45

Comarco Group

Kings Transport & Logistics

56

Company Profiles EUROPE

90

32 Unit 45 44 BT Trace

AFRICA 56 Comarco Group

CANADA 74 Southeast Stoney Trail

74 108

Southeast Stoney Trail Via Bahia

Transpesa Della Volpe

56

AUSTRALIA 90 Kings Transport & Logistics

BRAZIL 98 Transpesa Della Volpe 108 Via Bahia

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LOGISTICS

The importance and growth of global automotive logistics The strength of the automotive industry is highlighted by Eduardo Alvarez Damm, who is Marketing and Product Development at FedEx Express Writ ten by: EDUA RDO A LVA RE Z DAMM 8

November 2014


9


LOGISTICS GONE ARE THE days when complex products and all their components were made in one factory. These days, manufacturers source goods from all over the world. Cars, for example, may be inherently branded as being of one particular nationality, whereas in reality they are an eclectic international mix: leather seats from Italy, engines from Germany, moulded plastics from Asia. As the automotive industry has evolved, so have logistics

companies in order to meet changing demand and to ensure a smooth, continuous and efficient supply chain. An international customer base has become increasingly important to suppliers in recent years and those businesses which do not look abroad risk missing out on opportunities. The UK Government recently set an ambitious target of increasing exports to ÂŁ1 trillion by 2020. As one of the largest sectors, car manufacturers FedEx International Direct Distribution tailored specifically to its clients in the automotive supply chain

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March 2015


AUTOMOTIVE LOGISTICS

large and small will have a vital impact on whether or not this target is met, or indeed, surpassed. The good news is that a wealth of opportunity is now available to those who do think internationally. For that reason, businesses which produce parts for the manufacturing industry should be casting their gaze to farflung corners of the world in search of contracts. With the UK reporting the strongest export growth out of

all the EU nations, now is the time to go global and not just in established markets, but emerging ones too. As global industries become ever more connected, the need for a healthy and sustainable supply chain has become more and more relevant. The further and faster you transport, the more you need to maintain a balance between cost, simplicity and control. This is true whether you are an international manufacturer or a sole-trader which supplies components to them. Logistics providers have moved in line with this and now offer bespoke and tailored solutions to support these business’ needs, whether international or domestic. For example, at FedEx we developed FedEx International DirectDistribution to simplify the supply chain for our customers. This service allows a shipper to send multiple parts from a single origin country location, to multiple recipients in a single destination country, or in the case of the European Union (EU) multiple destination countries. Packages can be cleared through customs as a single shipment entry, creating fewer steps and obstacles, ensuring 11


LOGISTICS products arrive at each destination on time; saving time and money. In industries where the slight delay of one component could set production back significantly, it’s now possible for manufacturers to take control of their supply chains as never before. The FedEx Priority Alert service, for instance, is specifically designed for customers requiring a high degree of shipment visibility and delivery compliance for critical, high-value and time-sensitive shipments, achieved by offering advanced monitoring of the shipment and recovery features. The FedEx Priority Alert service can be combined with the SenseAware powered by FedEx service to add increased control over deliveries. SenseAware offers near-real-time visibility and the ability to collaborate and share that information with business partners. Accessed through dedicated software, shipping managers not only gain a precise location of their shipment, but also its status in terms of temperature, exposure to light, humidity, barometric pressure and shock. This adds an extra layer of efficiency and competitiveness to the supply chain. Using both 12

March 2015

‘Using both Priority Alert and SenseAware, manufacturers have ultimate control over their products, allowing them to monitor their products ensuring they arrive at their destination on time and in a goodcondition.’


AUTOMOTIVE LOGISTICS

Priority Alert and SenseAware, manufacturers have ultimate control over their products, allowing them to monitor their products ensuring they arrive at their destination on time and in a good-condition. Advances like these will continue to help manufactures in the UK reach their objectives, whether on a domestic or international level. Manufacturing has undergone some periods of uncertainty in recent years, but the future is now looking bright. Last year, UK car manufacturing rose by 1.2 percent, the best year

since 2007. Highlighting the strength of the automotive industry in Britain, the sector is only set to grow further. Increased investment from the government, coupled with everimproving supply chains has aided improvement, as evidenced by 1,500 manufacturing jobs having been reshored since 2011. The automotive industry in the UK is set to grow, and with output volumes expected to increase, logistics providers have an increasingly important role to play in supporting this progress.

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SOCIAL MEDIA

BUSINESSFRIEND offers a new way for supply chain execs to do business W R I T T E N B Y: S A M J E R M Y

14

December 2014


15


SOCIAL MEDIA If you had taken a journey from downtown Las Vegas away from the bright lights of the casinos, and ventured off the boulevard back in January, you will have found a world full of tomorrow’s technologies. The International Consumer Electronic’s Show is the world’s gathering place for all who thrive on the business of consumer technologies. It has served as the proving ground for innovators and breakthrough technologies for more than 40 years; in other words the global stage where next-generation innovations are introduced to the marketplace. We saw one platform emerge at the 2015 show, and has been widely tipped to breakthrough to be the

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March 2015

first real challenger to the much heralded LinkedIn; the product in question is called businessfriend. Businessfriend is the one-stop communications channel that helps you stay connected with the people and professionals that matter the most to you. Whether that be warehouse operatives, production line managers or managing directors. Consolidating the noise with one effective business communications platform, businessfriend launched on 6 January during the three day CES event in Las Vegas, and it promises to redefine how business is done in the supply chain sector. It has a desktop version but also the App is available to download


BUSINESSFRIEND

in the App Store & Google Play. An innovative networking medium, businessfriend acts as a business utility with a social identity. Instead of using several different applications to accomplish one goal, businessfriend allows you to seamlessly execute all business affairs in one powerful, mobile-first platform with a simple and attractive interface, allowing you to connect and share socially and professionally in a pioneering way.

Glen White, Founder and CEO of businessfriend, said: “On any given day, the typical young professional can have as many as five platforms open to get them through their day. “We offer one complete forum that enables constant connectivity for optimal business communications. One mobile app, one desktop, any device - no more juggling apps.” Key features of businessfriend include video chat, IM, and free VoIP 17


SOCIAL MEDIA calls, up to two gigabytes of free Cloud storage, Digidex contact management system, document downloading and sharing, social feed, connectivity to colleagues and peers without sharing personal contact information, easy sign-up and much more. The market is very saturated already with apps so businessfriend can provide a one-stop-shop for the things you need to do socially and for more formal communications too. It puts together the ability to discover, connect and share content on one platform. The developers call it the ‘BUSI’ platform; a business utility with a social identity and that is the trademark strapline along with the notion it is the place where professionals collaborate. It is the culmination of a lot of work putting together a completely new concept for social networking and content provision, where a social network with a unified communications platform allowing users to not only be social and see feeds of their favourite brands but also to have instant messaging, video and a digital contact management system alongside a range of other functions. CES attendees and official spokespeople reacted warmly 18 March 2015

“We’re providing one place to consolidate all of your current communications, mediums and channels into one easy to use application. You’ll never have to say ‘I didn’t get that email’ or ‘where did that document go’ again.’” -Freddie Pierce, VP of product and co-creator of the app


BUSINESSFRIEND: CONNECTING WORKING PROFESSIONALS

to the product launch, with one calling businessfriend ‘Where Facebook meets LinkedIn, with a little of Office365 sprinkled in there.’. Many more were enjoying how it allows Android and iPhone users to video-chat in one space, something previously unattainable. Freddie Pierce, Vice President of Product and co-creator of the app, said: “We like to say businessfriend is the channel for professionals who are suffering from SCS (scattered communications syndrome). “We’re providing one place to

consolidate all of your current communications, mediums and channels into one easy to use application. You’ll never have to say ‘I didn’t get that email’ or ‘where did that document go’ again.’” With unified communications, a consistent user-interface and pleasing user experience along with Cloud storage and brand new ‘Digidex’ technology, Supply Chain Digital recommends this app to any executives looking to cut out the noise, stay ahead in business and maintain valuable contacts.

19


TECHNOLOGY

How eBay is kee up the ecommerc

With 149 million active buyers globally, eBay is one of the online marketplaces so we found out how it stays ahead o Written by: SAM JERMY


eping ce pace

e world’s largest of the industry curve

21


TECHNOLOGY

EBAY ENTERPRISE HAS demonstrated how it is keeping up the ecommerce pace by announcing it secured 1,015 new client wins and 1,711 renewals and extensions with premier brands and retailers in 2014. As the leading global provider of commerce technologies, order management, fulfilment, customer care, and marketing solutions, eBay 22

March 2015

Enterprise has further strengthened its client portfolio during the past 12 months and kept pace with the likes of Amazon and Alibaba in the ecommerce industry. For example, last year eBay announced its Retail Associate platform to help retail brands better engage with their customers in stores. Now, top retailers including Nine West


S AT E L L I T E N A V I G AT I O N T E C H N O L O G Y

Retail associate platform

and Aeropostale are successfully using the platform. The platform supports a wide range of in-store activities and is built in a modular fashion to support retailers of all sizes. It is designed to replace the retail associate’s ‘little black book’ as a high tech tool that empowers brands to drive long-term engagement with shoppers and increase the value of an

average in-store order. David Geisinger, Head of Retail Business Strategy at eBay, said: “The Retail Associate Platform levels the playing field between retail associates and consumers by utilising data, mobile technology, and good old fashioned service principles to create better in-store experiences for consumers. It’s a huge opportunity for 23


TECHNOLOGY

Nine West has been using the new platform since 2014 both retailers and shoppers.” EBay stated that top retailers are using the Retail Associate platform in conjunction with the National Retail Federation’s annual expo. Aeropostale and Nine West began using the platform in stores in the fourth quarter of last year. According to the eBay white paper “From Cashier to Concierge,” 85 percent of retailers currently cannot customise a store visit due to lack of information about the customer. Retailers must be able to recognise when frequent shoppers enter their store. Among retailers surveyed by eBay, 76 percent did not know when a specific customer was in their store. Geisinger, whose team is focused on transforming how retailers engage 24

March 2015

in an omnichannel world, said: “Traditionally, when a customer enters a store and doesn’t buy, the retailer has no notion that the customer even exists. The Retail Associate Platform helps retailers capture, retain and leverage more information and function more effectively in an omnichannel shopping environment.

