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Southampton acts on box congestion – Logistics Manager Magazine

DP World Southampton has set out a series of measures, including extended weekend opening hours, to deal with container congestion at the port which is says it affecting productivity.

The company said very high stack levels were the result of a number of factors “some of which are outside our control”. These include:

* Unseasonably large number of empty containers in the stack

* Many shipping line customers are over their empty limit allowance resulting in the empty park being full and additional empties overflowing into the regular stack. This, in turn, is blocking space for normal imports and exports.

* A large rise in transhipment containers where the lines discharge boxes from one ship to be picked up by another at a later date.

* Some lines are also skipping ports to make up for delays elsewhere and, in some instances, discharging cargo in Southampton instead of its original destination.

* Pre-Christmas peak: The unusually large number of empty containers, coupled with the normal pre-season peak volumes, has put additional pressure on our yard. Boxes are therefore stacked more densely, limiting manoeuvrability, which means it takes longer to pick and load boxes.

* Vessels cutting and running: Slower terminal productivity and a lack of space in our yard means that some shipping lines are choosing to ‘cut and run’, and leave the port before all their boxes have been discharged or loaded.

* Lack of UK haulage: There is a national problem with the UK haulage industry and a significant lack of available drivers. After the August bank holiday, import dwell times went up by 40 per cent meaning boxes are staying on our terminal for a least a day and a half longer than they usually do before being collected by a haulier. Again this impacts our stack levels which, in turn impacts our productivity.

It set out a series of measures to deal with the problem:

* Maximising resources on both landside and shipside to minimise the impact of the high stack levels.

* Extending landside operation over the whole weekend without additional charges.

* Asking the lines to ship as many empties as possible to reduce the empty stock in the terminal.

* Asking the lines to temporarily stop using Southampton to tranship empties from the US to Asia.

* Asking the lines for prior consultation before using Southampton to discharge cargo for other ports to help schedule recovery.

* Reducing the export-receiving window from the usual 10 days to 7 days to deter export boxes being brought into the terminal too far in advance of the vessel’s arrival.

Brexit: what about the workers? – Logistics Manager Magazine

Pressure is mounting on both the UK and EU negotiators to make progress on a deal. And with the next round of talks starting in Brussels on Thursday, the Confederation of British Industry has taken the opportunity to hammer home the importance of retaining essential workers.

Malory Davies, FCILT, Editor.

Malory Davies, FCILT, Editor.

It’s an issue that could have a big impact of supply chain and logistics operations. And the CBI report, “Open and Controlled”, highlights the fact that 25 per cent of the workers in UK warehouses are EU nationals – some 113,000 people – a figure first put forward by the Freight Transport Association.

In addition, EU nationals make up 14 per cent (43,000) of large goods vehicle drivers, 22 per cent (19,000) of forklift drivers. The CBI report points out that there is a shortage now of 52,000 LGV drivers, while 63 per cent of all HGV drivers are 45 or over, and 14 per cent of LGV drivers are due to retire over the next five years.

“Continued access to EU workers is needed to avoid serious disruptions to supply chains and the cost of come deliveries rising,” it warns. And it’s not just logistics – the report CBI report highlights similar issues in other industry sectors as well.

In parallel with the CBI report, is the latest quarterly Labour Market Outlook from the Chartered Institute of Personnel and Development which highlights the fact that 50 per cent of companies in transport and storage now have hard to fill vacancies – the highest of any industry sector.

The CIPD also found that demand for staff is particularly strong in transport and storage at the moment – net employment intentions over the next three months is +38 per cent – that compares to +23 for the economy as a whole.

The CBI argues that government policy should shift from simply trying to cut the number of people coming into the UK, to a system that ensures that migrants are contributing to society and the economy.

Last week trade minister Liam Fox claimed that there was now a 60 per cent chance that the UK would leave the EU without a deal. Such talk is clearly a negotiating gambit – nevertheless the risks to supply chains are real.

The next few months are going to be critical. Industry needs to continue to press for the best possible solution – but also plan for the worst.

Carrefour partners with Google for online groceries

Google entered a deal with Carrefour to sell groceries online in France. Next year, shoppers in this European country will be able to buy Carrefour’s products through Google’s platforms such as Google Home, Google Assistant and Google Shopping.

Carrefour says it’s the first retailer partnering with Google in France on a new grocery shopping service. Items ordered through Home, Assistant or a new experience on the Google Shopping website in France can be delivered to the customer’s home or picked up in-store.

Carrefour first partner of Google on grocery ecommerce in Europe

“This alliance makes Carrefour the first partner of Google on grocery ecommerce in Europe, creating a strong bond between the two companies. It also marks an important step in the new story written by Carrefour since the announcement of the Carrefour 2022 plan”, CEO Alexandre Bompard said. “It allows us to accelerate our digital evolution and get a head start in deploying the omni-channel approach we want to offer our customers.”

Partnership goes further than selling food online

As part of the partnership, Carrefour will also open an innovation lab in Paris, where its engineers will work side-by-side with Google Cloud AI experts to create new consumer experiences. And finally, the French supermarket chain will further transform digitally with the support of Google Cloud. The company will deploy Google Cloud’s G Suite productivity and collaboration solutions to over 160,000 Carrefour employees.

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Kalmar to Supply SmartPower RTGs to Port of Buatan

 Kalmar, part of Cargotec, has concluded a deal with Riau Andalan Pulp & Paper (RAPP) to supply three Kalmar SmartPower rubber-tyred gantry cranes (RTGs) for its container yard at the Port of Buatan in Indonesia. 

The order was booked in Cargotec’s 2018 first quarter order intake and delivery is scheduled to take place towards the end of Q4 2018.

