24 June, 2021

XPO provides omnichannel logistics to Electrolux France

Posted on 24 June, 2021 by Keith McKinley

XPO Logistics, a leading global provider of transportation and logistics solutions, has been awarded a multi-year contract by Electrolux Logistics SAS to manage its logistics operations in France. The agreement marks the start of Electrolux’s outsourcing strategy for distribution to its trade customers in France, after previously managing these channels in-house from its distribution centre in Marly-la-Ville (Val-d’Oise).

XPO is managing the logistics activities at the site using technology-enabled solutions integrated on its proprietary warehouse management platform. Approximately 90% of the inventory is comprised of refrigerators, washing machines and other large products, with the remainder being smaller appliances and parts. All logistics processes — receipt of goods, storage, tracking and order preparation — have been customized by XPO to deliver greater efficiencies for Electrolux.

The two companies will also partner on Electrolux’s upcoming launch of its direct-to-consumer e-commerce site this year. XPO will provide this additional fulfilment from the same 58,000sq m DC in Marly-la-Ville, which is staffed in part by 46 colleagues who transferred from Electrolux Logistics SAS.

Pierre Perron, president and chief executive officer of Electrolux France, said: “We’re confident that XPO has the expertise, scale and technology to support our growth ambitions and make our logistics a strength for our customers and our e-commerce channel. This new collaboration is at the heart of our strategy.”

Malcolm Wilson, chief executive officer of XPO Logistics Europe, said: “We’re proud that Electrolux, one of the world’s largest appliance manufacturers, has entrusted its outsourced logistics in France to XPO. Our team worked with our new colleagues at the distribution centre in Marly-la-Ville to manage a seamless transition.”

XPO’s leading capabilities in e-commerce and omnichannel logistics, including the largest outsourced e-commerce fulfilment platform in Europe, are expected to begin operating as GXO when XPO’s plan to spin off its global logistics segment in the third quarter is complete. Completion of the spin-off is subject to various conditions, and there can be no assurance that the transaction will occur or, if it does occur, of its terms or timing.

Ground broken on M25 logistics park

Posted on 24 June, 2021 by Keith McKinley

Goodman has broken ground on 338,267 sq ft of e-commerce and distribution space at Purfleet Commercial Park in Essex.

At the heart of the M25 and A13 corridors and just 16 miles from Central London, the high-specification single unit facility, Purfleet 338, offers fast connections to the national motorway network, placing 21 million consumers within a two-hour HGV drivetime with a combined purchasing power of £453 billion.

The site also sits within a thriving logistics employment base, with more than 35,000 people working in the sector and 1.6 million locals with qualifications relevant to logistics and distribution in the wider Essex area. Available for occupation from April 2022, customers will join Tesco, Unilever, DHL, Ocado and Amazon in this distribution hotspot, adjacent to J30/31 of the M25.

Goodman’s commencement of Purfleet 338 forms part of its London and South East focus, with a development pipeline of circa 3.5 million sq ft in the region. This includes a combined 477,370 sq ft at Dartford’s Crossways Commercial Park, available for occupation this summer.

George Glennie, Development Director at Goodman, said: “Perfect for those operating across e-commerce, retail and third-party logistics, where connectivity is crucial in distributing products to increasingly time sensitive consumers, Purfleet 338 will provide high-quality and well-located space with unrivalled road connections, excellent freight links and proximity to three international ports.

“With work now underway, Purfleet 338 represents Goodman’s commitment to delivering essential infrastructure for a growing industrial and logistics market, and meeting rising demand for space in strategic locations such as the South East.”

Beyond being able to service customers’ rising power needs with 4MVA of power secured, Purfleet 338 will be a highly sustainable development, delivered to a BREEAM ‘Excellent’ specification. Features include roof-mounted solar photovoltaics (PV), rainwater harvesting, infrastructure for electric vehicle fleets and smart metering, helping customers to monitor and achieve energy and cost savings.

Stuart Read, Executive Chairman at Readie Construction Ltd: “We are excited to have broken ground on this high quality, e-commerce and distribution development. This project further strengthens our excellent working relationship with Goodman. The class leading, BREEAM Excellent building which incorporates a number of health and wellbeing enhancements will be completed to Goodman’s exacting standards in April 2022.”

New approach needed to secure cold chain workforce

Posted on 24 June, 2021 by Keith McKinley

A new approach is needed to secure cold chain skills for the future and attract more young people into the industry, Cold Chain Federation President Tim Moran said at the Federation’s recent AGM. His message comes as businesses across the UK’s cold chain are experiencing a labour crunch which threatens to jeopardise the industry’s efforts to revive temperature-controlled supply chains as restrictions ease on the hospitality and food service sectors.

The Cold Chain Federation represents more than 270 companies across the UK, which store and move chilled and frozen food in temperature-controlled storage facilities and refrigerated vehicles, covering more than 500 facilities (35 million cu m of warehousing space), more than 30,000 vehicles and c.100,000 employees. The federation’s AGM took place virtually and key issues discussed included red diesel changes coming into force in 2022, the roadmap towards a net zero UK cold chain, and impacts of the post-Brexit processes for UK-EU and UK-NI trade, as well as the urgent crunch in labour availability.

Tim Moran, Regional Vice President of Lineage Logistics UK, was elected for the third time and will continue to serve as President of the Federation for the next two years. Andrew Baldwin, Managing Director of Reed Boardall’s cold storage division, was elected as Cold Chain Federation Vice President for a two-year term.

Cold Chain Federation President Tim Moran said: “We should be truly proud of what our industry and our people have achieved during this global pandemic, but the cold chain now faces another urgent challenge. As restrictions ease for our customers we need to ramp up dormant supply chains and reconfigure networks, but this is being hindered by a labour shortage.

“Lots of people’s lives have changed in the past 18 months and employees coming off furlough are deciding to retire or take time off, at the same time that many non-UK nationals are unable or reluctant to work away from home under current restrictions. These issues are exacerbated by the IR35 tax changes limiting our ability to draw on agency and sub-contract capacity.

“To ease current workforce pressures the Cold Chain Federation will work for continued common sense extensions to CPC renewals, speeding up driver testing and extending medicals, but the current situation also shows why we need to take action on longer-term cold chain skill shortage issues.

“It is time for us to come together, as an industry and with Government, to take action to attract more young people into our industry and to identify how best to invest in the cold chain skills which are already in short supply and will need to evolve for a net zero future. I have no doubt that an important part of the jigsaw will be greater recognition of driving as a skilled and valued career which should be reflected by Government in the provision of training opportunities and by cold chain customers in the provision of good driver facilities on site.

“Over the coming months the Cold Chain Federation will bring our industry together with Government to discuss the path forward for a secure, flexible and resilient cold chain workforce over the coming years and beyond.”

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