Magento video testimonials


HEADLINE

‘The Retail Associate Platform helps retailers capture, retain and leverage more information and function more effectively in an omnichannel shopping environment’

demand generation efforts and streamlining business operations. Elsewhere, its clients have achieved more than $1 billion in sales using its industry-leading Store Fulfilment Solutions. EBay Enterprise clients are leading their peers in local commerce by utilising store fulfilment as a competitive advantage in more than 6,500 stores representing 42 brands

Magento serves more than 240,000 retailers worldwide In 2014, key focus areas for many of eBay Enterprise clients, including Ace Hardware, Achica, Belk, British Airways, Destination XL Group, DSW, Karmaloop, and Munchkin were expanding omnichannel strategies, driving customer loyalty, strengthening

across three continents. It really was a breakthrough year for its Retail Associate platform too, with it being implemented in more than 1,500 in 2014. Magento meanwhile, which serves more than 240,000 retailers worldwide, was recognised as the 25


TECHNOLOGY

Mr. Craig Hayman has been President of eBay Enterprise business at eBay Inc since June 2014. He has more than 30 years of enterprise technology leadership including executive positions at IBM’s Industry Cloud Solutions and WebSphere businesses.

leading ecommerce platform for fast growing retailers in the 2014 Internet Retailer 500. Magento also powers 26 percent of all ecommerce sites in the Alexa one million sites list; more than any other ecommerce platform. Craig Hayman, President of eBay Enterprise, said: “With the Retail Associate platform, retailers can deliver customised shopping experiences that leverage intelligence about consumers’ habits and preferences to drive engagement and incremental sales. It’s a great example of how we are helping our clients scale and innovate at an unparalleled pace.” The Retail Associate platform will be deployed in more stores as 2015 progresses, and Women’s Wear Daily has covered the news about retailers deploying it in stores. EBay Enterprise will continue to scale this technology to additional retailers in 2015.

“With the Retail Associate platform, retailers can deliver customised shopping experiences that leverage intelligence about consumers’ habits and preferences to drive engagement and incremental sales.” - Craig Hayman, President of eBay Enterprise 26

March 2015


S AT E L L I T E N A V I G AT I O N T E C H N O L O G Y

27


TOP 10


Useful websites for

procurement specialists It can be hard to know where to look for reliable procurement resources, so we have done the work for you by summarising all the best websites, right here Written by: Sam Jermy

29


TOP 10

09 10

www.iimm.org

The Indian Institute of Materials Management (IIMM) with its Headquarters at Navi Mumbai, is the National Apex body representing a wide spectrum of professionals engaged in various facets of material management, responsible for planning, sourcing, logistics & supply chain management. It has over 8,000 members from the public and private sector and a Knowledge Bank section which is particularly useful for them and non-members. 30

March 2015

www.ism.ws

Hailing from the USA and celebrating its 100th year anniversary, the Institute of Supply Management is one of the world’s largest professional associations for procurement. It also has a pretty nifty sidebar on the homepage which tells you about all the latest supply chain events happening, in chronological order.


USEFUL WEBSITES FOR PROCUREMENT SPECIALISTS

08

www.ariba.com

Ariba is a global provider of spend management solutions, and was bought by German software maker SAP for a whopping $4.3 billion back in 2012. When you’re buying, Ariba says it will help you source and procure goods and services in ways that boost competition and compliance, saving your company money and minimising any potential risks. A solid first port of call for procurement professionals and specialists.

07

capsresearch.org

Since 1986, CAPS Research has been providing thorough, practical research for our strategic-minded corporate members and forward looking insights for the academic community as the leading non-profit supply chain research organisation. CAPS Research’s motto is ‘Not for profit. For possibility.’ and they are jointly sponsored by a business school at Arizona State University, the Institute for Supply Management, and 130 major sponsor companies. It has a transparent website where you can discover a lot of useful information. 31


TOP 10

06

www.esourcingforum.com

ESourcing Forum is a weblog edited and authored by Iasta, a global software and services provider of supply management solutions. As the name suggests, this website looks at procurement and supply topics primarily from an e-commerce perspective. Another website which is backed by a wealthy parent company. Its blend of acclaimed software and services focus on improving spend analysis, procurement intelligence, sourcing, contract management, and supplier lifecycle management.

05

www.purchasing.com

In business since 1992, this website has connected nearly 5 million users with pre-screened, qualified sellers. Its current seller network exceeds 3,500 top brands and continues to grow every year. With a history built around helping procurement officers, owners make smart buying decisions. Purchasing.com has positioned itself as an essential resource and one of the first stop in the B2B purchasing process. 32

March 2015


USEFUL WEBSITES FOR PROCUREMENT SPECIALISTS

03

www.linkedin.com

As the world’s largest professional network with 300 million members in over 200 countries and territories around the globe, LinnkedIn is a powerful tool for supply chain and procurement specialists. Once a signed-up member, you are able to join group containing otherwise unreachable experts who can become valuable contacts in your day-to-day professional life. An absolute must have for any who is serious about their career path.

04

www.spendmatters.com

Azul Partners, the parent company of Spend Matters (US), was founded in January 2004 and is headquartered in Chicago. The blog Spend Matters launched in November 2004, making it one of the first blogs and social media site in the procurement and supply chain sector. It has not aged particularly well, with an outdated homepage and user interface, but spend matters still has a slew of relevant, insightful information and is a solid top 10 entry.

33


E20001-F150-M117-V1-7600

Productive plants don’t have to run around the clock, they just have to run efficiently. Realize the potential of energy-efficient solutions more quickly siemens.com/energy-efficient-production

More than ever before, the key to efficient production lies in implementing energy-saving measures. These range from the use of energy-efficient drives to the shutdown of complex production processes. In the past, this shutdown had to be done manually, making it very time-consuming. Today, a standardized data interface ensures that power consumers can be

switched off centrally in a coordinated and risk-free manner, thus enabling plant operators to achieve energy savings of up to 80 percent during production pauses. We would be delighted to provide you with information about our portfolio of energy-efficient products, solutions and service, which will enable you to quickly achieve lasting gains in efficiency.

Answers for industry.


USEFUL WEBSITES FOR PROCUREMENT SPECIALISTS

02

https://online.contractsfinder.businesslink.gov.uk

The UK Government’s online procurement service designed for businesses especially SMEs, allows Government buyers to publish contract notices online. Contracts Finder will publish details of live opportunities, including low-value procurements worth £10,000 and more. It will also publish tender and contract documents for closed procurements, as part of the government’s transparency commitment. An invaluable site for procurement specialists, especially when lucrative contracts are hard to come 35


TOP 10

01

www.supplychaindigital.com

Well what else did you expect! We were never going to leave ourselves out of this where we? Seriously though, if you are involved in the procurement sector, Supply Chain Digital should be part of your daily read, just like a newspaper was for your parents. We provide constant updates not just on procurement, but the related sections of logistics, supply chain management, warehousing… and the industry-relevant Top 10s. Since refreshing our website back in the summer of 2014, we have gone from strength-to-strength and I was proud to be recently named as the 21st most influential person in procurement by Procurious…. obviously they listed us about 20 places too low but we’ll forgive them! We have primary sources and contacts in the procurement sectors for global brands such as Subway and Costa Coffee, and you can get your online daily briefing through Twitter too, where we have 15,000 followers engaging with us through the @SupplyChainD account. But don’t take our word for it, the numbers talk for themselves- in January 2015 we recorded 100,000 page views mostly from c-level executives in your industry.

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March 2015


USEFUL WEBSITES FOR PROCUREMENT SPECIALISTS

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Unit 45 Holds the

key to container trade Written by: Sam Jermy Produced by: Craig Daniels 39


UNIT 45

The Rotterdam based company is described as an intermodal innovator due to its groundbreaking transport solutions for 45 feet containers, and the business is continuing to experience great success as a result

40

March 2015

D

espite Unit 45 being a relatively young company, it has quickly made its mark on the container trade by obtaining numerous seven-figure contracts, such as the €30 million deal with Kazakhstan-based company KTZ Express. After its establishment in December 2002, it set a goal of making 400 dry-box units in 2013 and 600 in 2014. In the event, it has actually manufactured and distributed over 5,000 this year, surpassing all company expectations. From this point it started to develop its rental fleet in 2005, reaching the 2,500th unit in 2008 and the organisation today has an impressive 12,000 in its rental fleet and a presence in every European country, illustrating the sheer magnitude of growth the Unit 45 has experienced. Now it is garnering the interest of multinational corporations such as HP Logistics, Pfizer and Acer; mainly due to the innovative, patented container designs. Jan Koolen, Managing Direct at Unit 45, explained how containers are sold to the end-user having met specific requirements, with the livery often being in that specific company’s colours and décor application. He said: “Unit 45 is becoming ever bigger and that is because we are innovators. For example, between 2003 and 2005 we earned most of our revenue out of the dry-box units, but I can assure you we are now earning more revenue out of the newly developed products. Such as the diesel electric reefer units and curtain-sided units; so


S U P P LY C H A I N

Diesel electric reefer

there is a constant development process.� The dry-box units are usually sold after the firm has put some added value to it, whether that be through the livery or by implementing temperature controlled logistics, such as the cooling units. Normally a standard 45ft long dry-box unit is 2.5 metres wide and nine feet six inches high, but already it has some different specifications. Koolen added: “We have a diesel electric reefer unit which means you can run this electrically and by diesel. It has an integrated generator set

Loading the containers

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41


We a

Discover the world and the benefits of refrigerate


No boundaries.

are Intermodal.

