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Category: Uncategorised

Modern Warehouse Space Meets Local Demand

Posted on by David Priestman

St. Modwen Logistics, one of the UK’s leading logistics developers and managers and a Blackstone portfolio company, has announced today that two local businesses have committed to a total of 62,000 sq.ft of modern warehouse space at St. Modwen Park Broomhall in Worcester, significantly expanding their operations in the area.

OBEX Protection, which manufactures and distributes protective construction solutions, has agreed to lease 47,000 sq.ft at the Park. OBEX, which will retain a 27,000 sq.ft base of operations at St. Modwen’s nearby Nunnery Park scheme, is taking this additional space to increase its manufacturing and distribution operations in response to a rapid growth in demand for its products in recent years.

Automotive and tech distribution company Nemesis is also following suit and will almost double its footprint with St. Modwen by signing for 15,000 sq ft of space at SMP Broomhall whilst retaining its 19,000 sq ft unit at Nunnery Way.

Planning permission for the third and final phase of development has also been secured with the construction of two units – 40,000 sq.ft and 32,000 sq.ft – set to begin later this summer. The development will create 95 jobs across a diverse range of employment types and has been supported by local employment groups including Worcestershire Education Business Partnership and the LEP Skills team.

Situated on the southern outskirts of Worcester, St. Modwen Park Broomhall is located just one mile from Junction 7 of the M5, which provides easy access to the wider Midlands, the South West and South Wales, as well as the wider national infrastructure networks. The Park benefits from a strong workforce catchment located within five miles of the site and has been delivered in line with St. Modwen’s ‘Swan Standard’ of sustainable development, benefiting from an EPC A rating and EV car charging provision, and achieving net zero embedded carbon.

Peter Davies, Development Director at St. Modwen Logistics, commented: “Supporting customers and helping them to grow is the cornerstone of our business and so we were naturally delighted when both OBEX and Nemesis asked us to support them again with their expansions. It’s fantastic to see two local businesses growing in this way, and even better that they are able to remain in the local area as a result of our development at St. Modwen Park Broomhall.

Rob Francis, Director, OBEX Protection, said: “Following a period of rapid growth, we are excited to announce an expansion into a new 47,000 sq.ft unit which will provide crucial support for our operations. It was important for us to remain in Worcester where the company was founded and having worked closely with St. Modwen since July 2020 we had no hesitations about agreeing a deal to move in to St. Modwen Park Broomhall.”

Chris Chance, CEO at Nemesis, added: “There is a dearth of modern, high-quality warehouse space in the area that supports our long-term sustainability goals. We are very pleased to a have secured new premises at Broomhall which will allow us to maintain our trajectory and attract the staff we need.”

St. Modwen is a property developer owned by Blackstone focused on logistics and housebuilding. St. Modwen Logistics develops and manages urban and big box warehouses for customers including global logistics and e-commerce organisations as well as significant national and regional enterprises.

Configuring Drive Systems to Customer Requirements

Posted on by Keith McKinley

With the modular system, NORD DRIVESYSTEMS, as a full-service supplier in drive technology, offers a wide portfolio of drive components that can be individually combined. The company places particular emphasis on energy efficiency, version reduction and the Total Cost of Ownership (TCO).

NORD DRIVESYSTEMS supplies its customers from more than 100 industries with optimally matched drive systems that are precisely adapted to their individual requirements. The company is one of the leading international full-service suppliers of drive systems and develops and manufactures gear units, motors and drive electronics. The portfolio includes gear units for torques from 10 Nm up to more than 282 kNm, electric motors for power ranges from 0.12 to 1,000 kW and frequency inverters up to 160 kW.

Configurable for any application

With the modular system, drive systems can be combined individually for almost any application – this guarantees solutions which are perfectly tailored to the customer’s requirements. The competent Nord consultants develop tailored concepts that can be optimised with regard to energy efficiency, version reduction and the Total Cost of Ownership (TCO). Users can also configure their drive components online, using the product configurator.

