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$Eigenes Luftfrachtnetzwerk [pdf | 244 KB] - Panalpina$

$Seefracht [pdf | 181 KB] - Panalpina$

SCM 22 connect 2_2005
Supply chain management for hi-tech client in Eastern Europe The electronics manufacturing services provider, Celestica, and Panalpina extend their worldwide cooperation into an additional country, Romania. What makes a leading company in electronics manufacturing services like Celestica choose Romania as a location? Celestica and Panalpina are old acquaintances: their successful cooperation dates back to 2003. Celestica has twice already recognised Panalpina’s performance in integrated air and sea freight solutions with a “Global Supplier Award”. Last year, Panalpina handled some 40,000 air cargo shipments weighing 12,500 tons and around 600 sea freight consignments for Celestica. Careful choice of location Now the two companies are cooperating within a new project. Panalpina is taking care of the logistics of a new Celestica production facility in Oradea (Romania). This provides a good opportunity to glimpse behind the scenes of Celestica, an electronics manufacturing services provider (EMS). The obvious question is: What prompted Celestica to choose Oradea in the first place? Richard S. Williamson, Director Global Logistics & Trade Compliance at Celestica was glad to explain: “We are following customer demand for low-cost solutions. As one of the leading companies providing electronics manufacturing services for OEM customers, we are looking for locations where we can produce at low cost.” When Celestica decides to move into an emerging country it is usually based on a customer need and has the end goal of improving the scope of service offerings to customers. That said, Celestica prides itself in providing a competitive offering and a strategic global footprint to its customers by anticipating customers' needs. Overall, Celestica's goal is to provide the optimum solution for its customers. In making the decision to move to an emerging country, Celestica considers the following: • Infrastructure (power, roadways, airports, shipping, communications network, etc.) • Working environment • Political environment • Proximity to customers and/or their end markets • Logistics – Is the location close to the border – is there a strong logistics scenario • Workforce – access to labour pool and technical skills • Cost of building labour rates Oradea, for example, is quite close to Budapest with its well-developed transport connections. Additional important factors are dues and taxes and the administration effort necessary for importing or exporting goods to or from a certain country. Equally important for us is the composition, on different levels, of the local workforce. Oradea has a good university. We cooperate with them, bringing in engineers from Western Europe to train students. These students can later work in our manufacturing plant. After a time of transition, our Oradea location will therefore become a part of our company which is self-sufficient even on the personnel side. Williamson speaks from his own experience when he explicitly recognizes that the infrastructure in Eastern Europe is well developed. > The logistics centre in Oradea/Romania. Panalpina CEO Bruno Sidler receives the Supplier Award from Celestica. connect 2_2005 23
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