The Thermo King Intermodal Units. Complete Transport Solutions. Thermo King provides ideal possibilities for intermodal refrigerated transport. Intermodal refrigerated transport involves the movement of temperature sensitive goods in a specially designed reefer box by road, sea and rail. Handling costs are reduced, as well as the risk of damage and loss. The newly launched SLXe and T-1200 Intermodal refrigeration

units are Thermo King’s dedicated products for intermodal transport. A high performance diesel engine supported by electric standby for shipboard or overnight operations make the SLXe and T-1200 Intermodal exceptionally reliable solutions for autonomous temperature management. Thermo King, it’s a great discovery!

ed transport by Thermo King - www.thermoking.com


SUPPLIER PROFILE

THERMO KING

We deliver ultimate assurance. Our quality products and services are recognized around the world for reliability, efficiency, and innovation. Our customers have peace of mind that Thermo King will keep them running at maximum capacity to grow their business. Thermo King, a brand of Ingersoll Rand, was founded in 1938 and leads the world in manufacturing and innovating transport temperature control systems for a variety of mobile applications, including trailers, truck bodies, buses, shipboard containers and rail cars. Thermo King currently has nine plants in six countries. Our customers get the same high product quality, whether we manufacture their units in Hastings, Wujiang, or Kolin. We are committed to providing products that are ecologically responsible and high performers. In addition, our people share a common commitment to prosperity through growth and international trade. Our global network reach provides service almost anywhere in the world. We offer Thermo King service at every crossroads and in every port. When the customers can’t come to us, we go to them. Thermo King supports a parts and distribution system that can deliver any of 20,000 parts, anywhere in the world, overnight. Even better than fast and efficient response to problems anywhere, is preventing them in the first place. Simulation analysis is part of our design process, so the breakdown points of parts and units are corrected in advance, not discovered in use. Our labs, the most sophisticated in the transport refrigeration industry, perform endurance testing to replicate the severe and extreme conditions in which our products perform. Website: www.thermoking.com


UNIT 45

S U P P LY C H A I N

that is one piece instead of being mounted. We developed a special floral container for the Dutch flower companies to use; it was a little bit wider and longer so it had the same internal dimensions as a trailer, and then they could load the same as other units and trailers. “Although we are dealing in containers, our competition is not necessarily the container business, it is actually road transportation. That is why we use 45ft equipment because 45ft is 13.72 metres, and all trailers on road have a 13.60 metre dimension. So you are able to put the same amount into our 45ft unit, and subsequently our containers lends itself very easily to intermodal transportation.”

“Although we are dealing in containers, our competition is not necessarily the container business, it is actually road transportation” – Jan Koolen, Managing Director

Customer satisfaction Unit 45 is maintains a high level of flexibility towards the differing needs of its customers, and Removing container from road trailer

w w w. u n i t 4 5 . c o m / u k

45


TLC The most professional container manufacturer

TLC is the first reefer

container manufacturer in China and the biggest

special container manufacturer in the world. We were established in May 1995 and total 1,800 employees.

W: www.tlc-yz.com E: sales@tonglee-reefer.com

www.clearpack.com uaesales@clearpack.com

The Clear Choice for Packaging Experts in transport logistics

Primary Packaging Secondary Packaging Case Packing and Shrink Wrapping

At A & R Haulage, no job is too far, too complicated

Palletizers

or too short notice for us to consider. We operate our own fleet of highly maintained, branded trucks 24 hours a day, 365 days of the year and deliver both

Conveyors and Turnkey Packaging

to the UK and mainland Europe, specialising in the transportation of hazardous chemicals, temperature controlled goods, and storage & distribution. Get in touch to find out how we can help you.

Phone: +44 (0)1954 710638 Email: info@arhaulage.co.uk

www.arhaulage.co.uk

Palletizer

Singapore (HQ)

China | India | Indonesia | Malaysia | Philippines | Italy Saudi Arabia | Switzerland | Thailand | UAE | Vietnam


UNIT 45

S U P P LY C H A I N

it is therefore attracting a high level of business interest. As well short-sea operators, logistics providers such as the European Container Service in Zeebrugge, road freighters, and nonvessels operators including A2B Online, the organisation is also providing practical logistical solutions for international clients. In partnership with Thermo King, Unit 45 has developed a diesel electric reefer unit with a T1200 Thermo King cooling unit under an 800 litre tank that controls containerised products at a certain designated temperature. Originally, the diesel unit was not able to be larger than 250 litres which presented a problem for the likes of YHF Logistics, KTZE and HP Logistics. It moves freight from Chongqing in China, through a Kazakh winter time that can reach under -40 degrees Celsius, then onto Russia, Belarus and Poland before reaching Germany, so it needed a year-round solution that did not involve refuelling two or three times on the 16 day journey. This is just one example why Unit 45 possesses a range of contracts ranging from €6,000 to €30 million, with most being in the €1-€5milllion bracket.

Unit 45 possesses a range of contracts ranging from

€6,000 to €30 million

Further prosperity All manufacturing and production of Unit 45 containers is completed in China, and depending on specifications it differs between two and six months to get them over to Rotterdam, so

w w w. u n i t 4 5 . c o m / u k

47


UNIT 45

On the road

48

March 2015

advance planning is needed, especially if a client wants its own logo and livery. But Kollen added: “We always have containers on stock in Rotterdam just in case a customer needs instant availability, and those containers are always in our own decors and Unit 45 specification. They are meant for the rental fleet but we could sell them as well. We are working


S U P P LY C H A I N

closely together with our three suppliers in China and we have been doing so for a long time. “We are a very small company with only eight employees. We have one person who does all the new developments and technical things, together with me. We see if there is a market for it, and look into the possibilities with engineering and factories. “We are exploring a passive refrigeration system which means that you have a kind of plate into your container and there is a substance in which you could charge. It is food approved, it is not dangerous at all and you are able to put this container on a certain temperature for a period of 12 to 18 days.” Unit 45 has developed this system together again with Thermo King, the cooling unit manufacturer. It is still in the development phase, but Koolen says if it works out it will be a revelation within the cooling industry. He also expects the temperature-controlled exports to China to provide another revenue in the coming years, as the country’s demand for high value pharmaceuticals and potato and milk products increases. “We do only have a small team, but we are talking to the HP’s, the Acer’s and Pfizer’s of this world; all big companies who are willing to use our type of innovative equipment.” concluded Koolen. On its current trajectory, Unit 45 is set to be a much larger company in the company years as more take advantage of its cutting edge container designs.

Company Information INDUSTRY

Supply Chain HEADQUARTERS

Rotterdam, The Netherlands FOUNDED

2002 EMPLOYEES

8 REVENUE

Not disclosed PRODUCTS/ SERVICES

Container units

w w w. u n i t 4 5 . c o m / u k

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BT Supply Chain Brings Enhanced Industry Expectations to the Fore Written by: Matthew Staff Produced by: Craig Daniels


51


B T S U P P LY C H A I N

One of the UK’s most familiar organisations continues to reinvent its supply chain arm as it looks to extend existing capability and services with external customers

5 2 March 2015

B

T is one of the most recognisable brands in the UK, operating successfully over the years upon a bedrock of core market facing businesses; BT Supply Chain has underpinned each of these, providing valuable experience of how supply chain can enable greater business success. Historically providing the logistical knowhow and efficiencies to help the entire organisation run as effectively and safely as possible, the team of around 850 people has long provided the supply chain planning and logistics which helps to enable BT’s market facing businesses. These are the words of Managing Director, Nicholas Hale, who was brought into his current position to steer BT Supply Chain and BT Cables towards the next stage of development. “Across each area of supply chain operations we support between 40,000 and 50,000 individual orders a day. We are responsible for supply chain planning, logistics, critical spares management and inventory performance amongst many other value-added integrated services such as staging, configuration, cable management, testing and repair, and inventory performance” he explained. “Over the past 18 months, having got that capability to critical mass, we’ve opened our doors to the external market working with target customers that like us have significant engineering field forces. We’re increasingly working with those organisations and providing similar services to them throughout our network, particularly in the UK.”


S U P P LY C H A I N

Transport network

Sustainable supply chain Replicating the internal processes to external markets required and his team to pinpoint efficiencies on a whole new level, subsequently pinpointing the key areas of service offerings that could apply across the entire spectrum of customers. This led to what Nicholas describes as a three-pronged strategy existing as part of an omnichannel supply chain model. “Our strategy can be encompassed under a rather simple statement which is used time and time again: ‘rethink what your supply chain can deliver’,” he said. “The three things which we believe are significant for external customers are working collaboratively to deliver a differentiated customer experience, transforming costs, and ensuring there is a sustained platform for

50,000

Number of orders a day for BT Supply Chain

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B T S U P P LY C H A I N

Key Personnel

Nicholas Hale Managing Director Nicolas joined BT in 2012 as Managing Director Supply Chain with a clear remit to transform the model and impact of supply chain both across BT Group and with external customer. He is responsible for supply chain strategy and operations across BT Group, a scope that includes delivery of a multi-channel supply chain to support BT’s varied B2B and B2C business. He is also Managing Director of BT Cables, a UK based manufacturer and supplier of cable products in various sectors.