Nord’s production is characterised by a high degree of vertical integration: All quality-determining components are produced at and manufactured in Nord’s own factories. The international production capacities and a network of local subsidiaries in 36 countries ensure a reliable and short-term worldwide supply with service support and spare parts.

Familiar with customer industries

NORD supplies efficient drive solutions for more than 100 industries and is very familiar with their specific requirements. For intralogistics and warehousing, for example, the drive specialist has just defined industry-specific optimised solutions. These solution variants are called LogiDrive and – depending on the required application – are offered in a basic and an advanced version.

The patented DuoDrive geared motor is recommend for applications in the food or beverage industry as well as in the pharmaceutical sector. An efficient IE5+ synchronous motor, which tops the highest defined efficiency class IE5, is integrated into a single-stage helical gear unit – which not only allows for a compact installation space but also ensures high system efficiency.

How to Unlock Value of Data-driven Logistics

Posted on by David Priestman

The ability to tap into data is critical to business success – from predicting sales trends to improving operations and customer service, writes Stephan Sieber (pictured), CEO at Transporeon. This gives companies the insights they need to outperform the competition, and today’s business leaders clearly recognise the value of data.

However, these game-changing insights are elusive for many companies, with 58% of organisations basing at least half of their regular business decisions on gut feel rather than on data and information. ‘Laggard’ companies base 70% of their decisions on gut feel, while ‘best-in-class’ companies base 60% of their decisions on relevant information.

In the logistics industry specifically, the ripple effects of the last few years – and the ongoing recovery – across supply chain processes have clearly revealed the urgent need for organisations to embrace a data-driven culture. It’s not enough to just have access to data. Data must become a central component of logistics operations, built into the fabric of the business.

The journey to being data driven

Aside from the cultural shift required, one of the biggest industry challenges associated with data-based decision making has been aggregating data from many disparate systems. Logistics practitioners highlight this as the biggest factor inhibiting their ability to convert data into actionable insights, followed by a lack of trained analysts and poor data quality.

The good news is that supply chain businesses recognise the need to leverage real-time data across their operations. And as a result, having accurate ETAs on transports is essential to managing supply chains and operations more efficiently. However, there’s a significant difference between just seeing what’s happening and being able to instantaneously use that information in an impactful way.

This is where a modern transportation management platform comes into play. Integrating different elements of the supply chain into an intelligent platform will serve as the backbone for data-driven decision making in large transportation networks. This approach can also connect shippers, carriers, logistics service providers and other stakeholders, enabling them to communicate, share data, and make smarter decisions based on a larger pool of data.

The more stakeholders that participate in the network, the more data that can be generated and analysed to deliver business value – from optimising loading and unloading through smart slot management, to scaling operations and cutting emissions. So, in 2023 and beyond, how do businesses get the most out of their transportation management data and transform their operations like never before?

Unlocking data value

The power of bringing key services and tools together in one comprehensive platform is that it delivers insights along the 360-degree lifecycle of a freight transaction. Having access to this data can provide several benefits, such as the ability to analyse market performance. With multiple stakeholders connected to a single platform, processing millions of real-time transactions annually, a network-based transportation management platform can help businesses benchmark their performance against the market.

Businesses must contextualise the data being collected by aligning it with clearly defined Key Performance Indicators (KPIs) linked to desired outcomes and business objectives. In the transportation realm, common KPIs include on-time delivery, on-time arrival, transportation spend by mode, lead times, and tender acceptance rate. These KPIs can then be compared to external network-wide benchmarks to help organisations see how they are performing relative to the market.

But the true value of being data-driven comes when businesses layer artificial intelligence, machine learning and visualisation tools on top of the data. This unlocks new insights about the businesses’ operations and generates recommendations on how to strive forward smarter. This could include: monitoring industry-wide freight spend and tender rates to optimise their freight procurement process; using AI-powered smart tendering to enable autonomous tendering; or analysing network-wide capacity information to reduce empty miles.

