In Focus: DHL’s strategic partners in the automotive industry
DHL has been Aston Martin’s pri...
Supply Chain Digital takes a closer look at DHL's strategic partnerships within the automotive industry.
DHL has been Aston Martin’s principle logistics partner since 2017. Currently the company manages inbound transportation, inventory management, warehousing and in-plant logistics, supporting its production in Gaydon, Warwickshire, England. After two years of success, Aston Martin has recently renewed its contract with DHL for a further seven years - to the end of 2027 - where the company will manage the full inbound supply chain in St. Athan, Wales.
“We’re delighted that our relationship with Aston Martin is going from strength to strength and that we’re able to support such an iconic brand on its journey. Our approach offers Aston Martin a one-stop logistics solution that simplifies complex logistics processes and can support all of its future needs,” commented Mike Bristow, Managing Director, Manufacturing Logistics, DHL Supply Chain.
Did you know? DHL’s logistics experts hae provided its transportation and logistics services for five James Bond films, transporting the character’s famous Aston Martin.
“Despite uncertain economic conditions, customer demand remains strong so we are continuing to invest in our business and our people. Our partnership with Volvo will deliver significant added value to both our customers and our drivers with the new vehicles improving our operational efficiency and reducing our carbon emissions as we support the development of our customers’ supply chains,” commented José Nava, CEO DHL Supply Chain UKI.
Jaguar Land Rover
In addition to Volvo Trucks, DHL also renewed its partnership with Jaguar Land Rover towards the end of 2019. Following a 10 year partnership, in which DHL provided supply chain solutions to the car manufacturer, the contract was renewed with new ambitions and an extended brief to manage the inbound supply chain for Jaguar Land Rover’s newest site in Slovakia.
“Over the past decade our close working relationship with Jaguar Land Rover has enabled us to pursue new ways of working to drive a significant step change in performance. As part of this contract extension we now have a fully mapped transformation and investment plan to ensure Jaguar Land Rover’s supply chain is fit for the future,” commented Mike Bristow, Managing Director, Manufacturing Logistics, DHL Supply Chain UK & Ireland.
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XPO Logistics Completes Spin Off of GXO Logistics
XPO Logistics has completed its spin-off of GXO Logistics, creating two independent public companies.
GXO Logistics today marked the occasion by ringing the opening bell on the New York Stock Exchange. GXO leadership and board members were in Manhattan to mark the “exciting milestone in GXO’s history”, opening Wall Street and celebrating the business’s first day of regular way trading.
“We consider it a privilege to launch GXO as a new company at the top of the industry — the world’s largest pure-play logistics provider,” said chief executive Malcolm Wilson, in a statement. “We have a powerful platform for future growth, including our culture of innovation, strong customer relationships, seasoned leaders and a world-class team. This is day one of unlocking vast new potential for our company.”
GXO Logistics in Brief
- CEO: Malcolm Wilson (formerly CEO, XPO Logistics Europe)
- Employees: 94,000 approx.
- Warehouse capacity: 208m sq.ft
- Key customers: Apple, Nike, Whirlpool, Nestlé
XPO’s Pure-Play Strategy
XPO Logistics announced plans to spin off its logistics division in December 2020, with the intention of creating two pure-play entities focussed on contract logistics (GXO) and freight transportation (XPO).
In an interview last month, GXO Chief Investment Officer Mark Manduca said there is “massive scope” for growth both organically and through M&A activity. "A deep pool of potential new business exists for GXO, both through share gain and penetration,” he added, explaining that companies are increasingly looking to outsource logistics as supply chains become ever complicated.
GXO is a leader in logistics automation and robotics, leveraging AI and machine learning to ‘turn logistics into a competitive advantage’ for its customers. It has approximately 94,000 employees, and counts Apple, Nike and Whirlpool among its blue chip customers. The company says it will also look to strengthen its presence in other high-growth areas, primarily ecommerce, apparel, technology, food and beverage, and consumer electronics. The company has 208m+ sq.ft of warehouse space across 869 locations in 27 countries.