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growth through capacity and capability, but also sustainability.” BT Supply Chain has subsequently made giant strides through “BT Collect”, a term it uses to describe initiates that use its own transport network to collect and transport inbound products, vastly reducing the amount of miles covered throughout the distribution process. Sterlite, a supplier of fibre cable products to BT Group, is one example of where we have been able to utilise the BT Supply Chain capabilities to provide logistics and other related services so that together we deliver additional value across the supply chain. Nicholas continued: “Within performance against the key target metrics, one of the critical aspects of our inventory management continues to be stock dimensioning, ensuring that critical spares and other high value equipment is in the right place to minimise response times to service incidents and also the distance a product needs to travel. “Engineers want spares to be 30 miles away and not 100, so customers get back online quicker while we also minimise our carbon footprint and the cost to serve in the process.” The company has so far reduced inbound response times by 52 percent, while around 30 percent of its shipments from the docks or in the UK are now arriving via its own BT Supply Chain vehicles.


“Our strategy can be encompassed under a rather simple statement which is used time and time again: ‘rethink what your supply chain can deliver’” – Nick Hale, Managing Director, BT Supply Chain and Cables

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Made in Britain. Delivered worldwide. We’ll help you expand your business overseas with a delivery network that reaches 99.6% of the world’s population. As experts at export we offer a full range of service options to 240 countries and territories worldwide. And because our delivery partners are local postal organisations we – literally – know where everyone lives, giving your business a competitive advantage overseas, with high first time delivery rates. Find out how we can help your international business grow.

parcelforce.com/export Parcelforce Worldwide and the Parcelforce Worldwide Globe Logo are trade marks of Royal Mail Group Ltd. © Royal Mail Group Ltd 2014. All rights reserved. Parcelforce Worldwide is a trading name of Royal Mail Group Ltd. Registered in England and Wales, number 4138203, registered office: 100 Victoria Embankment, London, EC4Y 0HQ. Parcelforce Worldwide is a GLS network partner.


B T S U P P LY C H A I N

S U P P LY C H A I N

These same benefits reach to the external market as well, with BT Supply Chain on hand across a wider footprint to meet needs of suppliers quicker, ensuring vast improvements are being made in regard to rapid response times, and right-first-time occurrences. BT benefits For many companies, taking a set of services, regardless of previous successes, to a new market or customer base would come engulfed in marketing and entrepreneurial challenges, but BT Supply Chain arrived on the scene with one readymade trump-card; the scale and breadth of the existing infrastructure and services need to support BT Group business. Alongside BT Supply Chain is also BT Cables, a UK based

SUPPLIER PROFILE

Lutterworth Warehouse

PARCELFORCE WORLDWIDE

As a Great British parcel company and a leading provider of express delivery services, we are proud to work with BT Supply Chain logistics as a partner, delivering their key telecoms components to meet the needs of their business customers and engineers. Our outstanding range of convenient delivery options means that we can provide flexible, secure and express delivery and collection solutions - from time critical early morning deliveries to next day and two day delivery. Our customers trust us to be the face of their brand and we pride ourselves on our reliable service and experienced people to deliver at home and abroad with a personal touch. Website: parcelforce.com/export

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B T S U P P LY C H A I N

S U P P LY C H A I N

manufacturer and supplier of cable products working with external customers across the rail, telecoms and infrastructure sectors. “To help build on each of these assets we are able to leverage many group initiatives that further support what we have set out to deliver, both for internal and external customers. There are many parts of BT which contain hugely valuable experiences and skills, such as continuous improvement and lean, so it would be foolish of us not to benefit from them,” Hale said. “We’re proud of what we’ve established and achieved as a team at BT Supply Chain. Management communities and academies that already exist within BT are also optimised within the BT Supply Chain business, while the company works alongside the Chartered Institute of Logistics and Transport as well to accredit people at various levels to aid their own and the company’s supply chain skills development.

Lutterworth Warehouse

Converged offering Through the established expertise at BT’s disposal and the successful business model that BT Supply Chain has been able to replicate across the company, consumers and external businesses, the necessity of optimising an omnichannel supply chain is being put into practice to great effect. Overseeing all channels, a BT Supply Chain control tower ensures that the service is continually managed in real time, challenged and w w w. b t s u p p l y c h a i n . c o m

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Lutterworth Warehouse

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redesigned as needed to make it as efficient, responsive and flexible as possible. Innovation is also key to this strategy, as Hale explained: “Within London, we are increasingly using public transport and our own feet to move time critical engineering spares and B2C orders around town because it’s quicker. We use a hand carry solution because, for example, the best way from Edgware Road to Canary Wharf is not in a small van, it’s on the underground. “Again, this also reduces the cost base and carbon footprint, and we’ll be rolling that out to seven cities in the UK by the end of the year.” Unique initiatives such as this are indicative of the market understanding that BT Supply Chain has, primarily providing for an increasingly demanding set of customers in all sectors, but particularly


S U P P LY C H A I N

those with an engineering field force and similar challenges to that of BT Group businesses. Hale continued: “Inconvenience’ is increasingly simply not a tolerated word. People want a huge amount of flexibility and options, and with minimised time scales.” Not necessarily constrained to just B2B or B2C customers, it is this realisation that BT Supply Chain addresses in an attempt to converge the two markets as seamlessly as possible. “I would like to be in a situation where we would no longer talk about B2B or B2C but we talk about different customer segments with different nuances of solutions or service requirements,” Hale concluded. “B2B and the supply chain has not always been dynamic enough in general and has not been thought about enough from the customer perspective that B2C always has. “Ultimately, our ambition is to be able to say that anyone who has engaged with and received a service from BT Supply Chain will have felt that it served their needs when expected, at an appropriate level of cost and with an appropriate level of insight. But beyond that we together clearly positively impacted their business strategy and performance by rethinking what the supply chain could deliver.” “Supply chains can’t be passive things and they have not had the credibility and businessbacking that they should in the past. People’s expectations are raised now though and we have a fantastic opportunity ahead.”

Company Information INDUSTRY

Supply Chain HEADQUARTERS

UK FOUNDED

2012 EMPLOYEES

1,000+ REVENUE

£100m+ PRODUCTS/ SERVICES

B2B and B2C Supply Chain

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Comarco Group: looks to m

momentum with projects in E Written by: Tom Wadlow Produced by: Richard Deane


comarco

maintain growth East Africa and beyond 63


COMARCO GROUP

This leading marine and specialised contractor is broadening its industry portfolio while continuing to deliver firstclass turnkey and standalone services from its Mombasa heartland

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he Comarco Group is expanding its industrial and geographical footprint as it looks to build on 44 years of experience in the industry. Driven by work as far as Brazil, the company has a series of exciting projects in line for 2015, which include a renewed venture in Myanmar, alongside several others outside of oil and gas, allowing it to remain flexible and active in a period of industry uncertainty. This said, Comarco is in a prime position to supply its unique services to the huge LNG projects ramping up in Mozambique, and Tanzania With continuing growth and corporate maturity, Managing Director Simon Phillips is expanding


AFRICA

Comarco Supply Base, Mombasa, Kenya

the group’s Corporate Social Responsibility (CSR) activity beyond the valuable community-driven work already underway in Kenya. “We would like to develop and foster our current growth path over the next five years, and this will mean we can boost our HSE and CSR activities,” he said. “We aim to reach the highest working practices which will have a positive impact on our work force, our customers and the community in which we work.” Mombasa Hub Key to driving further growth is The Comarco Group’s flagship supply base adjacent to the Port of Mombasa, a crucial hub of activity for both the

Comarco has grown from a 2 to 16 acre mini port since 1975

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COMARCO GROUP


COMARCO GROUP

AFRICA

company and clients, from small local operators to blue chip giants including British Gas (BG) and Anadarko. Having started out as a two-acre site in 1975, it has now grown to a 16-acre facility with is own deep water quay for clients of all sizes, able to accommodate ships up to 130 metres long. The flexibility and control offered by this service hub is an important pull factor for customers. “If, for example, a client such as BP or Anadarko have a drilling programme they will need a supply base with dedicated berthing, and we provide them with their own mini port so they can work independently of the main Port of Mombasa,” Phillips said.

“They rent the space and we provide the cranes, trucks, forklifts, people, open-air storage and jetty access, whatever they need” – Simon Phillips, Managing Director

Comarco Base in 1974

Salvage tug

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COMARCO GROUP

Marine Construction, Kenya

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“It is a private facility which means they have control over their operations and can maintain the highest HSE standards, which is critical for these companies”. “They rent the space and we provide the cranes, trucks, forklifts, manpower, open-air storage, warehousing and jetty access, whatever they need, so they can control their shore based operations and ensure they do not encounter delays on their drilling. The cost of offshore drilling


AFRICA

can be around $1 million a day so it is paramount that delays and problems do not occur.� The Comarco Group has embraced the importance of diversifying business away from oil and gas, with Mombasa also being used as a general cargo and logistics springboard for projects in and outside of East Africa. For example, the company helped to supply the World Food Programme, The Red Cross and other international agencies through its port. w w w. comarcogroup.com

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COMARCO GROUP

INFINITE SOLUTIONS FOR THE OFFSHORE INDUSTRY

Dan-Bunkering is one of the world’s leading offshore bunker suppliers with more than 30 years of experience servicing oil rigs, seismic vessels, construction vessels, cable layers, crew boats, and many other types of vessels across the world.