By choosing a modern, intelligent transportation management platform as the foundation of a connected network that prioritises real-time data, companies can unlock the insights that help them reduce costs and carbon emissions while improving service, mitigating risks, and much more. They can finally make smarter decisions based on actual data, not gut feeling.

Map of Country-specific Supply Chain Regulations

Posted on by David Priestman

As new supply chain due diligence regulations – such as the EU’s Corporate Social Responsibility Directive – continue to evolve, global businesses face the challenge of staying up-to-date with regional legislation and the implications for their operations.

In response, LRQA, a leading global assurance partner, has published an online Responsible Sourcing Regulation Map. Featuring real-time updates on active and upcoming legislation, this interactive tool provides a comprehensive breakdown of the most significant supply chain due diligence regulations impacting businesses worldwide.

Kevin Franklin, LRQA Advisory Managing Director, said: “Navigating global supply chain compliance is an increasingly complex endeavour but becoming all the more urgent as a result of powerful new legislation, particularly in the EU and US. Our Responsible Sourcing Regulation Map offers a clear view into the intricate web of supply chain due diligence regulations. It will serve as a vital tool for business leaders and senior management, enabling them to make informed operational decisions while remaining fully aware and compliant with diverse, fast-changing regulations across nations.”

LRQA’s map shows the due diligence landscape in at least 18 countries, highlighting nearly 30 regulations that are either in effect or proposed. The trend is expected to continue growing in the future, as evidenced by at least 22 of these measures being either proposed or enacted in the past two years alone.

These regulations are specifically related to supply chain due diligence and understanding and complying with these laws are crucial for sustainable growth and success. Interestingly, countries that have weaker due diligence laws such as the USA, China, India, Brazil and Mexico have been found to be at a higher risk for supply chain violations. Without learning about these complexities, businesses can potentially and unknowingly put themselves at risk for a plethora of environmental and labour violations.

In an uncertain geopolitical environment, disrupted by events such as the Russia / Ukraine conflict, LRQA’s map empowers organizations to transition from traditional sourcing practices to ethical and responsible ones. With new suppliers increasingly sought at short notice, the map can help to safeguard against risk from the dynamic regulatory landscape.

Complete or Phased Approach to Warehouse Automation?

Posted on by David Priestman

With labour hard to find and performance at peak under scrutiny, businesses may be tempted to opt for a complete, turnkey warehouse automation project to solve all their problems in one move. But might a stepped approach make more sense? Dan Migliozzi, Head of Sales at independent systems integrator, Invar Group, considers the options.

There can be little doubt that automation is the future for all but the smallest of warehouse operations. New affordable technologies are now within reach of most small to medium sized businesses (SMEs) and these technologies, often involving robotics and AI, are transforming performance across intralogistics processes.

Driven by poor labour availability and increasing customer demands, many businesses will be thinking about a comprehensive review of their operations, and may be tempted to go for a full turnkey approach – introducing a whole raft of systems at the same time. However, whilst this may be appropriate for some companies, others may be exposing themselves to unnecessary levels of risk, and a more considered approach could yield greater gains.

For a major corporation with the luxury of multiple warehouses or distribution centres, and facing challenges or changes to their current operational model, it may be practical, even desirable, to take facilities off-line one by one and rebuild them. For smaller businesses though, this could be a highly risky strategy and may be unviable – a considered, step-by-step approach to the end goal of significant automation may be preferable, both financially and operationally.

Financial benefits

Financially, moving towards automation in planned stages limits the need for often significant up-front capital expenditure, a particular concern for start-ups and other companies in a phase of rapid growth when other demands on working capital can be considerable. A stepped approach that quickly takes advantage of ‘low hanging fruit’ can achieve an early Return on Investment and bring many other benefits – potentially helping to fund subsequent phases of automation.

