Tesco renews with XPO Logistics for a further five years
Tesco has once again renewed its contract with XPO Logistics for the management of 12 Recycling Servic...
Tesco has once again renewed its contract with XPO Logistics for the management of 12 Recycling Service Units (RSUs) throughout the UK and Ireland, along with the maintenance of its loose equipment fleet.
The renewal reflects XPO Logistics' expertise in reverse logistics, including the quality of its returns management IT systems and synergies with Tesco's recycling operations.
Established in 1995, the RSU network handles all loose equipment and packaging waste from more than 2,700 Tesco stores in the UK and Ireland. Assets are backhauled on Tesco and its suppliers’ store delivery vehicles to the RSUs, the majority of which are co-located with Tesco’s distribution facilities. Employing around 700 people, the operation currently handles around 17,500 returning vehicles each week.
Under the maintenance contract, XPO Logistics is also responsible for the servicing and maintenance of more than a million roll cages, as well as trays and dollies, helping to ensure longevity of assets, optimum availability and reduced replacement costs.
Recent and planned initiatives include the development and implementation of a live data capture system and the trial of a segregation system to improve the quality and value of plastic waste.
XPO Logistics is a top ten global provider of cutting-edge supply chain solutions to the most successful companies in the world. XPO Logistics has 195 locations in the United Kingdom, including approximately 3.5 million square metres of warehousing, and over 15,000 employees. The company offers comprehensive solutions for transport, global forwarding and logistics, including e-fulfilment, reverse and temperature controlled logistics, VAS, bonded and COMAH warehousing, and the UK’s largest owned ADR pallet network. XPO Logistics serves customers in multiple verticals, including food and beverage, retail, aerospace, automotive, chemicals, high tech, pharmaceuticals, textiles and publishing. uk.xpo.com
XPO's corporate headquarters is in Greenwich, Connecticut USA, and its European headquarters is in Lyon, France. The company serves more than 30,000 customers worldwide with a highly integrated network of over 52,350 employees and 863 locations in 27 countries. www.xpo.com.
Cainiao Network Launches Customer-Centric Logistics
As the logistics division of the Alibaba Group, Cainiao Smart Logistics Network has decided to provide its Southeast Asian customers with unsurpassed service during its annual shopping festival. Based on customer feedback surveys, the company will expand its real-time customer service support and speed up delivery times. ‘By expanding and deepening our services, we aim to provide a stronger logistics infrastructure that can bolster the booming eCommerce sector, support merchants’ expansion into new markets and diversify retail options for consumers’, said Chris Fan, Head of Cross-Border, Singapore, Cainiao Network.
Who Is Cainiao?
According to TIME Magazine, Cainiao ‘is far from a typical logistics firm’. The company controls an open platform that allows it to collaborate with 3,000 logistics partners and 3 million couriers. This means that merchants can choose the least expensive and most efficient shipping options, based on Cainiao’s real-time logistics analytics. The company’s goal is to ship packages anywhere in the world in under 72 hours—and for less than US$3.00.
For countless small business owners around the world, from coffee-growers to textile-weavers, this could change everything. Usually, it costs about US$100 to ship a DHL envelope from Shanghai to London in five days. Cainiao aims to change that. Said its CEO Wan Lin: ‘The biggest barrier to globalisation is logistics’.
What’s Part of the Upgrade?
Throughout the Tmall festival, Cainiao’s logistics upgrade will be divided into four critical segments:
- Real-time customer service support. Cainiao has launched a direct WhatsApp channel for customers to receive logistics updates and ask questions.
- Expansion of air freight parcel size and weight limits. Packages can now be up to 30 kilograms or 1-metre x 1.6 meters to help ship large items such as furniture.
- Daily air and sea freight connections. Shipping frequency will almost double to seven times weekly to maintain resilience and efficiency.
- Compensation for lost or damaged packages. Customers will be reimbursed up to RMB 2,000 (US$311).
Where is the Company Headed?
From June 1st to June 20th, the finale of Tmall, Cainiao will ensure that its customers feel confident in the company’s ability to deliver their packages. Despite global shipping delays due to COVID, the show will go on. Said Fan: ‘This series of customer-centric logistics upgrades reaffirms our goal of pursuing value-added services to enhance customers’ shopping experience while mitigating challenges posed by external factors’.
Furthermore, Cainiao has recently expanded its Southeast Asian operations, achieving revenue growth of 68% year-over-year. In Malaysia, the logistics operation has partnered with BEST Inc. and Yunda; in Singapore, the company has partnered with Roadbull, Park & Parcel, and the Singapore Post. And if its recent measures help retain and grow its customer base, the company will be well-poised to lead the industry in resilient and customer-centric global logistics. ‘COVID-19 made everyone realise how important the logistics infrastructure backbone is’, said Wan. ‘And it gave us a peek at what Cainiao should look like in three years’.