Even remote areas are within our reach With oil exploration moving to more remote areas, the need for flexible supply infra-structure is significant. Thanks to our experience in the offshore industry combined with a fleet of more than 30 tankers and an in-house chartering department, we can offer you unprecedented supply and storage solutions at offshore or onshore locations worldwide.

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COMARCO GROUP

AFRICA

From Mombasa and further afield, Comarco, through its several divisions (construction, marine projects, vessels and logistics), can offer clients any number of its varied marine services and is able to provide these on a full turnkey solution, or on a standalone basis with selected component parts to suit the client’s individual requirements. Marine and general contracting services include supply base management, marine construction, commercial diving services, vessel chartering and cargo haulage. However, it is The Group’s marine and specialised logistics services which differentiate it from other operators and forms the core brand of Comarco, with Instant Ports, Beach Landings,

Comarco can offer clients any number of its varied marine services

280T P&H Crane Salvage, Canda, Mozambique (2011) w w w. comarcogroup.com

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COMARCO GROUP Stevedoring at Sea, and the patented EBOS for Exposed Beaching Operations leading the service Comarco offers.

Comarco is developing an instant port for the Palma project ‘Comarco and Copenhagen-based Thorco Shipping have established a dedicated subsidiary to provide turnkey solutions for transporting any size cargo to the remotest and most challenging areas accessible by sea.’

Instant Ports In the niche field of “Instant Ports”, Comarco and Copenhagen-based Thorco Shipping have established a dedicated subsidiary to provide turnkey solutions for transporting any size cargo to the remotest and most challenging areas accessible by sea. Formed in September 2014, Instant Ports combines the expertise of both partners and can draw on a fleet of modern 5,000-20,000 DWT cargo vessels along with cargo barges, tugs, trucks, cranes, forklifts and an experienced workforce as well as the Industry Renowned EBOS. An Instant Port is ideal for oil and gas, exploration and other project-related operations that require an environmentally-friendly, rapidly deployable and removable, beach landing site, especially at remote locations in marginal sea conditions. Specific services include beach and site surveys, bathymetric and geotechnical surveys, project management and engineering, handling of local permissions and the delivery of heavy lift and out of gauge cargo. Diversifying A number of other notable projects set for 2015

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AFRICA

showcases the scope of work the company is able to carry out, keeping the project book healthy through an uncertain period for oil and gas exploration and development. A joint venture with multinational bunkering specialist Dan Bunkering has just been initiated, involving the purchase of an offshore bunkering vessel. The Comarco Pemba, 2,439 dwt, has been delivered to East Africa and is now in operation. Phillips said: “Dan Bunkering is working in East Africa to help supply the growing number of offshore projects which need fuel, together with seismic and exploration work happening up and down the

Comarco offshore vessel

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Crown Paints

HERE’S TO A COLO U RFU L PARTNERSHIP Crown Paints Kenya congratulates Comarco Group for over 40 years of hard work, dedication and extraordinary growth. We look forward to an even brighter future.


COMARCO GROUP

Size and flexibility With a versatile fleet of over 85 multipurpose vessels, Thorco Shipping is able to accommodate the diverse requirements of any project. In addition to a global presence, the size of our fleet offers our clients great flexibility, as we often have a variety of vessels to choose from for any cargo in a

Europe

Thorco Shipping A/S Tel. +45 6320 3000 europe@thorcoshipping.com

Asia

Thorco Shipping Pte. Ltd. Tel. + 65 6922 8620 singapore@thorcoshipping.com

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Exceptional Service. Personal Attention. In order to provide comprehensive solutions to multi-faceted financial services industry requirements, and to deliver a strong client-focused approach across a range of insurance products, servicing corporates medium –size businesses and individuals in South Africa and the rest of Africa, the Pogir Group consists of four separate companies: Short Term Insurance, Healthcare Solutions, Employee Benefits and Life & Advisory.

Visit us online to find out more: www.pogirgroup.co.za

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particular area. On the shore side, Thorco Shipping offers full flexibility as well. With our highly-skilled personnel and 15 offices spread across the globe, we are available around the clock and always able to deliver fast and reliable transport solutions, to clients from any time zone in the world.

North America

Thorco Shipping America Inc. Tel. +1 (281) 404 4250 usa@thorcoshipping.com

South America

Thorco Shipping Brazil Ltda. Tel. +55 213 388 0837 brazil@thorcoshipping.com


AFRICA

coastline, which this vessel can serve in addition to conventional shipping and fishing fleets.” Comarco Group has also recently invested in a dedicated salvage tug, the CSC Nelson, which at 150t BP is currently the largest of its kind operating on the eastern coast of Africa The Nelson is currently in dry dock in Durban being prepared to be used for long distance towage and salvage. Nelson will be owned and operated by Consolidated Salvage Company, a Comarco Group company. Geographically the company is also broadening its horizons, with Executive Chairman Peter Phillips, the founder of the Group, returning to Myanmar to establish a new fully incorporated unit of the business. “We have spent a lot of time in Myanmar and believe there is great potential there,” the MD

Comarco Tug

Offloading 235-ton portions, Mozambique

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COMARCO GROUP

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COMARCO GROUP

AFRICA

Comarco’s global footprint

added. “While there is the challenge of limited infrastructure, it also represents opportunities for us to get involved with development of the country and offer our services and experience.” Other markets the group has already reached include Malaysia, Singapore and Indonesia, and Malawi and West Africa are possible target destinations for this year. Giving back As the group continues to grow and have a greater impact in the communities in which it operates, Phillips hopes it can expand its CSR reach and impact.

“Our main CSR activities at the moment are in Kenya, sponsoring events, working with the community and neighbourhood to improve and upgrade the area...” – Simon Phillips, Managing Director

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COMARCO GROUP

Comarco Supply Base, Mombasa, Kenya

Comarco is working with the communtiy in Kenya

“Our main CSR activities at the moment are in Kenya, sponsoring events, working with the community and neighbourhood to improve and upgrade the area, and developing schools and paying school fees for employees who qualify through a means test,” he said. “The infrastructure and municipal resources in Kenya has been quite severely stretched in recent times due to urbanization and population growth.” Comarco teams help to remove litter and clean roads, and are also building a park so children can play safely. A pilot canteen scheme is another initiative that has been received well, providing food, water and sanitation in parts of Mombasa


Company Information INDUSTRY

AFRICA HEADQUARTERS

Mombasa , Kenya FOUNDED

1971 EMPLOYEES

450 REVENUE

Not disclosed

lacking these facilities. A new sponsoring initiative will see line managers of the 450 workers nominate the brightest company prospects, who in return for at least three years of commitment to Comarco will receive added high-quality training. Growth will be key both to Comacro Group’s commercial and social success, and Phillips is carrying positivity into the new year on the back of new lines of business being generated from Mombasa and elsewhere as in Myanmar. He concluded: “I am optimistic and believe that much of the current hesitancy surrounding industry will disappear as 2015 progresses.”

PRODUCTS/ SERVICES

Offshore Marine; Construction; Supply Chain and Logistics

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Kings Transport & Logistics

Kings Transport & Logistics Mapping Ro

Metropolitan Provider in Australia, Auckla Written by: Andrew Rossillo Produced by: Nick Ledue


oute to Most Successful

and and New Zealand


KINGS TRANSPORT & LOGISTICS

Krings Transport & Logistics Executives at the 2014 Sigma Gala Dinner.

T

he Kings Group is one of the top market leaders in the metropolitan transport and logistics market with offices across Australia in Melbourne, Sydney, Brisbane, Adelaide, Perth and Darwin as well as New Zealand in Auckland. Kings Transport & Logistics specialises in local metropolitan urgent on-demand couriers and 82

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taxi trucks, 3PL warehousing and distribution, permanent vehicle placement and company-owned equipment solutions. Kings was established with the ambition of providing the highest quality transport services. Service is paramount to their success, which has allowed them to become one of the fastest


AUSTRALIA

growing transport companies in Australia and New Zealand. “Our goal is to be the biggest and most successful metropolitan transport and logistics provider in Australia, Auckland and New Zealand,” said Kings Transport & Logistics’ Executive Director and Chief Operating Officer Aaron Cole. Among the most significant features of their business, Kings lists safety systems and processes, innovative technology and IT solutions, flexible partnership approach, blue chip experience, high level of senior management access and communication and structured account management. Kings understands that every client has their own specific requirements and expectations when it comes to their transport and logistics. Kings’ commitment to excellence and their flexible partnership approach ensures that their clients can focus their attention on their own business needs rather than spending valuable time and resources on their transport. “We work very hard to build purpose-built solutions

for our customers. One of our primary focuses is on reducing transport consumption, which delivers a reduction in the actual unit rate of the transport costs. You do have to address both, but companies have a deep desire to reduce their consumption. That is accomplished through purpose-built solutions, specific vehicle designs and looking for deficiencies within their businesses to see where the waste is. This represents some of the more significant elements that comprise our competitive advantage,” said Cole. All these elements of applying continuous improvement to the work they do for their clients naturally improves their own business as well. “We’re a very agile and flexible business, yet we’ve got the size and ability to inject capital into continuous improvement activities. That’s a really important point for where our business sits and where we’re positioning ourselves in the market. Particularly from a logisticalsolution perspective there’s a lot of work that needs to go into

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KINGS TRANSPORT & LOGISTICS managing assets and designing vehicles to specific solutions. And there’s a lot of capital that needs to go into this along with the IT and safety solutions of our various customers, continuously improving our internal systems for our offerings to our clients and harmonizing these elements along with the other programs that we have. A lot of the smaller players in the markets we play in don’t have the ability to inject capital into certain tasks. The bigger players that can inject capital tend to be slow and cumbersome businesses. Therefore, we feel that we are positioned in a sweet spot where we can do both with the ability to be agile and inject capital,” said Cole. Focus on Quality and Safety The company is proud to service a cross-range of industries, many of which are household brands. Kings is staffed with professional drivers, sales, administration and operational personnel who are focused solely on meeting their clients’ requirements. Kings