But even if capital funding isn’t an issue, the risks of an ‘all-in’ approach are significant. Some degree of disruption is inevitable during installation, and even with the most careful planning, highest quality equipment and dedicated vendors and integrators, it’s rare for everything to work straight out of the box. The risk of a major delay or disruption could have a far-reaching impact on the business and may lead to lost sales and reputational damage.

A further consideration is, with a complete turnkey approach it’s usually not possible to revert to the old ways of working while the fixes are actioned. There is no redundancy in this situation.
So rather than playing with the entire operation in a giant sandbox, better by far to identify and address the most urgent or compelling challenges and opportunities as they arise. That way, processes can be better defined and understood, employees at all levels trained and other necessary capabilities – maintenance, for example – built up at a manageable pace.

Planning a phased migration

‘Step-by-step’, however, does not mean ‘piecemeal’. The planning for a stepped migration to more automated operations is just the same as it would be for a turnkey project – indeed the ultimate goals will be just the same – it’s merely a question of how to get there.

Firstly, and obviously, the company needs to know its objectives and requirements. Is automation needed because the business is in, or is anticipating, a period of rapid growth? Growth is good, but for many companies, perhaps in a mature or niche market, higher volumes and throughputs may not be the issue – greater efficiencies, lower costs and perhaps particularly better use of scarce labour may be the imperatives.

The company needs to map and understand its processes from cradle to grave, including processes which are unlikely to be directly addressed by automation. Where are the biggest wins, the greatest challenges, the most acute pain points? Address these first – paradoxically, trying to optimise a process that you know to be already very good often carries a larger downside risk.

Consider scaleability

But the automation plan can’t just address short term issues. The business may need to consider the extent to which the automation is scaleable – can a robotic installation, for example, be scaled up for future growth just by leasing more units, or will there be a point at which the racking and other physical attributes of the warehouse require major change? And if so, should that be done now, even though it may not be needed for some years?

The plan also needs to consider the pace of technological change. Evolution in fields such as robotics is lightning-fast. There is no shame in buying last year’s model if it does the job, but there are risks that equipment and systems may become ‘obsolete’, or worse, unsupported, much quicker than expected. This means that some of the steps in the automation road map may need to cover replacing or upgrading earlier and relatively recent investment steps. Robust continuity planning, in partnership with reputable vendors and integrators, is key.

Planning a stepped approach to warehouse automation cannot be just a top down, or a bottom up, process. It really does require the involvement of every stakeholder in the business. Clearly it needs high level strategic direction to ensure that the plan is aligned with the company’s goals, its financial capacity, and its appetite for risk. Operational input – will the proposals actually meet the requirements of, for example, seasonal peaks. Engineering – does the business have, or can it expect to establish, an adequate maintenance capability or will this have to be outsourced. HR may have views on how staff can be trained, and whether new staff with new skills need to be hired.

Technical capabilities

And then there is installation. Even quite modest steps in automation are likely to involve systems and equipment from multiple manufacturers and vendors and will require some level of integration, both with each other and with existing equipment and systems. ‘Plug and play’ is a much-vaunted term, but it’s hard to find evidence that it really exists in the modern warehouse!
Therefore, it’s important to find a reliable, independent integrator that has the necessary technical capability and in-house software skills to deliver a project successfully over several planned stages – an integrator that supports you every step of the journey.

Complete or Phased Approach to Warehouse Automation?

Posted on by Keith McKinley

With labour hard to find and performance at peak under scrutiny, businesses may be tempted to opt for a complete, turnkey warehouse automation project to solve all their problems in one move. But might a stepped approach make more sense? Dan Migliozzi, Head of Sales at independent systems integrator, Invar Group, considers the options.

There can be little doubt that automation is the future for all but the smallest of warehouse operations. New affordable technologies are now within reach of most small to medium sized businesses (SMEs) and these technologies, often involving robotics and AI, are transforming performance across intralogistics processes.