RAPP, a subsidiary of APRIL Group – one of the world’s leading producers of pulp and fine papers – operates a pulp and paper mill in Riau Province on the Indonesian island of Sumatra. The mill has an annual production capacity of 2.8 million tonnes of pulp and 850,000 tonnes of paper. APRIL Group has invested significantly in infrastructure to take its products to market, including a container terminal in the Port of Buatan. The Kalmar SmartPower RTGs will replace the RTGs currently operating at the RAPP terminal, which are reaching the end of their lifespan. RAPP also operates Kalmar empty container handlers at the terminal.
Thanks to its significantly smaller diesel engine and intelligent power management system, the Kalmar SmartPower RTG uses up to 10 litres less fuel per hour than most of the diesel RTGs currently on the market. Its simple yet efficient design provides the perfect balance between productivity and cost efficiency in typical container-handling applications, with a low-maintenance all-electric trolley and hoisting system as well as a direct gantry drive in place of traditional hydraulic systems.

Jamie Vincent Farrell, PECTEC: (a technical subsidiary of APRIL Group): “The Kalmar SmartPower RTG is an ideal solution when it comes to renewing the existing RTG fleet because it fits perfectly with the mill’s lean operating principles. Not only will the new cranes help to significantly reduce fuel costs and therefore emissions, but they will also improve productivity and increase safety as well as simplify maintenance processes. Furthermore, we have been very satisfied with the support we have received from Kalmar’s local and regional teams.” 

Ismo Matinlauri, Vice President, Solution Sales, Kalmar APAC: “We managed to satisfy the customer’s high performance and product requirements while at the same time meeting the tight delivery schedule and erecting the cranes on site. We have previously supplied RAPP with mobile equipment, so we are pleased to be able to fulfil their requirements in terms of RTGs as well.”

3 Benefits of LCL Shipping

3 Benefits of LCL Shipping | Transportfolio

lcl-ocean-shipping

One way global shippers can deal with tight transit times and fast changes in demand is to keep a lot more inventory on hand. But there is another way. You can use less than container load (LCL), which enables you to ship more frequently and still lower inventory costs.

How does this work? It’s easiest to see some of the advantages of LCL by comparing the service to full container load (FCL) shipping. FCL requires you to wait until you have enough product or orders to fill an entire container before you can ship. For most shippers, that takes time. If you can’t afford to wait for extended periods before you ship, LCL could be a better option. Below, we explore 3 reasons why.

3 Benefits of LCL Shipping

  1. LCL offers consistent weekly sailing schedules for ocean freight

That means you can ship your products by LCL as soon as they come off the production line without breaking your budget. An individual LCL shipment can be a faster way to ship than FCL. Your product arrives faster at its destination, and in competitive times like these, every day counts in serving your customers.

  1. LCL’s truncated shipping times mean you can accept orders on demand

This factor is an advantage over FCL shipping and it ensures that your customers get the product they need, when they need it. Yet, even as you meet the demand, you can hold smaller reserves on hand. You can save not only on the inventory itself, but also on warehousing costs.

  1. LCL consolidation service providers offer timely and flexible service

Consolidation providers consolidate shipments from several customers to fill an entire container, and you will only pay for the space you use. Before selecting a freight forwarder, ask them if they run their own consolidations. At C.H. Robinson, our volumes allow us to be able to control consolidation in-house from origin to destination, giving our customers greater flexibility in their supply chain.

Is LCL shipping right for you?

Before jumping in wholeheartedly, make sure you examine the caveats to determine if it is the right choice for your business. Consolidation only works well if your service provider has enough scale or a large enough customer base to consolidate products in your lane. If they don’t have that level of scale, your freight can end up sitting at the port, waiting for someone else’s product. So, before you choose a provider, make sure they have enough volume in your lanes to keep your LCL shipments moving seamlessly. It’s also fair to note that if your provider consolidates several LCL shipments into FCL, you may pay more than you expected, due to fees that are levied to cover shipment handling at the destination port.

As you can see, LCL shipping offers weekly sailings, timely transit, even lower costs than FCL. But do remember that it might not be a faster or more economical choice if your service provider does not have the necessary volumes to keep your freight moving. Want to learn more about LCL shipping? Download our white paper, Global Freight Consolidation: Flexibility and Control Advantages, or connect with one of our ocean shipping experts.

MHR Analytics signs global deal with Logosoft

MHR Analytics, a provider of business analytics solutions, has signed a major global deal with Logosoft, the Turkish IT specialist, which is a cloud service provider based in Turkey, providing digital solutions to 3,000 partners.

The agreement will see MHR Analytics providing analytics services supporting the SAP Business One ERP system for small and medium-sized enterprises.

MHR Analytics will deliver bespoke reporting packs, which enable interactive charts and dashboards, allowing customers to drill down into the SAP ERP system data. The packs will allow businesses to make faster, more accurate decisions about critical operations, including finance, resourcing and sales.

Nick Felton, Senior Vice President, MHR Analytics says: “In an increasingly complex and competitive world, businesses recognise that analytics is essential to gain visibility into company resources and for empowering smarter decision-making. Our new partnership with Logosoft will enable MHR Analytics to expand its market share, providing powerful analytics services to optimise financial planning for small and medium-sized enterprises across Europe and beyond.”

Logosoft’s General Manager Nejat Saldanli comments: “This partnership allows us to offer premier analytics services on top of our existing world-class SAP resourcing software, which is the ultimate combination for ambitious businesses. We are thrilled to working with MHR Analytics to bring these services to market and will continue to enable customers to drive faster, more efficient decision making.”