Group has a diverse fleet mix of over 1,500 subcontracted and company-owned vehicles, ranging from motorbikes to prime movers, plus an array of specialised vehicles, including power tailgates, crane trucks and an array of specialist trailing equipment. Their drivers deliver anything from a small envelope to a semi-trailer load of pallets or steel. “Everything we’re able to accomplish is underpinned by the talent and quality of the people we have in our organisation. We invest a lot of time into our people. This allows us to work on our competitive advantages in safety. We’re really strong in that area and have a terrific safety record. Our premium focus and execution of safety also proves to be a competitive advantage in promoting greater confidence for companies in deciding to work with us. In addition, we have very strong industry-leading initiatives for our learning and development processes,” said Cole. “From our perspective, when you look at industry accreditation


AUSTRALIA

and quality systems, that’s just part of business. I’d like to think that the customers we’re doing business with would have the basic expectation that we’d have those accreditation and quality systems in place. For us, we’re looking at what else we can do in regards to specific solutions that we can provide in helping to reduce transport consumption and waste for businesses and do it safely,” said Cole. “I challenge our safety and learning development area to assist the overall transport market, not just our own individual business. We look for ways to positively impact the entire industry. We want to share what we learn and develop because

we want to make the whole industry safer. There’s a real social responsibility here,” said Cole. Video SOP Among Kings’ many significant points of difference that separate them from their competitors is their comprehensives dedication to safety education, especially as it relates to their drivers. In 2013, the Kings Group took the next step within its Learning & Development Team and commenced a project to convert many of the existing safety procedures (SOPs) into high-quality video SOPs (VSOPs). Through the use of available technology and utilising a dedicated YouTube training channel, the Safety and Learning

We’ve a very strong focus on delivering absolutely everything we say we’re going to deliver. We drive efficiency, improvements, consumption and cost reductions.” – Aaron Cole, Executive Director & Chief Operating Officer

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KINGS TRANSPORT & LOGISTICS and Development Departments combined to produce role- and task-specific training on some of the key operations procedures. Since the company’s introduction of VSOPs in 2013, these videos have continued to grow throughout the business. In addition, growing client collaboration also promotes increased effectiveness and reach. “Our Video SOPs have been a really significant factor for both internal and external applications. People learn in various formats,

and this allows them to learn through visual and audio aids, promoting a more comprehensive learning experience. Video SOP has been really strong, enabling us to improve the quality of service we can offer through driver training, safety protocols and specific operational requirements. And from a customer’s perspective, we also put together customer-specific video SOPs. For example, if we’ve got a driver going to do a certain task, before they do that task, we can

Delivery

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AUSTRALIA

provide them with videos of route rides, including video of what’s happening on and off site, which helps with implementation and transitioning,” said Cole.

program: “We’ve got 26 toolbox topics that we rotate weekly throughout the year. For example, our drivers within the steel industry will be toolboxed every week on a different topic,” said Most Outstanding Contractor - Cole. The company is careful to Safety and Environment monitor this training, checking Kings doesn’t just have the for opportunities to reinforce programs, they have the proof. specific training topics as they They are the winners of the Most relate to certain times of year and Outstanding Contractor to the conditions that coincide. “As we steel industry for the ‘13/’14 year head into the Christmas season, in the safety and environment everyone’s extra busy, and category. “This comes back to our everyone’s in a rush. So, we look comprehensive safety systems, and at this particular time and see that the way the way that we audit our it’s especially important to remind internal safety systems,” said Cole. our drivers to slow down, mind In addition, Kings also conducts their safety protocols and apply auditing via external systems due diligence to their safety and through the natural process that quality checklists,” said Cole. occurs when new and existing At all times, Kings applies the customers review the company’s utmost responsibility towards systems, such as inquiries their safety policy referred to as regarding driver induction, driver Deliver Zero. This policy enforces training and ongoing refresher delivering zero injuries from both training. Kings’ strength in that inside and outside perspectives space continues to promote the regarding zero lost-time and company’s growth in the steel and zero medical injuries. “We have construction industry and beyond. a zero tolerance for anything Cole went on to discuss a that jeopardizes the safety of our cornerstone of their safety people and the public. So we w w w. k i n g s t r a n s p o r t . c o m . a u

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KINGS TRANSPORT & LOGISTICS

strongly encourage the right safety behaviours in our business, and we reward those behaviours. We do everything we can to promote and encourage safety. And we want to attract people that have the same attitude toward safety and display the same behaviour,” said Cole. From attracting top talent to improving efficiency, there is a wide range of benefits that naturally flow from maintaining such comprehensive safety 88

February 2015

measures, pervading throughout the business internally and even attracting new outside business. “Everything about safety in our business gets driven from the top down. Our Group Safety Manager reports through to me, the Director of the business. This means our safety messages come from the top. I think that’s a really important part of driving the right culture in a business. If you want to drive change or behaviors or


S U P P LY C H A I N

improve aspects of a business, it’s really got to come from the top down. These messages then carry a lot more weight. Our people really understand the priority and importance of these things in our business,” said Cole. Furthermore, these programs and processes also aided in Kings’ receipt of the commendation from the Transport and Logistics Industry Skills Council at the annual Awards for

Excellence Dinner this past April for the ‘Return on Investment in Skills Award’. “That was based on our driver induction program. Drivers have the ability to access materials via our Deliver Safe app that we created within our business. All our drivers and staff have access to our online materials and Deliver Safe app, which include driver induction information and video SOPs to make sure they’re w w w. k i n g s t r a n s p o r t . c o m . a u

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of safe behaviour. In addition, if we’re undergoing a task that we perceive has inherent risk, we’ll conduct a JSA [job safety analysis] prior to engagement of that task or contract. A lot of work goes into our processes before day one of the actual project even begins, significantly reducing the risk of injury,” said Cole.

Kings Transport & Logistics, winners of Outstanding Contractor, Safety & Environment in the steel industry

operating as they should be,” said Cole. Much of the company’s success with these programs is based on ensuring convenient, flexible and any-time access to helpful, multi-faceted information. “When we talk about reduction of lost-time injuries, we need to prevent the accident from occurring in the first place. Much of that is achieved through our culture, increased awareness and encouragement and rewarding

Custom IT Solutions From an IT perspective, Kings have an in-house IT department with the ability to custom build highly effective solutions for their customers. “The systems that we put in place, they’re not off the shelf. We listen to what the customer has to say. We’ve created our own IT platform; particularly in permanent vehicle arrangements where there’s an EDI transfer between us and the customer. We take advantage of the opportunities to improve efficiency there,” said Cole. “This includes bar-code scanning and taking photos of POD’s at delivery points. We also send out proactive alerts to customers to let them know


KINGS TRANSPORT & LOGISTICS exactly when their deliveries are coming. The point is whatever parameters or rules the customers want, we can build it into a solution that we’ve got. We really try to assist not just the experience our customer has with us, but also the experience of our customers’ customers. We feel that’s a really important part of the chain. We really work on that aspect of customer service and supply chain delivery process,” said Cole. “Oftentimes, we find that our customers want exactly what we offer from our ProTrack System. However, for example, with Sigma, a key customer of ours, we have a custom system built just for them, which is built off the back of our ProTrack system architecture, but with some significant modifications that truly suit their business,” said Cole. “As another example, we have a very reliable geo-coder in our systems. So, when the driver crosses a certain boundary, for example, 5km out from the point of delivery, an automated SMS or email is sent to the customer, indicating exactly when

AUSTRALIA

the customer can expect their delivery,” said Cole. This provides a number of benefits, including making sure the customer is there to process the delivery and ready for the fastest and most efficient delivery processing possible. Kings can customise based on distance, time, ability to deliver photo PODs, etc., to match the specific needs and wants of their customers, which tends to vary significantly between clients of different industries. “We clearly communicate what we have to offer to our clients, describe our flexibility regarding those offers, and conduct needs analyses to determine their exact needs and wants, determining how we can work together to deliver those solutions,” said Cole. Furthermore, Kings looks for partners that match their own capacity to affect positive change with agility and strength. This made partnering with Leopard Systems and Fujitsu NZ a very natural choice. “We have great relationships with both of these partners who are leaders in their field. Both are large enough to

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support the Kings business and are agile enough to develop their systems to suit our changing needs,” said King’s General Manager of IT, Andrew Baker. “Kings has always been ambitious when it comes to introducing new features and technology solutions– both Leopard and Fujitsu have helped us realise these ideas.” Leopard Systems delivers driver-based mobility/PDT 92

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software which integrates with the Fujitsu-produced TMS that Kings also uses. Leopard has also developed specific systems for Kings, including dedicated client systems for customers such as Sigma Pharmaceuticals’ On-Track system. Kings has also made significant gains through the use of Leopard’s permanent vehicle management system called Net Track. “In the past 12 months,


AUSTRALIA

confirmation at work sites as well as increased confidence of recipient and Geo-Fencing (through Google API license) with built-in notifications to send customer updates at various stages of delivery. Kings incorporates Fujitsu NZ’s TMS system called Despatch Master, which the company employs for job bookings, job despatching and monitoring, customer-based website portal for job viewing, GPS, invoice management and more. “Fujitsu also provides us with the GPS mapping for operators to track drivers. The GPS information comes from the Leopard-based Leopard has developed according driver mobility software,” said to our request to expand the Baker. Working closely with Kings mobility software to be compatible to develop custom solutions, with iOS Apple and Android Fujitsu delivers a comprehensive for smartphones and tablets, host of modifications, which enabling much quicker technology include Web Track, enabling compared to the PDT devices on customers to enter their job the market,” said Baker. Partnering number, date and city to track with Leopard has also granted their job live, available as a mobile Kings exceptional abilities such app, complete with strong privacy as: photo capture features, and security measures and EDI providing benefits such as delivery integration where Kings’ systems w w w. k i n g s t r a n s p o r t . c o m . a u