Driven by poor labour availability and increasing customer demands, many businesses will be thinking about a comprehensive review of their operations, and may be tempted to go for a full turnkey approach – introducing a whole raft of systems at the same time. However, whilst this may be appropriate for some companies, others may be exposing themselves to unnecessary levels of risk, and a more considered approach could yield greater gains.

For a major corporation with the luxury of multiple warehouses or distribution centres, and facing challenges or changes to their current operational model, it may be practical, even desirable, to take facilities off-line one by one and rebuild them. For smaller businesses though, this could be a highly risky strategy and may be unviable – a considered, step-by-step approach to the end goal of significant automation may be preferable, both financially and operationally.

Financial benefits

Financially, moving towards automation in planned stages limits the need for often significant up-front capital expenditure, a particular concern for start-ups and other companies in a phase of rapid growth when other demands on working capital can be considerable. A stepped approach that quickly takes advantage of ‘low hanging fruit’ can achieve an early Return on Investment and bring many other benefits – potentially helping to fund subsequent phases of automation.

But even if capital funding isn’t an issue, the risks of an ‘all-in’ approach are significant. Some degree of disruption is inevitable during installation, and even with the most careful planning, highest quality equipment and dedicated vendors and integrators, it’s rare for everything to work straight out of the box. The risk of a major delay or disruption could have a far-reaching impact on the business and may lead to lost sales and reputational damage.

A further consideration is, with a complete turnkey approach it’s usually not possible to revert to the old ways of working while the fixes are actioned. There is no redundancy in this situation.
So rather than playing with the entire operation in a giant sandbox, better by far to identify and address the most urgent or compelling challenges and opportunities as they arise. That way, processes can be better defined and understood, employees at all levels trained and other necessary capabilities – maintenance, for example – built up at a manageable pace.

Planning a phased migration

‘Step-by-step’, however, does not mean ‘piecemeal’. The planning for a stepped migration to more automated operations is just the same as it would be for a turnkey project – indeed the ultimate goals will be just the same – it’s merely a question of how to get there.

Firstly, and obviously, the company needs to know its objectives and requirements. Is automation needed because the business is in, or is anticipating, a period of rapid growth? Growth is good, but for many companies, perhaps in a mature or niche market, higher volumes and throughputs may not be the issue – greater efficiencies, lower costs and perhaps particularly better use of scarce labour may be the imperatives.

The company needs to map and understand its processes from cradle to grave, including processes which are unlikely to be directly addressed by automation. Where are the biggest wins, the greatest challenges, the most acute pain points? Address these first – paradoxically, trying to optimise a process that you know to be already very good often carries a larger downside risk.

Consider scaleability

But the automation plan can’t just address short term issues. The business may need to consider the extent to which the automation is scaleable – can a robotic installation, for example, be scaled up for future growth just by leasing more units, or will there be a point at which the racking and other physical attributes of the warehouse require major change? And if so, should that be done now, even though it may not be needed for some years?

The plan also needs to consider the pace of technological change. Evolution in fields such as robotics is lightning-fast. There is no shame in buying last year’s model if it does the job, but there are risks that equipment and systems may become ‘obsolete’, or worse, unsupported, much quicker than expected. This means that some of the steps in the automation road map may need to cover replacing or upgrading earlier and relatively recent investment steps. Robust continuity planning, in partnership with reputable vendors and integrators, is key.

Planning a stepped approach to warehouse automation cannot be just a top down, or a bottom up, process. It really does require the involvement of every stakeholder in the business. Clearly it needs high level strategic direction to ensure that the plan is aligned with the company’s goals, its financial capacity, and its appetite for risk. Operational input – will the proposals actually meet the requirements of, for example, seasonal peaks. Engineering – does the business have, or can it expect to establish, an adequate maintenance capability or will this have to be outsourced. HR may have views on how staff can be trained, and whether new staff with new skills need to be hired.

