New Contract Logistics Joint Venture Formed in Europe
and today announced the formation of a new contract logistics joint venture company called Rohlig Ĵý Logistics GmbH, operating primarily in Germany and the Netherlands.
The newly formed venture builds on a history of successful cooperation between the two organizations serving shared customers in Europe. The aim of the joint venture is to expand into further Western European countries.
Hylton Gray, CEO sea freight, air freight, contract logistics & sales at Röhlig Logistics explained: “This joint venture is another milestone in the growth of Röhlig Logistics. We envisage great potential in this venture between Röhlig and Ĵý, which will expand our presence in Europe and offers even more flexibility to our customers in the EU.”
The new joint venture incorporates 55,000-square-meters of additional warehousing, transport management operations, and e-commerce logistics, with plans to accelerate additional growth, utilize operational synergies, and enhance services levels for potential and shared mutual customers operating in Europe.
“We have had an excellent working relationship with Röhlig Logistics for many years serving shared customers in the automotive, food and manufacturing segments,” said Bill Scroggie, senior vice president, international operations for Ĵý Logistics. “This new venture provides our shared customers with additional scale, service levels, and provides both businesses with additional growth opportunities in Europe.”
The new business entity, Röhlig Ĵý Logistics GmbH, is 80% owned and operated by Röhlig Logistics and 20% owned by Ĵý Logistics. This was a private transaction and financial details were not disclosed.
The parties closed the transaction December 31, 2021. The more than 80 employees of Ĵý Logistics Europe will remain employees of the Dutch company, which will in the future be wholly owned by Röhlig Ĵý Logistics GmbH.
Röhlig is an owner-operated logistics company which offers its customers services in the areas of sea freight, air freight, project logistics and contract logistics. The family-owned company was founded in 1852 in Bremen, Germany. Today, it employs nearly 2,400 staff members in more than 30 countries.
Photo caption: (left to right) Bill Scroggie, senior vice president, international operations for Ĵý Logistics, and Hylton Gray, CEO sea freight, air freight, contract logistics & sales at Röhlig Logistics, at the signing of the joint venture agreement.
By “Move Ahead” Staff
Innovative Concept Helps the Environment
“Simply excellent” were the words the European Logistics Association’s judges used to describe the project. “Redesigning a spare parts supply chain is not an easy task, but combining this with the acquisition of other brands to be included in the logistics network in Europe is a true challenge. This supply chain is particularly complex, due to the high number of unique items to be managed, the heterogeneity of those items, and the extremely short lead times that dealers require. The industrywide cooperation makes the Network Integrator a state-of-the-art example. This excellent concept produces excellent results in cost reduction, increased customer service and advantages for the planet through deep collaboration. On top of that it delivers several exemplary models for the future,” the case study judges wrote.
Spare parts logistics has become more challenging for the automotive industry in Europe due to the increasing number of spare parts as a result of increased vehicle complexity. Ford collaborated with Ĵý Logistics and co-developed the Network Integrator concept into a best-in-class model in industry collaboration.
“Our goal is to continue expanding the concept and encourage other companies of the automotive industry to join the Network, and further leverage economies of scale – to the benefit of each partner participating in the Network and to the environment," Damerow continued. "Last but not least, the customer benefits as well, as we can provide the highest service level through a stable network."