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KINGS TRANSPORT & LOGISTICS receive job orders from their customers’ systems via FTP or Web Services.

drive efficiency, improvements, consumption and cost reductions. And all of that is underpinned by the staff. We have many Factors Contributing to Steady employees who’ve been with the Growth company for a long time, bringing Among other solid factors, the a great deal of experience to the acquisition success that Kings has table. Our staff genuinely care enjoyed over the years continues about their work, our company and to help promote the steady growth our clients. They treat this business of the company. In addition, Kings like it’s their own,” said Cole. continues to not only win new Furthermore, Kings develops business but also retain those and maintains strategic clients. “In our business, our partnerships with companies to philosophy and our approach further strengthen, enhance and is that you don’t win a contract increase their client offerings. until they ask you back. We don’t “We have very strong strategic consider ourselves successful partnerships in the steel and until they roll the contract over construction industries. We work with us,” said Cole. Kings does with OneSteel, BlueScope, CSR everything within their power to and concrete pre-cast businesses. go above and behind to exceed We also have partnerships with client expectations, deliver a Sigma, Schweppes and other robust continuous improvement FMCG and retail clients. We really program and deliver customised want to grow our business along need-based solutions, preventing with the strategic companies their customers from ever feeling we’re involved with. On top of the need to open back up to the that, because we are a diversified market after their initial contract. business, we work to protect “We’ve a very strong focus on ourselves against risk from any delivering absolutely everything one vertical market. Strategically, we say we’re going to deliver. We we look at our business like a 94

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Company Information

“Our goal is to be the biggest and most successful metropolitan transport and logistics provider in Australia, Auckland and New Zealand.” – Aaron Cole, Executive Director & Chief Operating Officer

INDUSTRY

Supply Chain HEADQUARTERS

XNotting Hill Victoria, Australia FOUNDED

1991 EMPLOYEES

stock share portfolio, balancing our business over a number of different areas, featuring partnerships with a number of businesses across different industries. We’re very strong and stable because of this,” said Cole. “The ability for our business to win The Most Outstanding Contractor for Safety and Environment in the steel industry, as well as our recent achievement of The Most Outstanding Services Supplier for the Sigma Pharmaceuticals business, and our ability to confidently service both of these distinct areas with completely unique needs validates the strength of our business,” said Cole.

800 REVENUE

$190 Million PRODUCTS/ SERVICES The Kings Group are one of the top market leaders in the metropolitan transport and logistics market with offices across Australia in Melbourne, Sydney, Brisbane, Adelaide, Perth & Darwin as well as New Zealand in Auckland. They specialise in local Metropolitan Urgent on Demand Couriers and Taxi trucks, 3PL Warehousing & Distribution, Permanent Vehicle placement and Company Owned Equipment Solutions.

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The Southeast Stoney Tr

The benefits of being a P3

Garry Lamb, Southeast Stoney Trail (SEST) Project Manag discusses the final phases the project— how being a P3 pr what it will bring to the community upon completion. Written by: Lindsey Ryan Produced by: Mike Magno


rail Project

ger at Alberta Transportation, roject has been beneficial and

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SE Stoney Cranston Blvd Interchange - Photo credit to Keith Walker – Peak Experien

S

ince the 1970’s, bringing an additional road network to Calgary and Edmonton has been identified as a provincial priority. In 2003, construction of the provincial project officially began and the project has since been moving along sequentially 98

February 2015

around Calgary in four different quadrants. Starting in the west and moving to the east, the Northern half of the project is now complete and in 2009, the third quadrant of the Calgary Ring Road project, the Southeast Stoney Trail (SEST), was commenced.


SECTOR

nce Imagery

About the Trail The Southeast Stoney Trail consists of a six lane roadway which runs 25 kilometers from 17th avenue SE to just east of Macleod Trail. There are nine interchanges, 27 bridges, one road flyover and two rail flyovers. This $769M public private

partnership (P3) is the second largest highway project in Alberta. The project was awarded to Chinook Roads Partnership (a jointventure between SNC-Lavalin Inc. and Acciona S.A.) in March 2010 and being a P3 project, the designbuild contract also includes a 30 year w w w. s estproject.ca

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THE SOUTHEAST STONEY TRAIL PROJECT

SE Stoney Deerfoot Tr Interchange Area - Photo credit to Keith Walker – Peak Experience Imagery

maintenance and operation agreement. With a predicted traffic availability date of October 1, 2013, the project was only slightly behind schedule, opening on November 21st, 2013. The road has been open since then and is already improving the traffic flow in the area. “We’re seeing traffic volumes in the upwards of 50,000 vehicles per day which shows that it is a much needed project for the area because it’s being well utilized already,” explains Garry Lamb, SEST Project Manager at Alberta Transportation. Currently Stoney Trail is open to traffic, offering 70 kilometers of roadway, which is about 70% of the total project, and upon completion it will

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CANADA

offer approximately 100 kilometers of roadway. Due to the harsh winter conditions, the project is temporarily on hold but Lamb expresses that the road is proving to handle the weather well. He states, “We’ve gone through a full winter season last year and the start of winter season this year. Winter driving conditions are always challenging but I think this road is behaving well and it’s being well maintained. The public is being served appropriately by a high quality road that is operating well in both winter and summer conditions.” P3 Benefits The SEST has experienced multiple benefits from being a P3 project. The contract was signed in March 2010 and only two and a half years later by November 2013, the road was open to public traffic. According to Lamb, this is an impressively quick construction turn-around time for the size and scale of the project. Additionally, Chinook Roads Partnership’s bid of $769M was well below the estimated $1.8 billion predicted for the project. And because there is only one contractor working on the project, all risks such as weather delays or inflation are assumed by the contractor. In regards to the project’s funding, Lamb explains, “On this particular project the province has contributed over $200M during the construction phase, the federal government also contributed $100M during the construction phase and the contractor is paid the remaining costs

SE Stoney Chaparral Blvd Interchange - Photo credit to Keith Walker – Peak Experience Imagery

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SE Stoney - Deerfoot Trail Looking West - Photo credit to Keith Walker – Peak Experience Imagery 102

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in monthly payments over 30 years plus their operation and maintenance costs over the 30 years.” Community Improvement While it’s almost impossible to receive a positive response from everyone in the community surrounding a project, Lamb is proud to report that a majority of the Calgary citizens are happy with what the SEST means for the community. Opening the SEST has certainly reduced congestion and improved traffic flow in the area for both individual and commercial users. “We’re pleased that the road is open and its being well used by the public. That’s a sign of success in our world; it’s obviously meeting a need and its operating safely.” Additionally, an Environmental Management System (EMS) has been implemented to manage the potential impact the SEST will have on the environment. There have been written procedures and regulatory requirements that have been met to ensure the protection of the wildlife surrounding the project.

Company Information INDUSTRY

Construction HEADQUARTERS

Calgary, Alberta, Canada FOUNDED

2003

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TRANSPES Borde

Focusing efforts on t


SA DELLA VOLPE ers without limits

n safety and quality of its operations, the company specializes in transporting and moving heavy shipments throughout the globe Written by: Flรกvia Brancato Produced by: Sergio Ambrosino 105


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D Traler axles

Turbine unloading

“Between January 2012 and December 2014, Transpesa moved over 112,657 tons of super heavy cargo without any severe accident or serious damage to the client’s equity” – Commercial Director of Transpesa Della Volpe, Raphael Boaventura 106

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uring expansion of the energy sector, mainly the implementation of hydroelectric, thermoelectric, steel and petrochemical plants and industrial complexes in Brazil, for over 50 years Transpesa has been operating in the procurement of road transport in exceptional indivisible cargo. Specialized in the transport and mobility of heavy and super heavy cargo up to 500 tons (on highways) and above 1500 tons (in internal movements), from the start of the 1980s the company has been considered one of the major heavy cargo transport companies in Latin America. In 1985, the company expanded its operations to the five continents, and began posting representatives in the main ports of the Americas, Europe, Asia and Africa, together with “Turn-key” operations for its clients. Transpesa has one of the largest fleets of transporters for super heavy cargo such as gondolas, beams and especially modular axial lines with a capacity of 45 tons per axis. PROJECTS From its foundation, the company has participated in the country’s largest infrastructure projects. Among these we can highlight the HEP Tucurui, HEP Itaipu, TEP Rio de Janeiro, TEP Norte Fluminense, TEP Bahia, TEP Fortaleza, among others. Meanwhile abroad, some projects conducted by Transpesa include Ralco, in Chile; La miel, in Colombia; and Caruach, in Venezuela.


BRAZIL

Recently also other large scale and complexity projects were conducted, including multimodal transport, as is the case of the CPTM projects and the São Paulo metro, where 780 passenger cars were transported in the modular hydraulic axis line for the CAF client. Another event worth mentioning is the EI Madeira Project which included both the transportation of equipment by road, sea and river in national territory, and unloading and placement operations at the base of all units. The proud Commercial Director of Transpesa Della Volpe, Raphael Boaventura, quotes various other procedures conducted by the group: “We also conduct locomotive engine, router and rail attachment transport; the

198 tons traler leaving Ceasa Port – Manaus, AM w w w. t r a n s p e s a . c o m

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assembly of various ceramics plants including dam verticalization; as well as transformer transport by sea and road.” OPERATIONS In a sector with a high risk of accidents due to the complexity of transport and cargo handling, one of the main benefits offered by Transpesa is a low rate of claims, because of the company focus on the safety of its employees and that of the transported parts. The Commercial Director states that the number of accidents is very low in relation to the volume of cargo transported. “Between January 2012 and December 2014, Transpesa moved over 112,657 tons of super heavy cargo without any severe accident or serious damage to the client’s equity,” he explains.