Technical capabilities

And then there is installation. Even quite modest steps in automation are likely to involve systems and equipment from multiple manufacturers and vendors and will require some level of integration, both with each other and with existing equipment and systems. ‘Plug and play’ is a much-vaunted term, but it’s hard to find evidence that it really exists in the modern warehouse!
Therefore, it’s important to find a reliable, independent integrator that has the necessary technical capability and in-house software skills to deliver a project successfully over several planned stages – an integrator that supports you every step of the journey.

Bakery Receives 8 Double Deck Tiger Trailers

Posted on by David Priestman

Eight moving double deck articulated trailers manufactured by Tiger Trailers have joined the fleet of Banbury-based bread-makers Fine Lady Bakeries, with innovation and on-time delivery proving key influencers in their decision to change suppliers.

Fully painted in the baker’s distinctive Straw Yellow livery, Fine Lady Bakeries’ new Tiger trailers feature a three-quarter-length moving deck rated to ten tonnes, operated by the manufacturer’s proven four-ram hydraulic system, offering enhanced robustness, reliability, and an increased load capacity.

Used for the transport of unbranded bread loaded in bread baskets, the trailers will primarily serve Fine Lady’s two bakery sites in Banbury and Manchester, from where their range of loaves, buns and other products are then transported to the supermarket, wholesaler, and other customers.

Adam Robson, Fine Lady Bakeries’ Logistics Manager, comments: “For the ordering of our new trailer fleet additions, we sought to identify a manufacturer that would be able to deliver on time, in full, and meet our specific operational requirements. It was clear from discussions with Tiger Trailers that they would be able to meet our timescales and custom requirements, and we were also encouraged by their complementary services and work in the community. We’re very pleased with our new double-decker trailers from Tiger and look forward to fostering a strong relationship with Darren, Tom, and the team going forwards.”

To reduce the potential for damage, Tiger has incorporated recessed hinges into the rear frame of the new trailers, along with reinforced pillar lowers, and rubber cones fitted to each door and side panel. Inside, load securing is provided by means of specifically designed nets retained by vertical e-tracks. A full-width gate is fitted at the neck area, and the lifting deck is operated either by the bank of control buttons or by a wanderlead. To enhance operator safety, various lights, alarms, and visual warnings have been installed.

Thomas Stott, Technical Sales Manager at Tiger Trailers, says: “It’s been a pleasure to welcome Fine Lady Bakeries on board as a new customer. After our visits to their sites, followed by their visit to Tiger to sign off the 3D model that our design and engineering team produced, it’s fantastic to see this established bakery’s new double deck trailers in the flesh on the road. Huge thanks to Adam and his colleagues – it’s been brilliant to work with them, and we look forward to supporting and continuing to work with the Fine Lady team over the coming months and years.”

Fine Lady Bakeries, part of the Heygate Group, is a long-established manufacturer of bread products which it supplies to leading supermarkets, wholesalers, and to the sandwich industry. Originating in Banbury, Oxfordshire, Fine Lady opened a second purpose-built bakery in Manchester in 2010.

Cheshire-based Tiger Trailers is one of the UK’s top-five manufacturers of articulated trailers and rigid bodywork. Soon celebrating its 10-year anniversary, Tiger builds the complete range for road transport operators, from curtainsiders, fixed and moving double decks and temperature-controlled trailers, to swap-body demountables and specialist vehicles such as flatbeds. Supporting its customers and the wider industry, the company is home to Tiger Finance, Tiger Parts, and Tiger Rentals divisions. Its ESG initiatives include a tree planted for each product sold, solar panels on its factory roof, and EV chargers for staff and visitors. Tiger’s CSR activities span working with The Prince’s Trust, Women in Transport, and Cheshire Community Foundation, while the Tiger Safety Team delivers its ‘STOP, LOOK, BE SEEN’ road safety programme into schools.

