COVER STORY 18 DACHSER magazine Major customers with hh Europe-wide operations are looking for logistics providers with pan-European networks Michael Schilling, managing director of Dachser’s European Network Management & Logistics Systems business unit
Finn Skovbo Pedersen, managing director of Dachser Nordic A/S “Many major companies see this as a way of making their logistics processes leaner and concentrating them at a single point.” The consequence, he says, is that major Dachser customers with Europe-wide operations have fewer and fewer logistics managers in each individual country. “These customers are looking for logistics providers with pan- European networks.” Thinking outside the box In Denmark, one of the first network integration steps taken was the introduction of Dachser’s proprietary Domino transport management system, which is used in 17 European countries and offers a high level of security and reliability. This makes communication problems between different systems a thing of the past. Another advantage is that Domino offers customers transparency from collection right through to shipment delivery. “Our employees had to completely change their way of thinking,” Pedersen says. Today, Dachser Denmark works according to exactly the same standards as the rest of the group. Whereas in the past Haugsted collected goods twice a week from each of its 50 partners, they suddenly had to cope with a completely different line management. That had consequences. Haugsted’s partner network collapsed. Almost overnight, the 50 partners had become competitors, because Dachser’s European network took over their ta<strong>sk</strong>s. The customer profile also changed radically. The Danes parted from customers in the field of long steel goods, which had been combined with Haugsted’s consolidated freight services. “It no longer fits in with Dachser’s groupage system,” Pedersen says. Haugsted’s export business also used to be weakly positioned. Today, Dachser Denmark delivers palletized goods for final customers to, among others, DIY stores across Europe. Famous Danish durable goods designer brands such as Bodom, Menu or prestigious Our employees had hh to completely change their way of thinking Finn Skovbo Pedersen Royal Copenhagen porcelain are transported by Dachser Europe-wide to the point of sale. Around one quarter of all Dachser Denmark’s deliveries are destined for Sweden and Norway. Many of the shipments are made up of Danfoss heating thermostats that are supplied to France and Spain. Five years after the extensive integration process, Pedersen takes stock: Dachser Denmark has meanwhile managed to build up a national network on a scale that hadn’t existed previously. Although a few of the 238 staff members left the company in the early days, the workforce has in the meantime grown to 320. Two years ago, a terminal with an area of 4,300 square metres and 43 loading bays was opened in Kolding, Denmark – already a Dachser location before the integration. While five years ago the facility handled 13,000 consignments per month, in the meantime that volume has jumped to 36,000. Moreover, in September a new terminal with an area of 4,200 square metres and 41 bays was inaugurated in Copenhagen. Here, too, the number of monthly consignments has risen from 8,000 five years ago to around 27,000 today. In addition to Dachser Nordic’s administrative departments, the 3,000 square metres of office space also accommodates the Air & Sea Logistics business segment. And: “In terms of customer satisfaction, we are out there with the best,” Pedersen says enthusiastically. A favourable position with customers The standards practised at Dachser in Denmark since 2005 apply across the entire pan-European network – in the meantime 28 countries including Serbia, Bosnia and Bulgaria. Three Eurohubs represent important nerve centres within the network from where markets in central, western and eastern Europe are served: in Überherrn/Germany since 2002, in Bratislava since 2008 and from July 2011 in Clermont-Ferrand/France (see COVER STORY On route to Europe: integration brings markets closer together also page 7). Dachser also operates 129 terminals of its own, as well as 101 partner locations in Europe, for example the family-run company Azkar in Spain and Fercam with more than 30 locations in Italy. “We have almost 6,000 of our own swap bodies and over 1,000 of our own trailers in operation across Europe,” Janda says, explaining further strengths of the pan-European network. Thanks to double-deck loading, the box vehicles provide a high degree of load security. This was one more reason that convinced the Danish family enterprise, Haugsted, to opt for integration into Dachser’s extensive European network and at the same time for a new entrepreneurial environment, thus paving the way to a positive future. “With increasing Europeanization and globalization,” says logistics expert Professor Peter Klaus, “companies able to offer high-quality and efficient international services without a doubt have greater development potential.” S. Machens DACHSER magazine 19