Water transport - Prates IV ferry with one turbine and one generator arriving in Ceasa Port, Manaus - AM w w w. t r a n s p e s a . c o m

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Transformers road transportation from Santos (SP) to Araraquara (SP)

The evidence for quality and good results of the company was obtaining the ISO 9001-2000 certificate, which motivated the company even more to continue investing in the improvement of its processes and in keeping strategic 110

February 2015


BRAZIL

collaborators and partners. Since the implementation of the quality management system (applied and managed by employees trained by the company), the institution is committed to the continuous improvement of its processes, always seeking to achieve the fastest possible customer service with safety, apart from the higher profitability of processes. w w w. t r a n s p e s a . c o m

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GOLDHOFER HEAVY-DUTY MODULES

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NEW BUSINESSES Transpesa continuously invests in light of the growth of the special cargo market with a focus on the Energy Sector (Hydroelectric, Thermoelectric and Wind Energy) and in the Oil and Gas market which are showing considerable businesses promise. With regard to growth forecasts, Boaventura is adamant: “the growth trend for the next three years is based on wind energy (transformers for wind farms and transmission lines). To a smaller extent, but also with great opportunities, we have large hydroelectric projects such as Tapajós and its transmission lines”. In terms of technology and investment related to fleet management, the company developed specific software for controlling its operations. With regard to equipment, there are continuous investments being made in STHP/SL hydraulic modular sets with a capacity of 45 tons/axis. 112

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BRAZIL

Company Information INDUSTRY

Heavy transport and cargo handling of heavy duty HEADQUARTERS

Itaquaquecetuba, São Paulo - Brazil E S TA B L I S H E D

1963 PRODUCTS / SEVICES

Heavy transport by road, sea and inland waterway and lifting loads

When I ask: what about the future? Boaventura answers that: “we plan to double revenue from 2014 to 2017, maintaining a growth of 5 to 10 percent in the years 2018 and 2019. The main challenge in the sector is overcoming the crisis the country is experiencing in 2014 and in early 2015. Due to this factor, Transpesa has sought to work on a smaller number of projects, which are nevertheless projects of higher profitability and lower risk, since any failure during the crisis period may be crucial to the survival of the business.”

MANAGEMENT

Maria Cristina Zuppardo: Financial Administrative Director Antonio Carlos Zuppardo: Operacional Director Raphael Boaventura: Commercial Director

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VIA BAHIA:

A COMPANY TO WATCH AMONG THE THREE LARGEST HIGHWAY CONCESSIONARIES IN BRAZIL Adopting standards of quality, safety and comfort, the group is a reference for road management in the Northeast

Written by: Flavia Brancato | Produced by: Sergio Ambrosino 115


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A

long with the mission of guaranteeing the top quality of infrastructure and services along the highways under concession, maintaining environmental awareness, maintaining an excellent relationship with users and collaborators, and meeting the expectations of its shareholders, VIABAHIA works as a stock company, created by two strong companies with extensive experience in highways and heavy engineering: the Spanish firm Isolux Corsán Concessiones S.A. (70 percent share) and the Brazilian company Infravix Participações Ltda. (30 percent share). Considered one of the three largest road concessionaires in terms of size (680,6 km), VIABAHIA has managed, since October 2009, the stretch of BR 324 – between Salvador and Feira de Santana – and the section of BR 116, between Feira de Santana and the state line with Minas Gerais. The roads management includes provision of public services and conducting

BR-116, km 432 116

February 2015


BRAZIL

Recovery work (before and after)

BR-116, km 658,2

works, covering the implementation of recovery, maintenance, surveillance, conservation, and operations services, together with highway expansions and improvements, as was presented in the Highway Exploitation Program – PER. CHALLENGES AND SAFETY Characterized as one of the most difficult concessions in terms of management from over 50 Highway Concessions in Brazil (including Federal and State concessions) VIABAHIA is always on the lookout for safety and quality. The CEO, Engineer José Carlos Navas believes that, in addition to the large volume of works to be performed, the cultural issue of this region of Brazil also is a challenge for the process in its entirety. “In addition to having the largest expanse of single carriageway highways with a provision

BR-116, km 431,6 Before and after

BR-116, km 757,5 Before and after

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BR-116, km 428,4 after work was done. Bridge over JacuĂ­pe river.

of duplicating these in their entire length (520 kilometers), levying charges for provided services, conducted through toll collecting from users, is still a novelty. Truth be told, the Highway Concession program is still a rarity in the North and Northeast regions of the country,� he explains. Apart from complying with the obligations established in the Concession Agreement, whose benefit is providing adequate conditions of comfort, fluidity and safety for its users, another fundamental objective of the concessionaire is reducing the number of registered accidents, especially those more severe accidents which result in victims (especially fatal accidents). Within the works aimed at reducing accidents, apart from successive educational campaigns, other prominent examples include the construction of 37 pedestrian crossing bridges, distributed throughout the entire length of the concession; the installation of concrete barriers and lighting along the central strip of the BR-324 highway; the installation w w w. v i a b a h i a s a . c o m . b r

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BR-116, km 444,3

of metal fenders in the remaining recommended points as per Norm ABNT NBR 15486/2007; and the already finalized installation of electronic speed controllers in the entire System, aimed at reducing the excessive speeds which are responsible for the majority of the reported accidents. Above all, the CEO stresses the positive results of all these important actions. “There was a 15 percent reduction in fatalities in 2012 as compared to 2011 and 26 percent in the number of fatalities for 2013 compared to 2012. All this because of the quick service provided by rescue and pre-hospital care teams, plus all the

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BRAZIL

BR-116, km 428,7

improvements to the road conditions,” he said. INTEGRATED MANAGEMENT SYSTEM - SGI VIABAHIA was approved by Germanischer Lloyd – GL (the Certifying Organization Accredited by INMETRO) for the certification of its Integrated Management System (IMS) – Quality and Natural Environment, in accordance with ISO 9001/2008 and ISO 14001/2004 in the management of operations on its concession highways, through the user support systems (light and heavy winch, traffic inspection, tank trucks, trucks for animal removal, rescue and pre-hospital care, ICU, toll, monitoring highways, engineering, road maintenance and road safety). w w w. v i a b a h i a s a . c o m . b r

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Operational Control Center

“This system is unheard of in Bahia and, apart from recycling of 1.5 to 2.5 kilometers of asphalt per day, reduces the extraction of natural resources” – CEO, Engineer José Carlos Navas 122

February 2015

From its founding, the company uses its IMS in order to guarantee the quality of the infrastructure and services. Furthermore, the company seeks to be the reference in road management of the Northeast, through the modernization of highways under its concession, the protection of the environment, and adopting quality, safety and comfort standards which address the interests of the related parties. Regarding the application of the rules dealing


BRAZIL

with environmental quality management, safety, occupational and social responsibility systems the following programs have been established: change management; training, awareness and competence; document and data control; surveillance, conformity measurement and assessment; nonconformities, corrective and preventive actions, among others. TECHNOLOGY, PROJECTS AND THE NATURAL ENVIRONMENT Continuing with the structural recovery services of the surfaces on highways BR-324 and BR-116, from October 2014, VIABAHIA has used the process of recycling asphalt paving. The method used in this stage of w w w. v i a b a h i a s a . c o m . b r

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CEO, Engineer José Carlos Navas

“There was a 15% reduction in fatalities in 2012 as compared to 2011 and 26% in the number of fatalities for 2013 compared to 2012” – CEO, Engineer José Carlos Navas

Recovery work BR-116, km 907,9 124

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works consists of partial or total reutilization of existing materials in the redressing and/or base of the highways with the use of modern millingrecycling machines or recycling stabilizers. “For the realization of this service, VIABAHIA


BRAZIL

uses an 80 meter long machine which weighs approximately 110 tons. This system is unheard of in Bahia and, apart from recycling of 1.5 to 2.5 kilometers of asphalt per day, reduces the extraction of natural resources,” Navas explains. The equipment has the capacity to process up to 500 tons of recycled material per hour and it takes over 30 people to operate. The use of this method aims to minimize environmental impacts which result from traditional paving techniques and to improve the asphalt’s durability. The main development which can be highlighted during these first five years of the Highway Concessions is the duplication of 76 kilometer stretch of the BR-116 highway. Out of this length, 63 km have already been finished and delivered for normal traffic circulation. The remaining 13 km are waiting legal decisions which will allow restarting the works. Altogether, the investment works are worth around R$300 million. Navas confirms that the company’s plans for the next five years include as a main objective the continuation of the duplication process on highway BR-116. “Our investment is based on the Highway Exploitation Program, used as the basis for the Concession Agreement. The main focus of VIABAHIA investment is the continuous improvement of services provided to highway users. Investment in 2014 exceed R$ 330 million,” the CEO concluded.

Company Information INDUSTRY

Road management HEADQUARTERS

Salvador, Bahia - Brazil E S TA B L I S H E D

2009 EMPLOYEES

800 PRODUCTS/ SERVICES

Road management, works and services to users MANAGEMENT

José Carlos Navas Fernandes: CEO Pedro Achkar de Mendonça Pinto: Associate Director

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