Scheduled Route Connecting Baku with LA

Posted on by David Priestman

Silk Way West Airlines, a cargo airline in the Caspian and Central Asian region, expands its US network by adding weekly flights to and from Los Angeles International Airport, one of the world’s largest cargo gateways, handling millions of tons of freight annually.

The addition of the California hub to its network reinforces the carrier’s dedication to meeting the evolving needs of its customers and supporting global trade. The airline will transport a wide range of general cargo, perishables, oversized and e-commerce goods on the route.

With this route expansion, Silk Way West Airlines enhances its presence in this key region by introducing an additional strategic destination. The addition of Los Angeles complements Silk Way West Airlines’ flights to Houston, launched in April of this year, as well as the previously established regular flights to Chicago and Dallas.

“We are delighted to announce the expansion of our network with the addition of Los Angeles International Airport as a new destination,” said Fadi Nahas, Silk Way West Vice President Americas. “The new route will greatly benefit our West Coast customers by providing freighter nose cargo load capacity and shorter transit times for US destinations west of the Continental Divide.”

Founded in 2012 in Baku, at the heart of the Silk Road, Silk Way West Airlines operates hundreds of flights every month across the globe via its fleet of 12 dedicated Boeing 747-8F and 747-400F aircraft based at Heydar Aliyev International Airport. On April 28, 2021, Silk Way West Airlines signed a strategic fleet expansion agreement with Boeing for the purchase of five new 777 Freighters, followed by a further agreement signed on November 10, 2022 for the purchase of two state-of-the-art 777-8 Freighters. Silk Way West Airlines also agreed the purchase of two A350 Freighters with Airbus on June 28, 2022.

The airline’s annual cargo turnover exceeds 500,000 tons, and its growing route network covers over 40 destinations across Europe, the CIS, the Middle East, Central and Eastern Asia, and the Americas.

Largest Music and Video Warehouse Opens

Posted on by David Priestman

DP World, a leading provider of global end-to-end supply chain solutions, will this month open the UK’s largest distribution warehouse for physical music and video. Located in Bicester, Oxfordshire, the facility is being launched in partnership with Utopia Distribution Services, who entered into a £100 million deal with DP World to provide warehousing and logistics for physical music goods in the UK earlier this year.

The 25,000 sq. metre site will now become the de-facto centre for music and home entertainment distribution in the UK, handling 70% of physical music and 35% of home entertainment products sold in the UK annually – approximately 30 million units, including vinyl records, DVDs and CDs. It will service retailers across the UK, including Amazon, HMV, industry wholesalers and over 400 independent record stores.

The warehouse will have a daily handling capacity of over 100,000 units, increasing to over 250,000 during peak periods, driven by 80+ state of the art pick robots designed by US manufacturer Locus Robotics. The warehouse will employ 240 workers, and will significantly expand DP World’s unit handling capacity across its UK operations – facilitating new growth opportunities in the warehousing sector.

The warehouse opening follows ongoing demand for physical music and video in the UK, with 17.3m physical albums sold in 2022, with CDs comprising the majority of purchases (55.2%). Selling more than 5.5m units last year, vinyl also continues its rise and currently remains on track for a 16th consecutive year of growth. The video physical retail market also boasted a £209m value in 2022, with sales of formats like Blu-ray and 4k UHD rising by 7% to £91.7m YOY.

Jonathan Himsworth, Vice President Sales at DP World Logistics, said: “DP World brings together an unparalleled combination of assets and expertise to build creative solutions to the hardest problems in logistics, and this is why so many of the world’s largest and most recognisable brands trust us to deliver on their supply chain needs. To this end, we are very excited about working with Utopia Music to support the renaissance of physical music in the UK.”

Drew Hill, MD Utopia Distribution Services and VP Distribution Services, Utopia Music, added: “We’re pleased to be working closely with DP World on a smooth transition to our brand new state-of-the-art facility. With UDS distributing for over 50% of the UK’s combined music and video market, our investment in this infrastructure marks a bright and exciting future for physical entertainment.”

In addition to its UK hubs at London Gateway and Southampton, DP World’s offer includes the P&O Ferries and P&O Ferrymasters subsidiaries, and contract logistics businesses respectively, all of which are being integrated into the company’s global network. Operating in 78 countries, DP World now handles 10 per cent of world trade.

AI Revolution in Road Freight Around the Corner

Posted on by David Priestman

The road freight logistics industry is on the brink of a revolution, driven by advancements in artificial intelligence (AI) technology, writes Luis Moreira-Matias, senior AI Director of sennder. As the world becomes increasingly digitized, businesses are recognizing the potential of AI in optimizing their operations. In road freight logistics, the AI revolution is imminent, and it is poised to bring significant benefits in terms of resources, cost savings, and societal expectations.

Resources: Embracing Automation in a Digital Era

Digitalization is the norm across various industries, and road freight logistics is no exception. With the rise of cloud computing and the collection of massive amounts of data, businesses have reached a tipping point. Manual processes no longer keep pace with information flow. Automation, facilitated by AI, is the logical next step to leverage the vast amounts of data for enhanced efficiency and decision making.

AI-powered systems analyse and process large volumes of data in real time, providing valuable insights that optimize supply chain operations. Predictive analytics anticipate demand patterns, enabling better inventory management and reducing the risk of stockouts. Machine learning algorithms continuously learn from historical data and adapt to changing circumstances, enabling better route planning and load optimization.

Cost: Driving Efficiency and Competitiveness

In an industry where profit margins can be razor-thin, companies must find ways to maximize efficiency and reduce costs. By harnessing the power of AI, road freight logistics companies optimize operations in several ways. Intelligent routing algorithms identify the most efficient routes, considering factors such as traffic conditions, fuel consumption, and delivery time windows. This reduces fuel costs and minimizes environmental impact by optimizing fleet utilization. Furthermore, AI enables proactive maintenance by analyzing sensor data from vehicles, identifying potential issues before they escalate into costly breakdowns.

The ability of AI to analyse vast amounts of data in real-time enables better pricing strategies and load matching. By considering factors such as cargo type, weight, and destination, AI systems efficiently match available trucks with suitable loads, maximizing capacity utilization, and reducing empty miles. This results in significant cost savings for both carriers and shippers, creating a win-win for the industry.

Social Expectations: Technology’s Growing Role

In today’s increasingly tech-savvy society, there is a growing expectation that technology will play a central role in various aspects of life, including businesses in operation-intensive sectors like road freight logistics. Automation and AI are no longer seen as futuristic concepts but rather as essential tools for driving progress and efficiency.

Businesses in road freight logistics must adapt to meet these changing societal expectations. Carriers and shippers are becoming more demanding, expecting automation and AI-driven solutions to streamline interactions and simplify processes. Automated tracking systems, intelligent chatbots for customer service, and AI-powered predictive analytics are just a few examples of the technological advancements in the industry.

Moreover, the adoption of AI in road freight logistics can have a positive impact on the workforce. By automating repetitive and mundane tasks, AI frees up human resources to focus on more engaging and intellectually challenging roles. This shift can lead to higher job satisfaction, and provide opportunities for upskilling and career advancement within the industry.

Conclusion

The AI revolution in road freight logistics is just around the corner, driven by the convergence of various factors. The digitalization of business operations, the need for cost optimization, and the growing societal expectations for automation and AI all contribute to the inevitability of this transformation. By embracing AI-powered solutions, road freight logistics companies unlock significant benefits, including enhanced resource utilization, cost savings, and alignment with societal expectations. As the industry evolves, those who fail to adapt may find themselves falling behind in the race for efficiency and competitiveness.

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